Blog CFO

WSJ highlights being a "strategic CFO"

noreply@blogger.com (Jim Wilkinson) — Mon, 27 Feb 2012 14:28:00 +0000

The Wall Street Journal published an article today highlighting the need for more CFO's to be strategic in their view of both their role and the results expected of them. The WSJ has three main requirements for a CFO to be a "Strategic CFO".

First, the CFO should be forward thinking not just historical. Second, they should be involved in all aspects of strategy. Finally, they should broaden their view of the company's environment beyond just preparing the numbers.

This article is a great starting point for questioning the traditional role of a CFO. Let me know your thoughts.

Don't Be A CFnO!

noreply@blogger.com (Jim Wilkinson) — Thu, 19 Jan 2012 01:13:00 +0000

I once had a client who called his CFOs, “CFnOs.” He had had five CFOs in a seven-year period. He felt frustrated as they were always telling him why he couldn’t achieve the sales growth he wanted rather than helping him get there. As a result, he saw them more as an obstacle and less as a team player.

To their credit, some of their comments were probably accurate with respect to aggressive growth; however, their approach made them ineffective as leaders.

When working with entrepreneurs, tell them, “We can do anything you want, but we can’t do everything at this time.” Ask them what they want to do first. And remember, you should be leading them to succeed, not serving as a roadblock to their success.

In a Small Way First!

noreply@blogger.com (Jim Wilkinson) — Thu, 12 Jan 2012 17:11:00 +0000

Over the years, I’ve worked with companies to improve their profits and cash flow. In doing so, I’ve discovered a common theme: getting people to change – both entrepreneurs and their staff – is difficult. There’s a certain resistance to change with the mentality, “We’ve always done it this way.”

A tactic I use to take the risk and resistance out of change is to propose we do something in a small way first, then come back and expand on it.

This strategy provides several benefits. First off, if it doesn’t work, you haven’t risked everything and shot yourself in the foot. Secondly, it’s a lot harder for someone to object to a small change that – if proven unsuccessful – can be easily fixed. Finally, you might be wrong. Implementing change in a small way takes the risk out of your recommendation.

So the next time you find yourself proposing change and facing resistance, consider lowering the risk and recommending a trial effort. Chances are, you’ll find it an easier sell.

Starting the New Year Right!

noreply@blogger.com (Jim Wilkinson) — Tue, 03 Jan 2012 16:34:00 +0000

One of the best practices at our company is to bring the leadership team together to reflect on our successes and short-comings of the past year, then build on them. We find by aligning the key players we can hit the ground running in the first quarter. Below are our steps in setting goals and priorities.

As a team, meet to create an outline and discuss what’s working and what’s not? Divide a whiteboard in two. On the left, what’s working; on the right, what’s not. Analyze every department and critique both the successes and failures during the past year. Put everything down both large and small.

Next, take the top three to five items from each side and circle them with the overarching goal to implement more of what’s working and to fix or stop what isn’t. From these top three to five issues develop an action plan for the next year.

After you’ve compiled your next year’s goals, break them into quarterly milestones – sub goals, so to speak. Assign specific goals to different individuals with the mindset of prioritizing. You can’t do it all.

Once you have your quarterly goals, individuals leave to create their own quarterly plan. Using this strategy, the entire team is on the same page, knowing their expectations and responsibilities. Success will come as you hit the ground running the first week of January with the alignment of your team.

Key to Success in Life

noreply@blogger.com (Jim Wilkinson) — Wed, 30 Nov 2011 12:44:00 +0000

The past year has been challenging for all of us. Last night I was reading a book and a quote caught my attention.

"Success in life comes not from holding a good hand, but in playing a poor hand well!"

This old saying comes from the poker table, however, it true in life and business as well. It is easy to keep your optimism when you are being dealt more good things in your life everyday versus bad events or challenges. How do you keep pushing on when each time the "cards" you receive are worse than before?

First, you have to keep in mind that not all of the "cards" you receive are bad. Some are quite good and very encouraging! It just seems that we are being dealt more bad than good. In order to persevere through the challenges start focusing on the positive things that are coming your way.

