...Laaksonen CFO, Fortum Patrick Regan CFO, Aviva Simon Ridley FD, Standard Bank Hans-Peter Ring CFO, EADS Sue Round Head of Investments, Ecclesiastical Robin J Stalker CFO, Adidas Firoz Tarapore CFO, Dubai Aerospace Enterprise Tim Tookey CFO, Lloyds Banking Group Rob Murray CFO, Coca-Cola Hellenic B Document title Additional text In this report Executive summary 2 Contributing to strategy 4 A broader business role 6 Core competencies remain key Future focus on stakeholder communication 10 12 and 18 The CFO’s contribution 14 Staging post or career destination? 20 A toolkit for the aspiring CFO 22 Demographics 26 What makes a CFO 28 Ernst & Young contacts 29 The DNA of the CFO provides fresh insight into what it is to be a CFO today by talking to today’s CFOs. This Ernst & Young report is based on our analysis of a survey of 669 senior finance professionals in Europe, the Middle East, India and Africa, and a program of in-depth interviews with leading CFOs and finance directors from these regions – allowing...
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...The Relationship Between Finance and Accounting Although finance and accounting are both involved with the financial aspect of a business or organization, the managers and employees in these departments deal with finances in completely different ways. Accounting deals mainly with preparing and examining financial records and ensuring their accuracy, making sure taxes are paid on time and properly, and assessing financial operations to help ensure that organizations run efficiently. On the other hand, finance deals primarily with making important financial decisions for an organization and helping “develop strategies and plans for the long-term financial goals of an organization” (Financial Managers 2012). It is also important to note that financial managers use the financial information prepared by the accounting department in order to make the best decision possible for their organization. Nevertheless, both accountants and financial managers together must operate effectively and efficiently to ensure the continued short-term and long-term financial viability of any health care organization. In this short essay I will explain the relationship between finance and accounting and how they both help ensure the financial viability of a health care organization. First, despite the fact that finance and accounting both oversee the financial aspect of a health care organization, the way in which they handle finances are very different from one another. “Accounting is concerned with...
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...Journal Of Financial And Strategic Decisions Volume 10 Number 3 Fall 1997 STRATEGIC ASSETS, CAPITAL STRUCTURE, AND FIRM PERFORMANCE Rahul Kochhar* Abstract Possession of strategic assets is a necessary condition for sustained competitive advantage. This condition is, however, not sufficient. Firms require financial management capability to realize the rents present in their strategic assets. The firm-specific nature of strategic assets implies that they be financed primarily through equity; other less specific assets should be financed through debt. Firms are likely to suffer increased costs and decreased performance if they do not adopt suitable governance structures in their transactions with potential suppliers of funds. INTRODUCTION The recently developed “resource-based view of the firm” seeks to focus the attention of researchers and managers alike on the unique and hard-to-copy strategic assets of the firm [7, 61]. Firms earn economic rents from these assets when there is an initial level of asymmetry in resource endowments, there is imperfect mobility of these assets, the market for these assets is imperfect, and competitors cannot easily obtain similar assets [2, 6, 7, 20, 24, 48]. Strategic assets provide the firm with a source of steady stream of rents so that it gains a sustained competitive advantage over its rivals. While researchers in this area have a general agreement over the characteristics of strategic assets (albeit adopting slightly different terminology...
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... No. 2002-03-01 March 2002 i CapStrMktPower I M Pandey CAPITAL STRUCTURE AND MARKET POWER I M Pandey ABSTRACT This paper provides new insights on the way in which the capital structure and market power and capital structure and profitability are related. We predict and show that capital structure and market power, as measured by Tobin’s Q, have a cubic relationship. That is, at lower and higher ranges of Tobin’s Q, firms employ higher debt, and reduce their debt at intermediate range. This is due to the complex interaction of the market conditions, agency problems and bankruptcy costs. We also show saucer-shaped relation between capital structure and profitability because of the interplay of agency costs, costs of external financing and debt tax shield. To our knowledge, we are the first to uncover these results. Key words: capital structure; market structure; market power; Tobin’s Q; riskshifting; moral hazard; agency problems; pecking order; trade-off theory; asset substitution. ii CapStrMktPower I M Pandey CAPITAL STRUCTURE AND MARKET POWER INTRODUCTION In corporate finance, works of Modigliani and Miller (1958; 1963) about capital structure irrelevance and tax shield advantage paved way for the development of alternative theories and a series of empirical research on capital structure. The alternative theories include the trade-off theory, the pecking order/asymmetric information theory and the agency theory. All these theories have been subjected...
