I am in the process of setting up annual performance targets for my finance/
Setting Accounting Manager Performance Goals & Targets
Answers
Budget to Actual, Expenses related to that person as a % to Income, their portion of payroll dollars to Income. Love the finance team payroll as a % to income; it forces the person to really analyze hiring needs in a way that impacts their own pay.
Adding to Christie's list, try some of these:
-Number of days to report prior month's financial results
-DPO: days payables outstanding
-DSO: sales sales outstanding
Plus identify some innovation targets:
-moving x% of transactions to paperless processing (AR and AP)
Follow your existing trend to achieve the targets and avoid to go on extreme which is not achievable.
Follow up to Syed's reply. Agreed - whatever you do, don't set unattainable targets. You want this to be motivating so providing some good stretch goals aimed at improving the process is great. Feel free to also visit the targets periodically to make sure they are still reasonable. Things change and some of the targets may need to be altered as business changes.
Zero compliance issues can be one of the targets.
Moreover, improving relationship with the SBUs could also be one target as these are the internal customers.