Background Note | HBS Case Collection | October 2011 (Revised October 2012)

On the Use of Capital Efficiency Metrics

by Willy Shih and Margaret Pierson


This note describes capital efficiency metrics including RONA, ROIC, and EVA. This note is intended to be used with the case "Boeing 737 Industrial Footprint: The Wichita Decision," HBS No. 612-036.

Keywords: Capital; Performance Efficiency;


Shih, Willy, and Margaret Pierson. "On the Use of Capital Efficiency Metrics." Harvard Business School Background Note 612-034, October 2011. (Revised October 2012.)