Translating Strategy into Shareholder Value: A Company-Wide Approach to Value Creation
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Benefits are derived from monetizing the value propositions we discussed in Chapter 1. The three value propositions are:
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Revenue increase/maintenance (RIM)
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Competitive repositioning
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Efficiency
Examples of how benefits can be identified are in Exhibit 10-1.
Exhibit 10-1: How benefits can be identified.
| SA | Value Proposition | Benefit Stream |
|---|---|---|
| M&A | Revenue Increase | Projected revenue from acquisition |
| Technology | Revenue Maintenance | Revenue lost to competitors if SA not implemented |
| Technology | Competitive repositioning (Increase in market share) | Increase in market share and subsequent lift in revenue from implementation of point-of-sale technology |
| Reengineering | Efficiency | Cost savings from elimination of activities |
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