GSM Lecture 4

Management > Global Strategic Management > Internal environment > Resources and capabilities > Distinctive capabilities > Value chain > Value chain illustrated > Value system > System configurations > More configurations > Other considerations > Culture and structure > Performance analysis

Performance analysis

There are many types of performance measurement, including:

• Financial - profits, sales
• Products - price, quality
• Customers - delivery time, after-sales service
• Marketing - market share
• Production - productivity, quality standards
• Evaluated against competitors, stated objectives, targets and benchmarks

It is always essential to keep updated on competitors' movements, as there is no point a firm congratulating itself on performance improvement if all its competitors have done even better.

Both customers and firms compare the firm with its competitors. It is important for a firm to manage portfolio assets and to determine what choices to make, such as what to outsource, although these decisions are very difficult and complex.