Second, look at what is not working and start making changes. Be honest with yourself and change your efforts that are not bearing fruit. We often keep doing what has worked in the past whether it is working today or not!

I don't know about you, but today I am going to list the positive things that are working for me, look long and hard at what's not working, and make changes!

3 Things - Selecting Advisory Board Members

noreply@blogger.com (Saundra Wathen) — Tue, 09 Aug 2011 20:10:00 +0000

Discover 3 things you should know about Selecting Advisory Board Members. In the video Jim Wilkinson, President and founder of The Strategic CFO discusses 3 useful tips you should know about selecting members for an Advisory Board.

3 Things - Overhead Expense Reduction

noreply@blogger.com (Saundra Wathen) — Fri, 20 May 2011 13:43:00 +0000

Discover 3 things you should know about Overhead Expense Reduction. In the video Ted Leitch with Expense Reduction Analysts discusses 3 useful tips you should know about reducing overhead expenses.

Daily CFO News Recap - Mar. 7th, 2011

noreply@blogger.com (Matt Murphy) — Mon, 07 Mar 2011 23:48:00 +0000

WSJ: Consumers Ratchet Up Borrowing

"Consumers added to their non-mortgage debts for the fourth straight month in January, suggesting that the U.S. economy owes its recent acceleration in part to renewed borrowing.
Consumer credit, which excludes real estate loans such as home mortgages, grew at a 2.5% annual pace to $2.4 trillion, the Federal Reserve said Monday. A nearly 7% increase in non-revolving credit—including loans for autos, boats and education—drove the gains, while credit-card debt fell to a new six-year low as consumers continued to pay down debt or default on loans."

Reuters: NYMEX-Crude climbs above $105 on Libya, Mideast woes

"U.S. crude oil futures ended nearly 1 percent higher to hit their highest levels
since September 2008 as raging violence in Libya spawned further worries about
supply disruptions.

Fears persisted that similar uprisings could hit other oil producers in the Middle
East and North Africa, further raising geopolitical risks."

CNBC: Higher Oil Drives ECB and Fed Even Further Apart

"Last week saw the world's two most powerful central bankers diverge on the issue of inflation and policies needed to contain it.
Federal Reserve Chairman Ben Bernanke, who went in front of US lawmakers for his semi-annual grilling on the economy, said he saw only a temporary and relatively "modest increase in US consumer price inflation," while being more worried about unemployment.
On the other side of the Atlantic, European Central Bank President Jean-Claude Trichet gave the euro a big boost when he indicated his "strong vigilance" could mean euro zone rates will raise next month.

Daily CFO News Recap - Mar. 4th, 2011

noreply@blogger.com (Matt Murphy) — Sat, 05 Mar 2011 00:03:00 +0000

NYT: Spurred by Private Hiring, Job Growth Gathers Steam

"The nation’s employers added 192,000 jobs in February, up from a gain of 63,000 the previous month, the Labor Department reported on Friday.

While February’s number represented the fastest growth in nearly a year, it was partly the result of a bounce back from unusually depressed hiring in January, when major snowstorms shuttered offices and factories around the country. Taken together, the job growth for the first two months of 2011 has not been much better than it was last fall."

"The unemployment rate ticked down to 8.9 percent, falling below 9 percent for the first time in nearly two years."

WSJ: Why the Dollar's Reign Is Near an End

"The single most astonishing fact about foreign exchange is not the high volume of transactions, as incredible as that growth has been. Nor is it the volatility of currency rates, as wild as the markets are these days.

Instead, it's the extent to which the market remains dollar-centric."
"Fully 85% of foreign-exchange transactions world-wide are trades of other currencies for dollars. What's more, what is true of foreign-exchange transactions is true of other international business. The Organization of Petroleum Exporting Countries sets the price of oil in dollars. The dollar is the currency of denomination of half of all international debt securities. More than 60% of the foreign reserves of central banks and governments are in dollars.
The greenback, in other words, is not just America's currency. It's the world's.

But as astonishing as that is, what may be even more astonishing is this: The dollar's reign is coming to an end."

