Goal and Governance Business Process Improvments

Goals and Governance

All corporations that are successful have clearly defined goals and operate under an ethical governance structure. The importance of goal alignment with the organization and its shareholders is critical along with governance which can become difficult to monitor the larger the organization due to multiple shareholders and increased employee size.

Goal alignment for an organization is critical and must be developed and reviewed each year. This allows the organization to modify goals if needed an review them to see how well they are doing and make changes if needed due to current market conditions. One key element to keep in mind when setting goals is to try and set hard measurable goals in the organization. The most important goal to set is for profit gain (Pringle and Filed, 2009). This allows the organization to work towards a positive cash flow then allowing it to fulfill its mission. Proverbs 21:5 states “The plans of the diligent lead surely to abundance, but everyone who is hasty comes only to poverty.” This passage speaks directly to corporate finance in regards to goal setting and their follow through to achieve ultimate success. Luke 14:28 “For which of you, desiring to build a tower, does not first sit down and count the cost, whether he has enough to complete it?” It clear through Luke that all projects should be evaluated from a cost standpoint to determine if they can be completed. Goal alignment and planning are key elements in business and can be clearly traced back to the Bible.

The other key component to an organizations success is their model of governance. This includes well designed incentives for managers, standards for accounting and disclosure to investors, requirements for boards of directors, and legal sanctions for fraud or self-dealing by management (Brealey, Marcus, and Myers, p. 20, 2012). Proverbs 29:4 states “By justice a king gives a country stability, but one who is greedy for bribes tears it...