The CFO Zone 2015 conference in Vienna focused on business dynamics excellence, emphasizing the need for organizations to adapt and thrive amidst market changes. It highlighted the evolving role of CFOs in shaping and executing strategy, ensuring alignment with dynamic market needs. The discussions included insights into decision-making processes, risk management, and creating value through strategic initiatives.

1. CFO Zone 2015, 7 – 8 May 2015, Vienna
BUSINESS DYNAMICS EXCELLENCE
TO KEEP PACE WITH CHANGES IN THE MARKETPLACE
Rudolf Ch. Takáč

2. CFO Zone 2015, 7 – 8 May 2015, Vienna
2BCognitus®
 2BCognitus supports organisations to drive strategy and business
improvement through the application of knowledge and best-
practice.
Part 1/3

3. CFO Zone 2015, 7 – 8 May 2015, Vienna
2BCognitus®
 2BCognitus supports organisations to drive strategy and business
improvement through the application of knowledge and best-
practice.
 Ethical approach
We are independent and prize our honesty.
Part 1/3

4. CFO Zone 2015, 7 – 8 May 2015, Vienna
2BCognitus®
 2BCognitus® introduced its unique concept - Business Dynamics
Excellence - on the 28th IPMA Word Congress in Rotterdam,
Sept 2014.
Business Dynamics Excellence is the strategic quality that enables
organization not just withstand in the new market conditions,
but more importantly thrive in this new strategic landscape and
gain competitive advantage.
Part 1/3
IPMA Word Congress,
Rotterdam 09/2014

5. CFO Zone 2015, 7 – 8 May 2015, Vienna
Value & Dynamic Strategy Insights1
AGENDA
High – Quality Decision2
Result – Oriented Performance3

6. CFO Zone 2015, 7 – 8 May 2015, Vienna
Value Creation Driven by Dynamic Strategy
Insights
 Complex, Fast Changing and Dynamic World
 Organization, CFOs, and Leaders have to cope with new level of
complexity and uncertainty.
Part 1/3

7. CFO Zone 2015, 7 – 8 May 2015, Vienna
Value Creation Driven by Dynamic Strategy
Insights – CFO Role
 CFOs play a bigger role in strategy.
 Strategy Alignment – Create and Protect Value
Part 1/3

8. CFO Zone 2015, 7 – 8 May 2015, Vienna
Dynamic Strategy Insights
Strategy: Relevant, Meaningful
Strategy
Initiatives,
Activities,
Projects
Strategy
Making
Strategy
Execution
Part 1/3

9. CFO Zone 2015, 7 – 8 May 2015, Vienna
Dynamic Strategy Insights
Strategy: Relevant, Meaningful, and Dynamic
Intended
Strategy
New
Strategy
Emergent
Strategy
Initiatives,
Activities,
Projects
Strategy
Making
Strategy
Execution
Part 1/3

10. CFO Zone 2015, 7 – 8 May 2015, Vienna
Dynamic Strategy Insights
Strategy: Relevant, Meaningful, and Dynamic
Intended
Strategy
New
Strategy
Emergent
Strategy
Initiatives,
Activities,
Projects
Strategy
Making
Strategy
Execution
- reflecting real-time
information about
customer needs,
competitors activities,
organization capabilities
Part 1/3

11. CFO Zone 2015, 7 – 8 May 2015, Vienna
Value Creation Driven by Dynamic Strategy
Insights
Strategy: Relevant, Meaningful, and Dynamic
Intended
Strategy
New
Strategy
Emergent
Strategy
Initiatives,
Activities,
Projects
Strategy
Making
Strategy
Execution
Part 1/3
Engagement
Achieved Value
Planned Value

12. CFO Zone 2015, 7 – 8 May 2015, Vienna
Conclusion
 A company´s vision, strategy, and approach to strategy execution
are never final (ongoing process)
 Dynamic – reflecting Business Environment
Part 1/3

13. CFO Zone 2015, 7 – 8 May 2015, Vienna
Conclusion
 A company´s vision, strategy, and approach to strategy execution
are never final (ongoing process)
 Dynamic – reflecting Business Environment
 CFOs play a bigger role in strategy making and execution.
 Ensure that the company does the right strategy initiatives and
projects.
Part 1/3

14. CFO Zone 2015, 7 – 8 May 2015, Vienna
Value & Dynamic Strategy Insights1
AGENDA
High – Quality Decision2
Result – Oriented Performance3

15. CFO Zone 2015, 7 – 8 May 2015, Vienna
High – Quality Decision
 Strategy Cascading, Translating strategy
Part 2/3
Dynamic
Strategy
Business
Unit
Business
Unit
Business
Unit

