Financial KPIs - Measuring Performance

Financial KPIs - Measuring Performance

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It might not be their favorite part of the job, but every business owner, manager, and team leader needs to monitor the financial performance of their business or department. Immediate assessments can be made using Key Performance Indicators (or KPIs). A financial KPI is a measurable value that provides an insight into a business’s finances with regard to sales, expenses, profit, cash flow, or any other metric.

Making sense of financial statements and reports can seem difficult at first, but once you’re familiar with financial KPIs and how to apply financial ratios to the raw data, you’ll find it much easier to track the performance of your business or department. This course will explain how some of the most important financial KPIs are calculated, and what the results can tell you about the business’s profitability, solvency, efficiency, and valuation.

By the end of this course, you’ll be able to:

• Demonstrate the equations for some common financial KPIs
• Measure business performance by using financial KPIs
• Evaluate your corporate financial statements using financial KPIs

Why take this course?

Running any business or department involves some number crunching. You need to understand the basics of accounting to keep your books in order and to analyze financial statements and reports. When you know how to use financial KPIs, you’ll be better equipped to monitor the financial health and performance of your company, division, or team – and determine whether you’re on the right track.

20 mins | SCORM | Workbook
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