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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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Match Your Innovation Process to the Results You Want

Harvard Business Review

When forced to present familiar metrics for truly out-of-the-box "beginning" ideas, work teams develop what our friend Jay Paap calls "Imaginary Numbers." As for decision-making there is one simple rule in pursuit of breakthroughs: "The higher the goal the higher the role."

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Only the CEO Can Make the Big Bets

Harvard Business Review

And using net-present-value estimates for "beginning" ideas is nuts. We say, "The Higher the Goal, the Higher the Role." Because they know they would get laughed out of the room if they were to advocate for a hunch. Skating to where the puck is now is not being customer-driven. It's being customer-reactive.

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How CMOs Can Get CFOs on Their Side

Harvard Business Review

CFOs are more interested in capital investment estimates, net present values, and a clear outline of the trade-offs of any investment. Together with the CFO, the CMO must develop a set of objectives that directly deliver on financial objectives and business goals. Help CFOs focus on the long term.

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How to Improve Your Finance Skills (Even If You Hate Numbers)

Harvard Business Review

But having a grasp of terms like EBITDA and net present value are important no matter where you sit on the org chart. The Refresher: Net Present Value. ” The goal is to develop an understanding of how your day-to-day actions help your employer to “drive revenue or mitigate costs,” he says.

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The Big Trends Changing Community Development

Harvard Business Review

What began as charity-minded Corporate Social Responsibility (CSR) programs have evolved into pursuits of “shared value.” For example, BHP Billiton , the world’s largest mining company, runs one of the world’s most effective anti-malaria programs in Mozal Mozambique.

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A Refresher on Price Elasticity

Harvard Business Review

“A marketer’s goal is to move his or her products from relatively elastic to relatively inelastic,” she continues. Once you do that, you can adjust price up or down to better represent the level of value you are providing to your customers.

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