16. CFO Zone 2015, 7 – 8 May 2015, Vienna
High – Quality Decision – CFO Role
Part 2/3
Dynamic
Strategy
Business
Unit
Business
Unit
Business
Unit
Initiatives,
Activities,
Projects
Initiatives,
Activities,
Projects
Initiatives,
Activities,
Projects
Resource
Allocation
Strategy Plan

17. CFO Zone 2015, 7 – 8 May 2015, Vienna
High – Quality Decision
Part 2/3
Strategy
Business
Unit
Business
Unit
Business
Unit
Initiatives,
Activities,
Projects
Initiatives,
Activities,
Projects
Initiatives,
Activities,
Projects
Resource
Allocation
Strategy Plan Strategy Execution
Goal:Benefits,Value

18. CFO Zone 2015, 7 – 8 May 2015, Vienna
High – Quality Decision – CFO Role
Part 2/3
Strategy
Business
Unit
Business
Unit
Business
Unit
Initiatives,
Activities,
Projects
Initiatives,
Activities,
Projects
Initiatives,
Activities,
Projects
Resource
Allocation
Strategy Plan Strategy Execution
High Level Financial
Resources Conflict Management
Results:Benefits,Value

19. CFO Zone 2015, 7 – 8 May 2015, Vienna
High – Quality Decision
 Fast Changing and Dynamic Word
Part 2/3
Strategy
Business
Unit
Business
Unit
Business
Unit
Initiatives,
Activities,
Projects
Initiatives,
Activities,
Projects
Initiatives,
Activities,
Projects
Resource
Allocation
Strategy Plan Strategy Execution
Strategy Initiatives Priorities
Results:Benefits,Value
New
Strategy

20. CFO Zone 2015, 7 – 8 May 2015, Vienna
Planned Measurable
Benefits, Value
Expected
Benefits, Value
Start
Planning Close-up
Executing,
Monitoring & Controlling
High – Quality Decision & Expected Value
Part 2/3
Finish

21. CFO Zone 2015, 7 – 8 May 2015, Vienna
Planned Measurable
Benefits, Value
Expected
Benefits, Value
Start
Planning Close-up
Executing,
Monitoring & Controlling
High – Quality Decision & Expected Value
Part 2/3
Finish
Approved
Risk Appetite

22. CFO Zone 2015, 7 – 8 May 2015, Vienna
High – Quality Decision & Benefits
Part 2/3
t1 t2

23. CFO Zone 2015, 7 – 8 May 2015, Vienna
Planned Measurable
Benefits, Value
Expected
Benefits, Value
Start
Planning Close-up
Executing,
Monitoring & Controlling
High – Quality Decision – Dynamic Word
Part 2/3
Finish
Achieved
Benefits, Value
Variance
t1

24. CFO Zone 2015, 7 – 8 May 2015, Vienna
Project Value driven by strategy insights valid in t0
t0
Value ?
Part 2/3
High – Quality Decision –
Create and Protect Value
Measuring progress and addressing misalignment
Variance?
t1

25. CFO Zone 2015, 7 – 8 May 2015, Vienna
Project Value driven by strategy insights valid in t0
t0
Part 2/3
High – Quality Decision –
Earned Value Method
Cost performance index
CPI=BCWP/ACWP
Value ?
?
t1

26. CFO Zone 2015, 7 – 8 May 2015, Vienna
Project Value driven by strategy insights valid in t0
t0
Part 2/3
High – Quality Decision –
Earned Value Method
Schedule performance index
SPI=BCWP/BCWS
Value ?
?
t1

27. CFO Zone 2015, 7 – 8 May 2015, Vienna
Project Value driven by strategy insights valid in t0
t0
Part 2/3
High – Quality Decision –
Earned Value Method
Schedule performance index
SPI=BCWP/BCWS
Cost performance index
CPI=BCWP/ACWP
Value ?
?
t1

28. CFO Zone 2015, 7 – 8 May 2015, Vienna
Project Value driven by strategy insights valid in t0
t0
Part 2/3
High – Quality Decision –
Create and Protect Value
Premature Closure!
Value ?
t1

29. CFO Zone 2015, 7 – 8 May 2015, Vienna
Project Value driven by strategy insights valid in t0
Project Value driven by strategy insights valid in t1
t0
Higher Value
Part 2/3
High – Quality Decision –
Create and Protect Value
Re-defined Benefits?
t1

30. CFO Zone 2015, 7 – 8 May 2015, Vienna
Project Value driven by strategy insights valid in t0
Project Value driven by strategy insights valid in t1
t0
Part 2/3
High – Quality Decision –
Create and Protect Value
Re-defined Benefits
Higher Value
t1

