Growth’s Triple Crown

Three years ago, Deloitte Consulting LLP launched The Persistence Project to identify the management practices that contribute most to sustained, superior corporate performance. Preliminary results have been published in the Harvard Business Review and the Annals of Applied Statistics. This article is the fourth in a series, providing a preview of the project’s findings.

Editor’s Note: This particular “best practices” research project is especially interesting in … [ Read more ]

Michael Raynor, Ragu Gurumurthy and Mumtaz Ahmed with Jeff schulz and Rajiv Vaidyanathan

These [research] findings are in many ways consistent with both the conventional wisdom and the academic research on M&A. It is not uncommon to hear the refrain that acquisitions—especially larger ones—are systematically associated with lower profitability and lower shareholder returns for the acquiring firm. What we observe is that triple crown winners generate a mere 7 percent, on average, of their lifetime growth from M&A, … [ Read more ]