Every function hit its target. The company missed.

When every departmental number is green and the consolidated result isn't, the fault is rarely effort: it's usually in how the target was divided up.

By Steve 5 min read
Abstract bridge artwork for Every function hit its target. The company missed.

A finance director opens the quarter-end pack. Sales landed 102% of target. Procurement banked its savings number. Operations held utilisation above plan. Overheads came in under budget. Group margin fell 1.4 points. Nobody lied, nobody underperformed, and nobody can point to the cause. This pattern is common enough to be worth treating as structural rather than as bad luck. It almost always traces back to the same thing: a company target was decomposed into functional targets on the assumption that the functions were independent, and they were not. Addition is…

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Important: General information only. Rialto Bridge articles describe patterns and considerations that may apply to a business; they are not financial, legal, tax or accounting advice, and they take no account of your particular circumstances. Consider your own situation and seek advice from a qualified professional before acting.

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