The Idolbuster

JANUARY 17, 2013

She was working on a new technology to detect and quantify a particular RNA within a sample. Sabina explained the difficulty of creating a forecast for a new technology. Sabina explained that she felt “pressured to show there is value in doing the project, a positive NPV.

NPV 36

NPV Sample Project Metrics 36

Harvard Business Review

DECEMBER 23, 2013

If you were looking for a theme song that captures marketing today, you could do worse than pick Queen’s anthem “Under Pressure.” Marketing is under pressure to show results, cut costs, and drive growth. Marketers should welcome it. In our experience, marketing can increase marketing ROI (MROI) by 15 – 20 percent.

Marketing 11

Marketing NPV Short-term Net Present Value 11

Harvard Business Review

APRIL 19, 2011

The CEO and CFO responded with, "A failure to hit ROI and NPV targets." The head of R&D remembered it as a failure to properly market the innovation. The Chief Marketing Officer recalled that sales and distribution did not achieve planned market presence. Introduce Celebrating Failure Day.

NPV 16

NPV ROI CFO Consensus 16

Harvard Business Review

JANUARY 21, 2016

This is especially true in the commercial buildings market, specifically large commercial buildings, where well over 75 percent of existing buildings will still be in use in fifteen years’ time. Today large commercial buildings address only two percent per year of the NPV-positive investments in efficiency that are available to them.

NPV 8

NPV Energy Efficiency Technology 8

Harvard Business Review

FEBRUARY 24, 2014

While on the surface, the dirty business of fossil fuels is nothing like Silicon Valley, many in the oil business have moved beyond the standard net present value (NPV) model for assessing the merit of investments. Consider the rapid progress Facebook has made on mobile, not only domestically, but in emerging markets.

NPV 8

NPV Net Present Value Industry Video 8

Harvard Business Review

APRIL 27, 2017

But I long for actions that go beyond admonitions to managers and boards to do better, that give both parties a better chance to stand up to capital markets players, like activist hedge funds, pressuring them to become too short-term focused. However, unlike a bond, common equity is not long-term/forever on predetermined, immutable terms.

Hedge 9

Hedge Short-term Long-term NPV 9