Learn About Activity Value Analysis (AVA) "The most powerful analysis method financial managers can use to analyse a company’s cost structure (Beischel, 1990)."

Activity Value Analysis (AVA)

Concept Overview

Activity Value Analysis (AVA) Definition

Activity Value Analysis (AVA) is a systematic and objective evaluation of the value of a good or service – it analyses the function of an input relative to its cost. AVA provides insight into the inherent worth of a final good or service (McGinnis, 2005).

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Business Evidence

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Business Application

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Further Reading

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Activity Value Analysis (AVA) References (4 of up to 20) *

  • Aurum, A. and Wohlin, C. (2007) A Value-based Approach in Requirements Engineering: Explaining Some of the Fundamental Concepts. Proceedings, 13th International Working Conference on Requirements Engineering: Foundation for Software Quality, Trondheim, Norway, June 2007.
  • Beischel, M.E. (1990) 'Improving Production with Process Value Analysis'. Journal of Accountancy, American Institute of Certified Public Accountants, pp. 53–57.
  • California Department of Transportation (2003) Value Analysis Team Guide, Third Edition, [Online], available at: www.dot.ca.gov/hq/oppd/value/pdf/team-guide-3rd-rev-0803.pdf.
  • Caswell, N.S., Nikolaou, C., Sairamesh, J., Bitsaki, M., Koutras, G.D., and Iacovidis, G. (2008) 'Estimating Value in Service Systems: A Case Study of a Repair Service System'. Service Science, Management, and Engineering, Vol. 47 (1), pp. 87–100.

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