Difference between revisions of "Operational Efficiency"
m (The LinkTitles extension automatically added links to existing pages (https://github.com/bovender/LinkTitles).) |
m |
||
| Line 1: | Line 1: | ||
| − | '''Operational | + | '''Operational Efficiency''' is the metric that measures the efficiency of profit earned by an Organization as a function of its operating costs. The higher the operational efficiency, the more profitable the Organization is. Operational Efficiency is the key to fully maximizing profit and boosting the bottom line. There are concrete steps and best practices that a company can put in place to streamline operations and make sure they don’t leak percentage points in the margin during the financial year. Many companies rely on formalized metrics such as [[Key Performance Indicator (KPI)|KPIs]], scorecard-like [[SWOT Analysis|SWOT analysis]] and [[Project Management|project-management]] frameworks such as [[ITIL (Information Technology Infrastructure Library)|ITIL]]. |
Revision as of 16:26, 29 November 2022
Operational Efficiency is the metric that measures the efficiency of profit earned by an Organization as a function of its operating costs. The higher the operational efficiency, the more profitable the Organization is. Operational Efficiency is the key to fully maximizing profit and boosting the bottom line. There are concrete steps and best practices that a company can put in place to streamline operations and make sure they don’t leak percentage points in the margin during the financial year. Many companies rely on formalized metrics such as KPIs, scorecard-like SWOT analysis and project-management frameworks such as ITIL.