New method revolutionizes enterprise performance evaluation by adjusting for total risk.
The article introduces a new method to evaluate how well businesses are doing by considering all the risks they face. By adjusting a common performance measure to include the impact of operational risks, the model can better show how well a company is really doing. This new approach not only helps in assessing business performance accurately but also helps in measuring how well risks are being managed. This can be very useful for companies to improve their operations.