Product details

This vignette briefly recounts the story of how Katrina Garnett single-handedly launched CrossWorlds, a successful enterprise application company. The vignette then focuses on two issues Garnett must wrestle with as she tries to manage her board of directors. The CrossWorlds board cautiously and slowly pursued the idea of an initial public offering, wanting to achieve more revenue traction before accessing the public markets. Unfortunately, the company was at a disadvantage because it recognized revenue using conservative guidelines: Instead of recognizing revenue when payment was received, CrossWorlds recognized revenue when the product ''went live'' at a customer site. Garnett''s competitors used more aggressive methods, claiming higher revenues, and therefore, entering the public markets earlier. Also, Garnett felt that having a prominent investment banker on her board was limiting her options. Many investment banks refused even to meet with CrossWorlds because they simply assumed that the business would go to the board member''s firm. Garnett was also frustrated with this board member''s inability to transcend a banker''s mind-set.