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To avoid being caught spending vast sums on half-vast results, CXOs would be wise to link a big-data project to the development of a rigorous metrics program — something like the Balanced Scorecard, which is more likely than CapEx or financial ROI to capture the full results of big-data applications downstream and across multiple process groups. (..)
Here’s one of the more compelling examples highlighted in the paper: One of Shell’s joint ventures, Petroleum Development Oman LLC (PDO), uses constructed wetlands to treat produced water from oilfields. In all of the completed corporate projects, the green option won out toe-to-toe on capital expenditures and operational expenditures.
While security executives have a reputation for stymieing operations and product development with the burdens of technical operations, their role is actually to enable business. Ensure that the organization develops and implements a cybersecurity curriculum for all employees. Their job, in fact, depends on it.
If asked about cost savings, be ready to deliver your pitch on how you intend to reduce or eliminate capex spending, reduce personnel resources, move services to a pay by month model eliminating long term contracts and ultimately reduce your annual budget by a modest percentage year over year over a 3-5 year period of time.
and European corporations, from CI-trained analysts in marketing, business development, strategy, R&D, finance, and other fields. One analyst told us that their company had stopped development on a project that was consuming lots of local resources after the analysis indicated it wouldn’t be effective.
Are you focusing opex and capex on these priorities in order to build competitively differentiated capabilities? One CEO we know worried that some principles developed by his senior team were too generic to help them evaluate different operating model options. None of these are easy questions. ” he asked. .”
It started with developing a proprietary Corporate Horizon Index. To construct our Corporate Horizon Index, we identified five financial indicators, selected because they matched up with five hypotheses we had developed about the ways in which long- and short-term companies might differ. rate for other companies.
Stress tests are a specific form of simulation developed by the Federal Reserve and other central banks to allow them to figure out how badly a given financial institution’s portfolio would hold up if there was a broad sell-off across a bunch of asset classes, or a specific kind of shock like what we suffered in 2008. .”
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