Morgan Stanley's Gorman: Quarterly Reporting Is 'Asinine'

The transcript discusses the importance of long-term decision-making for CEOs, using the acquisition of Smith Barney as an example. It highlights the role of the board in supporting strategic decisions and critiques the frequency of quarterly reporting, suggesting it detracts from focusing on client needs.

Why is it important for CEOs to focus on long-term decision-making?

• To focus solely on quarterly earnings

• To ensure immediate shareholder satisfaction

• To create sustainable shareholder value over time

• To avoid making any acquisitions

What was a key factor in the success of the Smith Barney acquisition?

• Immediate market conditions

• Support from the board for the long-term strategy

• Focusing on short-term profits

• Avoiding any employee layoffs

What does the speaker identify as a downside of quarterly reporting?

• It is less frequent than six-month reporting

• It distracts from focusing on client needs

• It helps in making quick decisions

• It provides too much information to shareholders

How does the speaker view the British system of reporting?

• As a more effective approach than quarterly reporting

• As a model that should be avoided

• As less effective than quarterly reporting

• As irrelevant to the discussion

What is the speaker's opinion on the frequency of quarterly reports?

• They are necessary for transparency

• They are not frequent enough

• They are the best way to track progress

• They occur too frequently and are disruptive