Quick! Show Me Your Value

Let ‚ s Review:

• This chapter completes step 11 in the financial value process: create value statements.

• Financial value statements leverage the general value themes that you created in the last chapter. The exercise for creating financial value statements can also be used to document your themes.

• Value statements have four segments: the performance value, the financial value, the relevant context, and your goal.

• The performance value segment begins the translation from the language of performance to the language of finance by describing the period of time in which you have made an improvement for your target organization, what intervention created the change, a performance measure, the direction in which you moved that measure, and the amount of change that you created.

• The financial value segment translates the change in performance into the language of finance. This segment uses the same or a new direction verb depending on what is appropriate for the financial measure that the change in performance will be connected to. The financial segment translates the amount of performance change into an amount of change for the financial measure.

• After the general translation of value from performance into finance is accomplished, the relevant context segment makes sure that your audience cares to hear about your value right now. The relevant context segment ties your value statement to the urgent and important tasks based on the fiscal, product, and seasonal lifecycles of an organization.

• Finally, your goal segment describes what you want now, why you want it, when you want your audience to take action, and what action you want the audience to take to help you create even more value.

• The information in each of your four segments is based on your business intelligence research into your organization and its financial imperatives, on your financial value chains, your financial imperatives scorecard, and your quarterly context plan.

• Having a goal is critically important to your business stature and to gaining a seat at the table. Executives expect you to ask for what you need. They will not know unless you tell them. Goals also create self-confidence and build influence by gaining commitments from others.

• A series of value statement examples for Marcella at ABC MediCompany was discussed and reviewed. It was demonstrated where and how Marcella got the data contained in her value statements.

• Financial value statements are a concise way to convey a great deal of information very quickly. Be prepared with additional information if your audience has questions for you. The types of questions you ‚ ll get depend on how your audience perceives the value of your intervention.

• Financial value statements can help you with memos, presentations, reports , and marketing. They can be very helpful as documentation for case studies, articles, or industry awards as well as on your r ƒ sum ƒ and during a job search. External consultants will find them helpful in sales.

You ‚ ve worked hard to understand and complete the steps in the financial value process. You ‚ re almost through a full turn on your flywheel. It ‚ s time to review your plan and make sure that everything is working together smoothly. Your next turn through the flywheel will go much more quickly when it is based on a solid foundation, and the turns after that will spin faster than you imagine. One more chapter to adjust your plans ‚ .