The objective of this study is to evaluate the value drivers that drive the value of companies, as reflected in the share-prices. Through this study, the aim is to draw conclusions on the aspects that drive the share-price of companies. A detailed literature study was performed on the value-creation process that takes place in a company. The literature study has a significant focus on Value-Based Management and the elements that should be considered when evaluating the manner in which companies create shareholder value through the operational activities that are performed. Through applying the principles of value-based management, the management of companies should maximise the value-created for shareholders by utilising company resources in the most effective and efficient way possible. Valuebased management should not be seen as a once-of initiative, but should be ingrained in the day-to-day operating and management activities of companies. The objective of applying value based management principles in a company should be to enhance the value of financial assets through the optimisation of the real assets of the company. Value is created in a company when the company can maintain a return on capital that is greater than the cost of capital. Through the literature study several value-drivers were identified that influence the shareholder value-creation process and that should be managed optimally. These value-drivers have been identified to be (1) sales growth, (2) cash profit margin - earnings before interest, tax, depreciation and amortisation (EBITDA), (3) cash tax rate, (4) working capital, (5) capital expenditure, (6) WACC- the risk and inflation adjusted weighted average cost of capital, and (7) the competitive advantage period. The competitive advantage period is defined as the time during which a company has a positive net present value when discounted at the WACC. Any actions that the management of a company can take to optimise these value-drivers will have a positive effect on the value created for shareholders. The link between shareholder value-creation and share-price was investigated in the literature study. It was found that different factors influence share prices and that some have nothing to do with the company itself, but more with investor sentiment about the economy as a whole and other socio-political factors. The empirical study was based on analysing key value-drivers and financial ratios that were identified during the literature study, in order to establish the relationship between company value-creation and the share-price. The data sample that was used in the empirical study consisted of 55 publicly listed companies that had a net asset value of one billion rand (R1, 000,000,000) or more in 1998. This data sample parameter was chosen in order to consider companies in the empirical study that have significant market presence in the respective industries, sectors and sub-sectors. The time horizon of the empirical study was over a 1 0-year period, from 1998 to 2007. The relationship that exists between the dependent variables of (1) Average Share Price (ASP) and (2) Year-End Share Price (YESP) and the independent variables of (1) net assets, (2) turnover, (3) trading profit, (4) operating profit, (5) profit before interest and tax, (6) Net Operating Profit After Tax (NOPAT), (7) retained profits, (8) free cash flow, (9) Economic Value-Added (EVA), (1 0) Earnings Per Share (EPS), (11) Cash Flow Per Share (CFPS), (12) the price earnings ratio, (13) operating assets, (14) Return On Assets (ROA), and (15) Return On Equity (ROE) were analysed during the empirical study. These dependent and independent variables were chosen based on the insights gained through the literature study and was identified as appropriate to formulate conclusions on the relationship that exists between shareholder value-creation and share-price. The distributions of the above-mentioned variables are discussed in detail and distribution figures are provided to contextualise the spread of the variables and provide background on the data that was used in the empirical study. Although the study of the variables was conducted over a 1 0-year period, from 1998 to 2007, distribution figures for the years 1998 and 2007, are depicted and discussed in order to provide a comparison of the changes that took place over the 1 0-year period. Due to the nature of the variables analysed during the empirical study, the Spearman Rank Correlation Coefficient is used to measure the relationship that exists between the dependent and independent variables. The Spearman Rank Coefficient is a factor model that explains complex phenomena through a small number of basic causes or factors. Given the relative large number of shares available on the share market, the estimation of dependent, share-price variables cannot be performed without simplification to dimensionality, therefore the use of the Spearman Rank Coefficient. The coefficient of correlation between the dependent and independent variables was calculated for the each of the years over the 1 0-year period and the applicability to explain the relationship between shareholder value-creation and share-price was analysed. Through the statistical analyses and the interpretation of the results, it was concluded that earnings per share and cash flow per share are the most appropriate indicators for estimating the relationship that exists between shareholder value-creation and the share-price as reflected on the share market. / Thesis (M.B.A.)--North-West University, Vaal Triangle Campus, 2010.

