Bruce P. Nolop

The Essential CFO

• Broschiertes Buch

Produktbeschreibung

Discover the power of the CFO's role in delivering shareholder value

During the past decade, the CFO role has expanded dramatically in its breadth, complexity, and criticality. Filled with proven strategies, best practices, and keen insights, The Essential CFO describes how today's CFOs are responding to their expanded roles within both public and private companies. With straightforward and pragmatic guidance, author Bruce Nolop shows how CFOs are partnering with CEOs to deliver shareholder value by articulating a strategic plan, determining capital allocations, managing the capital structure, driving financial performance, and implementing strategic transactions.
Covers how CFOs are establishing robust accounting and risk management processes and effectively communicating with both external and internal constituencies
Looks at the role of the CFO in transforming financial organizations to drive effectiveness and efficiencies
Examines how CFOs can develop talent with the experience, expertise, and leadership skills to meet the challenges of the future

Written from a balanced, top-down perspective of the modern CFO, The Essential CFO provides you with practical prescriptions for executing impactful corporate finance strategies.

Produktdetails

• Wiley Corporate F&A .
• Verlag: Wiley & Sons
• 1. Auflage
• Seitenzahl: 384
• Erscheinungstermin: 1. Mai 2012
• Englisch
• Abmessung: 237mm x 154mm x 28mm
• Gewicht: 462g
• ISBN-13: 9781118173046
• ISBN-10: 111817304X
• Artikelnr.: 34448236

Autorenporträt

BRUCE NOLOP retired in 2011 after a 35-year career as an investment banker and corporate executive, including more than a decade as chief financial officer of Pitney Bowes and E*TRADE Financial. He has been a board member of Marsh & McLennan since January 2008 and currently serves on the audit, compliance and risk, finance, and corporate responsibility committees.

