Exploring Financial Metrics and Unusual Expense Requests

In this episode, CJ interviews Stephen Grist, a seasoned seven-time CFO, to discuss what a CFO should aim to accomplish in their first 100 days at a company. Stephen provides an extensive playbook. He covers assessing and shoring up a team, understanding cash drivers, and implementing necessary systems and processes. He also emphasizes the importance of evaluating potential exit strategies from the start and the need for strong FP&A support. The conversation dives into how to approach your first board meeting as an incoming CFO and the critical relationships you should build. Stephen also shares insights into forecasting R&D spend and breaks down the allocation between incubating, investing, and maintaining products. He offers advice on developing internal projects versus customer-funded projects, managing technical debt, and determining R&D payback benchmarks. Having led global teams, Stephen shares tips for building cross-border centers of excellence and discusses some of the challenges faced in such environments. Tune in for one of the most fascinating stories the podcast has featured to date, along with Stephen's expert advice and engaging storytelling.

If you're looking for an ERP head to NetSuite: https://netsuite.com/metrics and get a customized KPI checklist.

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SPONSORS:

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Leapfin is accounting automation software that automatically prepares and posts reliable journal entries. High-growth businesses like Reddit, Canva, and Seat Geek choose Leapfin to eliminate manual tasks, accelerate month-end close, and enable accounting leaders to provide faster insights to help their companies grow. To automatically standardize your revenue data with measurable business impact, check out leapfin.com today. 

NetSuite provides financial software for all your business needs. More than 38,000 thousand companies have already upgraded to NetSuite, gaining visibility and control over their financials, inventory, HR, eCommerce, and more. If you're looking for an ERP platform ✅ NetSuite: https://netsuite.com/metrics and get a customized KPI checklist.

Mercury is the fintech ambitious companies use for banking and all their financial workflows. With a powerful bank account at the center of their operations, companies can make better financial decisions and ensure that every dollar spent aligns with company priorities. That's why over 100K startups choose Mercury to confidently run all their financial operations with the precision, control, and focus they need to operate at their best. Learn more at mercury.com.

Mercury is a financial technology company, not a bank. Banking services provided by Choice Financial Group and Evolve Bank & Trust®; Members FDIC.

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@cjgustafson222 (CJ)

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TIMESTAMPS:(00:00) Preview and Intro(02:16) Sponsor – Maxio| Leapfin(04:56) A CFO’s First 100 Days at a New Company(10:49) Building a Finance Team Versus Joining One(13:48) Sponsor – NetSuite | Mercury(15:31) The Need for an FP&A Team and Storytelling(19:16) How to Approach Your First Board Meeting(20:49) Important Relationships to Invest in as a New CFO(24:47) Puzzel’s Structure Within the Development Organization(26:22) Internal Research Versus Customer-Funded Development(29:17) Investing in Technical Resources(32:12) Deciding to Sunset Products(34:21) R&D Payback Periods and Benchmarks(36:06) Squaring Up Technical Debt(38:02) Tips for Building Centers of Excellence Abroad(42:53) Functions Most Commonly Moved Abroad(43:56) A Fascinating Anecdote About Managing Cross-Border Teams(47:00) Long-Ass Lightning Round: The French VAT Department(48:29) Waiting for the Right Role(49:13) Puzzel’s Current Digital Transformation(50:28) Craziest Expense Story: Breast Reduction Surgery