The objective of this study is to evaluate the value drivers that drive the value of companies, as reflected in the share-prices. Through this study, the aim is to draw conclusions on the aspects that drive the share-price of companies. A detailed literature study was performed on the value-creation process that takes place in a company. The literature study has a significant focus on Value-Based Management and the elements that should be considered when evaluating the manner in which companies create shareholder value through the operational activities that are performed. Through applying the principles of value-based management, the management of companies should maximise the value-created for shareholders by utilising company resources in the most effective and efficient way possible. Valuebased management should not be seen as a once-of initiative, but should be ingrained in the day-to-day operating and management activities of companies. The objective of applying value based management principles in a company should be to enhance the value of financial assets through the optimisation of the real assets of the company. Value is created in a company when the company can maintain a return on capital that is greater than the cost of capital. Through the literature study several value-drivers were identified that influence the shareholder value-creation process and that should be managed optimally. These value-drivers have been identified to be (1) sales growth, (2) cash profit margin - earnings before interest, tax, depreciation and amortisation (EBITDA), (3) cash tax rate, (4) working capital, (5) capital expenditure, (6) WACC- the risk and inflation adjusted weighted average cost of capital, and (7) the competitive advantage period. The competitive advantage period is defined as the time during which a company has a positive net present value when discounted at the WACC. Any actions that the management of a company can take to optimise these value-drivers will have a positive effect on the value created for shareholders. The link between shareholder value-creation and share-price was investigated in the literature study. It was found that different factors influence share prices and that some have nothing to do with the company itself, but more with investor sentiment about the economy as a whole and other socio-political factors. The empirical study was based on analysing key value-drivers and financial ratios that were identified during the literature study, in order to establish the relationship between company value-creation and the share-price. The data sample that was used in the empirical study consisted of 55 publicly listed companies that had a net asset value of one billion rand (R1, 000,000,000) or more in 1998. This data sample parameter was chosen in order to consider companies in the empirical study that have significant market presence in the respective industries, sectors and sub-sectors. The time horizon of the empirical study was over a 1 0-year period, from 1998 to 2007. The relationship that exists between the dependent variables of (1) Average Share Price (ASP) and (2) Year-End Share Price (YESP) and the independent variables of (1) net assets, (2) turnover, (3) trading profit, (4) operating profit, (5) profit before interest and tax, (6) Net Operating Profit After Tax (NOPAT), (7) retained profits, (8) free cash flow, (9) Economic Value-Added (EVA), (1 0) Earnings Per Share (EPS), (11) Cash Flow Per Share (CFPS), (12) the price earnings ratio, (13) operating assets, (14) Return On Assets (ROA), and (15) Return On Equity (ROE) were analysed during the empirical study. These dependent and independent variables were chosen based on the insights gained through the literature study and was identified as appropriate to formulate conclusions on the relationship that exists between shareholder value-creation and share-price. The distributions of the above-mentioned variables are discussed in detail and distribution figures are provided to contextualise the spread of the variables and provide background on the data that was used in the empirical study. Although the study of the variables was conducted over a 1 0-year period, from 1998 to 2007, distribution figures for the years 1998 and 2007, are depicted and discussed in order to provide a comparison of the changes that took place over the 1 0-year period. Due to the nature of the variables analysed during the empirical study, the Spearman Rank Correlation Coefficient is used to measure the relationship that exists between the dependent and independent variables. The Spearman Rank Coefficient is a factor model that explains complex phenomena through a small number of basic causes or factors. Given the relative large number of shares available on the share market, the estimation of dependent, share-price variables cannot be performed without simplification to dimensionality, therefore the use of the Spearman Rank Coefficient. The coefficient of correlation between the dependent and independent variables was calculated for the each of the years over the 1 0-year period and the applicability to explain the relationship between shareholder value-creation and share-price was analysed. Through the statistical analyses and the interpretation of the results, it was concluded that earnings per share and cash flow per share are the most appropriate indicators for estimating the relationship that exists between shareholder value-creation and the share-price as reflected on the share market. / Thesis (M.B.A.)--North-West University, Vaal Triangle Campus, 2010.

