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A Refresher on Internal Rate of Return

Harvard Business Review

There are a variety of methods you can use to calculate ROI — net present value , payback, breakeven — and internal rate of return , or IRR. The IRR is the rate at which the project breaks even. If the IRR is higher, it’s a worthwhile investment. Know what your project is worth in today’s dollars.

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Walmart Broadens ROI for Green Power

Harvard Business Review

Second, Bedore spoke about how Walmart thinks about its investments in green power: "There is an ROI calculation on all sustainability investments like on all projects, but.we We worship internal rates of return (IRR) to our detriment. EPA's latest list of the top 50 renewable energy buyers. look at where the investment gets us.

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What If Companies Managed People as Carefully as They Manage Money?

Harvard Business Review

As a result of capital superabundancy, global quantitative easing and relatively low demand for investments in R&D and capital projects, the after-tax cost of borrowing for many companies is at or near inflation, making the real cost of borrowing close to zero. How can we manage human capital better? Measure it. Monitor it.