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Why We Need to Update Financial Reporting for the Digital Era

Harvard Business Review

Financial capital is assumed to be virtually unlimited, while certain types of human capital are in short supply. Furthermore, the operating managers cannot take their eyes off day-to-day operations to focus on innovation. First, they create a new venture capital (VC) arm within the existing organizational set up.

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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. To gain more insights into a specific firm, investors have shown more interest in intangibles like strategy, brand, innovation, systems integration, collaboration, and so on.