Published Paper Details:

Todays economy is fundamentally different from the economy that was about four decades ago Knowledge and knowledge-based assets are more important than anything else for gaining competitive advantage over others Because of this difference new measures of performance need to be used along with the traditional ones so as to measure the true performance of companies No single measure based on financial accounting information can be relied upon because of the inherent limitations of that information itself Some of the new measures are based on value added by the business like Economic Value Added and Market Value Added Others measure performance in relation to the key resource for a particular business eg human resource in case of information technology industry and brand power in case of personal products industry The use of non-financial information in measuring performance is also being considered crucial and the measures based on such information are the balanced scorecard (that has developed from a performance measurement model to a strategic management model) and the intangible assets monitor that is being used by Infosys Technologies Ltd in India. This article attempts to provide an insight into all these new measures of performance being used in todays knowledge economy