Value based management as a tailor made management practice A literature review. Value based management is largely discussed as fundamental tool to manage organizations successfully. However, it is often criticized for its alleged incentive to maximize short term profits. Herkunft. Der ShareholderValueAnsatz geht auf das im Jahr 1986 verffentlichte Buch Creating Shareholder Value von Alfred Rappaport zurck. Danach hat die. Thus, it is the aim of this study to shed more light on the role of value based management for organizational success and discuss which firms seemingly benefit from the adoption of value based management systems. Since adoption rates vary among firms, the implementation and its effect on organizational performance may be a matter of systematic circumstances. In particular, the extent of agency conflicts and arrangements to alleviate those conflicts designate where value based management potentially serves as an effective monitoring instrument. Additionally, a more reactive strategic orientation and low growth opportunities imply a need for more efficient capital management as one lever to increase organizational performance. These conditions are accompanied by managerial characteristics and industry pressure that determine the use of value based management systems, and do not undermine its incentive for efficient capital management. Hence, value based management seems to be tailor made for these specific circumstances. Keywords. Value based management Corporate governance Contingency theory Shareholder value Literature review. How to Invest in Stocks. It is no coincidence that most wealthy people invest in the stock market. While fortunes can be both made and lost, investing in stocks is. Why you should pay top dollar for a killer dealand other new rules for making acquisitions.