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... No. 2002-03-01 March 2002 i CapStrMktPower I M Pandey CAPITAL STRUCTURE AND MARKET POWER I M Pandey ABSTRACT This paper provides new insights on the way in which the capital structure and market power and capital structure and profitability are related. We predict and show that capital structure and market power, as measured by Tobin’s Q, have a cubic relationship. That is, at lower and higher ranges of Tobin’s Q, firms employ higher debt, and reduce their debt at intermediate range. This is due to the complex interaction of the market conditions, agency problems and bankruptcy costs. We also show saucer-shaped relation between capital structure and profitability because of the interplay of agency costs, costs of external financing and debt tax shield. To our knowledge, we are the first to uncover these results. Key words: capital structure; market structure; market power; Tobin’s Q; riskshifting; moral hazard; agency problems; pecking order; trade-off theory; asset substitution. ii CapStrMktPower I M Pandey CAPITAL STRUCTURE AND MARKET POWER INTRODUCTION In corporate finance, works of Modigliani and Miller (1958; 1963) about capital structure irrelevance and tax shield advantage paved way for the development of alternative theories and a series of empirical research on capital structure. The alternative theories include the trade-off theory, the pecking order/asymmetric information theory and the agency theory. All these theories have been subjected...
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...FINANCE IN VALUE CHAIN ANALYSIS—A SYNTHESIS PAPER microREPORT #132 OCTOBER 2008 This publication was produced for review by the United States Agency for International Development. It was prepared by DAI. FINANCE IN VALUE CHAIN ANALYSIS—A SYNTHESIS PAPER microREPORT #132 The authors’ views expressed in this publication do not necessarily reflect the views of the United States Agency for International Development or the United States Government. CONTENTS INTRODUCTION ................................................................................. 1 OBJECTIVE ................................................................................ 1 DEFINITION ................................................................................ 1 IMPORTANCE ............................................................................. 1 REPORT STRUCTURE ................................................................. 1 THE VALUE CHAIN ANALYSIS (VCA) FRAMEWORK ..................... 3 ANALYTICAL VCF FRAMEWORK WITH CASE-STUDY ILLUSTRATIONS ................................................................................ 7 UNDERSTANDING THE CURRENT CASH FLOW AND CREDIT STRUCTURE (ANALYTICAL PHASE) ............................................ 7 Intra-firm Finance ......................................................... 8 Finance Services Provision .......................................... 9 Inter-firm Finance (Governance) ................................ 10 UNDERSTANDING...
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...THE ROLE OF COMMERCIAL BANK FINANCING ON THE GROWTH OF THE MANUFACTURING SECTOR IN NIGERIA A RESEARCH PROJECT SUBMITTED BY ETIM KATHRINE ETOK: 08/BAF-5/140 DEPARTMENT OF BANKING AND FINANCE: FACULTY OF MANAGEMENT SCIENCES UNIVERSITY OF CALABAR: TO DEPARTMENT OF BANKING AND FINANCE FACULTY OF MANAGEMENT SCIENCE UNIVERSITY OF CALABAR IN PARTIAL FULFILMENT OF THE COURSE REQUIREMENT FOR THE AWARD OF A BACHELOR OF SCIENCE DEGREE IN BANKING AND FINANCE JUNE, 2014. ACKNOWLEDGMENT My profound gratitude goes to God Almighty, for his guidance, protection, love and strength etc. that has seen me throughout these five years of study. Special thanks also go to my parents, Elder and Mrs. NyongEtok for allowing themselves to be used by God as a foundational stone to my academic pursuit. I am also grateful to my siblings Master, EkpenyongEtokEtim, Miss, AritEtokEtim, Miss Victoria EtokEtim and little Daddy boy, and my friend EgbeAsikong. Special thanks to my supervisor Hon. BasseyIbor, who took pains to go through my work and provided required guidance and insightful comments. Finally I thank all those whose names are not mentioned here but who contributed in one way or the other in making this work successful. May God bless you all. ABSTRACT This examined the role of commercial bank financing on the growth of the manufacturing sector in Nigeria. Time series data covering the period 1990 – 2012 was used. Four research questions guided the study and...
