Chief Executive

MAY 26, 2022

Manage your business “on the basis of cash, not on the basis of accounting,” Charan said, reminding his audience that Jeff Bezos built Amazon into a multi-billion-dollar company partly by putting cash on the throne of his operating philosophy. CFOs may want to guide their companies “to grow cash generation” instead of revenues per se.

Cash Flow 52

Cash Flow Digital Transformation Fixed Costs Balance Sheet 52

Chief Executive

JULY 25, 2022

You see people who maintain highly conservative balance sheets and enormously prudent financial positions. If I could pick the one thing that I would change in how executives lead companies by magically waving a wand, it would be the timeframe in which they operate—that you manage for the quarter century, not the quarter.

Balance Sheet 98

Balance Sheet Assets Engineering Operations 98

Harvard Business Review

MARCH 31, 2017

“The decision-makers will want to see a simple model that shows revenue, costs, overhead, and cash flow,” he says. The most important concepts to grasp are “how to measure profitability, EBITDA, operating income, revenue, and operating expenses,” he says. What if revenue was higher?

Balance Sheet 15

Balance Sheet Metrics Revenue Cash Flow 15

Harvard Business Review

APRIL 9, 2015

It indicates what is left after all costs and expenses are subtracted from the company’s revenue. For example, “revenue” isn’t a cash-based number: A company can record revenue whenever it ships a good or delivers a service to a customer, whether or not the customer has paid the bill.

ROI 15

ROI Cash Flow Revenue Balance Sheet 15

Harvard Business Review

OCTOBER 7, 2015

This typically means they look to re-engineer the balance sheet to increase shareholder yield, over the shortest amount of time possible, which typically ranges between six to twelve months. Sometimes it doesn’t make sense for companies operating in the same space to continually compete. Example: Jolly Inc.

Balance Sheet 12

Balance Sheet Cash Flow Revenue Reorganization 12

Harvard Business Review

SEPTEMBER 16, 2016

For example, at the end of its 2015 fiscal year, Apple’s balance sheet stated tangible assets of $290 billion as a contribution to its annual revenues, with approximately $141 billion worth of intangible assets — a combination of intellectual capital, brand equity, and (investor and consumer) goodwill.

Balance Sheet 13

Balance Sheet Assets Insurance Operations 13

Harvard Business Review

APRIL 28, 2015

That fact becomes apparent when you juxtapose the balance sheet of a company like Microsoft with the balance sheet of a company like Siemens. Unlike their industrial peers, managers of asset-light businesses focus little on the balance sheet. It’s as simple as that. The challenge? Consider the 2.4

Balance Sheet 14

Balance Sheet Manager Assets Software 14

Harvard Business Review

AUGUST 24, 2012

Working to find and fix errors is part and parcel of most operational processes, and once they turn a harsh eye on non-value-added work, most leaders can root it out. Since customers don't complain about that, you've lost the opportunity to collect revenue you're due. These costs are estimable.

Balance Sheet 15

Balance Sheet Operations Assets Revenue 15

Harvard Business Review

MARCH 14, 2017

First, blockchain could help relieve a large balance-sheet liability that many in the industry are facing. Loyalty programs have long relied on cobranded cards and partnerships to sell points and generate incremental revenue. Early adopters could benefit considerably.

Travel 15

Travel Balance Sheet Banking Revenue 15

Harvard Business Review

JUNE 27, 2017

Most offices have adequate but aging lighting systems that often operate inefficiently, can waste vast amounts of energy, and annoy employees. Importantly, this advancement in controls technology allows the lighting system to be controlled, owned, and operated by a third party, shifting the investment off the building’s balance sheet.

Balance Sheet 13

Balance Sheet Energy Operations Assets 13

Harvard Business Review

FEBRUARY 26, 2018

Similarly, Microsoft paid $26 billion for loss-making LinkedIn in 2016, and Facebook paid $19 billion for WhatsApp in 2014 when it had no revenues or profits. This becomes clear when you look at a company’s two most important financial statements: the balance sheet and the income statement.

