Business Value Indexing and Analysis

Business Value Indexing

Business Value Indexing

“An agile company for the changing world demands data information based on a solid platform.” Adobe

We use an overall business value index to know, “What is going on?” with the business value of a particular business during a specific time period. We do not use a performance index, that is a measurement tool business owners and managers use to evaluate business operations or keep people accountable. We are not looking at performance but business value.

Business Value is more important than a kpi, accounting ratio or profit/performance indicator. Example: A KPI might tell you how fast a car is going down a roadway but a value index lets you know the “value” of the car. How is the value of your car or bus doing?

What is the big picture? Have you ever wondered how the business is doing with business value? Is it your own or have you invested time and money into it? Yet, you know the business is unique and hard to measure. Traditional indexing usually compares numbers to other businesses that are in the same industry but not similar. Not with Analyzer II-we only look at historical data.

If your business is selected as a viable candidate for our Business Value Mastering Program, we are customize the business value variables to your business and provide a unique business value index from current and historical data. The software uses proprietary formulas to determine this unique number. This index from past index averages gives a holistic view of the health of a company that relates to principles and laws of business value, not another business or a small department or division. We look at business value of the company not comparing it to others.

“Organizations must focus on promoting a culture of agility across people, processes, and technology, to respond in the moment….” Adobe

Future reports of the business value index could give the impact of an initiative or program on the overall company’s value.   This proprietary way gives you information based on principles and laws of business value not just profits or performance.

How do you start indexing with your business? We first set key indicators of crucial areas to the company’s value. We then provide a report with a  Business Value Index (Includes business value, based on EBITADA) that forms a reference point. This point tells us how close a business is running with the principles and laws of business value. As time goes on your company’s score will be more accurate and useful in day-to-day operations, strategic planning, projections, and eventually the exit. If you would like we could develop other key variables of your business or initiatives for risk evaluation.

Here are a few of the benefits of the Business Value Index.

* Helps keep a pulse on the company from a broad view

*A way to start Optimizing a company’s  business value

* Focuses on the intangible value drivers of the company, not problems

* Continuous improvement mentality

There is no charge for setting up the Business Value Index for your specific situation. Start today and contact us for an online complimentary review of your situation.