Financial Performance Studies
The primary purpose of a Financial Performance Study is to help manufacturers improve their financial results. The current economy has challenged manufacturers at historical levels. In these turbulent times manufacturers need meaningful, relevant guidelines. The most cost-effective vehicle for providing those guidelines is a Financial Performance Report (FPR). It is an analysis of the financial performance of your industry, including an income statement, balance sheet and key financial ratios. This report is similar to studies some associations call a Cost of Doing Business Report, Operating Ratio Report, Financial Benchmarking or a Profit Report.
The main areas where a Financial Performance Study assists the typical company improve performance include the following:
- Gauges your company's performance vs. industry peers to identify strengths and weaknesses.
- Segments the high profit companies to determine the key factors for success
- Prepares each participant with an individual company report, showing your performance compared to relevant industry benchmarks.
Each study is customized to the organization's unique chart of accounts and the needs of the industry involved. Two specific deliverables are provided as part of a Financial Performance Study:
- Industry Performance Report - This document must be comprehensive yet easy-to-understand and use. It's also essential to provide guidelines for improving results.
- Participant Support - Firms that take the time and effort to take part in the survey need to be compensated for their effort. We do this in an individual company Financial Performance Report (FPR). Each participating firm receives a report that tells them how to improve results. This report also compares the participant's company to the industry and to others in the same sales classification. Mackay Research Group sends these reports directly to the survey participants in order to protect the confidentiality of the data.