Harvard Business Review

DECEMBER 21, 2011

Outside vendors are handling classic HR functions like payroll, staffing and recruiting, and even equal employment opportunities investigations, often at a lower price and higher quality than companies can manage for themselves. Within the first year of our effort net sales increased 27 percent while fixed costs were reduced by 40 percent.

Offshoring 15

Offshoring Fixed Costs Outsourcing Construction 15

Harvard Business Review

MAY 28, 2018

Nikon watched its profits sink and its stock price at one point fell below liquidation value. The right investor base can improve stock price, reduce volatility, and provide valuable feedback. They had surged with the rise of digital camera only to peak in 2012, coming back down as smart phones became widely used.

Company 8

Company ROIC CFO Restructuring 8

Harvard Business Review

DECEMBER 17, 2014

Eden McCallum, thus, manages to keep its overhead and other fixed costs at a minimum. Consequently, they are able to offer their teams of consultants at comparatively low prices, while customers are happy that the senior people actually do the work. (A This allows the firm to hire good employees at a good price.

McCallum 13

McCallum Competitive Advantage McKinsey Consultative 13

Harvard Business Review

MAY 21, 2015

The costly and complex operations of transporting energy have made utilities natural monopolies, while regulatory barriers and the high fixed costs of building and maintaining regional electrical grid infrastructure have also kept much competition at bay.

Energy 8

Energy Transportation Software Price 8

Harvard Business Review

OCTOBER 6, 2014

UK retail, like the rest of the developed world, is witnessing a few big long-term trends. There have always been convenience stores in the UK, but the shabby, independent corner shops are giving way to sparkling new outlets run by the supermarket chains full of fresh merchandise, albeit at premium prices. Everyone shops at Aldi.

Retail 11

Retail Merchandising Discount Price 11

Harvard Business Review

DECEMBER 1, 2017

These spending choices require tradeoffs, so entrepreneurs must first develop a strategy for allocating limited resources across a wide range of available options. Colin was sure his revenues would exceed costs within a year, but the large clients he expected never materialized.

Strategy 9

Strategy Budgeting Cost Price 9

Harvard Business Review

AUGUST 17, 2012

Cipla, an India-based producer of low cost antiretroviral drugs (ARVs) is one of the biggest success stories in the pharma industry. What's more, these are markets that traditional developed market firms are increasingly targeting for their own growth goals. and other traditionally developed markets.

Company 11

Company Pharmaceuticals Business Model Fixed Costs 11

Harvard Business Review

NOVEMBER 18, 2013

Historically, larger scale has offered hospital systems a number of advantages, including increased referral volumes, better access to capital, stronger pricing power, and classic cost economies. For instance, larger scale has enabled many hospital systems to lower their per-patient operating costs significantly.

Health Care 8

Health Care System Cost Price 8

Harvard Business Review

JULY 27, 2017

And the fixed cost from “touchpoint-to-pilot” are immense. For example, in the case of a $100 million CVC fund, which can close five to 10 investments a year, these costs typically range from $1 to $2 million per startup — not including the administrative and variable costs of the pilot itself.

Venture Capitalist 8

Venture Capitalist Meyer Innovation Fixed Costs 8

Harvard Business Review

FEBRUARY 24, 2015

In contrast, the capitalization of NOW, the former commerce unit of National Oilwell Varco, has been much less affected by the recent oil price collapse, which reflects the investor community’s confidence in the spin-off’s ability to prosper on its own. Does the business have a complete, balanced, and cohesive management team?

Chemicals 8

Chemicals How To Kahneman Reputation 8

Harvard Business Review

APRIL 19, 2011

Meanwhile, declines in revenue and escalating fixed costs for things like public employee pensions and health care are crippling our cities budgets. In Charlotte, a challenge grant developed a way to improve capital planning and yield lower interest rates and other cost savings.

Short-term 12

Short-term Budgeting Health Care Long-term 12

Harvard Business Review

SEPTEMBER 9, 2015

During an economic crisis, the exaggerated decline in orders can be especially damaging to upstream suppliers that have high fixed costs tied to production assets. Companies should anticipate this trend and start developing “value pricing” and less expensive products.

Supply Chain 8

Supply Chain Retail Crisis Operations 8

Harvard Business Review

APRIL 6, 2016

Two companies transfer selected similar assets into a joint venture in order to support the orderly management of capacity in their industry and reduce the risk of prices spiraling downward. But on the other hand, in order to safeguard the company’s future competitiveness, CEOs may have no other choice than to invest now.

Co-Opetition 8

Co-Opetition Operations Cost Technology 8

Harvard Business Review

FEBRUARY 11, 2016

Google and Intel rely on experts in social science and biomechanics to develop transformative products by better understanding how people think about and use technology. Organizational Development Book. But there are also extrinsic factors that complicate the relationship. Adapted from. Agile Talent. Jon Younger Norm Smallwood.

Agility 8

Agility Organization Resources Fixed Costs 8

Harvard Business Review

JULY 2, 2014

Managers typically use breakeven analysis to set a price to understand the economic impact of various price- and sales-volume scenario. Pricing matters. Having the right price for a product or service can boost profit much faster than increasing volume. What if we change the price? That’s the breakeven point.

Analysis 15

Analysis Fixed Costs Price Cost 15

Harvard Business Review

NOVEMBER 6, 2013

This increase has come at a high price, hitting home most obviously in workers’ pay. Working under a fixed-cost ceiling was, of course, difficult. In 1980, the national expenditure on health care in the United States was just over 9% of Gross Domestic Product. Today it accounts for nearly twice that — close to 18%.

Health Care 8

Health Care Constraint Budgeting Quality 8

Harvard Business Review

JULY 2, 2014

Managers typically use breakeven analysis to set a price to understand the economic impact of various price- and sales-volume scenario. Pricing matters. Having the right price for a product or service can boost profit much faster than increasing volume. What if we change the price? That’s the breakeven point.

Analysis 8

Analysis Fixed Costs Price Cost 8

Harvard Business Review

AUGUST 11, 2011

While businesses shouldn't react to economic uncertainty in knee-jerk fashion, the recent tumble in equity prices cannot be ignored. Management has made promises to senior executives about what a project will achieve, and fixed costs have built up because they looked prudent in comparison to planned revenues.

Innovation 15

Innovation Fixed Costs Airlines Business Model 15

Harvard Business Review

FEBRUARY 6, 2018

To the extent that the technology Amazon developed for Amazon Go can be turned to services beyond grocery shopping, health care may be one of the early beneficiaries. These executives agreed that if such issues were challenging for Amazon, they surely must plague smaller internet companies that are in an earlier stage of their development.

Health Care 10

Health Care Retail Operations Insurance 10