New Metrics for Value-Based Management: Enhancement of Performance Measurement and Empirical Evidence on Value-Relevance

Still today, the vast majority of the German DAX 30 corporations are explicitly com- ted to the shareholder value idea. However, the sk return to shareholders is an inappropriate measure for internal performance management, so that companies revert to so-called Value-Based Management Systems. These systems derive accounti- based performance measures, which shall quantify whether and how much shareholder value has been generated by the management over a specific period (overall and by busine...