The Capital Allocation Challenge​

With accelerating competition, shorter product life cycles, scarce financial resources and uncertain external funding possibilities it´s crucial that management in capital intensive companies succeeds in capital allocation.

Management is confronted with information on a myriad of “necessary and profitable” investments in existing assets and products. Profitability, cash flow and value information for individual investment projects do not provide sufficient guidance.

Many companies have failed to strike a good balance between short term cash flows and investments in long term competitiveness and growth, since they failed to see the “big picture”.

The challenge in the capital allocation process is to create line of sight, ensure management attention and focus on the determining strategic investments and to avoid short slightness.

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Our Business Idea

Based on the CVA^® (Cash Value Added) framework we offer management in capital intensive companies a software solution for strategic investment evaluation and capital budgeting.