I am a close follower of Dan Caruso and the Zayo Group.  Dan has started posting a series centered around Measuring Value Creation.  He posts these on his site bearonbusiness.com for everyone to read.  He points out the necessity for his employees to not only read, but to understand how everyone in an organization has an effect on the creation of value equation.  Employees of all organizations should take this type of ownership in their organizations.  Problem with most organizations is leadership does not understand this equation.  Great job Dan as a leader to not only set the expectation, but to explain and demonstrate to the organization how each employee can add value to the organization and not just feel like they don’t contribute. 

You may not own shares or be in leadership in an organization.  However you can take ownership in your contribution to the organization.

  1. Measuring Value Creation
  2. Value Creation at its Most Basic Level
  3. Opportunity Cost added to Value Creation Forumla
  4. What is your Amount Invested?
  5. Asset Value, Intrinsic Value and the Balance Sheet
  6. Liabilities and Owners’ Equity
  7. Amount Invested and Paid In Capital
  8. Amount Invested–OVS Illustration
  9. Amount Invested–ZEN Illustration
  10.  Isn’t There an Easier Way?
  11. Criteria for Measuring “Today’s Value”
  12. How to Calculate Value Creation
  13. Why Three Quarters from Now?
  14. How much is my Business Worth?
  15. Recapping.
  16. But my Business is Growing!
  17. Intrinsic Value’s role in Measuring Value Creation
  18. Why not Multiple of Free Cash Flow?
  19. Multiples…
  20. Estimating your EBITDA Multiple
  21. 11X EBITDA