Asked by Alyssa Nation on Jun 14, 2024
Verified
Strategic performance measurement systems define and link strategic objectives to the external financial reports of a company.
External Financial Reports
Financial statements and reports prepared for external users, such as shareholders, creditors, and regulatory agencies.
Strategic Objectives
Goals set by a business to guide its overarching strategy and direction for future growth and success.
- Realize the essentiality of coupling performance metrics with strategic intentions in performance evaluation methodologies.
Verified Answer
NR
Nafia RashidJun 19, 2024
Final Answer :
False
Explanation :
Strategic performance measurement systems are designed to measure the progress of an organization towards achieving its strategic objectives, but they do not directly link these objectives to the external financial reports. Instead, they often include a broader set of performance indicators, including non-financial measures, that reflect the company's strategic goals and operational effectiveness.
Learning Objectives
- Realize the essentiality of coupling performance metrics with strategic intentions in performance evaluation methodologies.