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Desperately Seeking Simplicity

Harvard Business Review

An example was a discussion session of tired-looking European finance ministers, defensive and elusive about the speed of acting on the Euro crisis. Rather, their biggest barrier by far (about 85% of the time) relates to the internal complexity of their organizations and the management of their energy against that.

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Providing Earnings Guidance? Think Again

Harvard Business Review

Although the empirical evidence is mixed, this argument has intuitive logic: Because investors abhor uncertainty, knowing management's expectations is a valuable data point that can strengthen their confidence in the investment. FD) constraints. After weighing the pros and cons, I come down on the side of not providing guidance.

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Finally, Proof That Managing for the Long Term Pays Off

Harvard Business Review

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. This has long seemed intuitively true to us. The returns to society and the overall economy were equally impressive.