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Monday, March 15, 2004Is it time to for business to start paying more attention to top-line growth and less to cost savings - Based on improvements in the underlying fundamentals of the U.S. economy, a growing number of analysts say yes.
Today's growth initiatives must be ever mindful of the hard-won efficiency lessons of the past several years.To be truly valuable, top-line growth must be impatient for profit.It must be primarily organic—internally generated rather than acquired. And it must also be sustainable over time, which means that added organizational capacity may be required in order to make the growth repeatable. Companies should move from a cost mindset to revenue mindset - Examples include :Investing in sales training and personnel to improve productivity,Spending to improve ordering and replenishment systems. A nice article and the references are a good read.
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