Strategic Risk Management Execution FrameworksValue-Based Management

For Questions 4 and 5, please choose the company you would like to study for your Individual Company Short Paper and Voice-over Presentation in Module 4

Question 1: Situation: Assume you are presenting (as a consultant) the concept of Value-Based Management Scorecard to the executive team at a company that is considering implementing it for strategy execution. The CEO asks the following question: What are benefits to using the Value-Based Management? In one short paragraph, please describe how you would reply to this question.

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Question 2: Situation: Assume you are presenting (as a consultant) the concept of Value-Based Management to the executive team at a company that is considering implementing it for strategy execution. The CFO asks the following question: How are benefits of using DuPont ROI analysis which breaks down ROI into Return on Sales x Asset Turnover? In one short paragraph, please describe how you would reply to this question.

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Question 3: Situation: Assume you are presenting (as a consultant) the concept of Value-Based Management to the executive team at a company that is considering implementing it for strategy execution. The CFO asks the following question: How is cash flow ROI (CFROI) computed? In one short paragraph, please describe how you would reply to this question.

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Question 4: For one of the following companies (UPS, Microsoft, Coca-Cola, McDonalds, Harley-Davidson, Southwest Airlines, Abbott, Marriott International), applying the DuPont ROI model, please describe in one short paragraph if the Return on Sales is high, medium or low (see HOLT and Valens Research charts posted on D2L).

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Question 5: For one of the following companies (UPS, Microsoft, Coca-Cola, McDonalds, Harley-Davidson, Southwest Airlines, Abbott, Marriott International), applying the DuPont ROI model, please describe in one short paragraph if the Asset Turnover is high, medium or low (see HOLT and Valens Research charts posted on D2L).