Lesson 1: Measuring Success

Measuring Success

Recall the very important management functions of planning, organizing, leading, and controlling.


These steps are crucial for a business to succeed. Constructing a strategic plan that is organized and well led is not enough. Managers must track or measure the progress or performance of the business continuously to ensure that targets are being met. This is the controlling part of management. Measuring success becomes a continuous cycle of planning-doing-measuring and revising.



Consider the following statement and click to indicate whether it is true or false.

Financial well-being is the only area to be considered when measuring a business's success.


This is false. Financial well-being is a very important tool, but it is not the only indicator of success. Customer and employee satisfaction, operation efficiency, and skill development needs also contribute to the success of a business.
You are correct. Many indicators suggest a successful business, including customer and employee satisfaction, operation efficiency, and skill development needs.