Outperform with Expectations-Based Management: A State-Of-The-Art Approach to Creating and Enhancing Shareholder Value

ISBN-13: 9780471738756 / Angielski / Twarda / 2005 / 384 str.

Tom Copeland; Aaron Dolgoff

Opis

CEOs and managers live and die by delivering superior performance to shareholders. This is why expectations-based management has been developed. Outperform with Expectations-Based Management (EBM) introduces a revolutionary new performance metric that links performance standards, performance measurement, and the achievement of performance. It's easy to say that if a CEO can get performance measurement right, then performance improvement will follow. But what is the "right" measure of performance, and how do you use it to improve performance? Authors Tom Copeland and Aaron Dolgoff answer these questions and many more, as they show you how to find the measure of performance that has the strongest link to the creation of wealth for the owners of both public and private companies. They answer the puzzle of why growth in earnings is not correlated with shareholder returns and explain the under- and over-investment traps. And they explain how clear communications to investors and managers alike improve value. The bottom line is that share prices go up when companies exceed expectations -- short-term and long-term -- of income statement and balance sheet performance and daily operating value drivers. Gain a complete understanding of EBM and discover how to do this, and much more, while staying competitive in an unforgiving business environment.

Spis treści

Preface.

Dedications and Acknowledgments.

PART I: MEASURING PERFORMANCE.

Chapter 1: The Right Objective, Strategy, and Metric.

Chapter 2: Expectations Count: The Evidence.

PART II: MANAGERIAL IMPLICATIONS.

Chapter 3: Management of Existing Businesses.

Chapter 4: New Investment and Business Mix Decisions.

Chapter 5: What About the WACC?

Chapter 6: Capital Efficiency.

Chapter 7: Reverse Engineer the Value of Your Firm.

Chapter 8: Investor Relations.

Chapter 9: Incentive Design.

Chapter 10: Implementing an EBM System.

PART III: OTHER POINTS OF VIEW.

Chapter 11: Investor Relations: Understanding the Investor s Perspective.

Chapter 12: Comparison of Value–Based Management Systems.

Chapter 13: Expectations, Noise, and Public Policy.

Chapter 14: Summary and Conclusions.

References.

Index.

O autorze

TOM COPELAND, PHD, is Managing Director Emeritus of Corporate Finance at The Monitor Group, Inc., a top management consulting company, and Senior Lecturer at MIT′s Sloan School of Management. He has consulted at over 200 companies in thirty–four countries and is a leading authority on valuation. He coauthored Valuation with Tim Koller and Jack Murrin, and Real Options: A Practitioner′s Guide with Vladimir Antikarov (both from Wiley). Copeland received a BA in economics from The Johns Hopkins University, an MBA in finance from the Wharton School, and a PhD in applied economics from the University of Pennsylvania. He has also taught at the Anderson School of Management, UCLA; at the Stern School at NYU; and at Harvard Business School.

AARON DOLGOFF is an Associate Principal in the Finance practice of CRA International. He works on litigation and business–consulting matters requiring specialized finance expertise. Dolgoff′s experience spans a range of industries, including pharmaceuticals, agribusiness, truck manufacturing, office supplies, healthcare services, and consumer goods. He received a BS in economics from the Wharton School and an MA in international relations and economics from The Johns Hopkins University.

Blurb

PRAISE FOR Outperform with Expectations–Based Management

"This is a stimulating book that places traditional financial management in an expanded framework. It demonstrates that uncertainty and the revisions of market expectations require a new orientation for management decision–making. It contains many conceptual extensions of traditional ideas. The numerous examples of actual companies illuminate the applicability of the new theories explained. This book has many important and exciting ideas that can improve management decisions and performance."
J. Fred Weston, Distinguished Professor of Finance, Anderson School of Management, UCLA

"What drives shareholder returns is of immense interest to managers and investors. Bringing expectations squarely into the picture through Expectations–Based Management (EBM) sorts out the issues practitioners and theorists have had with earnings and cash flow measures. The book is a fine companion to Tom Copeland′s path–breaking work in corporate finance, valuation, and real options."
Rob McLean, Dean and Director, Australian Graduate School of Management

"This book is a tour de force critique of the way we measure corporate performance. And it offers a sound remedy that for the first time reflects the fact that value creation is significantly about exceeding investor expectations. Well written and amply researched and illustrated, Outperform with Expectations–Based Management will sharpen the way you judge financial results and the managers who produce them. This is a must–read for thoughtful investors, directors, CEOs, students, and all aspirants to superior performance."
Robert F. Bruner, Distinguished Professor of Business Administration, Darden Graduate School of Business Administration, University of Virginia