Remove Efficiency Remove Innovation Remove Marketing Remove Present Value
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What Xerox PARC Learned About Executing on Open Innovation

Harvard Business Review

The concept of open innovation has moved from business phrase to business reality over the last ten years. When PARC became a for-profit subsidiary of Xerox to practice open innovation in 2002, Henry Chesbrough had not yet published his book Open Innovation and the concept was not well understood.

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How to Quantify Sustainability’s Impact on Your Bottom Line

Harvard Business Review

We found that sustainable and deforestation-free practices created significant financial benefits for all players in the industry’s value chain. Specifically, our analysis found that the net benefits to ranchers ranged from $18 million to $34 million (12% to 23% of revenues) in net present value projected over 10 years.

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Don’t Let Your Company Get Trapped by Success

Harvard Business Review

This can be quantified by analyzing the extent to which the share prices of S&P 500 firms are driven by a firm’s present value of future growth options (PVGO) rather than cash flow from current operations. Eventually the company is likely to be out of touch with changing market requirements.

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Shape Strategy With Simple Rules, Not Complex Frameworks

Harvard Business Review

Once they understood the rules and their underlying rationale, ALL's employees generated a series of innovative proposals based on what they had to work with. That system was efficient, but the new management team decided that, at this moment in its history, the company needed adaptability more than efficiency.

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Why Those Guys Won the Economics Nobels

Harvard Business Review

You know, the future value of money, the present value of money — money today is worth more than in the future because you can invest it and get interest. You’d have this beta with the market, so you have the riskless rate plus beta times the equity premium. When the Riksbank Prizes in Economic Sciences (a.k.a.

CAPM 8
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Is Your Business Biased Against Innovation?

Strategy Driven

Many people do not typically think of metrics and accounting as roadblocks to innovation, yet you call these out as potential problem areas. Many conventional metrics we use to estimate value are based on faulty assumptions. Net present value [NPV] is a case in point. Take a doctor’s office.