In evaluating the attractiveness of a potential investment, companies typically consider traditional financial measures. There is also an emerging use of cash value-added (CVA), which assesses the long-term cash generating capacity of investments.
According to the respondents to KPMG’s 2015 global survey:
The survey reveals that many telecom business units prepare a business unit capital plan supported by business case submissions. Invariably the sum of the submissions is greater than the available capital, or ‘capital envelope.’