Digitaliseringens framfart har skapat en förändring i kundbeteende. Försäljning via e-handel har ökat alltmer vilket har setts som ett hot mot den fysiska butikens tillvaro. Andra antyder att digitalisering bör betraktas som en möjlighet för fysisk handel och komplement till en växande e-handel. Omnikanal är strategin där alla säljkanaler ses som en säljkanal för att ge en enhetlig varumärkesupplevelse. ”Fygital” strategi syftar till bryggan mellan den fysiska och digitala världen för att skapa upplevelserika butiksatmosfärer. Trots att e-handeln ligger i framkant med att möta och tillgodose konsumenters förändrade behov och förväntningar sker fortfarande största andelen inköp i svensk detaljhandel i fysisk butik. Likväl ställer digitaliseringens etablering nya krav på det fysiska butiksformatet. Syftet ämnar ur ett företagsperspektiv inom svenska möbel- och heminredningsbranschen skapa förståelse för hur upprätthållandet av den fysiska butiken kan vara värdeskapande åt varumärken, genom integrering mellan fysiska och digitala kanaler. Studien innehar en abduktiv forskningsansats, framförd med en hermeneutisk kunskapssyn och bygger på förståelse och tolkning. De teoretiska utgångspunkterna har formulerats i Värdediamanten vilken är en abstrakt redogörelse för hur kanalerna tillsammans kan vara värdeskapande och skapa större varumärkesupplevelser. Det empiriska materialet bottnar i kvalitativa, semistrukturerarde intervjuer med företagsrepresentanter från Rum21, Svenssons i Lammhult, Fröjd af Sverige och Royal Design. Studiens resultat visar att det finns en framtid för den fysiska kanalen i möbel- och heminredningbranschen eftersom sortimentet som tillhandahålls inbegriper sensoriska behov. Butiksformatet har ett stort marknadsföringsvärde men är i förändring. Mycket talar för mindre ytor med större fokus på service och butiksatmosfär. Digitala medel kan vara fördelaktiga även för fysisk kanal genom att visa upp sortiment, förenkla köpprocessen och öka tillgänglighet för interaktion mellan konsument och varumärken. Slutsatsen är att handelsföretag med fördel kan arbeta med en fygital kanal, hur det kan enhetliggöra, erbjuda större upplevelser och således vara värdeskapande för varumärken. / The digitalization has influenced a change in consumer behavior. The e-commerce has increased and the digitalization has been seen as a threat to the existence of physical stores. Others have thought it should be considered an opportunity for physical stores and use it as a complement to e-commerce. Within retail, omnichannel is a strategy for creating a unified message for consumers across all channels. ”Phygital” strategy is the mixture of the physical and digital world within the physical shopping environment to create memorable experiences. Although e-commerce is at the forefront in meeting consumers’ changing needs and expectations, most of the purchases in Swedish retail are still made in-store. Nevertheless, the establishment of digitalization requires other demands on the physical store. The study aims to create a comprehension from a business perspective within the Swedish furniture and home decoration industry, of how the physical store can create brand value through the integration of physical and digital channels. The study has an abductive approach conducted within the hermeneutical perception of knowledge and is based on understanding and interpreting. Based on theory, an abstract figure called ”The Diamond of Value” have been formulated, which describes how the physical and digital channels can contribute to greater brand experiences together and thus create value. The empirical material were collected through qualitative, semi-structured interviews with representatives from the Swedish brands Rum21, Svenssons i Lammhult, Fröjd af Sverige and Royal Design. The study shows that there is a future for the physical channel within the furniture and home decoration industry, as the range of products provided includes sensory needs. The physical store has a marketing value but the format is changing with smaller retail spaces with greater focus on service and physical environment. Digital resources can be beneficial even for physical channels by displaying assortment, simplifying the customer’s buying process and increasing accessibility for consumer and brand interaction. The conclusion is that retail companies can benefit from a phygital channel, it can unify, offer greater experiences and therefore create greater value for brands.

