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Shareholder Value

IBM: A Lesson for American Business

Peter A. Georgescu | Posted 02.12.2015 | Business
Peter A. Georgescu

I see in its story a larger lesson about the maximization of shareholder value and how it distracts an executive team from the real job of business: to create new customers by luring them into the fold with new solutions and new products.

Bill Clinton's Corporate Idylls

Robert L. Borosage | Posted 11.25.2014 | Business
Robert L. Borosage

Bill Clinton predicted corporations would soon care less about maximizing profits and more about employees and society. Sadly, there is little to suggest that big corporations and investors have gotten the former president's message, or that executives share his fantasy. Current trends suggest the reverse.

How B Corps Might Slay the Dragon of Maximizing Shareholder Return

Dan Pontefract | Posted 11.02.2014 | Business
Dan Pontefract

Maximizing shareholder return is not sustainable, nor is it the way in which a corporation should be run. B Corps, however, just might provide a little levity if not innovation to curbing this financial only fallacy of shareholder return myopia once and for all.

The Catalyst, or How I Learned to Stop Worrying and Love Change

Spiros Margaris | Posted 10.12.2014 | Business
Spiros Margaris

Every company should involve an Innovation Catalyst, who in his role assists the board of directors and the executive board; asks them tough, critical questions; and identifies possible solutions.

Perhaps We Need Corporate 'Loyalty Oaths'

Dave Johnson | Posted 10.05.2014 | Business
Dave Johnson

We have drifted very far from our understanding of the relationship that is supposed to exist between We the People, our government, and the businesses that our government allow to exist.

Capitalism With a Conscience

Peter A. Georgescu | Posted 07.07.2014 | Business
Peter A. Georgescu

There has been a lot of debate about raising the minimum wage lately, but Whole Foods appears to be ahead of the game--and other companies ought to take note.

Google Shows Us the Way

Peter A. Georgescu | Posted 05.27.2014 | Business
Peter A. Georgescu

The quiet emergency we face in our economy and in the world of business management is to find a new GPS with which to guide our growth. Keeping shareholder value as our lodestar in the executive suite will only widen the perilous income gap in the developed world.

The Need to Build Virtuous Organizations

Frank Islam | Posted 02.17.2014 | Business
Frank Islam

We don't know how many virtuous organizations there are in the United States today. We do know that we need more -- many more.

The Trillion Dollar Money Pump for the 1 Percent

Stan Sorscher | Posted 01.23.2014 | Politics
Stan Sorscher

The first step toward disabling the trillion-dollar money pump is within our power as individuals. We can recognize a key human value -- the dignity of work. We are all connected to our communities. We all do better when we all do better.

How Big Finance Crushes Innovation and Holds Back Our Economy

Lynn Parramore | Posted 09.25.2013 | Business
Lynn Parramore

Whatever happened to innovation in America? President Obama told us that our future depends on it. Across the political spectrum, everyone pretty much agrees that innovation is vital to prosperity. So why aren't we getting the job done?

Realigning Purpose, Getting Things Done

Judith Samuelson | Posted 05.20.2013 | Business
Judith Samuelson

I just returned from a great exchange of ideas organized by the Kellogg School of Management's Public-Private Initiative and the Aspen Institute. A key driver in the behavior of business and capital markets is how we describe -- and measure -- the purpose of the business corporation.

Why You Should Be Sick of Secret Health Insurer Politicking

Jack Ucciferri | Posted 10.07.2012 | Politics
Jack Ucciferri

The majority of Americans believe that secret corporate money in politics is a bad thing for democracy, but what about the real life (and death) impacts on the millions of people who passively own part of the company and/or purchase its services?

Does a Trade-off Need to Stay a Trade-off?

Roger Martin | Posted 03.20.2012 | Business
Roger Martin

Will there continue to be trade-offs between shareholder value maximization and social good? Absolutely. We live in an imperfect world. Does there have to be a trade-off between the two in all instances? Only if we collectively decide to make it so. Let's not.

Little Sally Learns About the Toxicity of Shareholder Value Maximization

Roger Martin | Posted 03.19.2012 | Business
Roger Martin

If given forthright answers, even a 10-year-old can figure out that shareholder value maximization isn't even vaguely motivating for employees. And yet it is a common rallying cry for many companies. Pathetic.

Steve Jobs Made Sure Apple's Main Mission Was Satisfied Customers, not Profits

Judith Samuelson | Posted 12.11.2011 | Business
Judith Samuelson

Focus on quality and excellence in delivering goods and services -- and ultimately, you create value for everyone who touches the enterprise -- the customers, as well as investors. Indeed, like Apple, you might change the world.

Note to Gekko: Governance is Good

Rev. Seamus P. Finn, OMI | Posted 10.03.2011 | Religion
Rev. Seamus P. Finn, OMI

Good governance that includes a system of checks and balances in corporations can assure that the rights and responsibilities of all are respected. Faith-based investors can hardly ignore these priorities and opportunities.

Could Egypt Become the World's Most Advanced Democracy?

Keith Harrington | Posted 08.12.2011 | World
Keith Harrington

True democracy will fail to emerge in Egypt unless its people turn their attention to one critical factor that is going largely ignored amidst all the transitional hubbub -- the economy.

Who's Responsible for the Oil Spill in the Gulf...You? A Case for Socially Responsible Investing

Darron Stover | Posted 05.25.2011 | Business
Darron Stover

Do you know what's in your portfolio? Are you aware of and comfortable with the ethical standards employed by the companies you've invested in?

Country and Company: Part II - Aligning Goals

Ralph Gomory | Posted 05.25.2011 | Business
Ralph Gomory

Without balanced trade productive companies operating in the United States are open to continuing assault from foreign entities advantaged by their governments.

Creating Shared Value

Peter Brabeck-Letmathe | Posted 05.25.2011 | Business
Peter Brabeck-Letmathe

If you fail to work on behalf of the public interest and take shortcuts that place the public at risk, you also will fail your shareholders.

Country and Company: Part I - Divergent Goals

Ralph Gomory | Posted 05.25.2011 | Business
Ralph Gomory

While it is tempting to blame the succession of economic crises on greedy executives, sub-prime mortgage pushers and others of that ilk, it is in fact much more a system problem than a sudden widespread collapse of human nature.

Living and Dying American

Stephen Herrington | Posted 11.17.2011 | Healthy Living
Stephen Herrington

Back then a typical Republican was to the left of the Clintons. Nixon was a transition. It took Reagan to really define the world in which we now live, in which merit is no longer of value.

In Which I Come Face-to-Face with the American Investor

Stanley Bing | Posted 05.25.2011 | Business
Stanley Bing

Is it possible, that at some time in the future, the welfare of the companies we serve could be divorced from the fear, the greed, the feral hysteria of the securities marketplace?

Leadership is More Than Profit

Margaret Blair and Ralph Gomory | Posted 05.25.2011 | Business
Margaret Blair and Ralph Gomory

In the rush to globalization, the United States has tossed aside a crucial principle that guided the economic prosperity of the twentieth century: co...

John McCain's New Populism?

Diane Francis | Posted 05.25.2011 | Business
Diane Francis

McCain can "pledge" to reform Wall Street business practices all he wants, but he hasn't walked the walk in the Senate in past years, nor has his party ever done so.