Balance Sheet 8

Balance Sheet Assets Revenue Accounts 8

Harvard Business Review

APRIL 4, 2016

” Another reason you might see a very high ROA is if a company is messing with its balance sheet, explains Knight. Since it’s a measure on the return you’re making in the operations of your business, it can be used by industrial or manufacturing companies to measure efficiency. Take Enron.

Assets 14

Assets Balance Sheet Cash Flow Banking 14

Harvard Business Review

JULY 15, 2016

Today the company has annual revenues above $20 billion, competes in healthcare and electronics operations and derives significant revenues from document solutions. After all, they have many capabilities that entrants are racing to replicate, such as access to markets, technologies, and healthy balance sheets.

Balance Sheet 15

Balance Sheet Digital Transformation Engineering Revenue 15

Harvard Business Review

MAY 8, 2012

In a rapidly changing industry ecosystem, heavy investments in hard infrastructure can burden balance sheets and limit flexibility. Bharti has enjoyed compounded annual growth in sales revenues of 120% and growth in net profits of 282% per year between 2003 and 2010. to $0.005 per minute, perhaps the lowest rates in the world.

Balance Sheet 12

Balance Sheet Variable Costs Telecommunications Fixed Costs 12

Harvard Business Review

JULY 12, 2017

It breeds indifference, which in turn breeds a yawning gap between underwriters, whose balance sheets absorb risk (the risk takers), and customers, whose enterprises create risks (the risk makers). In 2015 these top three players generated 48% of the revenues among the top 50 brokers in the U.S.

Insurance 15

Insurance Balance Sheet Assets Revenue 15

Harvard Business Review

OCTOBER 11, 2018

.” With all these success stories and such a heady reputation, one might expect to see companies trumpeting sustained revenue growth, permanent reductions in cost structures, dramatic improvements in customer satisfaction, and other benefits. Except for very few, this hasn’t happened. Structure and culture are also a concern.

Balance Sheet 14

Balance Sheet Assets Scaling Engineering 14

Harvard Business Review

APRIL 10, 2013

I met Slovenian entrepreneur, Sandi Cesko, in 2007 when his Ljubljana -based multi-channel retail operation, Studio Moderna , had about $70 million in sales. Scale-up means growth, and growth means jobs, wealth, and tax revenues. Stay off of ventures'' balance sheets — and get onto their income statements.

Balance Sheet 10

Balance Sheet Government Scaling Cash Flow 10

Harvard Business Review

AUGUST 12, 2016

Most of these companies are private and don’t publish their balance sheets. The 300,000 companies in the association’s data set have more than doubled their profits from operations over the past 13 years, outpacing their corporate counterparts in the country. This success is no blip.

Balance Sheet 14

Balance Sheet B2B Recruitment Retention 14

Harvard Business Review

NOVEMBER 7, 2013

At its peak, the company operated 10,000 stores. homes have broadband , and network operators continue to invest in ever-faster cable, satellite, and fiber-based technologies. Revenue and profits continued to decline. The Blockbuster-Netflix skirmish is a case in point. For years, Blockbuster seemed unbeatable. postal service.

Balance Sheet 10

Balance Sheet Assets Digital Transformation Operations 10

Harvard Business Review

OCTOBER 31, 2017

That strengthened investment banks’ balance sheets by forcing them to scale back and to change the nature of the risks they take. As a result, their balance sheets are half as large on a risk-adjusted basis, and the capital they hold against trading positions has doubled over the past decade, our research shows.

Banking 8

Banking Balance Sheet Assets Compliance 8

Harvard Business Review

SEPTEMBER 25, 2014

Consider the example of a manufacturer of production equipment that collects sensor-based telemetry about its machines’ operations, the status of their parts, their performance, their resource consumption, and other data. The ultimate goal is to treat information as a tangible flow rather than an intangible asset stuck on the balance sheet.

