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Leadership Is About Alignment

Tanveer Naseer

There are as many definitions for leadership as there are companies that have leaders, yet at the core, leadership is about alignment. In fact, leaders leave companies when their personal values clash with the corporate values. When you do something that is against your values, you are out of internal alignment.

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What Shareholder Value is Really About

Harvard Business Review

First, he or she needs to internalize the true meaning of creating shareholder value. Second, he or she needs to understand how capital markets work. Creating Shareholder Value. Critics imply that managing for shareholder value is all about maximizing the short-term stock price. Understanding Capital Markets.

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Beware of Short-term Management, Not the Short-term Investor

Harvard Business Review

A firm's long-term value should correspond to the present value of future expected cash flows. It apparently takes a courageous and confident board member to second-guess the market! These short-term decisions have the potential to destroy long-term value.

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What If Investors Who Held Their Shares Longer Got More Voting Power?

Harvard Business Review

Joe Bower and Lynn Paine “had me at hello” (to quote Jerry Maguire ) with their new HBR article, “ The Error at the Heart of Corporate Leadership.” ” Laying out their data, they find that long-term oriented companies create more financial value and more jobs. The Refresher: Net Present Value.

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A Blueprint for Digital Companies’ Financial Reporting

Harvard Business Review

On June 25, 2018, Facebook lost market capitalization of more than $100 billion in just two hours of trading after it announced its quarterly performance, despite exceeding analysts’ earnings forecasts. This example illustrates that investors consider information beyond just earnings as value-relevant. What caused this slump?

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Don’t Let Your Company Get Trapped by Success

Harvard Business Review

This can be quantified by analyzing the extent to which the share prices of S&P 500 firms are driven by a firm’s present value of future growth options (PVGO) rather than cash flow from current operations. Eventually the company is likely to be out of touch with changing market requirements.

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Is Your Business Biased Against Innovation?

Strategy Driven

Many conventional metrics we use to estimate value are based on faulty assumptions. Net present value [NPV] is a case in point. With Discovery-Driven Growth , Rita and Ian offer managers everywhere a time-tested blueprint for planning and executing a strategic growth agenda with confidence – in any market.