Harvard Business Review

JULY 17, 2014

Rajamannar involved finance early. To spearhead analytic efforts, he assigned a finance person – who was already embedded in marketing – to create an ROI evaluation framework and integrated her deeper into the marketing function. MasterCard had always been a data-driven organization. Inside Intel. The result has been transformational.

Finance 13

Finance Marketing P&L ROI 13

Women on Business

JANUARY 8, 2011

She’s taking over the seat formerly occupied by Apple’s former CFO, John Anderson, who resigned amidst a stock options backdating scandal. Andrea Jung was an executive vice president at Neiman-Marcus before she joined Avon in 1996. Avon’s stock price was up 15% in 2007.Â

Press Release 124

Press Release CEO Discount PR 124

Lead on Purpose

DECEMBER 6, 2010

Accounting/Finance: This group is often completely ignored by product management. Smart product managers know the value of having allies in the CFO’s office. When the PM makes a concerted effort to have a strong relationship with sales, their product success will increase.

Productivity 182

Productivity Products Management Leadership 182

Harvard Business Review

MARCH 23, 2015

If you want approval for a new project — purchasing new equipment or computer systems, applying for a patent, building a new store — chances are you need your company’s finance department on board. To get the green light, it helps to understand how finance people think. Finance & Accounting Tool.

Finance 8

Finance NPV CFO ROI 8

Harvard Business Review

JANUARY 11, 2016

The 1990s saw the rise of the strategic CFO, and more recently many companies have created a chief strategy officer (CSO) position. Such friction is destructive — and a huge missed opportunity, because the CFO and the strategy head are far more effective when they collaborate. There are two reasons for this.

Strategy 8

Strategy CFO Finance Short-term 8

Harvard Business Review

JULY 23, 2013

Unlike the world of the CFO, management and staff generally do what they like when it comes to creating and (not) disposing of information, creating a cavernous gap in accountability. If the prospect of tackling the legacy problem is daunting, consider another finance-inspired concept: zero-based budgeting.

CIO 8

CIO CFO Zero Based Budgeting Chief Technology Officer 8

Marshall Goldsmith

FEBRUARY 8, 2018

Regular contributor to Harvard Business Review. Darek Lenart – Senior VP HR, Finance MasterCard. Pawel Motyl – Formerly CEO (ICAN Institute) – Harvard Business Review Poland publishing and executive education. Written for Harvard Business Review , featured in The Wall Street Journal , Forbes , and New York Magazine.

Executive Coaching 70

Executive Coaching CEO Magazine Banking 70

Harvard Business Review

JULY 29, 2014

In the July/August issue of HBR , Ram Charan argues that the Chief Human Resources Officer (CHRO) role should be eliminated, with HR responsibilities funneled in two separate directions — administration , led by traditional HR-types, reporting to the CFO; and talent strategy , led by high-potential line managers, reporting to the corner office.

CFO 12

CFO Charan Intangible Assets Human Resources 12

Harvard Business Review

MARCH 6, 2013

But this makes the still lingering CMO-CFO disconnect even more significant, as both executives are now stewards of that critical corporate data. We found that we shared a passion for finance, the stock market, innovation, and marketing (and, candidly, politics). Figure out the definitions. Understand both sides of risk.

CFO 8

CFO Advertising Finance Marketing 8

Harvard Business Review

NOVEMBER 25, 2013

This lack of an analytical approach has traditionally formed a barrier between marketing and finance. One financial services CMO told us how CFOs typically perceive his function: “We’re going to give a certain amount of dollars to those guys. They’re going to make ads and do whatever it is they do.

CFO 8

CFO Short-term Long-term Benchmarking 8

Harvard Business Review

MARCH 2, 2017

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. Another CFO led finance for multiple units so he could gain a breadth of knowledge across the business before becoming the corporate CFO. Competition for top slots is intense.

CFO 8

CFO How To CIO Finance 8

Harvard Business Review

OCTOBER 18, 2018

The feedback in the 360-degree reviews was supposed to be anonymous. Lance was struck by what he saw in CFO Damon Ewen’s file. ” Editor's Note This fictionalized case study will appear in a forthcoming issue of Harvard Business Review, along with commentary from experts and readers. kuritafsheen/Getty Images.

