Debt creates an additional business risk to your organization if income varies because debt has to be serviced.
You harness knowledge, experience and technology to make select indices investable for your organization worldwide, reports reflecting gross margin per hectare, unit cost of production, return per paddock and other measurements are all very useful tools to help business decisions. In like manner, benchmarking is the process of comparing your own organization, its operations or processes against other organizations in your industry or in the broader marketplace.
Some costs will have to be easier to control if one person is responsible for that cost throughout the business, financial ratios are a way to evaluate the performance of your business and identify potential problems. Not to mention, the objectives for debt management should be clearly defined and publicly disclosed, and the measures of cost and risk that are adopted should be account fored.
Want to check how your Benchmarking Processes are performing? You don’t know what you don’t know. Find out with our Benchmarking Self Assessment Toolkit: