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THE NEW CFOs
HOW FINANCE TEAMS AND THEIR BUSINESS LEADERS CAN
        REVOLUTIONIZE MODERN BUSINESS



       Mellon, Nagel, Lippert & Slack
         Published by Kogan Page
      London, Philedelphia, New Delhi
           www.koganpage.com
Why we wrote this book
• National and global economic concerns

• Finance has failed to keep up…
  – and the world isn’t getting any simpler


• A practical guide for CFOs…
  – and those who aspire to be
Becoming a custodian of value
    Figure 1.2 Broader skills needed to execute value creation



                       The New CFO:
                Becoming a Custodian of Value




                 Value from        Leadership
                control, risk
                & investment

                              Process
                            Management
Strategic Leadership
                                  Figure 2.2 Hogan derailers


 Strengths                          Overplayed                          Become Weaknesses

Enthusiastic, Motivational                Excitable                     Emotionally Volatile
Critical Thinker                          Skeptical                         Habitual Distrust
Risk Manager                              Cautious                        Excessive Caution
Thoughtful, reflective                    Reserved                                     Aloofness
Relaxed                                   Leisurely                     Passive Resistance
 Confident                                      Bold                                   Arrogance
 Fun-loving                         Mischievous                            Mischievousness
 Unforgettable                             Colorful                                    Melodrama

  Creative                            Imaginative                                  Eccentricity
 High Expectations                         Diligent                             Perfectionism
   Loyal                                     Dutiful                  Eagerness To Please

 1-5 Moving away from people: 6-9 Moving against people: 10-11 Moving towards people
 Hogan Derailers
Process management
   Figure 3.1 Volume variety spectrum
Maintaining Robust Controls
        Figure 4.2 The Control Pyramid
Deepening Risk Management
    Figure 5.2 A system for proactive risk management

.
Growing Value through Investment
               Figure 6.2 Process for monitoring investment opportunities




 New idea or          Evaluate         Decide          Pursuit        Successful
 opportunity                           yes/no                         execution


                                       Drop                           Unsuccessful
                                       or exit                        execution



                                       Monitor
Extras
• Insights from leading finance executives

• Case study examples

• Tips on negotiating business transactions

• Chapter by chapter self-assessment…
  – and 20 questions to score yourself
The Authors
• Dr. Liz Mellon – executive director of Duke
  Corporate Education
• David C Nagel – executive vice president, BP
  America
• Dr. Robert Lippert – financial economist and
  member of Duke Resource Network
• Dr. Nigel Slack – professor of operations
  management, Warwick Business School

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The New CFOs: How finance teams and their business leaders can revolutionize modern business

  • 1. THE NEW CFOs HOW FINANCE TEAMS AND THEIR BUSINESS LEADERS CAN REVOLUTIONIZE MODERN BUSINESS Mellon, Nagel, Lippert & Slack Published by Kogan Page London, Philedelphia, New Delhi www.koganpage.com
  • 2.
  • 3. Why we wrote this book • National and global economic concerns • Finance has failed to keep up… – and the world isn’t getting any simpler • A practical guide for CFOs… – and those who aspire to be
  • 4. Becoming a custodian of value Figure 1.2 Broader skills needed to execute value creation The New CFO: Becoming a Custodian of Value Value from Leadership control, risk & investment Process Management
  • 5. Strategic Leadership Figure 2.2 Hogan derailers Strengths Overplayed Become Weaknesses Enthusiastic, Motivational Excitable Emotionally Volatile Critical Thinker Skeptical Habitual Distrust Risk Manager Cautious Excessive Caution Thoughtful, reflective Reserved Aloofness Relaxed Leisurely Passive Resistance Confident Bold Arrogance Fun-loving Mischievous Mischievousness Unforgettable Colorful Melodrama Creative Imaginative Eccentricity High Expectations Diligent Perfectionism Loyal Dutiful Eagerness To Please 1-5 Moving away from people: 6-9 Moving against people: 10-11 Moving towards people Hogan Derailers
  • 6. Process management Figure 3.1 Volume variety spectrum
  • 7. Maintaining Robust Controls Figure 4.2 The Control Pyramid
  • 8. Deepening Risk Management Figure 5.2 A system for proactive risk management .
  • 9. Growing Value through Investment Figure 6.2 Process for monitoring investment opportunities New idea or Evaluate Decide Pursuit Successful opportunity yes/no execution Drop Unsuccessful or exit execution Monitor
  • 10. Extras • Insights from leading finance executives • Case study examples • Tips on negotiating business transactions • Chapter by chapter self-assessment… – and 20 questions to score yourself
  • 11. The Authors • Dr. Liz Mellon – executive director of Duke Corporate Education • David C Nagel – executive vice president, BP America • Dr. Robert Lippert – financial economist and member of Duke Resource Network • Dr. Nigel Slack – professor of operations management, Warwick Business School