TAX EXPERT International AG:
Reclaiming Switzerland’s Attractive Tax Environment

Richard Wuermli from TAX EXPERT International AG, a sponsor company at the marcus evans European Tax Summit 2012, on benefiting from the attractive tax environment that Switzerland has to offer.   Interview with: Richard Wuermli, Managing Partner, TAX EXPERT International AG

FOR IMMEDIATE RELEASE

After Switzerland was placed on the Organisation for Economic Co-operation and Development’s (OECD) grey list in 2009, there has been a move to make the tax environment even more attractive than before, says Richard Wuermli, Managing Partner, TAX EXPERT International AG. Businesses are now benefiting from zero rates, arbitration board clauses and a new Licence Box Rule, he adds.

From a sponsor company at the upcoming marcus evans European Tax Summit 2012, taking place in Dublin, Ireland, 26 – 27 March, Wuermli shares his views on why more European company headquarters are moving to Switzerland to take advantage of its favourable tax environment. 

How has Switzerland bounced back from being put on the OECD grey list?

Switzerland found itself under heavy attack when it was placed on the tax haven grey list in 2009. The Swiss principle of bank secrecy strictly limited any information from being shared with third parties, making it difficult to come off that list due to the information exchange clause in the double tax treaty.

Nevertheless, Switzerland signed new double tax treaties in agreement with international standards set by the OECD, and was thus removed from the list. Through this course of action, numerous benefits for businesses, including lower tax rates, the capital contribution principle and arbitration board clauses in the double tax treaties were introduced.

Although we are no longer seen as a tax haven, there are now movements to lower the tax rates even further and a new Licence Box Rule has been introduced which is very favourable to companies. There is a move to make Switzerland even more attractive than before. 

What guidance would you give regarding international mergers and acquisitions?

Many European headquarters are moving to Switzerland in order to benefit from the low tax rates for companies as well as for employees. Organisations value political stability, strong currencies and security, and that is what the country has to offer. The question arises whether there is heavy exit tax, taxation of assets relocated and moveable/immovable intellectual property rights when moving to the nation.
 
How should organisations develop their transfer pricing strategies?

Respective authorities are becoming more aggressive and attacking companies on transfer pricing aspects.

Having a centralised filing system, a master file, is crucial. If an organisation were to be attacked in a certain jurisdiction, it would have easy access to all documents needed to defend its transfer policy. In many countries, an Advanced Pricing Agreement (APA) would resolve transfer pricing disputes in a cooperative manner. A best practice is to have a strong centralised filing system for all documents and contracts.

Contact:
Stacey Melvin
Journalist
marcus evans, Summits Division
Tel: + 357 22 849 400
Email: press@marcusevanscy.com

About the European Tax Summit 2012

This unique forum will take place at The Four Seasons, Dublin, Ireland, 26 – 27 March 2012. Offering much more than any conference, exhibition or trade show, this exclusive meeting will bring together esteemed industry thought leaders and solution providers to a highly focused and interactive networking event. The Summit includes visionary presentations and interactive forums on substantial fiscal deficits, minimising tax gaps and developing transfer pricing strategies.

For more information please send an email to info@marcusevanscy.com or visit the event website at www.taxsummit.com

marcus evans group – finance/insurance sector portal

The Finance Network – marcus evans Summits group delivers peer-to-peer information on strategic matters, professional trends and breakthrough innovations.

Please note that the Summit is a closed business event and the number of participants strictly limited.

About TAX EXPERT International AG

We are a world-wide leading international tax consulting firm. Our tax expert teams reliably assist you when it comes to complex national and international tax set-ups. We develop tax strategies and concepts that are easy to be translated into practice – tailor-made for your needs. Together, we determine your success, implement solutions orientated towards the future and generate surplus value for your group of companies.

www.taxexpert.ch

About marcus evans Summits
 
marcus evans Summits are high level business forums for the world’s leading decision-makers to meet, learn and discuss strategies and solutions. Held at exclusive locations around the world, these events provide attendees with a unique opportunity to individually tailor their schedules of keynote presentations, think tanks, seminars and one-to-one business meetings. For more information, please visit www.marcusevans.com

All rights reserved. The above content may be republished or reproduced. Kindly inform us by sending an email to press@marcusevanscy.com

The Commercially Attuned CFO

FOR IMMEDIATE RELEASE

Chief Financial Officers (CFOs) need to be commercially attuned and think like owners in order to enhance the value proposition and help the business achieve sustainable growth with appropriate margins, says Craig Omtvedt, Former Senior Vice President & CFO, Fortune Brands, Inc. “Some CFOs are so focused on IRR that they cause the company to lose market share, which can ultimately be a death spiral,” he adds.

A speaker at the upcoming marcus evans CFO Summit XXIV Spring 2012 in Hollywood, Florida, May 17-19, Omtvedt talks about risk management and setting up the business for success by being in sync with global markets.