Digitalization as a driving force in the AEC industry is no longer a new subject when talking about accelerating innovation and solving environmental challenges. Traditional approaches can limit some of these outcomes and typically imply that many issues that could have been predicted with early involvement of stakeholders, are recognized in much later stages of the project at great expense. In a long run outlook, the operational phase of a building is notably the most demanding if accounting the lifecycle perspective of a building. Still, why is O&M lagging in adopting integrated models? This thesis approaches this subject from the assumption that Information Management plays a strategic role to oversee the different demands, urgencies and use from both sides.  The first theoretical framework used was Lean Management’s main premise that value is created through the identification of waste in a continuous improvement process. The second theoretical framework presented was to analyze the findings with the intention to simulate an optimal context for information flow and understand where the biggest bottlenecks are. The findings show that the perceived value on the information added is low from actors actually feeding the model, a bit higher from project managers but an essential part of information managers responsibility. Main issues related to digitalization were directly linked to the lack of communication between teams, lack of standards across different teams as well as difficulty in finding effective and accurate information. Practical issues with high information models related by the industry also demonstrate a necessity of more roles focused on information management. A model based on the five principles of Lean Management is in equivalence to Information Management is presented and then inserted as enablers for a continuous improvement cycle. Based on the findings, further research can evaluate in more detail the view from operational teams towards information management roles. / Digitalisering som en drivande kraft i AEC-industrin är inte längre ett nytt ämne när man talar om att påskynda innovation och lösa miljöutmaningar. Traditionella tillvägagångssätt kan begränsa vissa delar av resultatet och många frågeställningar som kunde ha besvarats genom ett tidigt engagemang av intressenter, blir lösta i mycket senare skeden av projektet, till stora kostnader. På lång sikt är driftsfasen i ett byggprojekt den mest krävande när man tittar på livscykeln av en byggnad. Så varför ingår inte O&M i integrerade modeller? Denna uppsats tar sig an detta ämne utifrån antagandet att informationshantering spelar en strategisk roll för att övervaka de olika kraven, hur brådskande det kan vara och användningen från båda sidor. Den första teoretiska utgångspunkten som användes var Lean Managements huvudsakliga premiss att värde skapas genom identifiering av avfall i en kontinuerlig förbättringsprocess. Den andra teoretiska utgångspunkten som användes var för att analysera resultaten med avsikten att simulera ett optimalt sammanhang för informationsflöde och förstå var de största flaskhalsarna låg. Resultaten visar att det upplevda värdet på den tillagda informationen är lågt från aktörer som faktiskt matar modellen, lite högre för projektledare men en viktig del av informationschefernas ansvar. Problemen relaterade till digitalisering var direkt kopplade till bristen på kommunikation mellan team, brist på standarder mellan olika team samt svårigheter att hitta effektiv och korrekt information. Praktiska problem med informationsmodeller relaterade till branschen visar också att det behövs fler roller som fokuserar på informationshantering. En modell baserad på Lean Management fem olika principer är i likhet med Information Management-praxis och presenteras och infogas sedan som möjliggörare för en kontinuerlig förbättringscykel. Baserat på resultaten kan vidare forskning utvärdera mer detaljerat synen från operativa team mot informationshanteringsroller.

This thesis examines a process of innovation within a Swedish early-stage start-up company in the textile industry. The thesis describes and analyzes the case company’s intentions to create entrepreneurial value by reconfiguring its supply chain as one of its resources. Theories of dynamic capabilities, entrepreneurial value creation and supply chain management are applied for analysis of the case company’s process of investigating how Blockchain technology can be applied to the company’s supply chain to create and enhance value for the company, its customers and suppliers. Topics of digitalization, Blockchain technology, supply chain management, entrepreneurial value creation and dynamic capabilities are covered as part of the discourse. The work in this thesis is qualitative and explorative and based on the study of one case company and its quest for creating entrepreneurial value by reconfiguring its supply chain. The study explores several potential ways for how entrepreneurial value can be created through process of innovation, e.g., by the application of Blockchain to a company’s supply chain. Although Blockchain has potential to create entrepreneurial value for the case company, it is not possible to predict if the benefits outweigh the costs, if the project is feasible in practice, if it is suitable for one company to undertake the project on its own or if collaboration and alliances are the way forward.