Measuring Value

Measuring Value

Executive management in most firms measures the value of their company using financial metrics like stock price and cash flow.  Other measurements used include the value of technology assets, plan assets, equipment assets, and human assets. 

Although each of these components of measuring a company is important, this list excludes what we believe to be the single most vital asset: customer relationships. 

Customers are the source of revenue and, therefore, profit.  Isn’t it odd that most companies spend so much time and effort tracking and managing their financial, plant, and employee assets while neglecting to control their relationship assets– especially since the value of those relationships in so many cases is many times larger than the value of all the other assets combined?

S4 is a leading relationship management firm that helps business-to-business clients implement strategic account management strategies to their operation.