Daily CFO News Recap - Mar. 3rd, 2011

noreply@blogger.com (Matt Murphy) — Thu, 03 Mar 2011 22:25:00 +0000

Bloomberg: Services Expand, Jobless Claims Decrease

"Service industries expanded in February at the fastest pace since 2005 and fewer Americans unexpectedly filed claims for jobless benefits, adding to evidence the U.S. recovery is gaining strength.

The Institute for Supply Management’s index of non- manufacturing businesses increased to 59.7 last month from 59.4 in January. A reading above 50 signals growth. The number of initial applications for unemployment insurance payments fell by 20,000 to 368,000 last week, the lowest since May 2008 and fewer than the most optimistic forecast in a Bloomberg News survey, figures from the Labor Department showed.

Stocks rose as the figures supported the Federal Reserve’s assessment that the labor market is on the mend following the loss of 8.75 million positions during the recession. Brighter prospects about personal finances are bolstering consumer confidence, another report showed, increasing the odds that Americans will keep spending at stores like J.C. Penney Co. and Macy’s Inc."

FT: Riddle over JPMorgan and Twitter

"A JPMorgan technology fund’s plans to acquire a stake in Twitter has led to speculation about the online messaging service’s finances and investors.

Details of the JPMorgan Digital Growth Fund’s planned investment remain unclear, but the move raises questions about who benefits from the soaring valuations of private technology companies, and who has access to shares of companies such as Twitter, Facebook and Zynga."

WSJ: Wal-Mart Raises Yearly Dividend 21% On Earnings, Financial Strength

"Wal-Mart Stores Inc. (WMT) raised its annual dividend 21%, citing its strong earnings and solid financial position last year.
Chief Executive Mike Duke added that the massive retailer continues to generate "ample cash flow" to fund store growth, make acquisitions and return value to shareholders through vehicles like the dividend and stock buybacks.

Wal-Mart increased the dividend to $1.46 a share, at a cost of roughly $890 million. The company has raised its dividend every year since the first one was declared in 1974."

Are you understaffed in your accounting/finance function? Find out now!

noreply@blogger.com (Matt Murphy) — Thu, 03 Mar 2011 17:54:00 +0000

Just click on the link below, answer 3 simple questions, and compare yourself to your peers!

http://bit.ly/AcctSurvey

Thank you for your participation

-Matt

Daily CFO News Roundup - Mar. 2nd, 2011

noreply@blogger.com (Matt Murphy) — Wed, 02 Mar 2011 22:18:00 +0000

WSJ: Oil Settles Above $100 Mark

"Oil futures settled above $100 a barrel for the first time in more than two years, lifted by fighting in Libya and worries of oil-supply disruptions...Oil markets fixated on reports of heavy fighting in Libya on Wednesday. Forces loyal to Libyan leader Moammar Gadhafi launched an offensive in the oil-rich eastern part of the country but met resistance from rebel soldiers. The oil-refinery city of Brega was a site of much of the fighting, according to reports."

WaPo: Fed's 'beige book' shows improvement in U.S. economy, moderate growth

"The economy continued growing at a moderate speed at the beginning of 2011, with conditions improving gradually in a wide range of industries, according to a new report from the Federal Reserve.

The pace of expansion was "modest to moderate" in January and early February, according to the "beige book," an eight-times-a-year compilation of anecdotal reports about the economy issued by the Fed. It represents an improvement from the previous installment of the report, issued in mid-January."

Reuters: Euro rallies with ECB meeting ahead; dollar weakens

"The euro rose to a near four-month high against the dollar on Wednesday and looked set to extend gains on growing expectations interest rates in the euro zone will rise earlier than those in the United States.
The Swiss franc soared to a record high against the dollar as escalating tensions in Libya and fears of contagion to other oil-rich countries, especially Saudi Arabia, prompted investors to seek safety in the Swiss currency."

Three things you need to know about cash flow projections.

noreply@blogger.com (Matt Murphy) — Thu, 24 Feb 2011 17:28:00 +0000

For more information, please visit WikiCFO.com.

