Hospital Budget Systems Are Holding Back Innovation

Harvard Business

The audience for such innovation wants to be receptive: A recent American Hospital Association (AHA) survey found that 75% of senior hospital executives endorsed the importance of digital innovation. Yet, despite their stated enthusiasm, hospitals have been notoriously slow to adopt digital innovations. operating rooms, recovery floors, emergency department), and ancillary departments (e.g., Problem 2: Rigid annual operating budgets. Gillian Blease/Getty Images.

Why We Need to Update Financial Reporting for the Digital Era

Harvard Business

However, many investors seem to have concluded that the most successful companies with tens of billions of dollars of valuation today could never have justified their valuation at the start of their operation based on discounted cash flow. Business students are taught to value a company based on the discounted amounts of future cash flows or earnings. Martin Konopka/EyeEm/Getty Images.

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How Corporate Investors Can Improve Their Odds

Harvard Business Review

The operative question for them is, not “How confident am I that this investment will yield a positive return?” By contrast, for corporate innovators each idea needs to carry its own weight. Ideas with positive discounted cash flows get investment. It’s hard to get good data on innovation success rates, but most corporate leaders will report that even close-to-the-core efforts fail to deliver on their promise at least a third of the time.