EVA Articles

What’s Wrong with RONA, and What’s Better

Bennett Stewart | 2011-10-21

After EPS, the most popular corporate yardstick is ROI, and while a great improvement, ROI suffers its own set of shortcomings.  In fact, as our CEO explains, ROI-focused firms have made some of the biggest blunders in business history.  And besides, with the new EVA ratio metrics, there is no longer any excuse for using ROI.  Stewart makes a persuasive case it is time to retire ROI and shows what’s better.

How to Measure and Improve the Financial Value of Business Plans with EVA Momentum

Bennett Stewart | 2011-10-21

How can CFO’s and boards of directors properly assess the effectiveness of forward plans?  Is the plan good enough from a financial point of view?  By what benchmark should the financial value of the plan be judged?  Here’s why and how you should use EVA Momentum as the main measure of plan value, and as a technique to improve the value of the plans, during your planning process.