What is the top CFO challenge today?

The biggest challenge for CFOs today is dealing with the new normal, the dynamic of the global economy, with slow or no growth in the US and a Eurozone crisis. Companies are also trying to take advantage of opportunities in the emerging markets, which many consider as homogenous when they are the opposite. Dealing with the various challenges – the on again, off again interest of Russia in foreign investment and the demographics of China’s aging population versus India’s youthful population – are creating interesting dynamics. One size does not fit all.

How can CFOs drive shareholder value in this setting?

CFOs need to focus on the value proposition for consumers, to ensure that what is being engineered into products and new product initiatives represent features that customers are willing to pay for. Simply building the best product in the world is no longer good enough. There needs to be a dramatic outward-in focus.

What works well for mitigating risks?

The most important technique is simply having a hands-on knowledge of the business and industry, and a strong understanding of competitors. That drives good decisions. Rather than operating from the center, getting out and spending time to understand strengths, weaknesses, the risk orientation of various teams, the various global markets in which they operate, and making sure that the right risk attention is placed at the right time is key to a strong risk program. 

Sometimes we see a bureaucratic or cookie cutter approach where risks are periodically weighed formulaically. That does not serve the organization well. Bureaucratic process can kill a business as fast as too little control. Here again, CFOs need to think like owners and make sure that the mitigation procedures and programs are timely, make sense and are financially viable.

Contact: Sarin Kouyoumdjian-Gurunlian, Press Manager, marcus evans, Summits Division

Tel: + 357 22 849 313
Email: press@marcusevanscy.com

About the CFO Summit XXIV Spring 2012

This unique forum will take place at The Westin Diplomat Resort & Spa, Hollywood, Florida, May 17-19, 2012. Offering much more than any conference, exhibition or trade show, this exclusive meeting will bring together esteemed industry thought leaders and solution providers to a highly focused and interactive networking event. The Summit includes presentations on improving profit margins, the evolving role of the CFO, risk management and strategically accessing capital in a turbulent market.

For more information please send an email to info@marcusevanscy.com or visit the event website

marcus evans group – finance/insurance sector portal

The Finance Network – marcus evans Summits group delivers peer-to-peer information on strategic matters, professional trends and breakthrough innovations.

Please note that the Summit is a closed business event and the number of participants strictly limited.

About marcus evans Summits

marcus evans Summits are high level business forums for the world’s leading decision-makers to meet, learn and discuss strategies and solutions. Held at exclusive locations around the world, these events provide attendees with a unique opportunity to individually tailor their schedules of keynote presentations, think tanks, seminars and one-on-one business meetings. For more information, please visit www.marcusevans.com

All rights reserved. The above content may be republished or reproduced. Kindly inform us by sending an email to press@marcusevanscy.com

Cost and Risk Management Tips for CFOs

Stephen Rue, the Chairman of the upcoming marcus evans CFO Summit 2012, on cost and risk management.   Interview: Stephen Rue, Chief Financial Officer, News Limited

FOR IMMEDIATE RELEASE

Chief Financial Officers (CFOs) should consider cost-cutting measures in conjunction with the overall business strategy and not in isolation, says Stephen Rue, Chief Financial Officer, News Limited.

The Chairman of the marcus evans CFO Summit 2012, taking place in the Gold Coast, Queensland, Australia, 4 – 6 March, Rue discusses cost management, gaining market share and risk management in today’s challenging economy.

How can organisations lower their expenditure whilst maintaining their competitive edge in today’s economic and business environment?

Any cost management must be conducted in conjunction with the overall business strategy. Cutting costs in isolation of a whole of business plan can be dangerous. All employees should see a purpose behind it, so it is critical to constantly communicate a vision for the future at the same time.

In terms of cost cutting, CFOs should question everything that is done, look to implement shared services, review options for outsourcing, and consider the delayering of management and any opportunities to divest non-core assets.

It is also important to invest some savings back into areas of the business that can be grown. Competitors may also be going through the same difficulties, so it might be an opportunity to gain competitive advantage, grow market share or hire top talent released from competitors.

What risk management strategies could you share?

Risk management is an essential part of the CFO’s job today. The CFO needs to look at all areas of the business and its strategies, from how business plans are being executed to OH&S legal compliance. To ensure all operational areas are covered, it is best to engage the whole business. Key operational management has to understand the importance of assessing the risk environment. They are usually very conscious of issues such as disaster recovery, business interruption, safety and poor execution of plans. This is not something done on a spreadsheet in the CFO’s office. It has to be encapsulated through the whole business. 

As the CFO of News Limited, what are your top challenges and how are you tackling them?

