Assignment Instructions:

Management Situation: A financial ratio has indicated there is a problem in your organization and you have been tasked with developing an action item and its associated control to address the situation. Your boss also wants you to provide rationale for the action item and the control.

To complete this assignment, you will need all of the attached documents (see above).

Using the Financial Ratio Four Measures of Financial Performance document, select one ratio from each of the categories. Indicate your selection next to each category and write the ratio. As an organizational manager, if the ratio signaled poor performance: (a) describe what action you would recommend to improve performance why? (b) describe the control you would put in place to ensure your recommendation produced the anticipated results why? And (c) indicate the controls category (or categories). I have provided you with an example of one ratio to help guide your efforts (see attached document above).

GBMG 341 ORGANIZATIONAL MANAGEMENT

Financial Ratios: Action and Control Worksheet

Your name: Date:

Type your responses in each section. Use as must space as you need to fully address the section

PROFIT RATIO Selection: _____________________________ Write the ratio: ________________________

(a) What action would you recommend to improve performance? (provide rationale):

(b) What control would you put in place to ensure your recommendation produced the anticipated result? (provide rationale):

(c) Indicate the control category; select from: operations control, financial control, structural control, and/or strategic control

LIQUIDITY RATIO Selection: ___________________________ Write the ratio: ________________________

(a) What action would you recommend to improve performance? (provide rationale):

(b) What control would you put in place to ensure your recommendation produced the anticipated result? (provide rationale):

(c) Indicate the control category; select from: operations control, financial control, structural control, and/or strategic control

LEVERAGE RATIO Selection: ___________________________ Write the ratio: ________________________

(a) What action would you recommend to improve performance? (provide rationale):

(b) What control would you put in place to ensure your recommendation produced the anticipated result? (provide rationale):

(c) Indicate the control category; select from: operations control, financial control, structural control, and/or strategic control

ACTIVITY RATIO Selection: ____________________________ Write the ratio: ________________________

(a) What action would you recommend to improve performance? (provide rationale):

(b) What control would you put in place to ensure your recommendation produced the anticipated result? (provide rationale):

(c) Indicate the control category; select from: operations control, financial control, structural control, and/or strategic control

Financia x Isunymaritime.open.sunyedu/bbcswebdavl pid-80405-dt-content-rid-440867 1/courses/201710... EXAMPLE: A ratio has indicated a problem! Selection: R on Investment D write the ratio: Net Profit Ipses CRO Assets Total PROFIT RATIO (a) What action would you recommend to improve performance? (provide rationale): tasked with bi-monthly review of our truck usage relative fleet's Action: Establish a team to scheduled maintenance to ensure effective asset allocation. Rationale: (a our relies on its fleet of trucks. Looking closely at its usage relative to its maintenance company this maximize the schedule might shed light on ways to improve use of major asset to increase net profit before taxes. (b)The team specifically tasked with this will feel involved and gain a sense ofresponsibility to find ways to improve fleet use while considering a reasonable maintenance schedule of analysis, opportunities or issues might be revealed more readily with a bi-monthly review. (b) What control would you put in place to ensure y anticipated result? (provide rationale) Controls (a) Standard operating procedure (b) Log Book (e) Findings Report Rationale: bi-monthly into the company's standard operating procedure will (a) the the company's success emphasize its inherent importance to (b) A Log Book will result in an ongoing record for review. free-form comments will provide a (c) A standardized Findings Report that includes a field for framework with which the assigned team will report their findings. (e) Indicate the control category: operations control organization chapte docx on chapter ...odr