Harvard Business Review

APRIL 5, 2017

If a company has beat or missed its EPS targets by less than two cents , that means the company has nipped and tucked its quarterly results just enough to meet the target EPS number it committed to analysts. Of these, the last indicator is perhaps the most likely to accurately capture a company’s short-termism.

EPS 8

EPS Metrics Depreciation Short-term 8

Harvard Business Review

OCTOBER 23, 2015

These organizations, also known as elite professional service (EPS) firms, have some of the most well-developed and longstanding on-campus programs. In the EPS world, on-campus “school lists” have two tiers, based largely on prestige. ” How It Works — and How “Regular” Applicants Get Ignored.

EPS 8

EPS Diversity Banking Reputation 8

Harvard Business Review

JANUARY 30, 2013

Clayton Christensen has long complained that standard financial metrics can be enemies of innovation and growth. With Amazon, though, nobody emphasizes EPS. Wouldn't want to get hung up on flawed financial metrics when there's a world to conquer. Just "check in," mind you.

Training 9

Training Bond Christensen Long-term 9

Harvard Business Review

MAY 6, 2016

The board chose earnings per share (among other financial metrics) to measure and reward executives for long-term performance. The downside of this “shareholder friendly” approach is evident at many companies. For example, one large technology company embraced a strategy to win through new digital businesses.

Long-term 8

Long-term Incentives Short-term Management 8

Harvard Business Review

MARCH 17, 2011

Words like "productivity," "efficiency," and "innovation" are defined by goal posts of our own creation: number of units shipped, revenue and profit, EPS and shareholder return. But when you think of the world this way, you forget two things: first, people, and second, that the numbers themselves are not a product.

EPS 15

EPS Strategy Reference Execution 15

Harvard Business Review

FEBRUARY 7, 2017

After all, “short-termism” does not correspond to any single quantifiable metric. Earnings-per-share (EPS) growth: Difference between EPS growth and true earnings growth. Quarterly targeting: Incidence of beating or missing EPS targets by less than two cents.

Long-term 8

Long-term EPS Short-term Management 8

Harvard Business Review

FEBRUARY 24, 2017

Great stories are credible, simple, consistent, and use both financial and nonfinancial metrics to link a long-term vision and firm values with a distinctive business strategy and focused operational priorities. Bertolini observed that many of his peers had been promising 15% earnings per share (EPS), even during the financial crisis of 2009.

CEO 9

CEO Short-term Long-term EPS 9