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Name and surname of author:

Year:

2012

Volume:

15

Issue:

1

Keywords:

firm efficiency, metrics, matrix system of indicators, matrix model, computing procedures in matrix model

JEL clasification:

DOI (& full text):

Anotation:

In the contribution we deal with firm efficiency´s measurement by the matrix system of indicators and various combination of these indicators is applying in this system. In the calculations we apply the indicators in term of added value and formulate relations of these indicators. It is the system of financial and non-financial indicators. Nowadays these systems are based on the integration of financial analysis and the analysis of strategical factors of enterprise fruitfulness. An example of this system is Balanced Scorecard which represents an interconnection of enterprise financial efficiency’s goals with its strategical goals. The instrument of efficiency’s measurement are metrics i.e. strict financial or non-financial indicators or evaluative criteria which use efficiency’s levels in specific area of enterprise. Metrics are created normally in term of added value and of parametrization. We deal more closely with indicators in term of added value. The important thing is also clear formulation of indicator’s relations which has the same influence on quantitative evaluation of economic reality as the clear definition of indicators (metrics), system elements. We deal with the mathematical formulation of relations. The mathematical formulation of relations is represented by the matrix system which is created by vertical and horizontal combination of indicators. Indicators co-ordinating vertically represents matrix rows and indicators co-ordinating horizontally represents matrix columns. Its combination generates matrix elements which can represent various types of ratio indicators. We analyse specific computing procedures in matrix model. Enterprise matrix model formally decribes correlation between economic variables of the model. The starting point for the formulation of matrix model are absolute indicators organized in the table. In the table are differentiated by four essential matrix: imput efficiency matrix, output intensity matrix, imput structure matrix and…

In the contribution we deal with firm efficiency´s measurement by the matrix system of indicators and various combination of these indicators is applying in this system. In the calculations we apply the indicators in term of added value and formulate relations of these indicators. It is the system of financial and non-financial indicators. Nowadays these systems are based on the integration of financial analysis and the analysis of strategical factors of enterprise fruitfulness. An example of this system is Balanced Scorecard which represents an interconnection of enterprise financial efficiency’s goals with its strategical goals. The instrument of efficiency’s measurement are metrics i.e. strict financial or non-financial indicators or evaluative criteria which use efficiency’s levels in specific area of enterprise. Metrics are created normally in term of added value and of parametrization. We deal more closely with indicators in term of added value. The important thing is also clear formulation of indicator’s relations which has the same influence on quantitative evaluation of economic reality as the clear definition of indicators (metrics), system elements. We deal with the mathematical formulation of relations. The mathematical formulation of relations is represented by the matrix system which is created by vertical and horizontal combination of indicators. Indicators co-ordinating vertically represents matrix rows and indicators co-ordinating horizontally represents matrix columns. Its combination generates matrix elements which can represent various types of ratio indicators. We analyse specific computing procedures in matrix model. Enterprise matrix model formally decribes correlation between economic variables of the model. The starting point for the formulation of matrix model are absolute indicators organized in the table. In the table are differentiated by four essential matrix: imput efficiency matrix, output intensity matrix, imput structure matrix and output structure matrix. There are possible e.g., applications based on calculations using the pseudoinverse matrix, single-equation econometric model, multi-equation econometric model, modified matrix, etc. The presented matrix model belongs to operation research´s nonstandard problems, which need cross-disciplinary approach of experts from various professions.

Section:

Business Administration and Management