The owner’s financial targets for the Green Cargo Group comprise a requirement that the net debt/equity ratio should be a minimum of 0.6 and a maximum of 0.9. Return on operating capital should amount to not less than 10 percent measured over a business cycle. The regular dividend should amount to half of after-tax profit for the year assuming that the net debt/equity ratio after the dividend payment is within the target interval.
It is incumbent on the CEO and management to manage and follow up operations to ensure that the owner’s overall financial targets are reached. This means applying a focus on results across the organization as well as efficient use and management of capital combined with a reasonable level of financial risk.