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Innovation is a Lifestyle, Not a Bunch of Metrics

Innovation Excellence

Far too many supposed innovation experts believe that measuring activities is critical to success. Innovation activities simply for the sake of doing something without context and insight from the measure may be in fact very misleading. Persistent growth, profit, ROI and NPV are the obvious measures, Maybe not so much.

NPV 99
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Hospital Budget Systems Are Holding Back Innovation

Harvard Business Review

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. health care system.

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Rethinking Valuation So You Don't Miss a Good Deal

Harvard Business Review

Since the Three Horizons represent different levels of uncertainty, they need to be managed and valued differently. The higher level of uncertainty associated with H2 and H3 necessitates an updated valuation methodology that takes into account more than the net present value (NPV) of the target.

NPV 14
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The Worst Failure of All Is Wasting a Failure

Harvard Business Review

Sebell (mark@creativerealities.com), who are managing partners at Creative Realities, Inc. a Boston-based innovation management collaborative. We often ask executives to tell us about their biggest innovation failures. The CEO and CFO responded with, "A failure to hit ROI and NPV targets." Triage the failures.

NPV 16
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Lafley’s P&G Brand Cull and the 80/20 Rule

Harvard Business Review

Instead of focusing on innovation, as he did during his first tour as CEO of the world’s largest consumer packaged goods firm, Lafley is now innovating on focus. “Importantly, this will be a much simpler, much less complex company of leading brands that’s easier to manage and operate.” innovation.

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Why Some Digital Companies Should Delay Profitability for as Long as They Can

Harvard Business Review

This has led to high levels of AWS specific investment from innovators like CloudHealth Technologies, Qubole, Mapbox, and the like. Next time you're deciding about a big investment, NPV can help you make a more informed decision. And that is a very important difference driving the behavior of managers in industrial era firms.

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Reflecting on David Garvin’s Imprint on Management

Harvard Business Review

Garvin was a generalist more than a specialist, perhaps because he came of age at HBS during the 1980s, when the school’s primary focus was the development of skilled general managers. Kaplan’s balanced scorecard or Clayton Christensen’s disruptive innovation. He didn’t produce one signature idea, like Robert S.