Our greatest challenge is the changing media environment. News Limited has a large proportion of the Australian newspaper market, but consumer habits are changing. Advertisers now have alternative options for marketing their products and services, and are looking for a measurable return on their investment. For us, the big challenge is to continue to protect and support our traditional print business, while growing a new digital business that will be seriously profitable in the future.

Any final thoughts?

The economy today is volatile. Similarly, the pace of change is accelerating; CFOs need to be incredibly vigilant in this environment of increased business risk. They have to think past the traditional role of the CFO and become the eyes and ears of their business.

Contact:
Sarin Kouyoumdjian-Gurunlian
Press Manager
marcus evans, Summits Division
Tel: + 357 22 849 313
Email: press@marcusevanscy.com

About the CFO Summit 2012

This unique forum will take place at RACV Royal Pines Golf Resort & Spa, Gold Coast, Queensland, Australia, 4 – 6 March 2012. Offering much more than any conference, exhibition or trade show, this exclusive meeting will bring together esteemed industry thought leaders and solution providers to a highly focused and interactive networking event. The Summit includes presentations on improved finance strategies, technological innovation, astute leadership, and the impact of climate change on finance.

For more information please send an email to info@marcusevanscy.com or visit the event website at www.cfo-anz.com

marcus evans group – finance/insurance sector portal

The Finance Network – marcus evans Summits group delivers peer-to-peer information on strategic matters, professional trends and breakthrough innovations.

Please note that the Summit is a closed business event and the number of participants strictly limited.

About marcus evans Summits

marcus evans Summits are high level business forums for the world’s leading decision-makers to meet, learn and discuss strategies and solutions. Held at exclusive locations around the world, these events provide attendees with a unique opportunity to individually tailor their schedules of keynote presentations, think tanks, seminars and one-to-one business meetings. For more information, please visit www.marcusevans.com

All rights reserved. The above content may be republished or reproduced. Kindly inform us by sending an email to press@marcusevanscy.com

Optimizing the Capital Raising Transaction Process

David Pritchard and Jonathan Cunningham of Aequitas Advisors LLC, a solution provider at the marcus evans CFO Summit XXIV Spring 2012, on achieving the best possible outcome when raising capital in the financial markets. � Interview with: David Pritchard and Jonathan Cunningham, Principals/Co-Founders, Aequitas Advisors LLC

FOR IMMEDIATE RELEASE

Companies can access a variety of capital raising alternatives today, but with many complex instruments available in the market, Chief Financial Officers (CFOs) may not be realizing optimal financing outcomes for their companies, according to David Pritchard and Jonathan Cunningham, Principals at Aequitas Advisors LLC.

From a capital markets advisory services firm attending the upcoming marcus evans CFO Summit XXIV Spring 2012 in Hollywood, Florida, May 17-19, Pritchard and Cunningham share their insights and expertise on capital raising.

Why do CFOs need help evaluating capital raising alternatives?

David Pritchard: CFOs are typically highly competent, understand the needs and cyclicality of their business and have a fairly clear idea of available financing alternatives. However, many instruments utilized in the capital markets today are fully understood only by people working with them on a regular basis.

CFOs do not necessarily understand or appreciate all of the intricacies and mechanics of these structures and how the investor community views them (both those who might purchase the securities and those analyzing them on a company’s balance sheet).

It is critical CFOs consider how the costs and provisions of these structures will affect the company over the long haul, not simply be received by the market.

Why is it in a company’s best interest to manage their investment banks when issuing securities?

David Pritchard: In representing both their corporate clients as sellers and buy-side clients as purchasers in securities offerings, the role of investment banks is inherently conflicted. Additionally, while they view such events as revenue opportunities, moving on to the next client after a deal is closed, issuers have to live with all of its terms, conditions and covenants as long as the securities remain outstanding. It is, therefore, incumbent upon management to optimize the outcome of this process.    

Given the economic situation today, is it a better or worse time to raise capital or go into risky ventures?

Jonathan Cunningham: As a number of CFOs have told us, they are in the business of taking risks as far as their business objectives go. In these economic times, there are great macro risks, but these represent opportunities as well. Companies can hoard cash and ignore such opportunities, or take a proactive approach and pursue avenues of growth.

The benefit of doing so now is that assets are available at compelling valuations and the financing environment remains active. They can raise capital at attractive rates, so it is a compelling time to grow, acquire other companies or refinance balance sheets.

Contact: Sarin Kouyoumdjian-Gurunlian, Press Manager, marcus evans, Summits Division

Tel: + 357 22 849 313
Email: press@marcusevanscy.com

About the CFO Summit XXIV Spring 2012

This unique forum will take place at The Westin Diplomat Resort & Spa, Hollywood, Florida, May 17-19, 2012. Offering much more than any conference, exhibition or trade show, this exclusive meeting will bring together esteemed industry thought leaders and solution providers to a highly focused and interactive networking event. The Summit includes presentations on improving profit margins, the evolving role of the CFO, risk management and strategically accessing capital in a turbulent market.

