Alfred Rappaport (born 1932; resided in La Jolla, California [1] ) is an American economist, educator and author, best known for further developing the idea of shareholder value, [2] [3] popularized by his 1986 book, Creating Shareholder Value. [4] He is the Leonard Spacek Professor Emeritus at Kellogg School of Management at Northwestern University and was chairman of Chicago consulting firm The Alcar Group, [1] with his ideas influential in Management consulting.
In 1979, he co-founded The Alcar Group in Skokie, Illinois with Carl Noble Jr, [5] and served as its chairman. [6] Alcar designed financial modeling products used to analyze the monetary impact of various business strategies, including mergers and acquisitions, divestitures and debt restructuring. [5] In 1993, Alcar merged with L.E.K. Partnership, [7] [8] which then rebranded to LEK/Alcar Consulting Group LLC. [9] From the mid-1990s, the company pioneered value-based management (VBM), based on Rappaport's academic work. [10] The company merged with software maker Hyperion Solutions in 2003. [5]
Rappaport is the originator of "The Wall Street Journal Shareholder Scoreboard", which ranks total shareholder returns of the 1,000 highest value U.S. companies, published annually from 1995 to 2008. [1] He was a regular contributor to The Wall Street Journal , The New York Times , Fortune , BusinessWeek , [1] and the Harvard Business Review. [11] His published books include:
The main advocates of shareholder wealth creation as a governing objective were value-based management consulting firms like Marakon Associates, Stern Stewart & Co, and Alcar, together with the academics that stood behind their work such as Dr Bill Alberts, Joel Stern and Professor Al Rappaport.