Balance Sheet 10

Balance Sheet Assets Diversity Operations 10

Harvard Business Review

OCTOBER 20, 2014

And this addresses the commercial value creation question – P&G’s mindset was to create operational efficiencies that would contribute to healthy EBITDA margins. In many companies, these types of data assets are currently assigned rough valuations and classified as “intangible” or “goodwill” on the balance sheet.

Balance Sheet 8

Balance Sheet Cash Flow Assets Operations 8

Harvard Business Review

SEPTEMBER 25, 2014

Consider the example of a manufacturer of production equipment that collects sensor-based telemetry about its machines’ operations, the status of their parts, their performance, their resource consumption, and other data. This monitoring turns up an anomaly at a key customer that indicates a failure is imminent.

Balance Sheet 8

Balance Sheet Assets Diversity Operations 8

Harvard Business Review

SEPTEMBER 25, 2017

Stung by a series of risky foreign adventures that came back to bite them, most large global banks in Europe and the United States have retreated from foreign operations. For instance, before the crisis, the three largest German banks had two-thirds of their total assets in foreign markets; today it is only one-third.

Banking 8

Banking Assets Balance Sheet Marketing 8

Harvard Business Review

FEBRUARY 7, 2018

Today, many companies are exposed to intelligent device risks that could harm both their own operations as well as their customers. Yet few have formally quantified the size of their revenue at risk and potential liability. Intelligent Device Recovery Plans. Insight Center.

Insurance 8

Insurance Balance Sheet Government Scaling 8

Harvard Business Review

MAY 9, 2018

Walter Thompson Company for $566 million in 1987 and Ogilvy for $864 million in 1989 — big acquisitions that stretched the company’s balance sheet. It sought to maintain a strong M&A pipeline that was about five to 10 times its annual target for increasing revenue through acquisitions. Corning spent a net $3.2

Balance Sheet 8

Balance Sheet Sales Sales Revenue 8

Harvard Business Review

OCTOBER 30, 2017

So is John Rice, the head of global operations, along with CFO Jeffrey Bornstein. Increase operating margins to 18% (by cutting expenses). At GE the biggest problem in 2017 was major revenue misses in its power business.) Almost 20 years after Amazon was launched, it has massive revenue growth and barely has a meaningful profit.

Balance Sheet 8

Balance Sheet Revenue Assets Digital Transformation 8

Harvard Business Review

MARCH 2, 2016

The economy we’re operating in today may have been built to serve corporations, but not many corporations are doing well in the digital environment. Even the apparent winners are actually operating on borrowed time and, perhaps more to the point, borrowed money. It bills itself as a way of connecting drivers and passengers.

Assets 8

Assets Balance Sheet Operations A/B Testing 8

Peter Winick

NOVEMBER 25, 2024

Instead, they operate from a values-driven leadership model rooted in purpose, long-term thinking, and a commitment to societal impact. Bill Sherman Issue, and that’s on the wrong side of the line because it’s on the expenses rather than tied to revenue. Rajeev Peshawaria Exactly. So it’s a cost. Bill Sherman Right.

Compliance 221

Compliance Talent Development Education Risk Management 221

Chris LoCutro

NOVEMBER 12, 2024

I want to make sure that my forecast is operating really well. You know, here's brand new sales, here's monthly recurring revenue. Right where we would be doing events and we would have these months that would have just these fantastic amounts of revenue come in and then we would tank. Here's what the income should look like.

Assets 59

Assets Revenue Cash Flow Balance Sheet 59

Harvard Business Review

FEBRUARY 22, 2012

can benefit consumers and the economy with lower cost (although foreign operations often sell in foreign markets). Use of Revenues and Margins. Similarly, companies must be more forceful in explaining the uses of revenues and margins derived from offshoring/outsourcing's competitive cost structures and local appeal.

Balance Sheet 15

Balance Sheet Cash Flow Revenue Government 15