Value creation

From eg

Value creation was defined carefully by Craig Hubley as "the process described in value reporting. One must believe in both the reported metrics and the strategy or process by which the asserted or "reported" value is being assessed. One must also believe in the integrity of the management who is responsible for controlling, and the accountants who are responsible for auditing, to accept that any "value" has been "created". In the public sector value creation is usually referred to as creating or maintaining "well-being"" though it now sometimes is called happiness instead - especially in game best practice that simulates governance sorts of problems.

[edit] Innovation, productivity, etc., are inherently subjective

Hubley emphasizes that "marketing and corporate reputation play a significant role in this acceptance. Thus the perception of actual value creation may well be simply one created by "spin". The term "innovation" is often employed in the less rigorous analyses, typically by promoters of some scheme or other that claims to improve the overall corporate value creation effectiveness or "productivity". These have little credibility. However, the once-controversial assertion that intangibles play the major role in value creation is now more or less an unchallenged concept, or at least, it is accepted that it is the area that requires the most study, and is most expensive to get room. The so-called "dotcom boom" was an exercise in many failed models of value creation, and one that has left investors burned and wary..."

[edit] Not "models", strategies

Craig Hubley and David P. Norton both seem "to reject the notion of a business model and rather "emphasize the central role of a strategy in determining the methods of reporting, and the assumptions about value creation that it embodies. But Hubley considers "managing" to be a separate skill from "auditing"."

[edit] In open projects

Hubley further emphasized "bottom-up shifts that telework, the "incubator" organization pattern and more distributed leadership models are making. These are driven in part by the Internet and rural development needs all over the world." He characterized value creation in open projects as being quite different from those confined to buildings.