A downstream retail oil and gas company, involved in the distribution of products through its ret... more A downstream retail oil and gas company, involved in the distribution of products through its retail outlets, which are strategically located throughout the Country is a cash business (i.e. most consumers pay immediately for services received) with a very high turnover, hence the key performance indicators which are used to measure the health of the organization are mostly financial and these include: Return on Investment – Considering the fact that the downstream retailing business is a low margin business, in which profit can only be made through the sale of high volumes, shareholders are usually weary of injecting capital into the business. As a result, the rate of return on investment is a good indication of how well sales are being made and subsequently the stability of the health of the business. Asset Optimization – This can be considered to be the same as return on investment. Every asset invested in must be Share prices – As a publicly listed business, shareholders, being the key owners of the company can only determine the state of health, through share prices. Although listed prices may be affected largely due to market sentiment, a good percentage of the number is an actual representation of the worth of the company's shares. Profit After Tax – This gives a clear picture of what the business actually makes in any given year, when all costs have been removed. By all means, this can clearly indicate growth in a company's earnings from year to year. Aside from the above, as a major player in its field, some non-financial key performance indicators are also employed by the organization which include; • Market share/ Sales Volumes: Ensuring that we maintain competitive advantage as a leading oil retailer is one of the key success factors for the management of the organization. This allows the organization see a clear picture of its performance against that of competitors. • Brand recognition • Product quality • Customer satisfaction • HSE compliance: Employee and environmental health and safety is a very important performance indicator in the oil and gas industry, due to the nature of the business. The number of injuries, accidents and the likes are recorded on a daily basis, and is used as a
A downstream retail oil and gas company, involved in the distribution of products through its ret... more A downstream retail oil and gas company, involved in the distribution of products through its retail outlets, which are strategically located throughout the Country is a cash business (i.e. most consumers pay immediately for services received) with a very high turnover, hence the key performance indicators which are used to measure the health of the organization are mostly financial and these include: Return on Investment – Considering the fact that the downstream retailing business is a low margin business, in which profit can only be made through the sale of high volumes, shareholders are usually weary of injecting capital into the business. As a result, the rate of return on investment is a good indication of how well sales are being made and subsequently the stability of the health of the business. Asset Optimization – This can be considered to be the same as return on investment. Every asset invested in must be Share prices – As a publicly listed business, shareholders, being the key owners of the company can only determine the state of health, through share prices. Although listed prices may be affected largely due to market sentiment, a good percentage of the number is an actual representation of the worth of the company's shares. Profit After Tax – This gives a clear picture of what the business actually makes in any given year, when all costs have been removed. By all means, this can clearly indicate growth in a company's earnings from year to year. Aside from the above, as a major player in its field, some non-financial key performance indicators are also employed by the organization which include; • Market share/ Sales Volumes: Ensuring that we maintain competitive advantage as a leading oil retailer is one of the key success factors for the management of the organization. This allows the organization see a clear picture of its performance against that of competitors. • Brand recognition • Product quality • Customer satisfaction • HSE compliance: Employee and environmental health and safety is a very important performance indicator in the oil and gas industry, due to the nature of the business. The number of injuries, accidents and the likes are recorded on a daily basis, and is used as a
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