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...applied. You must declare that this work is your own by signing the following statement: Learner declaration I certify that the work submitted for this assignment is my own and research sources are fully acknowledged. Student signature: Date: Assessment Criteria Learning Outcome LO1 LO2 LO3 Learning Outcome Understand the relationship between supply chain management (SCM) and organisational business objectives Be able to use information technology to optimise supplier relationships in an organisation Understand the role of information technology in supply chain management Assess ment Criteria 1.1 1.2 1.3 2.1 2.2 2.3 3.1 3.2 3.3 LO4 Understand the role of logistics and procurement in supply chain management 4.1 4.2 4.3 5.1 LO5 Be able to plan a strategy to improve an organisation’s supply chain 5.2 5.3 In this assessment you will have the opportunity to present evidence that shows you are able to: Explain the importance of effective supply chain management in achieving organisational objectives Explain the link between supply chain management and business functions in an organisation Discuss the key drivers...
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...van Beelen 2511873 Iris Hosman 2061597 Beatrice Munnichs 2121670 Index 1. Business and IS analysis Approach to and objectives of the IS strategy 3 Internal and external business environment 3 SWOT analysis of K-bells current situation: 4 IS environment 4 2. Data Analysis Redesigning the VoD system 6 3. IS Solutions Changes in existing IS and data-organization 7 4. IS Implications and implementation Structure and Culture 10 Changes in structure and culture 11 Decision making 11 Resistance to the system 12 Implementation system 13 5. Recommendations Overview of Recommendations 15 6. References and Apendices References 16 Appendices 17 1. BUSINESS AND IS ANALYSIS Approach to and objectives of the IS strategy The first step of our consultancy report for K-bell is to analyze the internal en external business and the information system environment. K-Bells latest information strategy opens up new possibilities for expanding and can even improve customer satisfaction. The rapport we will present shall explain how K-Bells can best implement the improved system. New improvements will be added in a way that K-Bell can even redefine their strategic objectives. K-Bells new IS objective is to be a intermediary between supplier and consumer in. Both parties should be able to access the information system (content suppliers however, with limited access). This objective...
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...See discussions, stats, and author profiles for this publication at: https://www.researchgate.net/publication/235266981 International business and finance scholarship ARTICLE in RESEARCH IN GLOBAL STRATEGIC MANAGEMENT · JUNE 2008 DOI: 10.1016/S1064-4857(08)00001-6 CITATION READS 1 11 1 AUTHOR: Raj Aggarwal University of Akron 203 PUBLICATIONS 1,943 CITATIONS SEE PROFILE Available from: Raj Aggarwal Retrieved on: 23 February 2016 INTERNATIONAL BUSINESS AND FINANCE SCHOLARSHIP Raj Aggarwal ABSTRACT This chapter explores how scholarly work in the fields of Finance and International Business (IB) can be mutually supportive. First, it is clear that technology has been a major driver of modern developments in both Finance and IB. Second, Finance can provide many insights into IB scholarship since it has much to say about firm operations and strategy. Third, IB scholarship with its focus on culture also provides significant opportunities for a better understanding of the global aspects of Finance. Finally, it is contended that transaction-costs economics provides an excellent theoretical and fundamental basis for bringing together IB concepts and Finance scholarship. However, while the potential for Finance and IB scholarship to contribute to each other is great, such advances must await the removal of cultural barriers between the two disciplines. INTRODUCTION The field of IB generally focuses on inter-national business, that is, business across national boundaries and, thus...
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...Although finance and accounting are both involved with the financial aspect of a business or organization, the managers and employees in these departments deal with finances in completely different ways. Accounting deals mainly with preparing and examining financial records and ensuring their accuracy, making sure taxes are paid on time and properly, and assessing financial operations to help ensure that organizations run efficiently. On the other hand, finance deals primarily with making important financial decisions for an organization and helping “develop strategies and plans for the long-term financial goals of an organization” (Financial Managers 2012). It is also important to note that financial managers use the financial information prepared by the accounting department in order to make the best decision possible for their organization. Nevertheless, both accountants and financial managers together must operate effectively and efficiently to ensure the continued short-term and long-term financial viability of any health care organization. In this short essay I will explain the relationship between finance and accounting and how they both help ensure the financial viability of a health care organization. First, despite the fact that finance and accounting both oversee the financial aspect of a health care organization, the way in which they handle finances are very different from one another. “Accounting is concerned with financial record keeping, the production of periodic...
