Resisting managing for the short term

Tim Koller and Marc Goedhart, two of the coauthors of Valuation, McKinsey’s handbook on corporate valuation (now in its sixth edition), explain why focusing on current shareholders isn’t really a requirement of good business.

Resisting managing for the short term

Executives don’t have to fall into the trap of short-termism to serve their shareholders, say McKinsey principal Tim Koller and senior expert Marc Goedhart, two of the coauthors of the sixth edition of Valuation: Measuring and Managing the Value of Companies. In this episode of the McKinsey Podcast, Koller and Goedhart talk with McKinsey Publishing editorial director and McKinsey Quarterly editor in chief Allen Webb about how CEOs can avoid short-termism and listen more closely to investors who focus on a company’s performance over time.

Previous episodes

The McKinsey Podcast
Conversations with experts on the issues that matter most in business and management.
More on Strategy & Corporate Finance
Article - McKinsey Quarterly

Why digital strategies fail

Article - McKinsey Quarterly

Organizing for the age of urgency

Interactive - McKinsey Quarterly

Five Fifty: Strategy vs execution