This document summarizes an IEEE paper that proposes a "goodness factor" for distributed generation (DG) units based on their incremental contribution to reducing distribution system losses. It defines incremental loss indices (ILIs) that quantify the impact of active and reactive power injections from DG units on losses. A monetary value is assigned to the ILIs to derive the goodness factors. The paper modifies a distribution company's short-term operational model to minimize costs and losses by incorporating the goodness factors when determining optimal energy provisions from DG units and the external grid. A case study on an IEEE test system demonstrates the approach and shows the benefits of including goodness factors in dispatch decisions.