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jerryking : return_on_effort   6

FedEx Says Retailers Should Be Paying More for Web Delivery - WSJ
By LAURA STEVENS
Updated March 16, 2016

FedEx Corp. executives said retailers should be paying more for shipments to help offset the cost of expanding its network to meet the growing demands of e-commerce.....FedEx CFO Alan Graf said that it is important for the price of shipping an e-commerce package to reflect the effort it takes to deliver it. “We can’t build these networks and spend this kind of capital and not get a return on it,” Mr. Graf said in an interview....Mr. Smith said he thought it was unbelievable that some have suggested that Amazon would be able to build out a network to compete with FedEx and rival United Parcel Service Inc.

Just because Amazon has created a network of warehouses to support its retail operations, doesn’t mean that could translate to something akin to FedEx’s massive network for deliveries, Mr. Smith said. “The key driver of any delivery system is route density and revenue per delivery stop,” he said....One way that FedEx intends to boost its e-commerce returns is by increasing fees attached to the growing number of large shipments such as kayaks and other items that don’t fit into its ground network.

Mr. Smith blamed some of the trend in low-cost e-commerce expectations on the U.S. Postal Service, which it and other delivery companies, including UPS and Amazon, use to deliver packages the most expensive leg of the trip—to resident’s doors....
Fedex  e-commerce  retailers  shippers  package_delivery  couriers  return_on_effort  Amazon  UPS  USPS  last_mile  logistics  distribution_channels  delivery_networks  route_density 
march 2016 by jerryking
A billionaire’s guide to productivity - The Globe and Mail
FRED MOUAWAD
Contributed to The Globe and Mail
Published Wednesday, Feb. 11 2015

1. Prioritize. Rank the level of importance of family, me time, and work. Think about the areas of life that need nurturing in order to feel more fulfilled. It is essential to strike a balance to lead both a happy and productive life.

2. Allocate time (JCK: lead time) to maximize an impact (JCK: leverage or return on effort). Forewarned is forearmed. Plan ahead how you will use your time – after all, knowing your schedule is half the battle.

3. Know your natural penchants. If you find that the time spent on these activities does not give you a high level of return, consider allocating your time more thoughtfully.

4. Reduce uncertainty, increase accountability. A lack of clarity is productivity’s greatest enemy.

5. Know when to be a lone wolf. It is important to know your strengths. What tasks are you better off performing on your own? What tasks can you delegate?

6. Establish a nurturing culture. Productivity is easier to achieve in the right environment.

7. Measurement gets results-- measure performance to make continuous improvements. But make sure that you measuring the right things.
time-management  productivity  GTD  JCK  lead_time  priorities  strengths  self-discipline  business_planning  reflections  work_life_balance  uncertainty  clarity  affirmations  self-awareness  ksfs  preparation  penchants  predilections  measurements  proclivities  willpower  high-impact  time-allocation  return_on_effort 
february 2015 by jerryking
Hunting the gazelle
DECEMBER 7, 2007 | The Globe and Mail | by SEAN WISE.

If one is attempting to build relationships with fast growing companies, how does one decide which ones (of the thousands of small companies starting out) will become big companies - big enough to justify the cost of investing in them now?.......in an effort to ensure a shared nomenclature, here's a communal taxonomy to help classify the various types of ventures encountered.

• Mice are small companies that are likely to stay small. Think "Bob's Pizza"- they can serve a great slice of 'za but it is unlikely they will double in size annually.

• Elephants are large companies whose growth is constant, but at a low level. Think Royal Bank. Its revenues grow annually, but it is so large that the growth is negligible over the short term, yet noticeable over the long term. Unfortunately, these companies have a high client acquisition cost.

• Dogs are medium to large companies that are experiencing low or negative growth. Think "AOL". A great company, but its revenue is shrinking. In the venture capital business, I often refer to these companies as kennel capital, i.e., companies that should be put to sleep.

• Gazelles are young companies that are experiencing extreme, massive growth. For those that pitch them early, the CAC is low and carries with it a high return on investment. Think "Facebook".

From a cash flow perspective, all four business animals start at similar points, however, they diverge rather quickly. The green Mouse stays fairly consistent, growing and shrinking its cash flow over time - possibly as a result of seasonal conditions. Never is it losing money, but it's never really hitting it big, either. The yellow Elephant starts in the best cash flow position and grows consistently at a relatively reasonable CAGR (Compounded Annual Growth Rate - a common business term used to represent the annualized growth of the business). Backing an elephant is never a bad idea, it is in fact, the safest bet (no one ever got fired from trying to land an Elephant). Unfortunately, Elephants are hunted by all, and this in turn, drives up the customer acquisition cost (CAC).......The Gazelles are where it's at from a business development (aka hunting) perspective. Gazelles tend to have the highest CAGR. They're also non-bureaucratic, and are flat in their organizational chart, which contributes to shorter sales cycles and lower CAC.

