Types of Non Financial Objectives

Types of Non Financial Objectives

The main non financial objective of organization may include the following

1. Welfare of the employee
2. Welfare of the society
3. Quality Service provision
4. Customer satisfaction
5. Research and Development Expenditure
6. Maintaining Market Share

it is important to remember that non financial objective may not providing direct financial benefit or advantage to the company but these objective is some way or other is supporting the core objective. Therefore we would explain that how these non financial objective helps in achieving the main objective of the organization.

Welfare of Employees:- The welfare of employees include better wages rate, better working condition, better medical and health facilities. The welfare of employee will improve the job satisfaction level and will act as motivator for the employee . The job satisfaction will improve efficiency of employee.

Welfare of Society :- The society is more concern about the environmental changes due to existence of industry. This is important aspect for the existing of the company . if community file a complain against the company for environment destruction . The company will face many difficulties and even the license of operation can be cancelled. So again though this is a non financial objective but supporting the main objective .

Customer Satisfaction :-This include to meet expectation of customer about the product or services. There is very famous saying in this regard that customer is always right . in china this statement has more focus and they say Customer is God. The company existence is greatly depends on customer confidence on the company. This is the reason that new business entry takes decade to achieve a reasonable market share.

Research and Development :- This means to bring creativity and innovation in the organization. This helps organization to introduce efficient processes in the organization. The efficient process will result in competitive advantage which will improve the organization profitability.


Market Share :- This means to retain the current customer and attract new customer .