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Excellent comment. Keying on this: >For a business with resources, capital allocation is perhaps the most important concern and accounting is the toolset you w
by spinchange 11y ago
Excellent comment. Keying on this:
>For a business with resources, capital allocation is perhaps the most important concern and accounting is the toolset you work with
Warren Buffett, arguably the most successful capitalist ever, says when it really comes down to it, a CEO's job is essentially one thing: Capital ( or "resource") allocation.
- dontscale 11y agoThere's an excellent book (you're probably aware of) called The Outsiders. It compares the results of operations focused CEO's like Welch to capital allocators like Buffett, Singleton, and Malone. The thesis is that overtime, the good cap allocators just blow everyone else out of the water. http://www.amazon.com/Outsiders-Unconventional-Radically-Rational-Blueprint/dp/1422162672/ref=sr_1_4?s=books&ie=UTF8&qid=1457375626&sr=1-4&keywords=outsiders http://www.amazon.com/Outsiders-Unconventional-Radically-Rat... “An outstanding book about CEOs who excelled at capital allocation.” — Warren Buffett
- spinchange 11y agoI was not aware of this one but appreciate the recommendation! I've also been a follower of John Malone's over the years so this sounds like a very interesting read. Added to my list!