Inside the Strategy Room

172. Taking an investor's perspective on your business

Aug 19, 2023

In this episode, Chantal Beck and Justin Sanders join the hosts to discuss viewing businesses from an investor's perspective. They explore the differences in mindset between CEOs and investors and the challenges of aligning perspectives on value creation. They also discuss the evolving role of the CFO, factors for valuation assessment, and the importance of strategic thinking for CFOs.

27:33

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Episode guests

Justin Sanders

Chantal Beck

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Quick takeaways

Seeing your business from an investor's perspective helps align actions with investor expectations and make effective decisions.

Private equity investors' focused approach to value creation can be applied by CFOs to prioritize actions that create the most value.

Deep dives

Understanding the Investor Perspective

Business leaders and CFOs should aim to see their businesses from the perspective of investors. Investors consider not just the company's history, but also focus on what's coming next and forecast the value they could get by investing in the business. This data-driven and forward-looking perspective helps investors make dispassionate decisions about whether to stay invested in the business or seek better opportunities elsewhere.

Perspective Differences Between Investors and CEOs

01:39

Creating Tangible Value and Return with Strategic Focus

01:10

Considerations for Monitoring External Factors in Investment Decisions

01:09

Introduction

3min

CEO vs Investor Perspectives

5min

The Evolving Role of the CFO in a Data-Driven World

4min

Understanding Factors for Valuation Assessment

14min

The Importance of Strategic Thinking for CFOs

2min

In this episode, we explore why and how business leaders, and CFOs in particular, should try to see their businesses as investors see them.

We're joined by Chantal Lorbeer, a partner in our Munich office who advises global chemicals companies on their strategy, growth transformations, as well as their operating models and portfolio moves. Chantal co-leads our Strategy & Corporate Finance Practice in Germany was well as chemicals capital-markets perspective globally.

Also joining us is Justin Sanders, a partner in our New York office who co-leads our shareholder teardown team, bringing a private equity investor perspective to corporate clients. Justin also founded our work helping clients prepare for, and respond to, activist investors.

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