Business Goals

• Profitability

• Social responsibility

• Efficiency

• Effectiveness

Profitability

• Profit represents amount remaining after all costs are deducted from revenues

• Financial reward for risk, innovation and effort• Provides financial base for future growth and

development• ‘Not for profit’ organisations do not have profit

as an objective– Aim to provide goods and services to particular

people within the community– Eg Red Cross

Social Goals

• Community service

• Providing employment

• Social justice

• Ecological sustainability

Efficiency

• Use of resources (money, time etc) in achieving objectives

• An organisation is efficient to the extent that it achieves its objectives at the lowest possible cost, using the minimum quantities of resources.

Effectiveness

• Ability to formulate and achieve objectives, or achieve the right outcomes.