HOB: A new tool for tracking and increasing value added

The Heart of the Business (HOB) model put forward in this article captures the origin of a company's success by integrating financial outcomes with th e value added processes that create those outcomes. These processes arise o ut of the unique capabilities of the firm, and its organizational infrastru cture. The application of this model to a company currently regarded as suc cessful, Cement Roadstone Holdings (CRH) and high lighted by com parisons w ith th ree peer companies illustrates the model's value in making strategic decisions. (C) 1999 Elsevier Science Ltd. All rights reserved.