Which of the following statements about specifying and measuring performance is true?

A) Many firms rely heavily on financial performance measures
B) One of the easiest to use measures for employee performance is a qualitative measure such as customer satisfaction.
C) Organizations should look for ways to measure employee results not employee behavior.
D) Organizations should take the same approach to measuring performance whether taking a long-term or short-term perspective.
E) Traditional commissions focus on long-term performance.

Many firms commonly rely heavily on financial performance measures such as revenue, profit margins, and return on investment to evaluate their performance.

Answer: B
Qualitative measures such as customer satisfaction can be subjective and may not consider all aspects of employee performance.

Answer: C
Measuring employee behavior can serve as an indicator of employee results. Organizations should consider both behavioral and outcome-based measures while evaluating employee performance.

Answer: E
Traditional commissions typically focus on short-term rather than long-term performance measures to incentivize employees.