Gain or profit are appropriate financial planning is the main goal of the company,especially if the spider prosentasenya is very high compared to invested capital.
Corporate profits are generally obtained by means of reducing the number of sales with all components of the cost and is usually measured by the value of a percentage of the amount of Profit: the total number of sales. For example, in general the company gave a profit percentage target of at least 10% of the total sales.
But if we discuss the issue benefit, anything that becomes a benchmark or a barometer that profit target reached by the company has been efficient and effective?
The most important targets in the company's financial performance
The main target of the company profit achievement strategy & efficiency effectiveventure capital is as follows:
- How big a percentage of the profit obtained as compared with the amount of owncapital invested in the company.
- How much working capital turnover in one specific period such as a year.
What is a strategy for the achievement of an effective company profit?
To achieve the above financial performance targets some of the strategies that can be taken include:
- Do the preparation and supervision of the implementation of the budget or against company Budgeting.
- The application of standard operating procedures, by means of financial and operational monitoring and the implementation of the management of the company.
- The efficiency of use of working capital by conducting all activities sales transactions by way of cash.
- Inventory management of raw material production of effective
- Method of payment to the supplier by using credit system (accounts payable), and the attempted payoff funds sourced from the sale proceeds.
- Managing human resources (HR) in an efficient company.
- Periodically in one period of the analysis of the financial statements of the company, as a means towards the achievement of the barometer value ratio the efficiency of performance of the company's financial reports.
The higher turnover of working capital invested in the company will be the better financial performance and require minimal capital to reach the target percentage ofprofit is great
By doing some financial strategies above expected achievement of efficiency of use of working capital and financial performance in realizing the target of planned corporate profits can be achieved.
