Translating Strategy into Shareholder Value: A Company-Wide Approach to Value Creation

analytical tools used in, 224-225

benefits in, 206, 207

break-even analysis in, 235-236

cash flow in, 205-206

cost of capital in, 214-220

cost overrun risk in, 213

costs in, 206, 208-209

discounted cash flow analysis in, 225-234

financial modeling techniques used in, 234-248

intrinsic value in, 203-204

Monte Carlo simulation in, 245-248

recognition risk in, 212

regression analysis in, 187-201

risk analysis in, 210-220

scenario analysis in, 242-245

sensitivity analysis in, 237-242

tax considerations in, 209-211

timing risk in, 213

valuation techniques in, 223-249

valuation framework, alignment of organization with, 254-256

value, 11, 13-20

Balanced Scorecard as driver of, 138, 140

book, 14-17

concept of, 252

creation of, xi-xiv, 5, 7, see also value proposition

definitions of, 13

distortion in, 15-17

intrinsic, see intrinsic value

in large companies, 4

market, 16, 18-19

Porter Model as driver of, 128-131

predicting, of variables, 189-190

see also Step-Wise Approach to Value

"value added", 13

value chains, 129, 130, 172, 173

Value Line , 215

Value Line Investment Survey , 215

Value Line Reports , 216, 218, 219

value proposition, 11, 20-27

competitive repositioning as, 22-23

efficiency as, 25-26

importance of, 13-14

market demand for validation of, 97-99

RIM as, 21-24

types of, 21

Vantive, 41

variable rate drivers, 178

variables, see regression analysis