VBM Thought Leaders: S. David Young and
Stephen F. O'Byrne
EVA and Value Based Management
S. David Young: biography / resume / curriculum vitae
Professor at INSEAD,
S. David Young holds a PhD from the University of Virginia and is both a
Certified Public Accountant (USA) and a Chartered Financial Analyst.
Throughout the early and mid-1990s, Professor Young devoted most of his
efforts to Central and Eastern Europe. His research on economies in
transition appeared in a variety of academic and professional journals. He
directed INSEAD’s public executive program, Strategies for Eastern Europe,
taught an MBA elective course on the same topic, and served as an advisor to
many private companies and supranational organizations.
More recently, Professor Young’s interests have focused on value based
management, EVA, and how companies can align their management systems to
promote the creation of shareholder value. His major work in this area, EVA
and VBM: A Practical Guide to Implementation
(McGraw-Hill, 2001), combines the latest thinking on value based management
with his own experiences in working with value-driven companies. He has
conducted seminars on these subjects in many venues, including Amsterdam,
Berlin, Dublin, Lisbon, London, Singapore, and Tokyo. He has also served as
an an advisor to several European, Asian, and North American companies.
Professor Young's most recent book is Profits You Can Trust: Spotting and
Surviving Accounting Landmines (Financial Times Prentice Hall, 2003). This
book is targeted at investors, securities analysts, portfolio managers,
corporate board members and any other parties who need to decipher financial
reports. It was written in the wake of the recent wave of financial scandals
and is designed to provide concrete guidance and advice on detecting
misleading accounting practices.
His current book projects include an examination of how to link corporate
strategy to finance-based valuation models, and how companies can employ a
rigorous marketing-based approach to improve their competitiveness in the
About Stephen F. O'Byrne: / biography / resume
/ curriculum vitae
Stephen O'Byrne is the
President of Shareholder Value Advisors. He has more than twenty years of
experience as a consultant to companies on compensation, performance
measurement and valuation issues. His publications include:
- EVA and VBM with Professor S. David Young of INSEAD
- Does Value Based Management Discourage Investment in Intangibles? in
Value-Based Metrics: Foundations and Practice (Frank J. Fabozzi Associates,
- EVA and Shareholder Return in Financial Practice and Education (Spring
- Executive Compensation in the Handbook of Modern Finance (1997)
- EVA and Market Value in the Journal of Applied Corporate Finance (Spring
Mr. O’Byrne has been an advisor to the Securities & Exchange Commission, the
Financial Accounting Standards Board, Institutional Shareholder Services and
CS First Boston equity research. He was previously Senior Vice President of
Stern Stewart & Co. and Principal of Towers Perrin. Mr. O’Byrne holds a B.A.
degree in political science from the University of Chicago, an M.S. in
Mathematics from Northwestern University and a J.D. from the University of
Chicago. He is a certified public accountant, a member of the Illinois bar,
a member of the New York Society of Security Analysts and a former Lecturer
in Mathematics at Loyola University of Chicago.
About EVA and Value Based Management - A practical guide to
Comprehensive book on
EVA and VBM. Young and O'Byrne are
strong advocates of shareholder value thinking.
EVA and VBM, despite persistent claims
to the contrary, are not magic wands, guaranteeing instant success. Instead,
they are a set of management tools - powerful tools, to be sure, proven to
work in case after case - for creating and augmenting value. Management
consultants Young and O'Byrne explain the importance of shareholder value
taking center stage.
The first part of the
book gives a generic and easy to comprehend strategic overview. The second
part of EVA and VBM digs deeper with more technical details, calculations and
case studies to help finance professionals with the implementation of EVA
(Economic Value Added) programs. The book tries to more or less objectively
assess EVA's power to motivate managers, noting that some companies are also
not well-suited for this performance metric.
reading for any senior manager.