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In an effort to improve the financial viability of the remaining nuclear fleet, industry executives launched the Delivering the Nuclear Promise initiative; challenging employees and vendors to identify innovative ways to improve efficiency, reduce costs, and raise revenues while maintaining operational safety and reliability.
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.
You need to think like a portfolio manager, allocating resources both to innovate in your core and for the future. Knowing that today’s operations will almost always win the lion’s share of resources, you need to consciously create a protected class of innovative ideas to invest in, even if money is tight.
It starts with a trickle : To illustrate this challenge from my own experience, let's look at the example of drip irrigation , a technology that has been around for more than 50 years. This technology has been shown to save water and labor, and to increase yield in a variety of crops. In the trenches : Why is behavior entrenched?
Since then, we interviewed several chief financial officers (CFOs) of leading technology companies and senior analysts of investment banks who follow technology companies. Business students have traditionally considered net present value, paybackperiod, and hurdle rates as necessary tools to determine which project to select.
The parallels with business are clear: Stars are a crucial but perhaps fragile source of innovation and competitive advantage. Both these efforts help the paybackperiod arrive sooner, making collaboration a smarter investment for the next wave of people. Likewise, your actions can make the benefits start to flow sooner.
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