An intangible asset is an asset that lacks physical form and consists of certain legal rights or privileges that have economic value. Intangible assets can be either acquired or internally developed. Acquired intangible assets are those that are purchased from another entity. Internally developed intangible assets are those that are created internally within an organization. … Read more
Management by objectives (MBO) is a management technique in which a company defines specific objectives to be achieved by its employees, and then monitors and evaluates their performance against these objectives. MBO has its roots in the work of management theorist Peter Drucker, who first advocated the approach in his 1954 book The Practice of … Read more
The term “Smarketing” is used to describe the alignment of sales and marketing teams within a company. This alignment is designed to improve communication and collaboration between the two teams, and ultimately lead to more effective marketing and sales strategies. There are a few key components to successful Smarketing alignment: 1. Defined roles and responsibilities: … Read more
Amortization is the process of allocating the cost of an intangible asset over its useful life. Amortization is a non-cash expense that is recorded on the income statement. The amortization process involves taking the cost of an intangible asset and dividing it over the useful life of the asset. The result is a charge to … Read more
In game theory, the prisoner’s dilemma is a type of non-zero-sum game in which two players can each choose to cooperate or defect, knowing that the other player is making the same choice. If both players cooperate, they both receive a payoff; if both players defect, they both receive a lower payoff; and if one … Read more
An operating model is a conceptual representation of how an organization functions. It includes the organizational structure, processes, and resources required to deliver a desired outcome. An operating model can be used to describe both the current state and the desired future state of an organization. The term “operating model” is often used interchangeably with … Read more
IT financial management is the process of planning, budgeting, and controlling the financial resources of an organization. The goal of IT financial management is to ensure that the organization’s IT resources are used in a way that optimizes the organization’s financial performance. IT financial management includes the following activities: * Planning: Establishing an organization’s IT … Read more
A liquidity event is a situation in which a company or individual has a large amount of cash available. This can happen when a company goes public, is sold, or raises a large amount of money through private equity or venture capital. Liquidity events can also happen to individuals, such as when someone wins the … Read more
The law of unintended consequences is the idea that everything we do has potential unintended consequences that we may not be aware of at the time. This can happen in many different areas of life, but it is especially relevant when it comes to public policy. For example, let’s say the government imposes a new … Read more
A holding company is a company that owns other companies’ outstanding stock. A holding company usually does not produce goods or services itself; rather, its purpose is to own shares of other companies to form a corporate group. The German chemical company BASF is an example of a holding company. What is the benefit of … Read more
