ECONOMICS

Detailed explanation-1: -Non-financial performance measures can fill in the gaps and give answers on monetary fluctuations. For example, if marketing efforts missed the mark one quarter, you can expect sales to be slow the next quarter. Secondly, non-financial KPIs are easier to link to certain aspects of your overall strategy.

Detailed explanation-2: -To measure the performance in relation to the Customers, a company can use Conversion Rate, Retention Rate, Customer Satisfaction, Customer Complaints, wait time for the customer, and Brand Recognition.

Detailed explanation-3: -The financial measurers comprised return on equity (ROE), while non-financial measures were customer satisfaction, learning and growth, and internal processes.

Detailed explanation-4: -Typical non-financial KPIs include measures that relate to customer relationships, employees, operations, quality, cycle-time, and the organisation’s supply chain or its pipeline.