Question

Put yourself into the shoes of the general manager of a local Costco store. As you review the monthly financial statements of your local store, what will you be looking for? How will you know if your store has had a successful month or not?

Answer 1

i will look after the following things in the financial statements of that store ,Success in business typically refers to financial success. Profits are normally the driving factor, and the reason behind many decisions. However, while profit and sales are certainly important in any business, many other non-financial factors are indicative of business success. In that sense, the old axiom is true: "Money isn't everything."

For the majority of businesses, the ultimate measurement of success is profit and growth in profit. Many companies have goals of monthly, quarterly or annual profit growth.

Company sales are another yardstick of success. These figures can help gauge the level of acceptance the product or service has achieved among consumers and the sales force's productivity. It can also validate the company's overall direction.

Market share is another way companies measure success. Growth in profits or sales can signal the company's strategy is working. This is especially true in aggressive industries like manufacturing and technology.

Getting high customer service scores is a big success factor for many companies. As competition intensifies, customer satisfaction is increasingly a top priority. Many regularly survey their customers to judge their satisfaction with products, services, prices and customer relations.

Measuring employee satisfaction in such areas as pay structure, benefits and management shows companies where they need to improve and helps them retain the best workforce. Such companies understand that retaining happy and productive employees is the only way to succeed.

Another measure of a company's success is whether they "give back" to the community. Some donate a certain percentage of proceeds to community charities and other initiatives. Others give back in other ways, whether participating in recycling drives, environmental cleanup or encouraging employee volunteerism.