Value Added Calculator

Calculate the value added of your business and the key value added ratios used for benchmarking by entering a few items from your company report into our calculator below. Does the score based on your most recent annual report compare favourably with previous years? How does it compare with your competitors in the published Value Added Scoreboard. Surprised? Shocked?

Now use the calculator to evaluate your investment plans against your competitors or the leaders in your sector. Decide how most effectively to increase your score and look at whether we can help here. Above all, get those scores moving upwards!

Value Added Calculator

The calculator works out your company's value added against the following headings:-

• Growth of VA
• as a percentage of major costs
• as a percentage of sales
• as a percentage of operating profit per employee

Enter your company data below:

Company name:
Sector:	Select Sector... Aerospace & defence Automobiles & parts Banks Beverages Chemicals Construction & materials Electricity Electronic & electrical equipment Fixed line telecommunications Food & drug retailers Food producers Forestry & paper Gas, water & multiutilities General financial General industrials General retailers Health care equipment & services Household goods Industrial engineering Industrial metals Industrial transportation Leisure goods Life insurance Media Mining Mobile telecommunications Nonlife insurance Oil & gas producers Oil equipment, services & distribution Personal goods Pharmaceuticals & biotechnology Real estate Software & computer services Support services Technology hardware & equipment Tobacco Travel & leisure

Scoreboard data was collated on a company year end to October 2007. Enter your relevant data to this point.

Please fill in all fields for 2007 not marked as optional. To calculate your change in Value Added you must also enter the previous years data.

	2007	2006
No. Employees:
Operating Profit £m: *
Depreciation £m:
Employee Costs £m:
Amortisation £m:
Sales £m (optional): *(excluding sale of a business or asset)

Interpreting the results

Probably the most useful benchmark is P₂, the value added output in £ created by each £ input of labour costs and depreciation (equipment 'used up' during the year). How does your P₂ compare with other companies in your sector and has it increased over last year?

P₂ will be higher for profitable companies. This in turn gives these companies more choices and ability to invest, sustain P₂ and grow value added. Further analysis and interpretation of value added data is provided in the Summary of Key Points in the Value Added Scoreboard.

The benefits of using Value Added to track the performance of your business are explained in greater detail in the leaflet "Using Value Added to grow your business" which is available to download. Hard copies may be ordered from the DIUS Publications Orderline, orders@dius.ecgroup.net quoting URN 06/946.