Harvard Business Review

APRIL 5, 2017

The McKinsey Global Institute, in conjunction with FCLT Global, recently released research stating that long-term-oriented companies perform better than those that focus on short-term results. Getting the measurement right is central to providing convincing evidence on the debate over short-termism.

EPS 8

EPS Metrics Depreciation Short-term 8

Harvard Business Review

APRIL 7, 2015

The advent of the modern organization and the practice of management constitutes a “social technology” that has been equally transformative. The forces of technology and management will continue to hold equal sway as the 21st century unfolds. This is a situation that cannot endure.

Management 8

Management Drucker EPS Short-term 8

Harvard Business Review

NOVEMBER 1, 2011

Nobody writes a paean to the search for 9 percent EPS growth. But the pressure to "impress analysts" means that leaders can't pursue the long-term perspective that creates truly lasting, great, and sustainable organizations. It's a strategic and operational straight-jacket.

GAAP 8

GAAP Short-term P&L EPS 8

Harvard Business Review

FEBRUARY 4, 2013

In short, change would happen, but at a dangerously slow pace. The oft-cited CEO of Unilever, Paul Polman, announced the company's Sustainable Living Plan , saying to investors: "if you don't buy into [our long-term value model], I respect you as a human being, but don't put your money in our company.". Breakthrough Institutions.

EPS 8

EPS Innovation CEO Pharmaceuticals 8

Harvard Business Review

FEBRUARY 7, 2017

Companies deliver superior results when executives manage for long-term value creation and resist pressure from analysts and investors to focus excessively on meeting Wall Street’s quarterly earnings expectations. We’ve seen companies such as Unilever, AT&T, and Amazon succeed by sticking resolutely to a long-term view.

Long-term 8

Long-term EPS Short-term Management 8

Harvard Business Review

FEBRUARY 24, 2017

In a recent survey , 70% of respondents said that CEOs focus too much on short-term financial results, and nearly 60% said that they don’t focus enough on positive long-term impact. These findings mirror the growing chorus of voices in business and academia that point to short-termism as being a major threat to business.

CEO 9

CEO Short-term Long-term EPS 9

Harvard Business Review

JUNE 21, 2017

Customers, employees, and suppliers with long-term relationships with the company benefit as well. More specifically, they should compare the forecasts of sales growth rates, operating profit margins, and investment requirements in their cash flow valuation model with the levels needed to justify the current stock price.

EPS 8

EPS Company Offshoring Price 8