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CEO Disease Symptoms

Coaching Tip

" CEOs often hear what they want to hear rather than what really is on the minds of their subordinates," said Mark Anderson, president of ExecuNet, that conducted a survey of 2,463 C-level respondents in December 2010. CEOs think of guiding the ship as their purview.". The survey found perception gaps in other areas of work, too.

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Deadly Disease of Management: Emphasis on Short-term Profits

Deming Institute

In Warren Buffett’s 2010 annual letter to shareholders he mentions the advantage Berkshire Hathaway has because it doesn’t focus on short term results: At GEICO, for example, we enthusiastically spent $900 million last year on advertising to obtain policyholders who deliver us no immediate profits. In Profit Beyond Measure by H.

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Stop Budgeting, Start Improving

Harvard Business Review

In my last post , I argued that companies can't keep their costs in line by attacking them directly. Instead, companies must make fundamental changes to the way they work — how they market and sell, handle orders, bill for those orders, manufacture and distribute their goods, and serve customers after the sale.

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Carlos Ghosn, Nissan, and the Need for Stronger Corporate Governance in Japan

Harvard Business Review

These disclosure problems are rooted in the company’s weak governance procedures, and they offer a lesson to investors in Japan’s other listed companies about the need for much stronger governance protections than those brought about by recent Japanese reforms.

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An Activist Investor Lands in Your Boardroom — Now What?

Harvard Business Review

But as we have suggested elsewhere, activists are here to stay , and are increasingly prominent players on the equity landscape—sometimes even inside the company boardroom. More than 200 activist-investor initiatives hit companies in 2013, a seven-fold increase over a decade earlier. Singer came on the board in October 2012.

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An Insider’s Account of the Yahoo-Alibaba Deal

Harvard Business Review

Editor’s note: When the Chinese e-commerce giant Alibaba goes public, as it will soon, Yahoo will earn many times its significant original stake in the company — a surprising ending to a tale of experimentation and discovery. search engine company Inktomi in 2002. Things hadn’t gone well up until that point.

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Why Sit on All that Cash? Firms Uncertain on Cost of Capital

Harvard Business Review

Little wonder, then, that when we asked if they were in the habit of communicating their weighted average cost of capital estimates company-wide, only 15 percent said they were. The vast majority of companies do practice some form of cost of capital estimations.