Measurement of performance:

Having set standards, it is essential to devise a system for measuring the performance of individuals, departments or the organization against these standards. In some cases, quantitative goals could be set, such as the number of units to be sold through each salesperson, number of units to be produced per machine, or the profit to be produced through each branch office. Therefore, evaluating performance in the case of managers at the top level or those operating in areas such as personnel, public relations, and administration is far harder. The work output cannot be translated into quantifiable terms; only a qualitative appraisal is probable.