Remove Balance Sheet Remove Fixed Costs Remove Operations
article thumbnail

There Is A Roadmap Through Today’s Financial Crunch

Chief Executive

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. We’re not going to final costs — just gross margin, and gross margin that is inflation-adjusted.

article thumbnail

Telecom's Competitive Solution: Outsourcing?

Harvard Business Review

In a rapidly changing industry ecosystem, heavy investments in hard infrastructure can burden balance sheets and limit flexibility. Bharti's innovative business model converted fixed costs in capital expenditure to a variable cost based on usage of capacity. telecom providers should take notice.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Exclusive: Jim Collins on ‘Thriving In Chaos’

Chief Executive

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.

article thumbnail

4 Types of Activist Investors and How to Spot Them

Harvard Business Review

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.