What Metrics Are Used to Measure the Performance of an MNE

question 100

Essay

What metrics are used to measure the performance of an MNE? How is the balanced scorecard approach unique?

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Definitions:

Safety Stock

Extra inventory held by a company to prevent stockouts caused by unforeseen variations in supply and demand.

Collection Time

The time duration that a business takes to recover the payments owed to it by its clients, often measured from the date of sale or service delivery.

Collection Float

The time interval between when a check is deposited in a bank and when the funds are made available.

Zero-Balance Account

A type of bank account that maintains a balance of zero by automatically transferring funds from a master account in exact amounts to cover charges or checks presented.