Tom Spencer

MAY 18, 2015

Tom: Do you think that short term financial metrics are part of the problem in developing long term strategy? Nokia is a very good example of a company [that was dominated by this kind of myopia]. HP is an example. And so, there appears to be a disparity between what companies do and what the metrics are measuring.

Metrics 60

Metrics Financial Cash Flow Process Improvement 60

Harvard Business

APRIL 5, 2017

Similarly, considering greater accruals (which represent the difference between reported income and operating cash flows) to measure short-term orientation has its difficulties. It assumes that a smaller proportion of cash flows in earnings indicates a myopic firm. Consider three examples.

Metrics 30

Metrics Study Cash Flow McKinsey 30

Harvard Business

AUGUST 3, 2018

This example illustrates that investors consider information beyond just earnings as value-relevant. The level and trend of a company’s top-line metric is an advance indicator of the success of its business model. Many of these metrics are disclosed in Facebook’s financial statements. What caused this slump?

Financial 28

Financial Report Company Metrics 28

Harvard Business

OCTOBER 21, 2016

Hoping to alleviate their concerns, this article also provides concrete examples of how sustainability benefits the bottom line. For example, Bunge, an agribusiness firm, reported a $56 million quarterly loss in its sugar and bioenergy segments due to drought in 2010. ” Improving risk management. Fostering innovation.

Study 28

Study Efficiency Productivity Operations 28

Harvard Business

JULY 13, 2016

For example, you can now subscribe to razor blades, underwear, groceries, clothes, toiletries, even dog toys. Identify the right metrics. In the digital membership economy, the metrics best apt to indicate success are more likely to be around member churn and engagement. Love their members more than their products.

Cash Flow 28

Cash Flow Survey Metrics Accenture 28