Three Horizons

Geoffrey Moore model of 3 time horizons: when the return on that investment will be realized:

• Horizon 1: In the coming fiscal year, making it accretive to the operating plan.
• Horizon 2: In two to three years, following significant negative cash flow in the intervening period, making it dilutive to the operating plan.
• Horizon 3: In three to five years, consisting primarily of research and development that is funded so as not to be dilutive to the operating plan.