Harvard Business Review

JUNE 8, 2018

Since then, we interviewed several chief financial officers (CFOs) of leading technology companies and senior analysts of investment banks who follow technology companies. CFOs of these companies themselves admit that they cannot justify their market capitalizations based on traditional metrics.

Report 8

Report GAAP Net Present Value CFO 8

Harvard Business Review

MARCH 2, 2017

Every organization has a slightly different framework of expected experience, but I like to look at this through the lens of strategy and operations. One CFO I know managed finance for a spin-off firm when it went public and then returned to the parent company in a corporate position.

CFO 8

CFO How To CIO Finance 8

Harvard Business Review

MAY 3, 2017

Zabeen Hirji, CHRO at the Royal Bank of Canada (RBC), grew up in retail banking and operations management roles before moving into HR. “I was surprised by how much I personally enjoyed running the HR function versus taking on a CFO role,” said Reses.

Quinn 13

Quinn Execution CFO Forrester 13

Harvard Business Review

JULY 17, 2017

It’s far from the only case of a failure to embrace a more digital approach; the larger shift to digital is changing the way every industry operates. Banks are feeling the crunch; according to McKinsey , legacy financial institutions will see profits decline 20%–60% by 2025 if they fail to evolve digitally.

Industry 13

Industry Short-term Planning Long-term 13

Harvard Business Review

MAY 8, 2014

Operational meltdowns can devour a midsized company’s cash. To use a different company example, one growing financial services firm’s new CFO learned this in 2004. The CFO couldn’t understand why. That enabled the company to find a new lender who refinanced $25 million in bank debt. Not growth, or even profits.

Crisis 8

Crisis CFO GAAP Banking 8

Harvard Business Review

AUGUST 5, 2016

They had framing conversations with the CEO and CFO early on to discuss any financial or operational challenges. As with most PPAs, the contract was a critical asset for the energy developer to take, literally, to the bank to get financings. Get early buy-in. For Owens Corning, the locations matter.

Energy 8

Energy Industry Finance CFO 8

Harvard Business Review

JANUARY 28, 2015

While this would seem sufficient to alert the bank to his impending trip abroad, “transaction denied” flashes across the terminal screen, leaving this longtime customer stranded, fuming, and no longer so loyal. If it’s all about the operations then you lose sight of the customer.

COO 8

COO Planning Metrics Call Center 8

Harvard Business Review

NOVEMBER 17, 2015

operations in favor of financial performance. It will be interesting to see how a former CFO will face up to these formidable challenges, complicated further by reports that the ECB isn’t allowing the Volkswagen group to fully benefit from the central bank’s “cheap” money.

CFO 8

CFO Crisis Mass Marketing IPO 8

Harvard Business Review

JULY 31, 2017

Banks and lenders have predictive analytics engines that tell the lender the probability that a customer will pay them back. The issue is that they operate as artisans, not scientists. This makes it difficult to justify investment in change management with the rigor that a data-driven CEO or CFO might expect.

Marketing 8

Marketing Root Cause Analysis Management Supply Chain 8

Harvard Business Review

SEPTEMBER 11, 2015

Today, many high-profile companies— Cisco , Google , IBM , Samsung , Siemens , Disney , Volkswagen and Deutsche Bank , to name a few—contain such roving consulting groups to help solve the most critical strategy and operations problems throughout the business. We call everybody within the company a “client.”

Consultative 8

Consultative Team How To McKinsey 8

Harvard Business Review

OCTOBER 26, 2016

Sena Aslan, the CEO of FDM Turkey, wished the drive from the Ankara airport to the bank’s largest branch were a bit longer. She had made site visits a hallmark of her short tenure at the company’s helm, because they helped her see how frontline employees were weathering the changes she’d been spearheading across the bank.

Case Study 8

Case Study CEO Banking Agility 8

Harvard Business Review

APRIL 16, 2012

To enhance financial flexibility, companies have been retaining unprecedented amounts of cash on their balance sheets, calling it "strategic" cash to distinguish it from the "operating" cash that is needed to run the business. It can: Save Taxes. Much of the strategic cash is typically held outside the United States.

Company 13

Company Cost of Capital Finance Long-term 13

Harvard Business Review

JULY 27, 2015

They might impersonate a bank, saying, “Hey, I know you’re about to go and get an operation, don’t forget to transfer some money by clicking here,” or whatever. And then you think, “Well, they know I’m having an operation tomorrow, so they must be a legitimate bank.”

Health Care 8

Health Care Hedge Banking Training 8

Harvard Business Review

NOVEMBER 18, 2013

Noski, former CFO of Bank of America. Directors worry about bad acquisitions, bad operating procedures, bad safety measures, and bad multinational expansions that can kill results. Look at Microsoft’s current search for a successor to chief executive Steve Balmer, who has run the show since 2000.

CEO 8

CEO Committee P&L Charan 8

Harvard Business Review

OCTOBER 30, 2017

So is John Rice, the head of global operations, along with CFO Jeffrey Bornstein. Increase operating margins to 18% (by cutting expenses). In June 2017 the board “retired” Immelt and promoted John Flannery to CEO. Since then Flannery has replaced Immelt’s vice chairs responsible for innovation. Comstock is out.

Ries 8

Ries Long-term Short-term Price 8

Harvard Business Review

DECEMBER 8, 2016

Listening, Derek Melis, his friend and CFO, was relieved. They’d met at university, and although Derek had gone on to graduate school and a career in banking, while Rogier had joined his family construction business and then founded Contect, they’d never lost touch. Please don’t let that cloud your judgment as CFO.

Case Study 8

Case Study Decentralization CFO Construction 8

Harvard Business Review

MAY 17, 2017

Lee is accused of donating $36 million to nonprofit foundations operated by a friend of the former president in return for political favors. Andrew Fastow, the former CFO, was sentenced to six years in prison. Admittedly, guilt culture showed little enthusiasm for criminally sanctioning executives involved in the 2008 banking crisis.

Reputation 8

Reputation Crisis Loyalty Banking 8

Harvard Business Review

JULY 29, 2014

In Sarah’s opinion, the problem was obvious: Sid Yerby, the CFO. How could she or any of the other directors provide fiscal oversight without access to details of the company’s operations or accounting? In fact, one of her fellow directors had accused her of having a private agenda that included taking the CFO down a couple of pegs.

Case Study 9

Case Study Real Estate CFO Letter 9

Harvard Business Review

MAY 26, 2017

Their operations involve partnerships, specializations, and supply chains. Rather than thinking of a clandestine hacker working out of a basement, you will be better served to picture a sophisticated, professional operation working out of an office tower. After all, most want to make a profit. Lies, Deceit, and Email Attacks.

Supply Chain 9

Supply Chain System CFO Operations 9