BLC Leadership Board Practice Test

Question: 1 / 400

What metrics can the board use to evaluate organizational performance?

Employee turnover rates

Financial performance and program effectiveness

The choice regarding financial performance and program effectiveness is the best answer as it encompasses a comprehensive view of organizational performance. Financial performance metrics provide insight into the organization's economic health, including profitability, revenue growth, and cost management, which are critical for ensuring sustainability and operational effectiveness.

Program effectiveness metrics, on the other hand, assess how well the organization is meeting its goals and objectives in delivering services or products to its stakeholders. This can include outcomes related to quality, efficiency, and impact. By evaluating both financial and program effectiveness, the board can gain a balanced understanding of how well the organization is performing in achieving its mission and maintaining financial viability.

While employee turnover rates, customer satisfaction, and website traffic statistics can provide valuable information about specific aspects of the organization, they do not offer a complete holistic view of organizational performance when considered in isolation. Metrics that combine broader financial and operational effectiveness are more indicative of overall health and success.

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Only customer satisfaction

Website traffic statistics

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