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Why We Need to Update Financial Reporting for the Digital Era

Harvard Business Review

Digital companies, however, consider scientists’ and software workers’ and product development teams’ time to be the company’s most valuable resource. So, investors, and therefore managers, might be adjusting their approach to risk accordingly. Analysts increasingly rely on non-GAAP metrics.

Report 8
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A Blueprint for Digital Companies’ Financial Reporting

Harvard Business Review

Currently, firms’ first report net profits and then back out many of these one-time items to present a non-GAAP (Generally Accepted Accounting Principles) profit number. Because investors consider these non-GAAP numbers to be value-relevant, we propose a more direct way for them to be calculated.

Report 8
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Why Leaders Are Still So Hesitant to Invest in New Business Models

Harvard Business Review

According to our research at the SEI Center for Advanced Studies in Management , it’s the beliefs of leaders that drive organizational investments, board selection, and management team development and selection, and these beliefs do not change quickly. In our experience, there are other causes as well.

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Calculating the Market Value of Leadership

Harvard Business Review

GAAP and FASB standards require financial reporting of earnings, cash flow, and profitability – all measures that investors have traditionally examined. The leadership ratings index we have developed has two dimensions, or domains: individual and organizational. from top to bottom, bottom to top, and side to side)?

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How B2B Software Vendors Can Help Their Customers Benchmark

Harvard Business Review

One of its business units, Fieldglass, provides insights and benchmarks to customers on external workforce management. Imagine if all manufacturers had, for example, a supply chain efficiency score, or all companies had a leadership development score.