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How To Really Measure a Company's Innovation Prowess

Harvard Business Review

So it began disaggregating return on equity into three components. Financial leverage (assets over equity). In the 1920s, while companies used return on equity to assess their performance, DuPont recognized that the single metric had its limits. Operating efficiency (sales over assets).

article thumbnail

How To Really Measure a Company's Innovation Prowess

Harvard Business Review

So it began disaggregating return on equity into three components. Financial leverage (assets over equity). In the 1920s, while companies used return on equity to assess their performance, DuPont recognized that the single metric had its limits. Operating efficiency (sales over assets).