For more information please send an email to info@marcusevanscy.com or visit the event website

marcus evans group – finance/insurance sector portal

The Finance Network – marcus evans Summits group delivers peer-to-peer information on strategic matters, professional trends and breakthrough innovations.

Please note that the Summit is a closed business event and the number of participants strictly limited.

About Aequitas Advisors LLC

Aequitas Advisors provides unconflicted consulting/advisory services to clients undertaking capital raising, exchange or restructuring initiatives. We partner with management to analyze financing alternatives, competitively position deal managers and oversee transaction structure, strategy and execution. Aequitas’ principals have extensive institutional sales and capital markets experience and recognize the need for companies to retain such capabilities when approaching the financial markets.

www.aequitasadvisorsllc.com

About marcus evans Summits

marcus evans Summits are high level business forums for the world’s leading decision-makers to meet, learn and discuss strategies and solutions. Held at exclusive locations around the world, these events provide attendees with a unique opportunity to individually tailor their schedules of keynote presentations, think tanks, seminars and one-on-one business meetings. For more information, please visit www.marcusevans.com

All rights reserved. The above content may be republished or reproduced – kindly inform us by sending an email to press@marcusevanscy.com

The Lion Partnership: Risk Management for Competitive Advantage

Ken Armstrong of The Lion Partnership, a sponsor company at the upcoming marcus evans CFO Summit 2012, on identifying and managing risks for competitive advantage. Interview: Ken Armstrong, Managing Partner, The Lion Partnership

FOR IMMEDIATE RELEASE

Chief Financial Officers (CFOs) can save their companies millions of dollars if they correctly identify and manage risks, according to Ken Armstrong, Managing Partner, The Lion Partnership. “Companies do not have to insure the risks that are managed well,” he adds.

From a sponsor company at the marcus evans CFO Summit 2012 in the Gold Coast, Queensland, Australia, 4 – 6 March, Armstrong turns the spotlight on risk management, cost reduction and making the organisation much better in the process.

How should risks be identified and managed?

Ken Armstrong: The only way companies can ensure the survival of the business and achieve their goals and objectives is by identifying and managing risks well. Once identified as insurable or non-insurable risks, the CFO must then make sure that the company’s insurance programme is properly covering (transferring) the insurable risks and that there is an effective risk management plan in place for the non-insurable risks. This way, the corporation has a much greater chance of achieving its goals and becoming successful.

How can the cost of managing risks be minimised?

Ken Armstrong: CFOs should review their insurance programme by benchmarking the policy wording, premiums, deductibles, excesses and the indemnity levels, to ensure they have the best coverages and are not paying more than they should. These could reduce insurance costs by 25 per cent, while substantially improving overall coverage.

If there is a risk culture in the organisation and risks are managed well, some risks would not need to be insured or they could be insured only for catastrophes i.e. with a higher deductible.

A company that is paying EUR 20 million in insurance premiums a year could reduce that to EUR 5 million. Effective risk management eliminates the need for buying insurance. Not only would this save the company money, but it would also make it a much better organisation in comparison to competitors. If there are no assembly line breakdowns or employee injuries, it would have a much better profile and employee morale, and no disgruntled suppliers or customers. This would give the company a competitive advantage over others and drastically reduce insurance costs. 

How can CFOs leverage the up-side of risk?

Ken Armstrong: Some risks affect the viability of the business, whilst others provide a competitive advantage. Most companies look at risk and for example may say, “Let’s not take this product into South America for these specific reasons.” But if the down-side of the risk is mitigated they might find a way to take the product to South America concentrating on the up-side of the risk thereby having a competitive advantage over rivals. They can leverage the up-side of risk by mitigating, minimising and managing risks, not just being afraid of the down-side.

What is your outlook on the economy?

Ken Armstrong: Companies today should prepare for the worst. If that does not occur, they will generate more profits for shareholders and employees. Ensuring business continuity and an effective risk transfer programme appropriately costed can be a tremendous advantage.

The risk culture of an organisation starts at the top, with buy-in from the most senior stakeholders. That should then permeate to the bottom, where even the receptionist is looking for and reporting risks. In most companies near-misses are not reported, but those are still risks for the business. Developing a risk culture takes time, but the organisation will have a substantial competitive advantage over all those that do not have that culture.

Contact:
Sarin Kouyoumdjian-Gurunlian
Press Manager
marcus evans, Summits Division
Tel: + 357 22 849 313
Email: press@marcusevanscy.com

About the CFO Summit 2012

This unique forum will take place at RACV Royal Pines Golf Resort & Spa, Gold Coast, Queensland, Australia, 4 – 6 March 2012. Offering much more than any conference, exhibition or trade show, this exclusive meeting will bring together esteemed industry thought leaders and solution providers to a highly focused and interactive networking event. The Summit includes presentations on improved finance strategies, technological innovation, astute leadership, and the impact of climate change on finance.

