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The forums are a good place to discuss topics relating to IA. If you want to discuss one of the papers that have been posted in the Library Section or you disagree with one of the Lexicon entries or is you simply wish to get a debate going about an IA related topic, this section is designed to let you do it. All entries are moderated. 

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Topic: Valuation Tool
Created on: 22/11/06 12:00 AM Replies: 11
gavin.mccutcheon


Joined: 11/23/06
Posts: 1
RE: Valuation Tool
21/02/07 11:11 AM

I agree completely. Numbers are easily misinterpreted and too much credance can be given to them. The calculated numbers were shown in the presentation for illustraive purposes only. In the final version, they have been replaced by bar graph indicators and traffic light displays. No calculated values are shown.
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eggert.claessen


Joined: 11/23/06
Posts: 3
RE: Valuation Tool
25/11/06 10:40 PM

I have to voice my opinion, that no attempt should be made to put an absolute pound & pence value on intangibles. Even though I only got a little glimpse of PAVE in Gavin's presentation (without the colour green though), I am quite convinced that this kind of tool can be beneficial, but never ever should it give an exact measure of value in monetary terms.
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ia.centre


Joined:
Posts: 11
RE: Valuation Tool
22/11/06 4:08 PM

If we could establish accurate probabilities for each step of the development ? both technical and commercial for a business then it might be useful for valuation but there simply isn?t the data available to do that. So the absolute value remains elusive.
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peter.b


Joined:
Posts: 4
RE: Valuation Tool
22/11/06 3:57 PM

So why is it not a valuation tool?
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ia.centre


Joined:
Posts: 11
RE: Valuation Tool
22/11/06 3:50 PM

In a way. Both NPV and IRR are commonly used techniques
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andrea.g


Joined:
Posts: 1
RE: Valuation Tool
22/11/06 3:41 PM

Is this a bit like Return on Investment calculations?
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ia.centre


Joined:
Posts: 11
RE: Valuation Tool
22/11/06 3:35 PM

It is based on a probability adjustment to a Net Present Value calculation
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peter.b


Joined:
Posts: 4
RE: Valuation Tool
22/11/06 3:23 PM

What is the basis for the calculation?
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ia.centre


Joined:
Posts: 11
RE: Valuation Tool
22/11/06 3:06 PM

PAVE blends together the concepts of adjusting value streams to account for systemic risks and accounting for predictable or known future uncertainties using subjective probabilities.
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peter.b


Joined:
Posts: 4
RE: Valuation Tool
22/11/06 3:01 PM

How does that work?
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ia.centre


Joined:
Posts: 11
RE: Valuation Tool
22/11/06 2:46 PM

We are developing a tool called PAVE ? Probability Adjusted Expected Value ? which isn?t a valuation tool as such but provides a means of assessing development opportunities within a business against each other.
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peter.b


Joined:
Posts: 4
Valuation Tool
22/11/06 2:32 PM

Is there a valuation tool under development by the IA Centre or is there one available that will help establish market value for intangible assets, or a business that is intangibly-rich?
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