Inhaltsangabe

Introduction xv PART I: STRATEGY Chapter 1: Articulating a Strategic Plan 3
Business Objectives 4 Strategic Themes 5 Long-Term Financial Model 7 Total
Shareholder Return 10 Capital Allocation Strategies 14 Acquisition
Strategies 15 Target Shareholders 17 Elevator Pitch 20 Plan Revisions 21
Chapter 2: Communicating and Achieving Alignment 23 Consistency and
Transparency 24 Incentive Compensation Programs 25 Investor Alignment 28
Analyst Relations 29 Investor Presentations 31 Company Website 35 Social
Media 36 Media Relations 37 Potential Media Pitfalls 38 Coordinating
Communications 39 Interview Formats 39 Media Training 40 Note 42 Chapter 3:
Assessing Enterprise Risks 43 Enterprise Risk Management 43 Implementation
of ERM 44 Risk Identification 45 Risk Quantification 46 Major Exposures 47
Mitigation Strategies 50 Rewarded versus Unrewarded Risks 51 Governance of
ERM 52 CFO's Role in ERM 54 PART II: CAPITAL ALLOCATIONS Chapter 4:
Estimating the Cost of Capital 59 WACC Formula 59 Hurdle Rates 63 Risk
Premiums 63 Acquisition Cost of Capital 65 Chapter 5: Prioritizing Capital
Investments 67 Cash Flow Projections 67 Investment Budget 68 Evaluating
Projects 71 Categorizing Projects 74 Monitoring Projects 75 Pension Fund
Contributions 77 Chapter 6: Considering Dividends and Repurchases 79
Dividend Policy Alternatives 80 Dividend Policy Considerations 82 Special
Dividends 85 Dividend Declarations 85 Repurchase Considerations 86 Open
Market Programs 90 Tender Offers 92 Retaining Strategic Cash 92 Cash
Investment Policies 95 PART III: MERGERS AND ACQUISITIONS Chapter 7:
Identifying Acquisition Candidates 99 Rationale for Acquisitions 99
Adjacent Spaces 100 Portfolio Approach 101 Business Sponsor 101 Patience
and Flexibility 102 Strategic Purpose 102 Types of Acquisitions 103 Note
107 Chapter 8: Evaluating Acquisition Candidates 109 Valuation
Methodologies 109 Standalone and Synergy Values 112 Pro Forma Analyses 113
Acquirer's Stock Valuation 116 Risk Considerations 116 Chapter 9: Executing
a Merger or Acquisition 119 Due Diligence 119 Business Plan 123 Financial
Projections 124 Financing Plan 126 Price Negotiations 128 Contract Terms
129 Acquisition Integration 132 Note 134 Chapter 10: Executing Divestitures
and Spinoffs 135 Divestiture Evaluations 135 Hiring Investment Bankers 136
Auction or Negotiated 137 Stock or Assets 139 Financing Conditions 139
Management Participation 140 Tax-Free Spinoffs 141 Split-Ups 142 Equity
Carve-Outs 143 Chapter 11: Responding to Takeover Offers 145 Governance
Policies 145 Reviewing an Offer 146 Conducting a Sale Process 148 Activist
Shareholders 149 Going Private Transactions 149 PART IV: FUNDING Chapter
12: Establishing Capital Structure Objectives 153 Leverage Targets 153
Leverage Criteria 155 Rating Agencies 157 Ratings Categories 158 Rating
Agency Dialogues 160 Ratings Criteria 161 Informing Investors 162 Note 163
Chapter 13: Developing Financing Strategies 165 Financing Principles 165
Debt Financing 167 Equity Financing 171 Off Balance Sheet Financing 174
Debt Covenants 177 Debt Refinancings 179 Debt for Equity Swaps 180
Bankruptcy 182 Chapter 14: Ensuring Short-Term Liquidity 185 Bank Lines 185
Cash Planning 187 Contingency Planning 187 Liquidity Ratios 189 Working
Capital Strategies 189 Trapped Cash 191 PART VI: ACCOUNTING AND CONTROLS
Chapter 15: Obtaining Long-Term Financing 193 Venture Capital 193 Private
Equity 194 Initial Public Offering 195 Subsequent Equity Offerings 198 Term
Loans 200 Syndicated Bank Loans 200 Investment Grade Securities 200 High
Yield Securities 201 Strategic Alliances 202 Note 203 PART V: PERFORMANCE
Chapter 16: Driving Business Performance 207 Organic Revenue Growth 207
Cost Reduction Strategies 211 Fixed versus Variable Costs 219 Note 219
Chapter 17: Providing Planning and Analysis 221 Budgets 221 Forecasts 225
Cash Flows 226 Performance Metrics 228 Business Unit Metrics 231
Performance Reports 232 Business Analysis 233 Chapter 18: Managing
Financial Risks and Taxes 235 Insurance 235 Interest Rates 238 Currencies
239 Commodities 241 Inflation 242 Pension Fund 243 Tax Planning 244 Chapter
19: Establishing Accounting Processes 251 Financial Reporting 251 SEC
Filings 255 External Auditors 259 Audit Committee 259 Note 260 Chapter 20:
Communicating Financial Results 261 Earnings Call 261 Non-GAAP Measures 266
Earnings Guidance 267 Note 271 Chapter 21: Implementing Sarbanes-Oxley 273
Overview of Provisions 273 Auditor Independence 274 Certification of
Financials 275 Assessment of Internal Controls 276 Chapter 22: Reinforcing
Compliance and Controls 281 Control Environment 282 Auditor and Board
Support 283 Foreign Corrupt Practices Act 285 Fraud Prevention 287
Whistleblowers 287 Cost of Compliance 288 Note 289 PART VII: LEADERSHIP
Chapter 23: Achieving Finance Transformation 293 Organizational Structure
293 Technology Systems 298 Process Reengineering 301 Outsourcing Advantages
303 Outsourcing Implementation 305 Analysis versus Data 308 Chapter 24:
Developing Financial Talent 311 Recruitment Strategies 312 Development
Objectives 316 Development Tools 320 Diversity 325 Future Requirements 325
Note 326 About the Author 327 Acknowledgments 329 Index 331