Strategy Driven

JULY 13, 2011

Supplementing profits with ROIC and revenue growth is a step in the right direction to ensure that the profits a business earns are actually creating value, not simply over-consuming capital that another company could better deploy. However, profits, ROIC, and revenue growth are backward looking.

ROIC 62

ROIC Balanced Scorecard Metrics McKinsey 62

Harvard Business Review

DECEMBER 19, 2011

Retail store asset productivity has been in decline since the recession of 2007 and we believe that this trend will accelerate over the coming years. Best Buy's ROIC has declined from 23.68% to 15.01% percent since 2007, while domestic sales per square foot (including online sales) declined from $909 to $853 during this same period.

ROIC 12

ROIC Retail Mass Marketing Price 12

Harvard Business Review

MAY 28, 2018

” This feedback helped Oka, an industry outsider, convince President Kazuo Ushida, a 40-year veteran of Nikon’s technology businesses, that the company needed to revisit its dialogue with investors. It would implement targets linked to shareholder value, including ROE and ROIC.

Company 8

Company ROIC CFO Restructuring 8