The Fortune 500 has long been touted as the gold standard for measuring top companies. But its key metric, total gross revenue, tells only part of the story. In reality, a business can be growing revenue, yet declining in overall wealth creation.
The problem with growth at any cost is that it often disguises mistakes and bad managerial hygiene. To grow profitably in real economic terms, without unsustainable leverage and without mucking up the balance sheet, is the mark of strong leadership.
In publishing this list, Chief Executive, in partnership with Great Numbers! and EVA Dimensions, aims to show CEOs where they stand with respect to their peers as well as how to go about improving one’s standing. Getting better will require several actions that the company’s CEO, division heads and general managers can take.