• Home
  • Publications
  • McKinsey Global Institute: MEASURING THE ECONOMIC IMPACT OF SHORT-TERMISM

McKinsey Global Institute: MEASURING THE ECONOMIC IMPACT OF SHORT-TERMISM

Screen Shot 2018-11-09 at 1.11.50 PM

Corporate short-termism has been the subject of ongoing debate among leaders in business, government, and academia for more than 30 years, with much of the discussion focusing on whether it destroys value. Recent surveys of C-suite executives that we have conducted suggest that pressure to deliver strong short-term results has increased in the past five years and, as a result, many executives believe their companies are using excessively short time horizons in their strategic planning.1 However, evidence that short-termism genuinely detracts from corporate performance and economic growth has remained scarce, partly because of difficulties in measuring the phenomenon, which does not correspond to any single quantifiable metric and is a confluence of many complex factors.

Get free access to our educational material

We will give you advice from your peers who have lived it, experts who know it and short activities that will point you in the right direction for success.

  • This field is for validation purposes and should be left unchanged.