Case Study 14

Case Study Team CFO Merchandising 14

Harvard Business Review

MARCH 15, 2016

This, in turn, is triggering a shift in the perceived role of the CFO — from bean counters to planters of seed corn. Redefining the CFO role. After all, it’s the CFO who typically sets expectations about growth to investors and then allocates resources to ensure their organizations deliver.

Short-term 8

Short-term Long-term CFO Wiseman 8

Harvard Business Review

APRIL 19, 2011

A few months ago, a former client called me in a panic : Her CFO wanted to start several process simplification projects immediately — and she needed a proposal to review with him the next day. We then waited to hear from our client about next steps — and continued to wait.

CFO 15

CFO Crisis Proposal Finance 15

Harvard Business Review

JUNE 8, 2018

This notion, that risk is a desirable feature, can seem like sacrilege to anyone who’s taken an introductory finance course. 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

APRIL 6, 2011

Lest you get too comfortable, you might want to consider the cautionary tale of a company whose program received rave reviews while in progress, only to fail spectacularly. Process champions must have them ready for the day when the CEO or CFO effectively says, "Show me the money.". Engage the finance organization.

Process 15

Process Six Sigma Finance Short-term 15

Harvard Business Review

FEBRUARY 13, 2012

The CIO has to know what's going on in finance and marketing, for instance, and P&L experience is important even for support functions like human resources. So, for instance, if you want a top finance job it's not enough to be the best CFO in the U.S.; you have to be the best CFO in the world.

Execution 15

Execution P&L CFO Globalization 15

Harvard Business Review

MARCH 27, 2015

This fictionalized case study will appear in a forthcoming issue of Harvard Business Review, along with commentary from experts and readers. Sema, a finance manager at the Dutch-British financial services consultancy Dirksen-Hall, had recently transferred from its Ankara office to its headquarters, in Amsterdam. ‘Help!

Case Study 8

Case Study CFO Finance Project 8

Harvard Business Review

OCTOBER 3, 2018

At one point, the CEO indicated that he would know that the right shift had occurred when the CFO, chief strategy officer, and other C-level leaders were seeking the CMO’s advice on strategic business problems. “I needed to earn the right to be invited into key, firm-level strategic decisions.”

CFO 8

CFO CEO Agility Marketing 8

Harvard Business Review

JULY 8, 2013

Certainly we know that heads of finance and HR tend to move around a lot more because the skills are very transferrable, and in fact it looks better for an HR executive or CFO to show a breadth of industry. Insiders are much more likely to replace the COO, for instance, while outsiders are more likely to replace the CFO.

CEO 10

CEO CFO COO Industry 10

Harvard Business Review

OCTOBER 1, 2018

” In finance, for example, that might mean believing — based on no evidence — that only MBA graduates from an elite university are likely to succeed at their jobs. The company’s CFO asked a crowd of the company’s most accomplished finance leaders to raise their hand if they had attended an Ivy League school.

Power 12

Power Management Diversity CFO 12

Harvard Business Review

SEPTEMBER 29, 2011

For example, Tim Sheahan, Chief Financial Officer for a large division of a multi-national corporation, aspires to become CFO of a Fortune 100 company in the future. At meetings of the corporation's finance managers, Tim makes a point to spend time with lower-level staff members to establish a personal bond.

Execution 14

Execution Team Chief Financial Officer Finance 14

Harvard Business Review

APRIL 16, 2012

This raises the question of whether retaining strategic cash makes economic sense and should be viewed as a legitimate corporate finance tool in today's environment. Often citing the maxim that "cash is king", CFOs know that strategic cash can enhance shareholder value in various ways. Arguments for Strategic Cash. It can: Save Taxes.

Company 14

Company Cost of Capital Finance Long-term 14

Harvard Business Review

MAY 4, 2012

First, let's review the case for guidance. This in turn can produce whisper numbers in the market, making it confusing to discern whether the company has in fact met or exceeded the market's expectations and perhaps eroding the CFO's credibility with the investment community.

CFO 12

CFO Metrics Price Depreciation 12

Harvard Business Review

AUGUST 5, 2016

Under this financing structure, the company contracts to buy kilowatts, not the turbines and panels. They had framing conversations with the CEO and CFO early on to discuss any financial or operational challenges. While PPAs are the dominant model for financing corporate renewables, signing 15- or 20-year agreements can be tricky.

