Six Disciplines

MARCH 25, 2011

Harry Joiner over at Marketing Headhunter , posted his favorite Top 20 quotes from the Daily Drucker , with respect being paid to management thought-leader, Peter Drucker. In military training, the first rule is to instill soldiers with trust in their officers -- because without trust, they won't fight. One can't manage change.

Drucker 136

Drucker Cost of Capital Definition Commitment 136

Harvard Business Review

APRIL 16, 2015

” A quarter century later, not much seems to have changed: fewer than five out of the 100 CEOs on HBR’s 2014 list of best-performing CEOs even mention “return on capital” on their official biography — and none of those five lead companies listed in the Dow Jones Industrial Average (DJIA) or in the EuroStoxx50.

CEO 8

CEO ROIC Cost of Capital Merton 8

Harvard Business Review

SEPTEMBER 4, 2017

The evidence suggests the former: We could improve productivity if we stopped systematically underinvesting in human capital. Managed by Q, a cleaning and office services company in New York City, decided to pay employees higher wages than the prevailing market rate. The most direct and obvious investment is increased wages.

Human Capital 13

Human Capital Kaizen Agility Energy 13

Harvard Business Review

OCTOBER 10, 2017

Another pervasive reason is that senior executives are trained as operators, not innovators. For any business to succeed over the long term, it must earn a return that exceeds its cost of capital. Typically when firms are evaluating investments they look for large addressable markets. Here are four things leaders can do.

Innovation 8

Innovation P&L ROI Long-term 8

Harvard Business Review

MARCH 28, 2016

For much of the 20th century, success depended on a company’s ability to hire, train, and retain ever-larger numbers of employees. Without external markets to please, they can take a long-term perspective and make decisions on the basis of sustainable economic value. Organization: From Managing Complexity to Rapid Response.

Long-term 8

Long-term Short-term Reputation Incentives 8

Harvard Business Review

OCTOBER 21, 2016

Today’s executives are dealing with a complex and unprecedented brew of social, environmental, market, and technological trends. These require sophisticated, sustainability-based management. ” Improving risk management. Investing in sustainability is not only a risk management tool; it can also drive innovation.

Supply Chain 8

Supply Chain Price Loyalty Efficiency 8

Harvard Business Review

SEPTEMBER 8, 2014

The goal of strategy is profitable growth, meaning economic value above the firm’s cost of capital. Hence, the customer-selection criteria of sales managers, and call patterns of sales reps, directly impact the first value-creation lever: which projects the firm invests in. But consider the basics.

Debt to Equity Ratio 9

Debt to Equity Ratio Cost of Capital Strategy Incentives 9