Which factor can be measured by non-financial performance indicators?

Employee engagement is an essential aspect that is measurable using non-financial performance indicators. Non-financial performance indicators focus on qualitative measures that assess areas such as organizational culture, employee satisfaction, and overall engagement levels.

Employee engagement can be gauged through surveys, feedback mechanisms, participation rates in company events, or training sessions, and can also assess how connected employees feel to their work and the corporate mission. High levels of engagement are often linked to increased productivity, reduced turnover, and improved customer satisfaction, which positively impacts the overall organizational performance.

In contrast, factors like shareholder equity, profit and loss, and cash flow are purely financial metrics that assess monetary performance and health of a business. These rely on quantifiable financial data and do not represent the behavioral or qualitative aspects of the business. Thus, employee engagement stands out as the suitable choice for measurement through non-financial indicators.