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How To Really Measure a Company's Innovation Prowess

Harvard Business Review

Financial leverage (assets over equity). With Dupont in mind, we can come up with a better measurement by sub-dividing ROII as follows: Innovation magnitude (financial contribution divided by successful ideas). Operating efficiency (sales over assets). After all, half of the top 20 companies traded on U.S.

article thumbnail

How To Really Measure a Company's Innovation Prowess

Harvard Business Review

Financial leverage (assets over equity). With Dupont in mind, we can come up with a better measurement by sub-dividing ROII as follows: Innovation magnitude (financial contribution divided by successful ideas). Operating efficiency (sales over assets). After all, half of the top 20 companies traded on U.S.