COMPARATIVE ANALYSIS BETWEENTHE TRADITIONAL AND CONTEMPORARY APPROACH TO EFFICIENCY MEASUREMENTIN COMPANIES

Abstract

Nowadays, corporation efficiency measurement is a
modern and important trend in various disciplines, such as
accounting, finance and especially marketing. The main purpose of
this research is to find out whether and to what extent does a
systematic approach to financial performance measurement,
analysis and evaluation, as well as other non-financial types of
performance caused by them and related to them contribute to
higher corporate efficiency. The traditional efficiency measurement
model is based on the traditional financial statements and financial
performance criteria. The accounting criteria have been largely
implemented in corporate financial analyses, and it can be
significant for business portfolio management, i.e. capital allocation
and reallocation, disinvestment, credit rating assessment and
analysis, key area identification in strategic decision making, etc.
However, successful business operations and effetcive strategic decision making demand a complex approach to modelling a
measurement system for the usage of resources. Therefore, an
efficient measurement system demands multidisciplinary theoretical
and methodological knowledge for the choice and construction of the
most appropriate analytical model. This is why factor approach is
necessary in addition to the integral approach for the indicator
measurement of corporate resources usage. Only a carefully
conceptualized and implemented system of efficiency measurement,
focusing on the analysis of relevant factors, can be an important
instrument triggering strategic changes in corporate business
activities.