Český finanční a účetní časopis 2014(4):157-165 | DOI: 10.18267/j.cfuc.431

Interlinked System of Business Performance Management Indicators

Jana Fibírová1, Kateřina Knorová2
1 Prof. Ing. Jana Fibírová, CSc. - profesorka; Katedra manažerského účetnictví, Fakulta financí a účetnictví, Vysoká škola ekonomická v Praze, nám. W. Churchilla 4, 130 67 Praha 3; <fibirova@vse.cz>.
2 Ing. Kateřina Knorová, MBA - odborná asistentka; Fakulta financí a účetnictví, Vysoká škola ekonomická v Praze, nám. W. Churchilla 4, 130 67 Praha 3; <katerina.knorova@vse.cz>.

For the effective management of a company, it is necessary to choose the right performance measures in order to influence the behavior of managers and employees towards the fulfillment of company´s strategic objectives and goals. Basic logical relations of decomposition of economic effectiveness measures and causal relations of value-creation process are taken into account in creating business performance measurement and management system. While logical relations of financial measures create the framework of performance management, causal relations of value-creation process make the factual base. Only by linking financial results and non-financial causes it is possible to explain, analyze and influence the value-creation process. By discovering the links between causes and effects it is possible to improve decision-making, communication and increase the level of knowledge.

Keywords: Performance management; Performance measures; Financial and non-financial measures; Logical relations; Causal relations; Value-creation process.
JEL classification: M41

Published: December 1, 2014  Show citation

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Fibírová, J., & Knorová, K. (2014). Interlinked System of Business Performance Management Indicators. Czech Financial and Accounting Journal, 2014(4), 157-165. doi: 10.18267/j.cfuc.431
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