Is RPE Important?

Under the heading of Ask VeraSage comes the following:Over a year ago I posted on the difference profit per employee (PPE) and revenue per employee (RPE). Tonight, my wife, Christine and I had a dialogue about a case study she had written earlier in the day for a customer of hers.The customer had stated, "RPE is my ultimate measure and all I can tell you is that since implementing the new system, it is up." Christine then asked, "Is RPE a good measure of effectiveness or efficency?"My gut reaction was effectiveness, but I am not so sure. Perhaps it is both, but here is where you, our loyal VeraSage readers, come in. What do you think?

Ed Kless

Ed Kless joined Sage in July of 2003 and is currently the senior director of partner development and strategy.

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http://edkless.com
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Mind Over Matter reviewed in The Journal of Corporate Accounting & Finance

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