Deming

Metric	Goal	Formula
Revenue Growth	30% per year
Asset Growth	30% per year
Free Cash Flow Growth	100% per year	Free Cash Flow = Net Income + Depreciation and Amortization – Changes in Working Capital – Capital Expenditures
ROIC	30%	ROIC = (Net income – Dividends) / (Debt + Equity)
Debt-to-Free Cash Flow	400%
Debt-to-Asset	50%
Effective Tax Rate	12%
Negative Cash Conversion Cycle	-30 days	Cash Conversion Cycle = Days Inventory Outstanding + Days Sales Outstanding - Days Payable Outstanding

Bibliography:

• 7 Powers: The Foundations of Business Strategy by Hamilton Helmer
• The SaaS Metrics That Matter by David Sacks