Get ready to hear a lot about team value index, net efficiency, winning percentage, adjusted win percentage and scoring margin.

In August, the NCAA Men's Basketball Committee announced the introduction of its new ranking system, the NCAA Evaluation Tool, or NET.

NET will be used to evaluate Division I men's basketball teams in replacement of Rating Percentage Index (RPI). The committee announced that the evaluation tool would be implemented with the goal of ensuring fairness.

On Saturday, ESPN.com's John Gasaway shared a graphic reportedly sent to Division I teams which demonstrates the five key factors that the NCAA will use to calculate NET rankings.

The five factors: Team Value Index, Net Effeciency, Winning Percentage, Adjusted Win Percentage and Scoring Margin. Below, we explain the components of each.

### Team Value Index

Team Value Index is an algorithm set up to reward teams who beat other good teams. It's a results-oriented component of NET and only factors in results of games played against Division I opponents.

Team Value Index is based on game results. It factors opponent, location and the winner, which produces a Team Value Index score.

### Net Efficiency

Net Efficiency is a calculation of offensive efficiency minus defensive efficiency.

The formula for offensive efficiency is set up as follows:

Field goal attempts minus offenisve rebounds plus turnovers plus (.475 x free-throw attempts) = total number of possessions

Total points divided by total number of possessions. The number produced represents a team's offensive effiency.

The formula for defensive efficiency is set up as follows:

Opponent's field goal attempts minus opponent's offenisve rebounds plus opponent's turnovers plus (.475 x opponent's free-throw attempts) equals total number of opponent's possessions

Opponent's total points is divided by opponent's total number of possessions. The number produced represents a team's defensive effiency.

Offensive efficiency minus defensive efficiency equals a team's Net Efficiency.

### Winning Percentage

Wins divided by total games played equals a team's winning percentage.

### Adjusted Win Percentage

This metric is a weighted value based on location and result.

Neutral Win: +1.0
Home Win: +0.6
Neutral Loss: -1.0
Home Loss: -1.4

### Scoring Margin

This value has a point differential capped at 10 points in each game. All overtime games are capped at one point.

Scoring Margin equals team score minus an opponent's score.

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