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...discovered that the closer the co-operation between finance departments and human resources (HR) departments on areas like bonus schemes, the better the organisational performance will be. The research was carried out by John Innes, University of Dundee; Reza Kouhy, Glasgow Caledonian University; Rishma Vedd, California State University, Northridge; and Takeo Yoshikawa, Yokohama National University on a CIMA grant. The project examines the relationship between HR management, management accounting and organisational performance. Six case studies covering the UK, Canada and Japan were analysed with the results tested in a series of 100 telephone interviews. Top level findings show that HR and finance teams need to work closely with one-another on HR policies to ensure better performance across the entire business. Where the tone is set at the top, with HR Directors and Finance Directors being seen to liaise on bonus schemes and benchmarking exercises, it is generally felt that a better working relationship between HR and finance can be achieved. Researcher John Innes, explains further: 'It was commonly considered that while HR can benefit from getting financial input on how to structure bonus schemes and strategies, that finance can equally benefit from working with HR to understand how viewing employees as 'assets' rather than 'costs' can lead to a net positive effect on an organisation's long-term performance.' Although the relationship between HR and the operational and executive...
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...net/publication/231589896 The Relationship between Capital Structure & Profitability ARTICLE · JUNE 2012 CITATIONS READS 8 3,800 2 AUTHORS, INCLUDING: Thirunavukkarasu Velnampy University of Jaffna 57 PUBLICATIONS 131 CITATIONS SEE PROFILE Available from: Thirunavukkarasu Velnampy Retrieved on: 26 January 2016 Global Journal of Management and Business Research Volume 12 Issue 13 Version 1.0 Year 2012 Type: Double Blind Peer Reviewed International Research Journal Publisher: Global Journals Inc. (USA) Online ISSN: 2249-4588 & Print ISSN: 0975-5853 The Relationship between Capital Structure & Profitability By Prof. (Dr). T. Velnampy & J. Aloy Niresh University of Jaffna, Sri Lanka. Abstract - Capital structure decision is the vital one since the profitability of an enterprise is directly affected by such decision. The successful selection and use of capital is one of the key elements of the firms’ financial strategy. Hence, proper care and attention need to be given while determining capital structure decision. The purpose of this study is to investigate the relationship between capital structure and profitability of ten listed Srilankan banks over the past 8 year period from 2002 to 2009.The data has been analyzed by using descriptive statistics and correlation analysis to find out the association between the variables. Results of the analysis show that there is a negative association between capital structure and profitability...
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...Relationship between Strategic Planning and Financial Planning Abstract: A major part of a company's success is planning. It is a process that at best helps the firms avoid uncertainty into the future backward. The companies use two types of planning-- strategic and financial planning. Strategic planning is important for strategic management of companies. Top-level managers plan not just in the context of the current competitive environment but also in the future competitive environment. What future will look like? To try to anticipate this, managers can use scenario planning techniques to plan for different possible futures (Hill, C.W.L. and Jones, G.R. 2009). Lack of effective financial planning demonstrates financial distress and failure for the firm. Financial planning establishes course of action for change and growth in firm (Ross, A.S. et al. 2011). Introduction: Strategic planning is the process of determining the path a company takes, the goals for the business and how to achieve successfully what the company wants. It also encompasses a broader concept of a business plan where projections to be made go beyond financial planning and current market forecasts (Cantoria, s.c, 2011). Whereas financial planning manages the finances over time in such a way that one can meet his/her business needs. The purpose of strategic planning is to give a road-map for the progression of the business. With a good business road map, it is possible to eliminate areas of inefficiency. Ultimately...
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...Syllabus Cambridge International A & AS Level Business Studies Syllabus code 9707 For examination in June and November 2013 Contents Cambridge International A & AS Level Business Studies Syllabus code 9707 1. Introduction ..................................................................................... 2 1.1 1.2 1.3 1.4 Why choose Cambridge? Why choose Cambridge International A & AS Level Business Studies? Cambridge Advanced International Certificate of Education (AICE) How can I find out more? 2. Assessment at a glance .................................................................. 5 3. Syllabus aims and objectives ........................................................... 7 3.1 Aims of the syllabus 3.2 Assessment objectives 4. Curriculum content .......................................................................... 9 4.1 Core syllabus 4.2 Extended syllabus 5. Resource list .................................................................................. 38 6. Appendix: International terminology.............................................. 43 7 Additional information.................................................................... 45 . 7 .1 7 .2 7 .3 7 .4 7 .5 7 .6 Guided learning hours Recommended prior learning Progression Component codes Grading and reporting Resources Cambridge A & AS Level Business Studies 9707 Examination in June and November 2013. . © UCLES 2010 1. Introduction 1.1 Why choose Cambridge? University of Cambridge International...
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