Evaluation and Value for Investment

Evaluation and Value for Investment

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Evaluation and Value for Investment
Evaluation and Value for Investment
Ratios as VfM indicators

Ratios as VfM indicators

Objective measures, or wishful thinking?

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Julian King
May 13, 2025
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Evaluation and Value for Investment
Evaluation and Value for Investment
Ratios as VfM indicators
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When it comes to assessing value for money (VfM), simple ratios like average cost per unit of output or outcome are appealing. These indicators are relevant to VfM and seem to promise “objectivity” and comparability. Sometimes they deliver. But to be useful they have to pass some hurdles for feasibility, quality and interpretability, without which they …

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