For more information please send an email to info@marcusevanscy.com or visit the event website at www.cfo-anz.com

marcus evans group – finance/insurance sector portal

Complementing our summit format, the Finance Network – marcus evans Summits group delivers peer-to-peer information on strategic matters, professional trends and breakthrough innovations.

Please note that the summit is a closed business event and the number of participants strictly limited.

About The Lion Partnership

The Lion Partnership assists companies to identify and manage risk so they can leverage the up-side of risk for competitive advantage and manage the down-side by cost effective risk transfer, avoidance and management.

The Lion Partnership has offices in the Asia Pacific, North America, the UK and Europe and can assist Chief Financial Officers and Risk Managers with global benchmarking of coverages, indemnity levels, excesses and premiums.

For more information: www.thelionpartnership.com

About marcus evans Summits

marcus evans Summits are high level business forums for the world’s leading decision-makers to meet, learn and discuss strategies and solutions. Held at exclusive locations around the world, these events provide attendees with a unique opportunity to individually tailor their schedules of keynote presentations, think tanks, seminars and one-to-one business meetings. For more information, please visit www.marcusevans.com

All rights reserved. The above content may be republished or reproduced – kindly inform us by sending an email to press@marcusevanscy.com

ING Investment Management: The CFO’s Role in Managing Pension Fund Risk

FOR IMMEDIATE RELEASE

“It is always a surprise to Chief Financial Officers (CFOs) and the pension community how correlated the pension fund of a company is with its overall business performance,” says Paul Zemsky, Chief Investment Officer, Multi-Asset Strategies at ING Investment Management. This is why it is critical that CFOs understand the relationship between the pension fund assets and liabilities.

At the marcus evans CFO Summit XXIII Fall 2011 in Las Vegas, Nevada, November 10-12, Zemsky discusses why CFOs should monitor pension fund risks and liabilities very closely.

Why should CFOs pay more attention to pension fund risks?

Paul Zemsky: CFOs are overlooking the amount of risk being taken between assets and liabilities. Not all CFOs have realized the impact that pension fund risks can have on their company’s overall success.

Liabilities are very sensitive to interest rates. When rates go down, liabilities go up; in fact, the liability can move as much as 20 per cent for every one per cent change in the 30-year Treasury rate. Assets, however, are generally much less sensitive to interest rate fluctuations. Since liabilities change much more quickly than assets, there is a risk of a fund becoming underfunded, resulting in additional expense to the company to close a gap that may be relatively large compared to the other operational needs of the business.

This rolls up into the finance office, which then has to come up with cash flows to support the fund’s legal obligations. In our view, CFOs are not paying enough attention to this risk and could face very unpleasant surprises.

What risk management strategies should CFOs look into?

Paul Zemsky: In pension risk management, assets need to be reconfigured to be more sensitive to interest rates and to follow the changes in the value of the liability more closely, so that the differences between the assets and liability are more stable. This would reduce the risk of having to come up with significant money for the pension fund in any one year.

Money managers have developed liability-driven investing programs for companies to deal with this. However, the industry is surprised that very few have adopted these types of policies. When the third quarter results come out, we should see many more pension funds having become seriously underfunded over the summer as falling interest rates resulted in liabilities growing more than the assets.

From your perspective, what is the CFO’s role in today’s highly competitive business landscape?

Paul Zemsky: CFOs need to be on top of pension risks. The fund is a corporate asset, and the CFO has to minimize the cost of funding it.

CFOs do not need to be investment experts, but they do need to be armed with the information to know what key questions to ask. They must know the surplus volatility, the probability or range of funding status, and the odds of a contribution surprise.

It is always a surprise to CFOs and the pension community how correlated the pension fund of a company is with its overall business performance. When interest rates and stock markets fall and the company faces a very underfunded pension fund, it is usually when the economy is soft and the overall business environment is poor. That is a double whammy for the business.

How can the CFO make sure there is enough revenue for the pension fund?

Paul Zemsky: We would argue that it is more important to make sure that assets keep up with liabilities. This was one mistake that was made in the past. Assets can grow ten per cent in one year and people may think that is a great return. In the meantime, liabilities could have expanded 20 per cent, leaving the plan worse off than the year before. 

The first thing the CFO should do is understand the relationship between assets and liabilities, how that can move in different market environments and what the risks are in extreme cases. Once they are comfortable with the risks, they can then come up with an asset allocation policy that can grow assets faster than liabilities.

