Harvard Business Review

APRIL 16, 2012

This raises the question of whether retaining strategic cash makes economic sense and should be viewed as a legitimate corporate finance tool in today's environment. Arguments for Strategic Cash. Often citing the maxim that "cash is king", CFOs know that strategic cash can enhance shareholder value in various ways. It can: Save Taxes.

Company 13

Company Cost of Capital Finance Long-term 13

Harvard Business Review

FEBRUARY 1, 2018

Our research and experience suggest that many executives underestimate the value of growth, specifically in today’s low-interest rate environment, and are thus missing out on a chance to make their businesses much more valuable than they are today. The cost of capital is at historic lows, averaging below 6% for most large U.S.

Supply Chain 9

Supply Chain CEO Discount Retail 9

Harvard Business Review

JULY 25, 2017

Some companies establish a threshold for MROI that takes into account its risk tolerance and cost of capital, below which they are hesitant to make investments. “The baseline is hard to establish in a dynamic marketing environment,” Avery says. To do this, you need to establish your sales baseline.

ROI 8

ROI Marketing Short-term Marketing Mix 8

Harvard Business Review

SEPTEMBER 4, 2017

Perhaps the most transformational thing a company can do for its workforce is to invest in creating jobs and working environments that unleash intrinsic inspiration. This includes more autonomy and agility as well as inspirational leadership. It’s not money that’s in short supply; it’s good growth ideas.

Human Capital 14

Human Capital Kaizen Agility Energy 14

Harvard Business Review

MAY 4, 2012

Less Volatility in Stock Price: The net effect of providing guidance is arguably a less volatile stock price, which can result in a lower beta and a lower cost of capital.

CFO 11

CFO Metrics Price Depreciation 11

Harvard Business Review

AUGUST 27, 2015

Companies in the top one-fifth of profitability earn, in aggregate, about 70 times more economic profit (accounting profit less cost of capital) than those in the middle three-fifths combined, according to McKinsey’s database of 3,000 large, publicly listed, nonfinancial U.S. Consider what’s happening among corporations.

ROIC 8

ROIC McKinsey GDP Company 8

Harvard Business Review

JUNE 27, 2012

When changes in the natural environment accelerate, so do the extinction rates of the Earth's creatures. real revenue and profit growth and earning their cost of capital has steadily declined. It happened to the dinosaurs and again to many species during the Ice Age. Yet almost every business aspires to do this.

Creativity 14

Creativity Long-term Kotter Cost of Capital 14