TITLE:
Economic Benefit Estimating of Polydimensional Efficiency Measurement Model Implementation
AUTHORS:
Andrey Aleksandrovich Shishkin, Olga Andreevna Tyugai
KEYWORDS:
Investment Portfolio, Shareholder Value, Economic Value Added, Dynamic Performance Criterion, Criterion Value Based Management Efficiency Evaluation Model, 3D Model, Value Based Management, Corporate Governance, Balanced Scorecard
JOURNAL NAME:
Open Journal of Applied Sciences,
Vol.5 No.3,
March
25,
2015
ABSTRACT: This paper is a revised and expanded version of a paper entitled “The static and dynamic criteria of building an investment asset portfolio” presented at International Conference on Applied Economics (ICOAE, 2014), Chania, 3-5 July 2014 and published at Procedia Economics and Finance, Volume 14, Pages 575-584 (2014) [1]. At the previous research, it showed the significance to go beyond the scope of selecting one or another metric of static efficiency. And the attention was paid to the dynamic efficiency criteria. The ICOAE 2015 research gives brief results of that work, which is only one of applied areas of polydimensional efficiency measurement model (PEMM). Research work on PEMM conceptual and methodical elaboration has been started in the author’s dissertation study [2] and continued in the practical activity and materialized in Innovative LLC (limited liability company) creating project. The research is concentrating on the real economic benefit of 3D PEMM (thee criterial PEMM version) implementation. In the first part of ICOAE 2015 empirical study, the dynamic component of 3D PEMM on the industrial level was tested. Next, the company economic profit changes and dynamic-market 3D PEMM components correlation was estimated. Finally, the economic benefit of 3D PEMM functional operationalization in the framework of management systems development was calculated.