Using Ratio Analysis: Understanding and Managing Performance Indicators

  • 11m
  • LID Editorial
  • LID Publishing
  • 2015

Ratios are valuable for assessing business performance at strategic and operational levels. A ratio is simply a relationship between two numbers; but, when compared to the same ratios for previous periods, they can show important trends and patterns in performance.

Ratios are valuable, practical tools: they not only support the analysis stage of the decision-making process but they also help in monitoring the decision and how successful it is. They inform management decisions in a practical and invaluable way, and can often help to avoid inappropriate or even damaging decisions.

In this Book

  • Using Ratio Analysis—Understanding and managing performance indicators
  • Overview
  • Benefits of Ratio Analysis

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