Scribd Logo
Importer

Bienvenue sur Scribd !

  • If Your Critical Evaluation Tends To Agree With The Statement, Briefly Outline How The Short Term Nature of Such Measures Can Be Overcome

    Transféré par

    fr0g_
    5 vues1 page
    The statement claims that performance measures like Return on Investment (ROI) and Economic Value Added (EVA) encourage managers to focus on short-term goals and decisions. These measures emphasize profits and returns over short time periods, which can incentivize actions that are not beneficial in the long run. However, combining these metrics with long-term qualitative factors could help balance short and long-term thinking.

    Description originale:

    Strategic Management Accounting

    Titre original

    SMA

    Copyright

    © Attribution Non-Commercial (BY-NC)

    Formats disponibles

    DOCX, PDF, TXT ou lisez en ligne sur Scribd

    Avez-vous trouvé ce document utile ?

    Ce contenu est-il inapproprié ?

    Signaler ce document
    The statement claims that performance measures like Return on Investment (ROI) and Economic Value Added (EVA) encourage managers to focus on short-term goals and decisions. These measures emphasize profits and returns over short time periods, which can incentivize actions that are not beneficial in the long run. However, combining these metrics with long-term qualitative factors could help balance short and long-term thinking.

    Droits d'auteur :

    Attribution Non-Commercial (BY-NC)
    Téléchargez comme DOCX, PDF, TXT ou lisez en ligne sur Scribd
    Signaler comme contenu inapproprié
    5 vues1 page

    If Your Critical Evaluation Tends To Agree With The Statement, Briefly Outline How The Short Term Nature of Such Measures Can Be Overcome

    Transféré par

    fr0g_
    The statement claims that performance measures like Return on Investment (ROI) and Economic Value Added (EVA) encourage managers to focus on short-term goals and decisions. These measures emphasize profits and returns over short time periods, which can incentivize actions that are not beneficial in the long run. However, combining these metrics with long-term qualitative factors could help balance short and long-term thinking.

    Droits d'auteur :

    Attribution Non-Commercial (BY-NC)
    Téléchargez comme DOCX, PDF, TXT ou lisez en ligne sur Scribd
    Signaler comme contenu inapproprié
    sur 1

    You are required to critically evaluate the following statement: Both Return on Investment (ROI) and Economic Value

    Added (EVA), when used as performance measures in an organisation, encourage managers to be short-term in their focus and decision making. If your critical evaluation tends to agree with the statement, briefly outline how the short term nature of such measures can be overcome.

    Vous aimerez peut-être aussi