1173 Posts Found

Efficient capital markets require that companies that have raised money in the capital markets must file detailed, timely and sometimes intimate information with regulators. These filings are open for everyone – not only investors in the company. Prior to the www, these filings were available to the public, but the means for everyone to access this information easily was not available. The free flow of … [ Read more ]

Content: Article | Author: Samuel Dergel | Source: CEO Refresher | Subjects: Competitive Intelligence, Finance

Accountancy used to be boring. If only it still were.

Content: Article | Author: Matthew Bishop | Sources: CFO Publishing, The Economist | Subjects: Accounting, Finance

While CEOs realize they can count on financial executives to know the value of the company’s tangible assets, they may not be so sure that their CFO has a firm grasp on how the company stacks up when it comes to intellectual capital, new product effectiveness or relationships with customers. If you haven’t made any effort in measuring the value of these assets, maybe it’s … [ Read more ]

Content: Article | Author: Tad Leahy | Source: Business Finance Magazine | Subjects: Finance, Management

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NOTE: The original site seems to have been hacked by some spammers – I am now linking to the archive.org site until that gets settled…

SAB101.org, is a one-stop educational resource for any financial executive facing the challenges of SAB 101 interpretation and compliance. As a well-indexed portal, SAB101.org includes links to resources from more than a dozen sources including the SEC, professional financial and … [ Read more ]

Content: Article | Sources: diCarta, SAB101.org | Subjects: Accounting, Finance

A VBM initiative should pursue three objectives, according to Olsen. First, it should work to increase returns from existing assets. Second, it needs to help senior management make incremental investments that have rates of return above the company’s cost of capital. And third, it should free up cash and return it to investors when profitable investments are not available.

Measures that do not incorporate all three … [ Read more ]

Content: Quotation | Source: Business Finance Magazine | Subjects: Finance, Management

CEOs increasingly look to financial managers to implement Economic Value Added (EVA) to increase shareholder value. EVA can be challenging to implement, but far from impossible – as long as executive compensation is tied in.

Content: Article | Author: Ivy McLemore | Source: Business Finance Magazine | Subjects: Finance, Management

Article takes a look at “efficient markets” and “behavioural finance” theories and examines their relevance to financial market bubbles.

Content: Article | Author: Matthew Bishop | Sources: CFO Publishing, The Economist | Subjects: Economics, Finance | Industry: Finance / Banking

The earnings game is bizarre because it consumes a huge amount of time and energy in managing earnings rather than managing the company.

The presumption is that value revolves around one number: earnings. But even if that number is accurate, it is only a very small part of the story. What’s strange is that there is strong agreement between management and the market that it’s crucial … [ Read more ]

Content: Quotation | Source: Business Finance Magazine | Subjects: Finance, Management

The process used to evaluate many IT projects doesn’t leave room for on-the-fly management flexibility. That could prevent some potentially money-making projects from getting off the ground. The alternative: Treating IT investments like stock options, which can lead to better product valuation, capital budgeting, and strategic planning.

Content: Article | Author: James Alleman | Source: Optimize Magazine | Subject: Finance

The outsourcing of business processes, particularly in finance and accounting, is moving to a higher level, requiring greater attention to the tactics of sourcing management.

Content: Article | Author: Eric Krell | Source: Business Finance Magazine | Subjects: Finance, Outsourcing / BPO

The problem with the Balanced Scorecard is it doesn’t give you an actual score of how your company is doing. For instance, if you were playing basketball, the Balanced Scorecard could tell you the number of rebounds, turnovers, blocked shots and a lot of other statistics about the game, all of which help to some extent, but it couldn’t tell you the score. EVA provides … [ Read more ]

Content: Quotation | Source: Business Finance Magazine | Subjects: Finance, Management

Measures of value creation are effective at getting managers and executives to focus on both the balance sheet and the P&L statement. The trick is to make a value measure relevant to all employees so they manage the company’s capital as if it were their own.

Content: Article | Author: Joanne Sammer | Source: Business Finance Magazine | Subjects: Finance, Management

No single set of EVA metrics works well for all companies. The metrics you need depend on your organization’s specific strategies for increasing value.

Content: Article | Author: Tad Leahy | Source: Business Finance Magazine | Subjects: Finance, Management

Improving and sustaining performance through value-based management requires fundamental cultural changes from top to bottom of the organization. Abandoning the traditional budget and the earnings game are prerequisites.

Content: Article | Author: Fay Hansen | Source: Business Finance Magazine | Subjects: Finance, Management

Few dispute the value of EVA as a performance measure, but some companies think that other metrics correlate more closely with long-term shareholder returns. However, if you’re looking for one perfect measure, you’ll likely be disappointed. Here are the pros and cons of the most commonly used metrics.

Content: Article | Author: Tad Leahy | Source: Business Finance Magazine | Subjects: Finance, Management

Does a global financial system need a global regulator?

Content: Article | Author: Matthew Bishop | Sources: CFO Publishing, The Economist | Subjects: Economics, Finance | Industry: Finance / Banking

This article purports to give an overview of valuation essentials for CFOs, especially in consideration of M&A activity. If you are not strong on this topic or finance in general this will be a useful article for you. If you are actually a CFO who needs anything contained in this article, shame on you…

Content: Article | Author: Frank C. Evans | Source: Financial Executive | Subject: Finance

A short look at the DuPont Model.

Content: Article | Sources: DuPont, Optimize Magazine | Subjects: Finance, Management

The financial system has coped remarkably well with a horrendous couple of years.

Content: Article | Author: Matthew Bishop | Sources: CFO Publishing, The Economist | Subjects: Finance, Industry Specific | Industry: Finance / Banking