Energy 8

Energy Industry Finance CFO 8

Harvard Business Review

JANUARY 4, 2011

Roughly, I'd suggest that they're strategy, marketing, finance, and the rest of the drear, dismal, passionless stuff that makes most of us snooze through meetings and dread the arrival of Monday morning, dilberting our joint prosperity, perpetually disappointing our ever-more apathetic customers, and gleefully embezzling from the future.

Organization 15

Organization Finance Senge Long-term 15

Harvard Business Review

JUNE 18, 2014

But these concerns can be mitigated with the proper strategy for shifting away from earnings guidance, and by replacing it with integrated reporting. To build a sustainable business that will succeed in the long-term you must seek backing from market participants who are aligned with this vision.

Short-term 8

Short-term Long-term How To CFO 8

Harvard Business Review

AUGUST 23, 2012

For highly regulated sectors like finance, social media can be a legal minefield. Just ask Gene Morphis, ex-CFO of clothing retailer Francesca's. Limited users are free to draft tweets and updates, which are then fed into approval queues for manager review. "Follow us here for updates on our work, our research, and our people.".

Compliance 15

Compliance Media Compliance Officer Policies 15

Harvard Business Review

FEBRUARY 10, 2015

Japan’s Ministry of Economy Trade and Industry published The Ito Review in 2014 which points to integrated reporting as a way to combat “short-termism.” The CFO of Halogen Software, Pete Low, said “Given the strategic relevance of HR information, it’s timely that companies are working on enhanced reporting.

Human Capital 8

Human Capital CFO Banking Report 8

Harvard Business Review

OCTOBER 11, 2018

In a 2010 review of its purchasing strategy, Ascension concluded that it didn’t really have an effective purchasing strategy at all. Ascension centralized functions such as human resources, payroll, travel services, and finance, thereby streamlining operations and saving costs. It’s part of Catholic social teaching.”

Health Care 8

Health Care Insurance Cost Price 8

Harvard Business Review

APRIL 30, 2015

“At most companies, the cost of capital is a mechanical calculation done by the finance people. For example, a company’s cost of capital may be 10% but the finance department will pad that some and use 10.5% Finance & Accounting Tool. Though there is typically a distinction. or 11% as the discount rate.

Cost of Capital 8

Cost of Capital Cost Finance Discount 8

Harvard Business Review

DECEMBER 17, 2015

Education crowdfunder DonorsChoose.org, which finances classroom-based projects, is a good model of success. Good Shepherd’s CFO, Greghan Fischer, for example, saw strong potential in Yan Li, a quietly competent member of her finance team. Fischer had Li practice leading budget meetings and provided feedback.

Development 8

Development Mentor COO CFO 8

Harvard Business Review

NOVEMBER 30, 2018

If you want to be a chief financial officer (CFO), identify five CFOs who you admire or who are well regarded in your industry. During your call, ask them, “What are the key functional experiences [not necessarily jobs] that you believe will produce the highest-quality [general manager, IT architect, finance director]?

Career 8

Career Chief Financial Officer Supply Chain Chief Information Officer 8

Harvard Business Review

MAY 27, 2014

The abridged version is that Palmisano and then-CFO Mark Loughridge came up with what they called the “investor model” or the “road map” — a strategic plan complete with multi-year goals for investment, revenue growth, and earnings growth that they asked investors to judge them by. Communication Finance Getting buy-in'

Stage-Gate 9

Stage-Gate Strategic Planning Welch CFO 9

Harvard Business Review

JULY 31, 2017

After working with a coach, a CFO realized that she was not particularly good at, nor did she much enjoy, managing people in a large, globally dispersed finance team. In these cases, rethinking the scope of their current role can be just as effective.

360-Degree Feedback 8

360-Degree Feedback Execution Real Estate Executive Coaching 8

Harvard Business Review

SEPTEMBER 22, 2011

Your CFO and finance team can take a leadership role here. Unless line managers and finance really believe in the link between customer feedback and business outcomes, your incentive system won't last long. A clear link to financial and strategic outcomes. Your customer metrics must correlate with financial and strategic goals.

Incentives 11

Incentives Sample Customer Loyalty Metrics 11

Harvard Business Review

FEBRUARY 16, 2016

Betty, the head of sales, is preparing her budget for next year, and she’s meeting with Amit, the director of finance. Betty’s draft budget is due to the CFO first thing tomorrow morning, so she sends Amit a meeting request to discuss what’s going on.

How To 8

How To Budgeting CFO Open-book 8