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Value Creation Index - Explained

What is the Value Creation Index?

Written by Jason Gordon

Updated at April 7th, 2022

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Table of Contents

What is the Value Creation Index? Categories of Intangible Value Drivers

What is the Value Creation Index? 

The Value Creation Index, created by Cap Gemini, Ernst & Young, demonstrates the relationship between a company’s market valuation and the company’s non-financial performance (such as innovation, people, ideas, and brand). 

Non-financial factors for creating value are difficult to quantify and are not accounted for in generally accepted accounting practices. Thus, these metrics go unreported. 

Back to: STRATEGY & PLANNING

Categories of Intangible Value Drivers

Categories of intangible performance that determine corporate value creation

  • Innovation.
  • Customer relations.
  • Management capabilities.
  • Alliances.
  • Technology.
  • Brand value.
  • Employee relations.
  • Environmental and community issues.

Related Topics

  • ***Industry Analysis to Build a Strategy***
  • Strategic Analysis
  • SWOT Analysis
  • SPACE Analysis
  • Situational Analysis - 7C
  • Competition Profile Matrix
  • Resources and Capabilities
  • VMOST
  • Core Competency
  • VRIO Analysis
  • Value Chain Analysis
  • Internal Factor Analysis
  • Value Creation Index
  • PEST(LE) Analysis
  • Industry Lifecycle Analysis
  • Industry Lifecycle - Definition
  • Porter's Five Forces
  • Modes of Management
  • External Factor Evaluation
value creation index

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