HOB: A New Tool for Tracking and Increasing Value Added

摘要

The Heart of the Business (HOB) model put forward in this article captures the origin of a company's success by integrating financial outcomes with the value added processes that create those outcomes. These processes arise out of the unique capabilities of the firm, and its organizational infrastructure. The application of this model to a company currently regarded as succesful, Cement Roadstone Holdings (CRH) and highlighted by comparisons with three peer companies illustrates the model's value in making strategic decisions.