List of Non-financial Performance Objectives
Financial performance is one of the ways companies measure success -- but it does not take into account progress or lack of progress in other key areas of business. Non-financial performance objectives can have a greater impact on measuring non-tangible business approaches that are just as vital to the health, stability and long-term success of the business. Even though many of these approaches are not focused on revenue generation, they can ultimately have a positive impact on the business' finances.
Continually looking for ways to improve or expand services is vital to a small business’ ability to compete and remain relevant in its market. Performance objectives related to research and development can help a business establish goals for innovation, new product creation or enhancement of existing products or services. Objectives in this arena could be expanded to include growth or expansion strategies.
Repeat business is vital to the long-term success of small business owners. Finding innovative new ways to enhance customer service and demonstrate greater levels of customer appreciation through performance can have a significant impact on customer retention. Performance objectives may include the development of employee training programs or the creation of customer reward programs.
Ongoing employee training can help small business owners improve workforce performance and productivity, reduce turnover and create a more effective and motivated staff. Training program objectives can include job shadowing or mentoring programs, lunch seminars on best practices in the industry or tuition reimbursement for those interested in continuing their formal education. This approach can help employees feel more confident about their job performance and more satisfied in their roles.
When a small business helps employees establish professional career goals, both parties benefit. The employee gets specific direction on projects and performance objectives that have a positive impact on the business and the employee’s career path; the employer gets focused, strategically-planned approaches to key business development areas. This approach can improve workflow and increase productivity.
Employees are a small business’ front-line contact with customers. Employees who are happy in their roles and feel professionally fulfilled are more likely to be effective representatives of your business. Measuring employee morale can be accomplished through employee focus groups, surveys and evaluations. Small businesses can develop an objective or determining the state of employee morale and proactively taking steps to maintain or improve working conditions that have a positive impact on workforce attitude and perception.