Organizations can become obsessed with short-term results. But Harvard Business School professor emeritus Michael Beer believes that the intense focus on quarterly results can impair an organization’s ability to create long-term value both for investors and society. By asking about a longer time horizon, you can encourage someone to contemplate issues and unintended consequences that could result from trying only to satisfy one group of limited horizon investors. This question injects a needed pause to help ensure that quarterly returns are in service to, not in conflict with, the quest for sustainable value creation.
Source: “Lead by Asking”
Original Publication: strategy+business