You can gauge the success and financial health of almost any company by looking at revenues. At least this is true in the short term. Since revenue is a lagging indicator — with the exception of monthly recurring revenue that subscription companies measure — it only tells you where you’ve been, not where you are going. We could very profitably spend our time discussing various other metrics that can also give us an incomplete picture of how well a company is doing.
How's Your Ecosystem?
Posted by: Denis Pombriant March 7, 2012 05:00 AMYou can gauge the success and financial health of almost any company by looking at revenues. At least this is true in the short term. Since revenue is a lagging indicator — with the exception of monthly recurring revenue that subscription companies measure — it only tells you where you’ve been, not where you are going. We could very profitably spend our time discussing various other metrics that can also give us an incomplete picture of how well a company is doing.