Question

Goal congruence in well-designed performance measurement systems best explains a congruence between ________.

a) Short-term and long-term goals
b) Individual and organizational goals
c) Budgeted and actual results
d) Financial and non-financial goals

Answer 1

Goal congruence in performance measurement systems refers to the alignment between individual and organizational goals, ensuring that employees’ personal goals support the broader objectives of the company.

Step-by-step explanation:

Goal congruence in well-designed performance measurement systems best explains a congruence between individual and organizational goals. When performance measurement systems are aligned with both individual and the overarching organizational objectives, they encourage employees to work towards company goals in a way that is also beneficial to them personally. This alignment optimizes overall performance, as individuals understand how their contributions directly impact the organization's success.