31. CFO Zone 2015, 7 – 8 May 2015, Vienna
Project Value driven by strategy insights valid in t0
Project Value driven by strategy insights valid in t2
Project Value driven by strategy insights valid in t1
t0
Part 2/3
High – Quality Decision –
Create and Protect Value
Measuring progress and addressing misalignment –
reflecting business environment
Added Value
?
t1 t2
Higher Value

32. CFO Zone 2015, 7 – 8 May 2015, Vienna
High – Quality Decision
Are the management levels, CFOs, Leaders
prepared to work in this way to maximize strategic
initiatives value?
Part 2/3

33. CFO Zone 2015, 7 – 8 May 2015, Vienna
High – Quality Decision (step by step)
A) Frame (situation, problem)
Part 2/3

34. CFO Zone 2015, 7 – 8 May 2015, Vienna
High – Quality Decision (step by step)
A) Frame (situation, problem)
B) Data gathering (real time)
Part 2/3

35. CFO Zone 2015, 7 – 8 May 2015, Vienna
High – Quality Decision (step by step)
A) Frame (situation, problem)
B) Data gathering (real time)
C) Alternatives creation (agile, flexible)
Part 2/3

36. CFO Zone 2015, 7 – 8 May 2015, Vienna
High – Quality Decision (step by step)
A) Frame (situation, problem)
B) Data gathering (real time)
C) Alternatives creation (agile, flexible)
D) Value to select appropriate alternatives
(new or re-setup measurable benefits)
Part 2/3

37. CFO Zone 2015, 7 – 8 May 2015, Vienna
High – Quality Decision (step by step)
A) Frame (situation, problem)
B) Data gathering (real time)
C) Alternatives creation (agile, flexible)
D) Value to select appropriate alternatives
(new or re-setup measurable benefits)
E) The best alternative selection
Part 2/3

38. CFO Zone 2015, 7 – 8 May 2015, Vienna
High – Quality Decision (step by step)
A) Frame (situation, problem)
B) Data gathering (real time)
C) Alternatives creation (agile, flexible)
D) Value to select appropriate alternatives
(new or re-setup measurable benefits)
E) The best alternative selection
F) Plan to do (initiatives re-planning)
Part 2/3

39. CFO Zone 2015, 7 – 8 May 2015, Vienna
High – Quality Decision
Part 2/3

40. CFO Zone 2015, 7 – 8 May 2015, Vienna
Conclusion
Part 2/3
 Value Focused Thinking (from Start-up to Close-up)
 Strategy Insights data gathering
 Risk Management & Dynamic Strategy (risk appetite, good risks)

41. CFO Zone 2015, 7 – 8 May 2015, Vienna
Conclusion
Part 2/3
 Value Focused Thinking (from Start-up to Close-up)
 Strategy Insights data gathering
 Risk Management & Dynamic Strategy (risk appetite, good risks)
 Insuring that organization can execute its strategy
 Real time reflecting decision

42. CFO Zone 2015, 7 – 8 May 2015, Vienna
Value & Dynamic Strategy Insights1
AGENDA
High – Quality Decision2
Result – Oriented Performance3

43. CFO Zone 2015, 7 – 8 May 2015, Vienna
Result – Oriented Performance
 Strategy Alignment
 Decision Competency
 Dynamic Capabilities
Steering Framework
Decision
Competency
Dynamic
Capabilities
Strategy Alignment
Higher Real
Project Value
Value-driven
Business Processes
Competitive
Edge
Part 3/3

44. CFO Zone 2015, 7 – 8 May 2015, Vienna
(i) Strategy Alignment
 Exploring effective ways to align strategy and execution
 Aligning financial and human resources and company strategy goals
Part 3/3

45. CFO Zone 2015, 7 – 8 May 2015, Vienna
(ii) Decision Competency
 Bringing clarity to complex decision situations and avoiding
pitfalls of intuitive decision making
 Leading decision team and facilitate interactions among those
who support and provide input to the decision – making
process, as well those who actually make the decision
Part 4/4

46. CFO Zone 2015, 7 – 8 May 2015, Vienna
(iii) Dynamic Capabilities
 Understand how to shape not just adapt to business changes
 Establishing framework to sense, and size opportunities
Part 3/3

47. CFO Zone 2015, 7 – 8 May 2015, Vienna
Conclusion
 Aligning financial and human resources and strategy goals
 Bringing clarity to complex decision situations
 Shape not just adapt to business changes
Part 3/3

48. CFO Zone 2015, 7 – 8 May 2015, Vienna
Thank You.
Part 3/3
takac.rudolf@2bcognitus.com