Date: Thu, 18 Dec 1997 01:49:43 GMT Server: Apache/1.2b1 Connection: close Content-Type: text/html Last-Modified: Wed, 22 Oct 1997 11:52:41 GMT ETag: "1000f-135d-344de909" Content-Length: 4957 Accept-Ranges: bytes SPX Corporation -- EVA drivers

Home
News
Current Stock Quote
What's New
Shareholder Reports
EVA at SPX
What is EVA?
The EVA Formula
Why EVA is important for SPX
How to improve EVA
EVA drivers
EVA terms
SPX Links

WHAT DRIVES EVA?

DIRECTIVE LONG-TERM DAY-TO-DAY
GROW New markets
New products
Acquisitions
Capital investment
Make vs. buy
Expand high value activities
IMPROVE Internal synergy
Scale economies
Productivity improvement
Waste and scrap reduction
REALLOCATE Sell a business
Exit a market
Cut capital
Eliminate non-value creating activities



The EVA decision process can be summarized with these questions:
1. Can we expand this activity to increase EVA? GROW
2. Can we improve this activity to increase EVA? IMPROVE
3. Should we exit this activity and reallocate the capital to increase EVA? REALLOCATE
121 KM



EVA is a registered trademark of Stern Stewart & Co.

Copyright © SPX Corporation 1996