In early June 2021, we rolled-out an update of G-Scores for companies listed in Gazelle.ai.
What's different about this update?
Although we are still looking at established growth trends for companies, this update was more focused on short-term indicators, than in previous years, and as such will have a short shelf life. With that in mind we will be doing another update in the second half of the year as more economies begin opening their borders, and returning to pre-pandemic business models (or hybrid).
Overall, these results together provide a clearer picture about what is going on now compared to what could be gleaned from information from pre-pandemic times. To identify expanding firms across multiple industries, regional followed by regional-industry signals will be the most effective means for achieving broad across industry success in identifying expanders.
Key workforce characteristics such as the presence of high skilled workers or the ratio of Generation X to Millennials in the workforce emerge as important drivers of predicted firm expansions. And, although some industry financials are still relevant, this seems to have less to do with expansions compared to the pre-Covid period.
Firm variables remain quite important but vary substantially across industries. These results point to the most significant change in the predictors of expansion we have observed since the inception of Gazelle.ai.
Finally, several industries such as utilities, IT and finance and insurance, appear to be more sensitive to short run contemporaneous signals than other industry groups whether it is because of acquisitions, changes in the labor market, or supply chain disruptions.
How do G-Scores work?
Our G-Scores are assessed against these key sets of criteria: firm, industry and region. We look at hundreds of data points to complete our analysis using artificial intelligence that is constantly learning and evolving with each new iteration.
If you want to learn about G-Score, here's a short article that dives into How G-Scores Work.
What's next?
If you're focused on the details, like I am, you will notice that there are some
companies which have not been scored - that's because they were either added to the platform after we completed our analysis, or because we do not have enough quality data to assess against our hundreds of indicators.
The next iteration of G-Scores, due out before the end of 2021, will focus on indicators that more closely reflect the next phase of economic growth and development.