Contact: Sarin Kouyoumdjian-Gurunlian, Press Manager, marcus evans, Summits Division

Tel: + 357 22 849 313
Email: press@marcusevanscy.com

About the CFO Summit XXIII Fall 2011

This unique forum will take place at the Red Rock Casino, Resort & Spa, Las Vegas, Nevada, November 10-12, 2011. Offering much more than any conference, exhibition or trade show, this exclusive meeting will bring together esteemed industry thought leaders and solution providers to a highly focused and interactive networking event. The Summit includes presentations on how innovation can transform finance organizations, the CFOs role in growth and international expansion and the 2012 financial landscape.

For more information please send an email to info@marcusevanscy.com or visit the event website

marcus evans group – finance/insurance sector portal

Complementing our summit format, the Finance Network – marcus evans Summits group delivers peer-to-peer information on strategic matters, professional trends and breakthrough innovations.

Please note that the summit is a closed business event and the number of participants strictly limited.

About ING Investment Management

ING Investment Management U.S. (ING IM U.S.) is a leading active asset management firm. As of June 30, 2011, ING IM U.S. manages approximately $162 billion for both affiliated and external institutions as well as individual investors. ING IM U.S. has the experience and resources to invest responsibly across asset classes, geographies and investment styles. Through our global asset management network, we provide clients with access to domestic, regional and global investment solutions.

For more information, visit: www.inginvestment.com

About marcus evans Summits

marcus evans Summits are high level business forums for the world’s leading decision-makers to meet, learn and discuss strategies and solutions. Held at exclusive locations around the world, these events provide attendees with a unique opportunity to individually tailor their schedules of keynote presentations, think tanks, seminars and one-on-one business meetings. For more information, please visit www.marcusevans.com

All rights reserved. The above content may be republished or reproduced – kindly inform us by sending an email to press@marcusevanscy.com

Grattan Institute:
The Effect of Carbon Tax on Australian Businesses

Saul Eslake, a speaker at the marcus evans CFO Summit 2012, discusses how the upcoming carbon tax in Australia will affect businesses in the region. Interview: Saul Eslake, Director, Grattan Institute

FOR IMMEDIATE RELEASE

Australia’s 500 biggest greenhouse gas emitters will be taxed on their carbon emissions from July 2012. Whether a company will get taxed or not, Chief Financial Officers (CFOs) in Australia and New Zealand still need to be aware of what the carbon tax and emissions trading systems involve to maintain their organisation’s competitive edge.

A speaker at the upcoming marcus evans CFO Summit 2012, on the Gold Coast, Australia, 4 – 6 March, Saul Eslake, Director, Grattan Institute, points out how Australian companies can prepare for the changes ahead.

What does the introduction of the carbon tax mean for CFOs?

Saul Eslake: If they are a CFO in one of the 500 businesses in Australia that will be liable to pay the carbon tax, there will be some requirements for organising systems, measuring carbon emissions properly and paying in a timely manner.

There will be a three-year transition period before the emissions trading system is introduced in July 2015, whereby companies will need to obtain permits to continue emitting CO2. Appropriate trading and risk management systems must be in place to manage the risks associated with what will then be an exposure to fluctuating prices.

CFOs of businesses that will not have to pay taxes or obtain permits for CO2 emissions, still need to take into account the impact that these will have on the prices of goods or services they require for their business. The good news is that the carbon tax will have less impact on the economy than the Goods and Services Tax introduced 11 years ago.

Will this make Australian companies less competitive in the region? How can they maintain their competitive edge?

Saul Eslake: The most effective way of maintaining competitiveness is by participating in the search for ways to generate or use electricity in less carbon-intensive ways. Indeed, the whole purpose of these schemes is to change businesses’ and people’s behaviour in that direction. The carbon tax can be reduced by reducing energy consumption or switching to less carbon-intensive forms of energy.

Australia is a carbon-intensive economy, with one of the highest levels of CO2 emissions per capita or per dollar of GDP among the advanced economies. Access to relatively cheap, but carbon-intensive sources of energy, has historically been one of Australia’s principal areas of comparative advantage.

Those who opposed the carbon tax pointed out to the lack of action by two of the largest emitters in the world, China and the US. China is unlikely to introduce a similar tax in the near future and it may be some time before the US embraces a market-based mechanism for reducing emissions. Although the tax and trading systems will impact the international competitiveness of many Australian firms, I do not consider this an argument for us not taking any action at all.

There are various compensatory measures for companies that are trade exposed, thus CFOs should make sure they gain access to all that they are entitled to.

What opportunities does this carbon tax present to CFOs?

Saul Eslake: There are various programmes directed towards speeding up the search for commercially viable and technologically sustainable ways of generating energy. Energy-intensive businesses are well advised to follow the developments in that space.

Do you have a final piece of advice to CFOs?

Saul Eslake: Think very carefully about the options that may be available both now and over the medium-term for reducing the carbon intensity of your business’ operations. If your company will not be taxed, there might not be a need to be on top of all the details, but nevertheless, it could be an opportunity for your company to switch to cleaner forms of energy.

