The standard objective of corporate executives is that they should work to increase shareholder value. However, according to Robert Kaplan, author of The Balanced Scorecard and other related books, many organizations are monitoring and rewarding only financial measures, without linking other performance measurements to their business strategies.
In his book, How to Manage People, Michael Armstrong details six key aspects that are involved in management. These aspects are
- exercising authority
- making things happen
- exercising control
Sometimes, it can be difficult to measure samples in order to find an average value. For example, it might be too costly, or perhaps they are simply scarce or hard to reach. However, as long as you are willing to accept some risk that the result will be wrong, then, as Douglas Hubbard describes in his book, How To Measure Anything: Finding The Value of Intangibles in Business, a method exists.