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Every business irrespective of its size or budget, must measures the product formation and should find out the critical customers first. New businessmen do not know how to expand their business; at that point operations managers should adopt some important metrics to analyze business performance ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"xStl6GvG","properties":{"formattedCitation":"(Zwilling)","plainCitation":"(Zwilling)","noteIndex":0},"citationItems":[{"id":261,"uris":["http://zotero.org/users/local/rVaVAHaF/items/3TXTK3PU"],"uri":["http://zotero.org/users/local/rVaVAHaF/items/3TXTK3PU"],"itemData":{"id":261,"type":"webpage","title":"10 Metrics Every Growing Business Must Keep An Eye On","container-title":"Forbes","abstract":"Sales is but one crucial line item. There are many more.","URL":"https://www.forbes.com/sites/martinzwilling/2011/09/28/10-metrics-every-growing-business-must-keep-an-eye-on/","language":"en","author":[{"family":"Zwilling","given":"Martin"}],"accessed":{"date-parts":[["2019",3,2]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (Zwilling). According to me following are some important metrics that support the overall financial outcome of the business.

Customer acquisition cost:

These metrics identify the number of new customers acquired by the organization over a period of time. It measures the total cost that is linked to new customers. It explains the progress achieved by the investment within the advertising and marketing of the business. Customer acquisition cost can be find out by considering the total expenses of acquisition and dividing it by the new consumer within a given time.

Sales Revenue:

Sales are the income generated through selling the final goods and services to the consumers, and from the consumer purchases we eliminate the amount of the undeliverable merchandise. Sales revenue goes up which mean the organization is making a profit. To check the movement of revenue data need to be analyzed. Data analyzes of sales revenue through the domain includes: return on sales, assets turnover ratio, and returns on assets. There are particular formulas for each domain through which sales revenue can find out. Here it is essential to know that the correlation must be known between the sales data with price changes, other costs of sales and all other factors that can affect revenue.

Operating Productivity:

This is the most important metrics according to me because the productivity of staff can be most affected in increasing the productivity of the organization. Therefore it is necessary to keep a check on the staff progress. Staff productivity can boost business. Also staff discontent can cause a big loss to the business. The productivity of the ratio can be analyzed through a different method. For instance, checking of industry statistics or the fluctuation of total productivity data can indicate the behavior of staff productivity. Also, it can be measured by dividing the revenue generated from the total number of employees working for the organization.

Customer Loyalty:

Customer loyalty should be the main focus of the organization. If a businessman wants to stand in the market for the long run, then it is necessary for him to make his customer loyal for his products. The main criteria to get customer loyalty is to satisfy your customer. There are mainly three ways to measure the loyalty of your customer. First is the customer survey through this, organization can understand the problems and query of the customers regarding the product. Second is the feedback at the point of the purchase, whether consumer purchasing it personally or place an online order. Last is the purchase analysis. All three methods are a regular and systematic process.

Monthly Productivity:

Regular check and balance are needed to understand the progress of the business. Profit does not mean the gap between the price of the product and the total cost. Profit include the cost of fixed as well as operating cost. Fixed variable include rent, wear and tears, salary, and taxes. By checking the fluctuation between profit and loss can help to make some significant policies to enhance the profit.

Gross Margin:

It is the mother metrics which indicate the quarterly or annual development of the business. The monthly productivity statistics is used after six months or year to measure the actual fluctuation in the business ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"dSoFVjSx","properties":{"formattedCitation":"({\\i{}The Performance Metrics Series - 5 Metrics for Operational Excellence})","plainCitation":"(The Performance Metrics Series - 5 Metrics for Operational Excellence)","noteIndex":0},"citationItems":[{"id":259,"uris":["http://zotero.org/users/local/rVaVAHaF/items/LP4J9KPT"],"uri":["http://zotero.org/users/local/rVaVAHaF/items/LP4J9KPT"],"itemData":{"id":259,"type":"webpage","title":"The Performance Metrics Series - 5 Metrics for Operational Excellence","abstract":"Data Availability today: Infinite possibilities Sources of Data: Myriad Reports and Dashboards: Every possible permutation and combination of detail Results from Data Reporting: Further and Further away from Outcome based Decision Making Tracking and making sense of data to arrive at a meaningful co","URL":"https://www.linkedin.com/pulse/performance-metrics-series-5-operational-excellence-suchitra-mishra","language":"en","accessed":{"date-parts":[["2019",3,2]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (The Performance Metrics Series - 5 Metrics for Operational Excellence). If the gross margin is higher, it means business is on the right track. If the gross margin is down, it indicates that business needs attention and some effective policies to maintain the development.

Work Cited

ADDIN ZOTERO_BIBL {"uncited":[],"omitted":[],"custom":[]} CSL_BIBLIOGRAPHY The Performance Metrics Series - 5 Metrics for Operational Excellence. https://www.linkedin.com/pulse/performance-metrics-series-5-operational-excellence-suchitra-mishra. Accessed 2 Mar. 2019.

Zwilling, Martin. “10 Metrics Every Growing Business Must Keep An Eye On.” Forbes, https://www.forbes.com/sites/martinzwilling/2011/09/28/10-metrics-every-growing-business-must-keep-an-eye-on/. Accessed 2 Mar. 2019.