Remove Discounted Cash Flow Remove Innovation Remove Operations
article thumbnail

Hospital Budget Systems Are Holding Back Innovation

Harvard Business Review

The audience for such innovation wants to be receptive: A recent American Hospital Association (AHA) survey found that 75% of senior hospital executives endorsed the importance of digital innovation. Yet, despite their stated enthusiasm, hospitals have been notoriously slow to adopt digital innovations. health care system.

article thumbnail

How Corporate Investors Can Improve Their Odds

Harvard Business Review

The operative question for them is, not “How confident am I that this investment will yield a positive return?” By contrast, for corporate innovators each idea needs to carry its own weight. Ideas with positive discounted cash flows get investment. Innovation Project management' Those that don’t, don’t.

article thumbnail

Why We Need to Update Financial Reporting for the Digital Era

Harvard Business Review

However, many investors seem to have concluded that the most successful companies with tens of billions of dollars of valuation today could never have justified their valuation at the start of their operation based on discounted cash flow. Investors are paying more attention to ideas and options than to earnings.

Report 8