An Empirical Study on a Causal Relationship between Financial Performance and Performance Indicators of the BSC－Focused on Small－and Medium－Sized Enterprises－

In this paper, We present a framework of buyer‐supplier relationships used in an empirical study to investigate how the development of more collaborative relationships between UK retailers and fresh produce suppliers, affects the financial performance of suppliers. Relationships between key partnership characteristics and performance are described and empirically tested. In addition, multivariate analysis is used to identify the dimensions of buyer‐supplier relationships that make the greatest relative contribution to the explanation of the performance construct.

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Connections between organisational culture and financial performance in Estonian service and production companies

Baltic Journal of Management ◽

10.1108/bjm-01-2019-0017 ◽

2020 ◽

Vol 15 (3) ◽

pp. 375-393 ◽

Cited By ~ 1

Author(s):

Anne Reino ◽

Kärt Rõigas ◽

Merily Müürsepp

Keyword(s):

Financial Performance ◽

Performance Indicators ◽

Former Soviet Union ◽

Rank Correlation ◽

Organisational Culture ◽

Annual Reports ◽

Strong Positive Correlation ◽

Cross Sectional ◽

Content Type ◽

And Performance

PurposeThis paper elaborates on connections between organisational culture (OC) and financial performance in production and service companies in Estonia.Design/methodology/approachThis cross-sectional study analyses the organisational culture of 19 SMEs and large service and production companies with 2,256 respondents. The questionnaire based on the Competing Values Framework (CVF) was used to map organisational culture. Six different performance indicators from annual reports in the Estonian Business Register database were used over a four-year period. A confirmatory factor analysis and non-parametric Spearman rank correlation were applied in the study.FindingsThe authors found that OC types are connected to each other and theoretical opposites in the CVF are not mutually exclusive. Strong correlations exit between Clan and Adhocracy cultures, also confirmed by previous studies. Surprisingly, Market and Hierarchy types correlated more strongly in our sample compared to previous studies. As expected, Clan–Adhocracy and Market types exhibited a strong positive correlation with financial indicators, but contrary to the authors’ hypothesis, the Hierarchy type also had positive connections to performance indicators. The Market culture was only significantly related to performance in years when the Hierarchy type was also positively correlated with performance. Correlations that were positive in some years under investigation became insignificant in other years.Originality/valueFirst, The authors use multiple objective financial performance indicators to reveal relationships between OC and performance. Second, this study did not only rely on the managers' opinion of OC, but the sample also consists of respondents from all levels of the organisational hierarchy. Third, the authors expand on existing research into the link between OC and performance by exploring a country from the former Soviet Union (FSU), where the number of similar studies is low, but where the specific context has an impact on connections between OC and financial performance of the firms.

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An Appraisal of Financial Sustainability of Dairy-Based Farmer Producer Companies in India

10.48165/ijee.2021.57425 ◽

2021 ◽

Vol 57 (4) ◽

pp. 115-119

Author(s):

Sunil Kumar ◽

Gopal Sankhala ◽

Priyajoy Kar ◽

Ph. Romen Sharma

Keyword(s):

Financial Performance ◽

Performance Indicators ◽

Uttar Pradesh ◽

Ratio Analysis ◽

Performance Score ◽

Financial Ratio ◽

Analysis Methodology ◽

Financial Ratio Analysis ◽

Score Method ◽

And Performance

The purpose of the study is to assess the financial performance of selected dairy-based producer companies in India. The data were collected from four dairy-based FPCs which were more than three years old from three states of India i.e., Madhya Pradesh, Uttar Pradesh, and Rajasthan. Major four financial performance indicators i.e., liquidity, solvency, efficiency, and profitability were studied. Each indicator has four ratios and thus a total of 16 ratios were used for financial performance assessment. A financial ratio analysis methodology was used and performance was indicated by the performance score method. The study found that all four Farmer Producer Companies are in the red zone and perform poorly in terms of solvency, efficiency, and profitability during the three years under study. The overall Combined Performance Score of all four FPCs was in the yellow (average) zone. The study suggests that suitable measures like increase the share of stakeholders, fund generation and financial support from donor institutions, effective and efficient business plan for the company, suitable marketing linkage, and strategy, enhance the business capacity of the company, etc. should be taken immediately to improve the financial performances of FPCs in India to make them sustainable and viable.

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Relationship between Free Cash Flow and Corporate Performance Evidence from the Listed Real Estate Companies in China

Applied Mechanics and Materials ◽

10.4028/www.scientific.net/amm.556-562.6445 ◽

2014 ◽

Vol 556-562 ◽

pp. 6445-6448

Author(s):

Hong Zhou ◽

Shuai Geng ◽

Lu Zhuang Wang

Keyword(s):

Real Estate ◽

Financial Performance ◽

Cash Flow ◽

Performance Indicators ◽

Corporate Performance ◽

Principal Component ◽

Free Cash Flow ◽

And Performance ◽

Key Indicators ◽

The Impact

There is no consensus on the impact of free cash flow upon corporate performance. Based on the data from 2006-2012 of all listed real estate companies in China, authors studied the relationship between the free cash flow and performance of these firms. Using principal component analysis and regression analysis, key financial performance indicators were calculated out of 18 financial performance indicators, and these key indicators of sample companies were correlated to their free cash flow. The results showed that the free cash flow of a company is negatively linear-correlated to its performance, i.e., too much free cash flow will lead the corporate performance to decline. Therefore, the investors and the managers should avoid business inefficient because of too much free cash flow, which triggers the investment risk and loss.

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