Life is full of curve balls, right.
Especially in business. But your management reflexes are good. You manage to connect enough times to stay in the game. Walk off the field with a win.
Ever try and hit a curve ball? You know, the pitch that dances this way and that way, that defies all the laws you ever learned about in business strategy.
If you are a decision maker at a mid-size company Vijay Govindarajan just threw you a curve ball. He threw this mind-bending pitch in a Harvard Business Review blog: Midsize Companies are Growing but Struggling to Earn Profits.
The pace of technological advancement today also means that continual improvement is more important than ever. Medium companies have no choice but to keep enhancing their investments in knowledge and innovation if they are to survive another day.Here’s a key thought: The pace of technological advancement today also means that continual improvement is more important than ever. Medium companies have no choice but to keep enhancing their investments in knowledge and innovation if they are to survive another day.
Sales grow, but the cost of experimentation and innovation is a sinkhole for profits. A giant sinkhole. The tradeoff for survival is your profits. Sorry, you can’t have both. The data, and analysis is all here
Vijay Govindarajan, the Coxe Distinguished Professor of Management at Dartmouth’s Tuck School of Business, is recognized as one of the leading business professors in the world. He’s an authority on strategy and innovation. When he speaks his clients, CEO’s of Fortune 500 companies, listen very attentively.
I suggest you do the same.