Contact:
Sarin Kouyoumdjian-Gurunlian
Press Manager
marcus evans, Summits Division
Tel: + 357 22 849 313
Email: press@marcusevanscy.com

About the CFO Summit 2012

This unique forum will take place at RACV Royal Pines Golf Resort & Spa, Gold Coast, Queensland, Australia, 4 – 6 March 2012. Offering much more than any conference, exhibition or trade show, this exclusive meeting will bring together esteemed industry thought leaders and solution providers to a highly focused and interactive networking event. The Summit includes presentations on improved finance strategies, technological innovation, astute leadership, and the impact of climate change on finance.

For more information please send an email to info@marcusevanscy.com or visit the event website at www.cfo-anz.com

marcus evans group – finance/insurance sector portal

Complementing our summit format, the Finance Network – marcus evans Summits group delivers peer-to-peer information on strategic matters, professional trends and breakthrough innovations. Lend an ear to fellow experts and live news from our events on our LinkedIn and Twitter accounts!

Please note that the summit is a closed business event and the number of participants strictly limited.

About marcus evans Summits

marcus evans Summits are high level business forums for the world’s leading decision-makers to meet, learn and discuss strategies and solutions. Held at exclusive locations around the world, these events provide attendees with a unique opportunity to individually tailor their schedules of keynote presentations, think tanks, seminars and one-to-one business meetings. For more information, please visit www.marcusevans.com

All rights reserved. The above content may be republished or reproduced – kindly inform us by sending an email to press@marcusevanscy.com

Whirlpool on Finance Talent Management

FOR IMMEDIATE RELEASE

“It is not one particular process or tool that differentiates our finance talent management model from all the rest, but how all the different components work together,” says Roy Templin, Executive Vice President & Chief Financial Officer, Whirlpool Corporation.

“We truly think of talent as a system,” adds J.D. Rapp, Vice President, Business Performance Management.

Keynote speakers at the upcoming marcus evans CFO Summit XXIII Fall 2011, in Las Vegas, Nevada, November 10-12, Templin and Rapp discuss how they successfully transformed Whirlpool’s finance organization into one that attracts and retains top talent.

What is the secret to attracting and retaining top finance talent? What are finance professionals looking for and motivated by?

Roy Templin: Once we differentiated our talent model, we began attracting top talent to the company.

Chief Financial Officers (CFOs) need to have an appropriate toolbox full of tools for people to utilize to develop their career. We make it very clear that people own their career, but we provide the tools they need to develop it.

J.D. Rapp: Finance professionals have high intellectual curiosity. They want to learn, develop and grow. We try to deliver to that. It is easy to throw around money, but that will not help retain top talent.

What is unique about your approach?

J.D. Rapp: It is more about having a process mindset than about a specific tool. We truly think of talent as a system and have adopted the Six Sigma philosophy. We think that all activities should be feeding on each other, that there must be a detailed plan in place and basic measurement criteria.

There is tremendous value in having a disciplined approach to talent development, therefore we make sure to maintain our system.

Roy Templin: Every member of the team, even at the entry level, should know and understand what role they play in achieving the finance objectives and how that relates to the overall company strategy. That is the only way they can help achieve business objectives.

Roy, your talent review process takes up one month of your time each year. Would you say this is time well spent?

Roy Templin: Time is a precious resource and four weeks might seem like a long time, but I am convinced that the single greatest thing that I can do for our company is to develop a great finance team around the world. There is no comparison between what I can do in a single day and what 1,100 finance people can do.

Spending one-twelfth of my time on talent development enables us to attract the best qualified talent in the market and to retain them once they are on the team. It is absolutely worth my time.

What do CFOs overlook when managing finance talent?

Roy Templin: From my perspective, first and foremost is the time commitment aspect. J.D. and I knew that once we put ourselves out there, we had to commit the time the initiative needed.

CFOs can get really fired up about developing talent. My advice would be to start carefully and not overpromise. Once you start, you cannot back off. People have an emotional response to talent development. If you do not deliver on your promise, it will affect employee engagement for a long time.

Consistency, and discipline to the processes established and systems deployed is critical.

Contact: Sarin Kouyoumdjian-Gurunlian, Press Manager, marcus evans, Summits Division

Tel: + 357 22 849 313
Email: press@marcusevanscy.com

About the CFO Summit XXIII Fall 2011

This unique forum will take place at the Red Rock Casino, Resort & Spa, Las Vegas, Nevada, November 10-12, 2011. Offering much more than any conference, exhibition or trade show, this exclusive meeting will bring together esteemed industry thought leaders and solution providers to a highly focused and interactive networking event. The Summit includes presentations on how innovation can transform finance organizations, the CFOs role in growth and international expansion and the 2012 financial landscape.

