7.3 Overall Performance Flashcards
What are core competences?
A set of activities or skills an organisations performs better than others.
Name 3 examples of core competences.
Quality.
Customer service.
Innovation.
What are the benefits of core competences?
Brand loyalty/reputation.
Added value.
How shoulda business deal with any skills which are not regarded core competences?
Outsourcing.
What are the 3 factors of Elkington’s triple bottom line?
Planet.
People.
Profit.
What was the main concept of Elkington’s model?
Objectives should be based more than just one bottom line.
What does planet means?
Environmental performance.
What is profit?
Economic performance.
What is people?
Social performance e.g. providing a living wage.
How can a business measure their overall performance?
Financial statements - use to calculate financial ratios and compare to industry averages.
Look at other functional areas - employee costs, unit costs, capacity utilisation etc.
Core competences.
Comparing short and long term performance.
