Kissel, Neal; Reynolds, John
September 2003
Financial Executive;Sep2003, Vol. 19 Issue 6, p36
Academic Journal
In this article the author examines how successful capital management is the key to linking an organization's strategy with value growth. The author points to a study that examined some of the top performing companies in the world and found that one of the prevailing notions about operating a successful company was that exceptional value growth is rooted in superior profitability in the short term and superior growth in the long term. The author notes that both of these aspects are necessary and on their own a company cannot function at its full potential. The author examines some of the rules that companies follow in order to manage their capital within an integrated strategic and economic framework for determining how to most effectively allocate their resources. INSET: Standards for Capital Management.


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