LV2 Partners, LLC

Value Driver Matrix

The goal of LV2 Partners is to create value for our clients. The Return on Equity (ROE) formula provides the framework for the opportunities to increase the value of a business. The Value Drivers are specific tactics that when implemented successfully will increase the value of the business.

Increased Return on Equity (ROE) = Increased Value

ROE = Profit margin x Asset Turnover x Financial Leverage

Profit margin = Net Income / Sales
Asset Turnover = Sales / Assets
Financial Leverage = Assets / Equity

LV2 Partners Specialties	Value Optimizers
	Profit Margin	Asset Turnover	Financial Leverage
Strategy Creation	Strategic Plan Development Resource / Priority Alignment Product Offering Analysis	Vision Development Plan for Sales Growth Maximize Asset Utilization	Partnerships/Mergers Acquisitions Divestitures
		Capital Budgeting
Sales & Marketing	Grow Existing Sales Sales Planning Define Value Customer Receives Pricing	New Market - Existing Product New Products - Existing Markets New Products - New Markets Sales & Operations Planning	Distribution Agreements Joint Venture Analysis Licensing Agreements
Operations Management	Profit Producing Sales
	Lean Manufacturing Cost Reduction Waste Elimination Alignment & Participation Clarity of Goals Productivity Improvement Six Sigma	Output Improvement Improve Asset Utilization Develop Quick Changeover Forecasting Produce Development & Launch Consolidation	Preventative Maintenance Predictive Maintenance Flexible Manufacturing Supply Chain Management Inventory Management Kanban
		Operations Budgeting
Financial Management	Activity Based Costing (ABC) Cost Management Cost Reporting	Make vs. Buy Analysis Buy vs. Lease Analysis Outsourcing	Firm Valuation Debt Restructuring Debt - Equity Ratio Profit Maximization

E-mail: info@lv2partners.com