CoachStation

SEPTEMBER 16, 2015

Compare Michael Porter’s competitive advantage definition: “Competitive advantage, sustainable or not, exists when a company makes economic rents, that is, their earnings exceed their costs (including cost of capital).” Is change communication in your organisation more like the first example or the second?

Storytelling 146

Storytelling Competitive Advantage Conference Cost of Capital 146

Harvard Business Review

SEPTEMBER 4, 2017

In research for our book, Time, Talent and Energy, my co-author Michael Mankins and I found that such investments do indeed pay off: The top-quartile companies in our study unlocked 40% more productive power in their workforce through better practices in time, talent and energy management. For knowledge workers, time is incredibly scarce.

Human Capital 15

Human Capital Kaizen Agility Energy 15

Harvard Business Review

NOVEMBER 4, 2014

Divestment can theoretically address this market failure by limiting investment by the fossil fuel industry by depressing company valuations and thereby increasing the cost of capital. For many companies, most of the capital expenditures are financed from internal cash flows and bank financing.

Finance 8

Finance Cost of Capital Constraint Price 8

Harvard Business Review

NOVEMBER 4, 2014

Divestment can theoretically address this market failure by limiting investment by the fossil fuel industry by depressing company valuations and thereby increasing the cost of capital. For many companies, most of the capital expenditures are financed from internal cash flows and bank financing.

Finance 8

Finance Cost of Capital Constraint Price 8

Harvard Business Review

OCTOBER 3, 2011

It is now in vogue to dismiss the idea that creating shareholder value should be a CEO's guiding objective. Concepts like "societal value," "shared value," and "customer capitalism" are offered as desirable and more enlightened substitutes. The objective is to build value and then let the price reflect that value.

Short-term 11

Short-term Long-term Price CEO 11

Harvard Business Review

OCTOBER 10, 2017

A recent McKinsey report found that while 84% of corporate executives think innovation is key to achieving growth objectives, only 6% are satisfied with the innovation performance of their firm. For any business to succeed over the long term, it must earn a return that exceeds its cost of capital. That’s quite a mismatch.

Innovation 8

Innovation P&L ROI Long-term 8

Harvard Business Review

NOVEMBER 20, 2013

Good analysis in the hands of smart managers does not automatically yield great strategy. To stimulate strategic thinking, answer this question honestly: When you look objectively at your assets, capability and market position is there any reason to believe you can create disproportionate value? Test your new strategy.

Strategy 8

Strategy McKinsey Strategic Planning Cost of Capital 8