| Investment is about allocating different investment | | | | investment profile. Although not exactly the same, the |
| instruments into a portfolio in such a way that this | | | | business profile is also about risk-and-return |
| portfolio is aligned with your personal profile. | | | | characteristics. One company is different than the |
| Banks and financial advisors could help you achieving | | | | other. Risk-and-return is part of this; imagine that a |
| this alignment by offering a certain modelportfolio. This | | | | cyclical (trading) company is much more prone to |
| is a sort of benchmark that corresponds to a certain | | | | (business) risk than a 'normal' producer.Companies |
| (risk-return) profile. By a series of questions, you can | | | | need a strategy in order to achieve future growth. This |
| find out about your investment profile and having done | | | | strategy could be the same as the current business |
| that you can select the appropriate model | | | | profile, but normally it is not; not seldom, strategy implies |
| portfolio.Another question the financial advisor will ask | | | | new business development and growth but not |
| you is the purpose (or long term goal) of your | | | | necessarily in the same direction that is indicated by |
| investments. Your goal and your investment profile | | | | the current profile.Performance management is a next |
| together serve as a personal investment strategy. The | | | | step. Performance management is about measuring |
| model(portfolio) serves as a benchmark; if your | | | | where you stand in the process of achieving the |
| portfolio grows, the distributions of the different assets | | | | strategy. Or put differently using the investment jargon; |
| will change. You are then to take (operational) actions | | | | how does your strategic profile match with the profile |
| in order to re-establish the alignment of the portfolio | | | | of your current organization? Aligning these is you |
| with you profile.If you translate this to business | | | | objective in achieving the business strategy.© |
| management, you will end up with a performance | | | | 2006 Hans BoolHans Bool is the founder of Astor |
| management approach.First you need to find out your | | | | White a traditional management consulting company |
| business goal, which we could say is growth (growth | | | | that offers online management advice. Astor Online |
| of the business portfolio). This can also be a | | | | solves issues in hours what normally would take days. |
| departmental figure. Than you need of profile of your | | | | You can apply for a free demo account. |
| business. This profile could be compared with the | | | | |