أنشئ حسابًا أو سجّل الدخول للانضمام إلى مجتمعك المهني.
1- Through the results that obey objectives.
2- Through the time frame that was defined.
3- through the required quality that was determined.
The best way to determine the position and performance of a company is to perform its finanical and business evaluation.
Financial:
Perform ratio analysis e.g
Business:
In order to perform business analysis one must first determine what are the critical success factors and what KPIs (Key Performance Indicators) must be put in place to measure the achievment of goals.
These KPIs can be financial and non financial e.g to increase productivity by15% by perticular time or to decrease waste products by10% at agiven time, which is then measured against the actual results to determine the performance.
I hope this is useful :)
Read your business financila position thoroughly and make competitors analysis.
Based on reputation Alchukh the market and its decline at a loss.Or through a financial analysis of the company.
What is best way to judge the performance of company position?
Dear Ihsan Ul Haq AhmedAs I understand, there is no single way to determine if a company is doing well or not? One has to look at a company performance from many perspectives. If one were to look at a company’s performance for e.g judging it by its financial performance alone may not reveal how well is its brand image or whether it is a socially responsible company or not. As such, to judge a company’s performance, the motive/s of the judges, performance criteria and what for the performance is being judged, atleast need to be considered.
Measuring a company's performance allows you to find the general perception in the market and what the company is worth. Shareholders measure a company's performance to find out how their shares will perform. Similarly, investors will evaluate the company's performance to find out whether they should risk their money. Governmental authorities will judge it from how a given company performs vis a vis rules and regulations of the land, compliance with tax laws and with labour laws. NGO’s could judge a company for its ability to care for all the stakeholders or its willingness and preparedness to give back to the community it is part of. Environmental agencies may judge a company for its compliance with aspects of environmental health and safety etc. Employees will judge a company for its ability to develop and nurture talent together with the aspects like job security, growth opportunities, opportunities to learn etc etc
One way to judge the performance of a company is to compare it with other companies. This technique, commonly called "benchmarking", permits the manager of a company to discover better industrial practices and can provide a justification for the adoption of good practices.
Much of the success of good companies is due to their adoption of practices that take advantage of the special circumstances of their products of markets
Following factors could be considered essential to gauge and judge a company’s financial health Calculate the ratios. There are quite a few ratios that determine in financial terms how a company is performing. The most commonly used ratio is earnings per share and diluted earnings per share. Earnings per share are the ratio of the net income generated by the company to the weighted average of the total number of shares. Another ratio that gives a good measure of how the company is performing is the price-earnings ratio. This ratio shows how the market perceives the company and shows the company's growth potential.
2
Two other statistics that are important are sales per revenue and fixed asset turnover. The ratio signifies how well the company is converting fixed assets, including plant, property and equipment, into net revenue. The sales per employee ratio, a ratio of the total revenue per workforce, also shows how well the company is doing.
3
Calculate the leverage of the company and the profitability of the company. The total debt to equity and debt to assets will signify the overall assets of the company, what the liabilities are, and the company's ability to pay off the debt. Return on equity and return on assets are commonly used numbers that show the same thing. The higher the returns, the better the performance of the company. This also tells you that the company is more profitable.
4
Comparison with the sector. For a company that performs well, the absolute figures are not as important as the relative figures. The numbers might be decent, but if other companies in the same sector are doing much better, then the company is not doing too well. Similarly, if the sector is not doing too well and this company has made moderate profit, it means that it is doing very well. Therefore, to evaluate the success and performance of a company, you have to evaluate the industry and the markets.
5
Judge the overall perspective of the company and growth potential. This is very important, as the long-term plans and future of the company decide how the company will do. Profits and revenue will also depend on the growth of the company, and a large part of the company's performance should be evaluated in terms of how well it is positioned for the future. Is the company preparing to roll out a new product line? Did it just fire its CEO? Take into consideration its operation strategy.
In today’s fast paced, ever changing and highly competitive globalized business scenario, a company could be judged by and for its ability to adapt to changes. Companies which are lean & nimble and always with a mindset to be prepared for changes can only survive.
this was my sincere attempt answer your rather all encompassing question. hope it provides at least a part of the answer
goodluck
the best part on my side is sustainability of the company with respect to the satisfication of Boss and Costomers