Friday, February 20, 2015
How To Combat Managerial Myopia
Corporate success in the 21st century no longer depends upon investment in tangible assets that increase efficiency and price competitiveness. Success depends more on intangible assets such as human capital and R&D capabilities which create intellectual capital. Managerial myopia, which focuses of short term results, has a tendency to reduce investments in intangible assets which are essential for the longer term profitability of 21st century firms. This article, examines three factors which contribute to managerial myopia and it suggests remedies for each.