Remove Accounts Remove Fixed Costs Remove Scaling
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The End of Traditional Ad Agencies

Harvard Business Review

Victors and Spoils (V&S), where John is CEO, for example, wanted to land the Harley Davidson account after the motorcycle maker split with its long-time agency. V&S ultimately presented 65 of the ideas to Richer and landed the account. MoFilm, Poptent, and Tongal, for example, focus on video production for television and web films.

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Bringing the Power of Platforms to Health Care

Harvard Business Review

They’ve organized, scaled, and automated the myriad administrative details involved in such a way as to minimize the barrier to entry and limit the potential for error, miscommunication, or unwarranted variation. On any given day in America, 40% of hospital beds lie empty, their enormous fixed costs weighing heavily on the system.

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When M&A Is Not the Best Option for Hospitals

Harvard Business Review

Historically, larger scale has offered hospital systems a number of advantages, including increased referral volumes, better access to capital, stronger pricing power, and classic cost economies. For instance, larger scale has enabled many hospital systems to lower their per-patient operating costs significantly.

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Health Systems Need to Completely Reassess How They Manage Costs

Harvard Business Review

Contracted services account for significant fractions of all hospitals’ operating expenses. Yet whether economies of scale truly exist in hospital operations remains questionable. They also do not represent sustainable, long-term change. Roughly two-thirds of all hospitals are part of these systems.

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Tackling the “Hotspotter” Patient Challenge

Harvard Business Review

A fascinating business dynamic will unfold as health care providers in the United States shift from a reimbursement system that has historically paid for procedures performed to one that rewards population health — providing the total care of a community at a fixed cost and improving its members overall health.

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Managing Increased Costs and Margins In an Inflated World

Zenefits

Managing inflating costs can be difficult for companies, particularly with high fixed costs like infrastructure or manufacturing. Survival in an inflating economy requires businesses to find ways to keep costs down while still meeting customer demands. No account yet? Any of the above. Back to Vote. Remember Me.

Manager 52
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Groupon Doomed by Too Much of a Good Thing

Harvard Business Review

This is the essence of Groupon's declaration last week that it will remove the controversial accounting metric called Adjusted Consolidated Segment Operating Income (ACSOI) from its financial statements. ACSOI essentially measures Groupon's profits before subtracting its subscriber-acquisition costs and stock option-based compensation.