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Calculating the Market Value of Leadership

Harvard Business Review

In recent years, investors have learned that defining the market value of a firm cannot just be based on finances. But recently, these financial outcomes have been found to predict only about 50% of a firm’s market value. Financial markets Performance measurement Leadership'

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Why Quants Should Manage Your Supply Chain Risk

Harvard Business Review

When Thai flooding created significant shortages in the hard disc drive market, manufacturers lost millions of dollars. This is especially true in supply chain risk management, although those high-profile one-off events do not necessarily represent the largest portion of risks that should be addressed regularly by supply chain managers.

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Robo-Advisers Are Coming to Consulting and Corporate Strategy

Harvard Business Review

Robo-advisors, which were introduced in 2008 , are steadily eating up market share from their human counterparts much the way that Amazon and Netflix have taken share from Walmart and Regal Cinemas. A study by Deloitte estimated that “assets under automated management” (including hybrid offerings) in the U.S. ZB by 2020.

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Can JP Morgan Transparently Police Itself?

Harvard Business Review

What makes this case of corporate accountability so important is that it is a discretionary matter of "private ordering" under JP Morgan risk management policies, not under a mandatory rule contained in Dodd-Frank. Risk for one part of the bank might not be appropriate for another part of the bank.

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4 Models for Using AI to Make Decisions

Harvard Business Review

Even better, they would respond 10 times faster to market moves than existing processes while requiring minimal human intervention. Top management would have to trust its computationally brilliant bidding software. Machine learning algorithms stress-test and risk-manage other machine learning algorithms.

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When High-Return Bank Businesses Go Bad

Harvard Business Review

financial institution has pulled back or failed, there has almost always been a European bank or a Japanese bank or some other player willing to take over its trading operations or enter the market in its place. When a U.S. But, from newspaper reports, it appears to be another high-return financial business gone bad.

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How Blockchain Is Changing Finance

Harvard Business Review

To be sure, blockchain may enable incumbents such as JPMorgan Chase, Citigroup, and Credit Suisse, all of which are currently investing in the technology, to do more with less, streamline their businesses, and reduce risk in the process. After all, how do you cut cost from a business or market whose structure has fundamentally changed?