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Performance Measurement

Strategy Driven

They might include sales productivity metrics such as market share, the company’s ability to charge premium prices relative to peers, or sales force productivity. Operating-cost productivity metrics might include the component costs for building an automobile or delivering a package, the rates of rework, and so forth.

ROIC 62
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Linds Redding’s Short Lesson in Perspective

In the CEO Afterlife

Towards the end of 2011, he was diagnosed with inoperable esophageal cancer. On a productive day, aside from the mountain of dead trees (recycling hadn’t been invented in 1982), stacked polystyrene coffee cups and an overflowing ash-tray, there would also be a satisfying thick sheaf of “concepts.” We were just shifting product.

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With Ron Johnson Out, What Should J.C. Penney Do Now?

Harvard Business Review

A lesson for all businesses is when selling commodity-like products, unless customers believe you have the lowest prices all of the time, you routinely have to offer deep discounts. Just as important, Johnson was trying to significantly change the retailer''s merchandise offerings and hence, its customer base. Here''s what J.C.

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Why Tesco’s Strengths Are No Longer Good Enough

Harvard Business Review

If round after round of profit warnings was not enough – group operating profits fell 20% between 2011 and 2013 and are likely to fall another 30% in 2014 — the company recently announced it had overstated its first-half profit by about $400 million. billion in 2013, and operating profits increased 65% to $422 million.

Retail 11
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Know When to Kill Your Brand

Harvard Business Review

The brand died a slow death, beginning when Blockbuster filed for bankruptcy in 2010 and then ultimately when its acquirer, Dish Network, decided to shut down all video rental operations in 2013. The maker movement continues to expand, and demand for lower-cost electronic parts, products, and accessories remains strong.

Brand 8
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Groupon Doomed by Too Much of a Good Thing

Harvard Business Review

This is the essence of Groupon's declaration last week that it will remove the controversial accounting metric called Adjusted Consolidated Segment Operating Income (ACSOI) from its financial statements. In the first quarter of 2011, Groupon posted a net loss of $113.9 In fact, we are really losing a lot of money.".

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Understanding the Stages of Retail

Harvard Business Review

Penney in November 2011 with a mandate to turn the ailing retailer around, all eyes were on him. He had an amazing legacy: Senior VP of Retail Operations at Apple pioneering the concept of the Apple Retail stores and the Genius Bar. Before that, he was the VP of merchandising for Target (or "Tar-jay").

Retail 11