How to pick a Gazelle?
(1) Focus on those in industries with CAGR > 25%. If an industry is growing annually by 25% or more, then even those companies who finish second or third in their niche will do well. After all, a rising tide floats all boats.

(2) Look for Scalability. If a company can scale, it means they can produce their products for ever-increasing margins (i.e., the 1000th widget costs less to make than the 10th).

(3) Focus on Sustainable Competitive Advantage. If the company you are reviewing lacks any sort of proprietary intellectual property (i.e., patents), or has no barrier to entry, how will they stop others from flooding the market and eating their lunch? Gazelles continue to grow faster than their competitors by being able to differentiate their offerings to their clients.

(4) Look for the 10x rule. Being a little better, a little faster; or a little cheaper isn't enough to turn a startup into a Gazelle. For that to happen, a company has to offer a solution that is 10x faster, 10x better, 10x more secure, 10x cheaper, etc. To sustain double digit growth over the long term, and/or to obtain dominant market position, you will need a 10x solution, a solution that is exponentially better.

The Bottom Line

Whether you are a startup, an angel investor looking to back the best startups, or a service provider looking to serve either, you need to be able to spot high growth companies earlier than others. You need to be able to separate the wheat from the chaff - the potential world leaders from those that will become kennel capital.

If you are looking to find the next Google, Facebook, or Workbrain, you need to strap on your pith helmet and start tracking the Gazelles. Doing so will most likely ensure the greatest returns on your efforts,
10x  barriers_to_entry  business_development  CAGR  cash_flows  competitive_advantage  culling  customer_acquisition  gazelles  high-growth  howto  return_on_effort  scaling  small_business  start_ups  taxonomy 
february 2015 by jerryking
The Speechmaker: How Bill Gates Got Ready for Harvard - WSJ.com
June 8, 2007 (Link to Eric Reguly criticism of how Gates is addressing the problems of agriculture)

The Speechmaker: How Bill Gates Got Ready for Harvard
Warren Buffett Offered Tips on Delivery and Tone; A Dropout Gets a Degree By ROBERT A. GUTH

In the analytical style for which he became famous in high-tech circles, Mr. Gates recommended a four-point plan for attacking a complex problem: determine a goal, find the "highest-leverage approach," discover the ideal technology for that approach, "and in the meantime, make the smartest application of the technology that you already have."
public_speaking  speeches  preparation  billgates  Harvard  commencement  complexity  Microsoft  problem_solving  Communicating_&_Connecting  dropouts  leverage  complex_problems  return_on_effort 
may 2012 by jerryking
All I ever needed to know about change management - - Organization - Change Management
MAY 1997 | McKinsey Quarterly | ROGER DICKHOUT offers 5 basic
premises to help clients design organizational change programs—ideas
Dickout considers as natural laws:
(1) the law of constituent balance--change driven by an imbalance
between a company’s stakeholders: shareholders, employees, customers,
communities, & mgmt.
(2) the law of leverage. Max. the return on effort by changing those
things that will produce the greatest results/really matter.
(3) the law of momentum. Liberate the energy to drive the change. Change
is work. Work requires energy. That energy can be introduced from
outside—e.g. pressure from shareholders or new mgmt.—or the system’s own
potential energy can be transformed into kinetic energy.
(4) the law of feedback and adjustment. Learn how your organization
responds to change, and adjust the program accordingly. N.B.Change may
itself create opportunity.
(5) the law of leadership.Leadership is the scarce resource and
ultimately, the catalyst of change.
adjustments  change  change_management  constituencies  creating_opportunities  feedback  imbalances  leadership  leverage  McKinsey  momentum  OPMA  organizational_change  return_on_effort  what_really_matters 
april 2011 by jerryking
The Green Machine Hal Harvey spends his environmental war chest with one guiding principle: winning
FEBRUARY 12, 2007 WSJ article by JEFFREY BALL. Global warming
is tougher than localized environmental threats such as smog. That, Hal
Harvey argues, requires environmentalists to focus less on fiery
rhetoric and more on hashing out economically efficient policies that
have political legs. In doling out the dollars at his disposal, Mr.
Harvey uses much the same strategy as the other venture capitalists in
Silicon Valley. He invests where he thinks he'll get maximum return. In
his parlance, he looks for the political "pinch points" likely to
promote technologies that will deliver the most "tons of carbon avoided
per philanthropic dollar invested." He and his colleagues try to compute
that using spreadsheets.
green  environment  philanthropy  lobbying  policy  strategy  UFSC  financial_literacy  pain_points  bottlenecks  leverage  return_on_effort  investors  climate_change 
february 2009 by jerryking

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