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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). Simple questions, like "what defines an idea?" or "what does 'success' mean?"

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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). Simple questions, like "what defines an idea?" or "what does 'success' mean?"

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Private Equity’s New Phase

Harvard Business Review

Traditionally, PE firms bring financial discipline and strategic clarity to firms they acquire. This expertise may include restructuring debt, increasing financial leverage, clarifying strategic priorities, increasing productivity, implementing rigorous operational systems, or heightening accountability for results.

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