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The Challenge Of Achieving Sustained Growth - Take Two

Six Disciplines

As reported in the Harvard Business Review's Daily Stat , the consulting group Bain's updated global database of Sustained Value Creators found only 12% of companies worldwide managed to grow profits and revenues more than 5.5% over the 10 years ending in 2008 and earn back their cost of capital.

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Activist Hedge Funds Aren’t Good for Companies or Investors, So Why Do They Exist?

Harvard Business Review

This is ironic, of course, because studies show the majority of acquisitions don’t earn the cost of capital for the buyer. And the consultants who get hired to do post-merger integration. It is a case of the triumph of hope over reality – which is not unusual. And the accounting firms that need to audit the deal.

Hedge 8
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How to Quantify Sustainability’s Impact on Your Bottom Line

Harvard Business Review

Our research has found that embedded sustainability drives financial performance through mediating factors such as innovation, operational efficiency, risk reduction, employee recruitment, engagement and retention, customer and supplier loyalty, competitive advantage, reduced cost of capital, and improved marketing and sales.

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Why Traditional M&A Is Becoming Less Important

Harvard Business Review

Our own consulting industry is the poster child for this phenomenon.) Today’s low cost of capital creates a powerful financial incentive to put money to work by investing in a portfolio of ideas and capabilities. How to make your company more nimble and responsive.

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How Blockchain Is Changing Finance

Harvard Business Review

Capgemini, a consultancy, estimates that consumers could save up to $16 billion in banking and insurance fees each year through blockchain-based applications. If the world of venture capital can change radically in one year, what else can we transform? Santander, a European bank, put the potential savings at $20 billion a year.

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Is Your Business Biased Against Innovation?

Strategy Driven

The logic of NPV is to project cash flows into the future and then discount those flows back into today’s dollars at a given cost of capital. This is a perspective taken by my colleagues at consultancy Innosight. She is a popular speaker and consults to senior leadership teams. Net present value [NPV] is a case in point.