Measures for Finance During an Economic Crisis



Join Balanced Scorecard Group 

Practice-based Balanced Scorecard Trainings

Online KPI Dashboard Sign up with web-based KPI Dashboard:

  • Access your KPIs online;
  • Measure your success;

Navigation: All Balanced Scorecard Articles > Balanced Scorecard for Finance

Nowadays, measures for finance are important factors that the business pays close attention to because it reflects the potential of the business. Check additional information about measures for finance.

During times of economic crisis, businesses turn to measures for finance in order to save their company. It is safe to conclude that they pay close attention to the provisions needed in order to determine the measures for credit. The changes in the economy may in fact be addresses as long as this is related to the measures for management.

The company must have extensive disclosure requirements in order to enable both the regulators and the investors to gain better insight into ratings. They should definitely avoid relying too much on the CRAs at the expense of their own judgment. The business must be cautious in coming up with the decisions in order to protect the quality as well as the integrity of the rating process.

Therefore, the measures for credit must prohibit the CRA analysts from making proposals and recommendations connected to the design of the structured finance products on the CRA rates. It should also ensure the quality of information that is required to obtain the ratings as well as provide the users with the information that they need on measures for finance.

Measures for credit must ensure the decision-making process for rating action that is conducted in an objective and non-biased manner. This ensures that the rating analysts have the accurate and appropriate experience as well as knowledge to establish the procedures needed in reviewing the feasibility of the ratings for new structures.

The models for measures for finance actually determine the credit ratings that are structured in the products which are appropriate for the risk characteristics of the assets that underlie the product change on a material aspect. It is also a requirement to ensure the adequate resources when the ratings are monitored and updated.

The measures for finance should also state whether the issuers should publicly disclose the information that they need. The product shouldn't be over-rated, it should be just right. The review remuneration process policies ensure the objectives of the measures for management that clearly define what they should do and not do. It is very critical to the business and it is easy to determine why.

The company must publish the historical information in relation to the measures for credit, measures for management, and measures for finance. They need this in the future when they have to compare the ratings yet again. It is very important that they go through the attributes and limitations of the principal methodology that is needed for the company to determine the ratings that should be produced.

Companies make sure that the measures for finance can explore the possible cooperation between the members with the aim that ensures the CRAs disclosed information in a complete form that is envisioned by the business. It urges the entrepreneurs to actually frame the finances that pave the formal regulation of credit.

Businesses will always regard the measures for finance and see it as the measures for credit and measures for management that is serious for the business.

If you are interested in measures for finance, check this link to find out more about measures for credit. Also, you can check other articles in Balanced Scorecard for Finance category.



 

10 steps self-education plan for Balanced Scorecard.

Subscribe to BSC Articles newsletter to learn more about how-to articles, BSC development and implementation.

Balanced Scorecard Toolkit 
Balanced Scorecard Toolkit includes step-by-step manuals, documents, presentations, check lists designed to help business professionals with successful development and implementation of Balanced Scorecard. Learn more about
BSC Toolkit.

Free Balanced Scorecard Templates

 

Balanced Scorecard Software - BSC Designer



Copyright © 2000-2010 Scorecard Report. All rights reserved.