Performance measures are the "vital signs" of an organization. Quantitative measures of performance provide management with insight into company performance and highlight opportunities for improvement.
Performance measures can be cost-based, quality-based or timed-based. Cost-based measures cover the financial side of performance. Quality-based measures assess how well an organization's products or services meet customer needs. Time-based measures focus on how quickly the organization can respond to outside influences, from customer orders to changes in competition. This benchmarking tool focuses on cost-based, quality-based and timed-based performance measures for developing budgets.