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Multinational enterprises (MNEs) account for nearly 80% of world trade. Many countries depend on tax revenues from MNEs, which has led to tax authorities around the world frequently and aggressively [...]

Since the January 2018 publication of our article on how Eisai Co., Ltd. creates corporate value from investments in nonfinancial capital, i.e., increasing return on equity (ROE) from intangibles (see [...]

Japan's cultural tone of conformity and preserving reputation--and how it extends to Japanese companies--is a long-established idea by now. Less well-known outside Japan, however, are the differences in how finance [...]

'The Power of Intangibles' by Gary Cokins and Nick Shepherd in the May 2017 issue of Strategic Finance provided a call to action to management accountants to understand intangibles and [...]

Table or chart? Pie chart or bar chart? Even the most experienced financial professionals can find it challenging to design reports so that key takeaways are recognizable at a glance. [...]

A detail of the 'IBCS® with Success' poster You know the problem: Choose any set of 10 reports from your company and you'll find 10 different ways of presenting the [...]

BY RYOHEI YANAGI, PH.D., CMA, CFM, AND NINA MICHELS-KIM, CMA, CSCA The Japanese pharmaceutical company's investments in human capital and R&D are linked to a positive correlation with long-term corporate value. As Eisai has been able to demonstrate that personnel expenses create corporate value after five years and R&D expenses increase value after 10 years, such expenses should rather be considered as "investments" in intangible assets that will generate future value. In the Intrinsic V alue Model section, MV A is equal to the portion that exceeds PBR of 1, which in turn is assumed to be the value of ESG (Organization value + Human value + Customer value + ESG / Cost of capital reduction effects). [Extracted from the article]

The article discusses findings from a 2017 survey among members of the Japan Acssociation of Chief Financial Officers (CFO) that examined the relationship of low profit margins to the structure of CFO teams in Japanese companies. Among its findings, the survey showed that companies that directly involved CFO teams in management accounting and strategic financial planning saw increased profit margins. Also discussed are actions that global CFO teams can take to add the most value to companies.

The article examines how Japanese companies have utilized integrated reporting and sustainability metrics to increase value. It discusses how Japanese corporate managers emphasize aspects such as human resources and social contributions over financial metrics before going on to cover the role of management accountants in such approaches.