For more information please send an email to info@marcusevanscy.com or visit the event website

marcus evans group – finance/insurance sector portal

Complementing our summit format, the Finance Network – marcus evans Summits group delivers peer-to-peer information on strategic matters, professional trends and breakthrough innovations. Lend an ear to fellow experts and live news from our events on our LinkedIn and Twitter accounts!

Please note that the summit is a closed business event and the number of participants strictly limited.

About marcus evans Summits

marcus evans Summits are high level business forums for the world’s leading decision-makers to meet, learn and discuss strategies and solutions. Held at exclusive locations around the world, these events provide attendees with a unique opportunity to individually tailor their schedules of keynote presentations, think tanks, seminars and one-on-one business meetings. For more information, please visit www.marcusevans.com

All rights reserved. The above content may be republished or reproduced – kindly inform us by sending an email to press@marcusevanscy.com

Coach, Inc. on Driving Profitable Growth

FOR IMMEDIATE RELEASE

Traditionally viewed as a financial gatekeeper, the role of Chief Financial Officers (CFOs) has broadened in recent years beyond the conventional finance function. Today, CFOs are positioned to advise on how to grow profitably through the exploration of new geographies and the introduction of value-oriented price points.

A speaker at the marcus evans CFO Summit XXIII Fall 2011, taking place in Las Vegas, Nevada, November 10-12, Devine speaks on the importance of a CFO in leading a corporation’s growth path and capturing new markets.  

How can the CFO promote growth and open avenues to new markets? 

Mike Devine: CFOs need to play an active role in making sure that their organization drives profitable growth. During the economic downturn, we came to the realization that we needed to push growth in international markets, where we were not as mature. Presenting an even greater value to our consumers would also incentivize them to purchase more.

CFOs play a major role in making sure that value is delivered to consumers at acceptable rates of profitability. They can be active in pushing an organization’s growth internationally, by helping provide the infrastructure for expansion in new markets, and negotiating with third parties to help accelerate the pace of growth.

CFOs are also important for making sure standardized, repeatable processes are implemented to ensure efficiency, so the company can move to profitability quickly in new geographic markets.

How can the CFO maintain profitability and efficiency while the company is growing?

Mike Devine: The CFO needs to partner with the operators of the business to make sure they maintain their focus and implement the right strategies.

It should not be growth for growth’s sake, but profitable growth. The CFO has to be active in the day-to-day tactics of the business.

Do you think that CFOs excessively focus on financial risk management, overlooking other important functions?

Mike Devine: That can be a common flaw in a financial organization, but it is critical that the CFO be more than just a risk mitigator, they must also help drive growth.

At times, CFOs and finance organizations spend too much of their time keeping score of the business and trying to eliminate risk. In my opinion, successful CFOs do not strive to eliminate all risks, but help the company find the optimal risk and reward balance.

What obstacles and risks do CFOs face when it comes to growth and international expansion?

Mike Devine: Maintaining the appropriate financial controls and processes in distant geographies whilst initiating in different countries is often challenging.

The finance team can help determine the right market entry strategy. Should they enter an already established market or expand into a new one? Would it be better to form a joint venture or a distribution agreement with a third party?

What are the main criteria for international expansion?

Mike Devine: To determine whether operating in a certain country would be profitable, we must conduct market research to see if the market is large enough to support a profitable business. Only then do we make the effort to expand into that market.

Author: Sarin Kouyoumdjian-Gurunlian, Press Manager, marcus evans, Summits Division

For more information: Christina Sears, Marketing Manager mediapartners@marcusevansmi.com
Telephone: 305 358 6138 ext. 233

About the CFO Summit XXIII Fall 2011

This unique forum will take place at the Red Rock Casino Resort & Spa, Las Vegas, Nevada, November 10-12, 2011. Offering much more than any conference, exhibition or trade show, this exclusive meeting will bring together esteemed industry thought leaders and solution providers to a highly focused and interactive networking event. The Summit includes presentations on how innovation can transform finance organizations, the CFOs role in growth and international expansion and the 2012 financial landscape.

marcus evans group – finance/insurance sector portal

Complementing our summit format, the Finance Network – marcus evans Summits group delivers peer-to-peer information on strategic matters, professional trends and breakthrough innovations. Lend an ear to fellow experts and live news from our events on our LinkedIn and Twitter accounts!

Please note that the summit is a closed business event and the number of participants strictly limited.

About marcus evans Summits

marcus evans Summits are high level business forums for the world’s leading decision-makers to meet, learn and discuss strategies and solutions. Held at exclusive locations around the world, these events provide attendees with a unique opportunity to individually tailor their schedules of keynote presentations, think tanks, seminars and one-on-one business meetings. For more information, please visit www.marcusevans.com

All rights reserved. The above content may be republished or reproduced – kindly inform us by sending an email to press@marcusevanscy.com