CFO Academy

Course Overview Forward-looking CFOs are setting a clear vision to meet business expectations in today’s increasingly volatile and complex world. This newly designed five day course is tailored specifically for the CFO keen to meet the demands of Business leaders who want their finance organisation to deliver increasingly sophisticated levels of service and continue its evolution as a true partner in the business. It comprehensively focuses on the modern day challenges, the way in which finance leadership is evolving and the future role of the CFO. In addition to the traditional finance leadership role, the course covers emerging challenges in the areas of regulation, globalisation, risk, transformation, stakeholder management, reporting, talent and capability, ethics, bribery, corruption and fraud. The program will highlight valuable insights into practices that are being adopted by CFOs globally, and will provide a useful forum for networking and sharing experiences. Delegates will be able to contribute to numerous group discussions, as well as drawing upon the extensive experiences of each other, the course director and the guest speakers. By attending this course, you will learn about: Developing and communicating strategy so everybody understands where Finance is heading Optimising overall performance by business partnering and identifying growth opportunities Long-term planning and resource allocation (e.g. capital structure mix, M&A, dividends) Delivering a balanced finance operating model that is responsive, scalable and cost-effective Ensuring sound governance framework around information integrity, ethics, bribery and fraud Implementing new or changing regulations in a timely and cost-effective manner Motivating and retaining the right people Developing more influence with the executive board, business management and stakeholders Filtering and analysing data to communicate salient information Who Should Attend? CFOs Finance Directors and Senior Finance Executives Aspiring CFOs and Finance Directors Financial Controllers Executive Board Directors
Day 1 Introduction and Course Objectives Context of the global crisis and the ever increasing demands made on the CFO role Course Leader & Delegates Course Objectives Reasons for attending Strategic Development and the CFO Setting strategy and its links to financial objectives Setting a strategic framework Types of strategy and strategy in the corporate life cycle Strategy – two views: industrial economics and resource based strategy Communicating strategy to shareholders and funders Understanding shareholder value and value drivers Setting priorities Communicating strategy to non-financial colleagues Leading the finance agenda Aligning finance strategy to organization’s strategy, operating plans and performance Making Strategy Work - Improving communication, tracking implementation, adapting Discussion: CFO at the heart of strategic development Group Discussion: Identify key input factors Financial Strategy Finance vision, mission, goals and values Setting a strategy for the finance function Creating and protecting value, identifying value drivers Addressing key components (e.g. capital structure, gearing) Talent sourcing and selection Communicating and delivering the Finance vision Setting targets for the operating business Main Influences - business size and sophistication Group Exercise: Creating a finance strategy Challenges Faced by CFOs Embracing financial leadership Tackling the many roles Critical success factors Managing avalanche of data Delegating responsibility Managing through the downturn Identifying growth opportunities Regulatory compliance arising from geographical expansion and changing regulations Finance workforce effectiveness (organization, leadership and training) Operational efficiency (reliability, integrity, timetabling) Keeping pace with emerging technologies and business models Driving high performance: Benchmarking to assess quality and efficiency Personal work: Developing a framework for priorities Day 2 Performance Reporting and Analytics Advanced analytic tools and executive dashboard Addressing sustainability issues New IT enablers to improve end-to-end processes Information architecture, legacy systems and manual interfaces Case Study & Discussion: Enhancing quality and presentation of reports (internally and externally) Reporting with Clarity and Purpose Relevant key performance measures Communication in fewer words to non-financial audience Report formats Case Study: Pulling it all together – expectations, outcomes and enhanced reporting Hazards in the Boardroom CFO as a member of the board Board behaviours Group Think When the board disagrees Case Study & Discussion: Working harmoniously alongside fellow board members Building Relationships and Influence Building Relationships Building relationships (CEO/Chairman/Audit Committee chair/ Investors/Analysts/banks) Working alongside the CEO and handling conflict or issues calling for judgment Relations with internal and external auditors (incl. new legislation of rotating auditors) Partnering with other corporate functions and business management Case Study & Discussion: Developing professional relations with the CEO, stakeholders and auditors The Influential CFO Personal effectiveness, presence and credibility Communication skills and social interactions Holding centre stage effectively Close relationship (or rapport) with decision taker Managing significant events such as cross border acquisitions Managing a business discontinuity event Discussions: How to influence people within the business Day 3 Beyond Budgeting Strategic Budgeting and Business Partnering Linking planning process to the business life cycle and strategy Budgets and rolling forecasts Level of connection and challenge Quality of business decisions Managing expectations and maintaining credibility Periodic business review meetings Discussion: Obtaining ownership, accountability and buy-in from the budget holder Corporate Finance Balance sheet optimization Capital planning & allocation Re-investment, M&A, debt servicing, dividends, share buybacks Tax planning Transfer pricing & thin capitalisation Discussion: International tax planning (Starbucks/Google) and impact on reputation Crisis Management Assessing situation, identify biggest problems Knowing your stakeholders, rebuilding credibility Honesty, openness, being positive, communicating clearly Scenario planning and risk assessments Responsibility and accountability Use of advisers Plan B Discussion: Why first few days are most critical? Capitalising on M&A opportunities Defining acquisition criteria and planning acquisition process Financial and commercial due diligence Valuing and evaluating the target Deal negotiation Financing the deal Purchase and sale contract Taking charge and integrating the business Case Study & Discussion: Recent examples of worst takeover deals and what went wrong Day 4 Business & Economic Environment Managing the complex needs of all stakeholders Tackling volatility and uncertainty Scenario modelling Exercise & Discussion: Tackling future challenges Leading Corporate Treasury Strategy, mission & authorities Understanding the core treasury elements (Funding, investment, currency & interest rate risk) Alignment of strategy and policy with overall business strategy Profit centre vs. value-added centre vs. cost centre Working capital and the Cash Conversion Cycle Critical treasury risks (interest rate, currency, bank risks) Derivatives and complex financial instruments (swaps, forward contracts) Discussions: Recent cases where controls have been weak or have collapsed Exercises: Treasury fundamentals / hedging instruments (Interest rate swaps/currency forwards) Risk Management & Risk Reporting Responding and sustaining risk framework Main elements of risk policy and proven steps to seek board approval Overcoming implementation challenges Understanding risk jargon: appetite, tolerance, aggregation and mitigation Strategies to respond for risk Tackling the variety of risks Business / market / counterparty credit / treasury / Operational risks Management of emerging complex risks Financial and non-financial risk management Risk Reporting Integrated risk management processes Risk management and reporting Case Study: Overcoming challenges in embedding risk culture Discussion: Exploring the CFO role in risk management Day 5 Corporate Governance International governance frameworks The UK Corporate Governance Code 2010 - main principles The Companies Act 2006 - Directors responsibilities in law Corporate governance and public reviews CFO’s role in corporate governance System of internal control Case Study & Discussion: Prominent failures in corporate governance Business Ethics Identifying an ethical framework Corporate culture and personal responsibility Appreciating importance of behaviours Connecting business values and ethical values Setting the ethical framework Exercise & Discussion: Tackling ethical dilemmas Fraud, Bribery and Corruption Fraud Motives and indicators of fraud Fraud prevention Case Study & Discussion: Warning signals and what to look for (including potential fraud in M&A) Bribery & Corruption Definitions and prohibited practices Foreign Corrupt Practices Act, OECD convention The Bribery Act 2010 –practical implications Case Study & Discussion:Conducting investigations into bribery, corruption and fraud with potential impact on business reputation End of course Quiz Course summary and close