Wholesale Prices Continue to Rise

noreply@blogger.com (Matt Murphy) — Wed, 16 Feb 2011 20:02:00 +0000

According to the US Department of Labor's Producer Price Index (PPI), wholesale prices increased for the seventh consecutive month in January.

Per Bloomberg, the proximate cause were the prices of crude oil and other raw commodities. Producers are expected to be able to pass along these price increases to their customers, though the Federal Reserve does not expect these price increases to result in a marked increase in consumer price inflation.

Fed Official Warns of Inflation Risk

noreply@blogger.com (Matt Murphy) — Wed, 16 Feb 2011 03:29:00 +0000

Per WSJ.com:

"A top Federal Reserve official Tuesday warned that any move by the central bank to reduce unemployment could lead to inflation, indicating he would oppose any further policy easing by the Fed to try and boost U.S. economic growth.

Richmond Federal Reserve President Jeffrey Lacker told Bloomberg in an interview the central bank is keeping a close eye on inflation, especially now that the U.S. economy is gaining speed and global food and energy prices are surging.

“I am not sure we can push unemployment that much further down or more rapidly without risking inflation picking up,” Lacker said..."
Link

Bank of America Merrill Lynch releases 13th annual CFO Outlook Survey

noreply@blogger.com (Matt Murphy) — Thu, 10 Feb 2011 17:45:00 +0000

Last week Bank of America Merrill Lynch released the full results from its 13th annual CFO Outlook Survey. Below please find highlights regarding the key findings, along with a link to the full report, a press release on the findings and link to a webcast on the survey which includes a roundtable discussion with David Darnell, president of Global Commercial Banking, Bank of America and three CFOs.

Jobs
Almost half of companies (47%) are planning to hire additional employees in 2011, up from 28% last year, according the CFO Outlook survey by Bank of America Merrill Lynch. Among respondents, 44% have plans to hire permanent employees, while 13% plan to add contract employees. (Some expect to hire both types).

Economic Outlook
CFOs of U.S. companies continue to have a critical view of the U.S. economy, giving the economy an average score of 47 on a scale ranging from 0 (extremely weak) to 100 (extremely strong). This is up slightly from last year’s score of 44, which was the lowest in the 13 year history of the CFO Outlook. When asked what will have the biggest impact on the economy in 2011, CFOs ranked the following: Healthcare Reform (54%), Budget Deficit (52%) and the Housing Market (42%).

Amid this cautious view of the current economic climate, 56% of all CFOs are forecasting expansion for the U.S. economy in 2011. That’s down from 66% who last year predicted growth in 2010.

The Full CFO Outlook 2011 report

The CFO Outlook webcast featuring a review of the surveys key findings with Laura Whitley, Global Commercial Products executive at Bank of America Merrill Lynch, and Joe Quinlin, Chief Market Strategist, U.S. Trust, Bank of America Private Wealth Management, as well as a round table with David Darnell and three CFOs (Al Blazek, Dunham's Sports; Rod Goodwill, Hirschfeld Industries; Jerry Schneider, Vistage International).

Blog CFO Named Top Social Media Resource for CFOs

noreply@blogger.com (Matt Murphy) — Wed, 09 Feb 2011 23:59:00 +0000

Blog CFO has recently been identified as a top social media resource for CFOs in American Express' Inside Edge:

"Blog CFO – This active blog...targets small and mid-sized company finance executives and is best known for its weekly news roundup. The blog’s list of related links is especially noteworthy."

We thank you, the readership, for making this possible.

The 5 C's of Banking

noreply@blogger.com (Matt Murphy) — Tue, 11 Jan 2011 22:19:00 +0000

"The “5 C’s of credit” or "5C's of banking" are a common reference to the major elements of a banker’s analysis when considering a request for a loan. Namely, these are Cash Flow, Collateral, Capital, Character and Conditions. This article will provide an in-depth description of each of the 5 C’s of credit or banking to help you understand what your banker needs to understand about your business in order to approve your loan. By the end of this article, you will have insight as to where your banker is coming from, and therefore better prepare you to handle their questions and concerns.

Cash Flow Importance
Cash Flow is the first "C" of the 5 C's of Credit (5 C's of Banking). Your banker needs to be certain that your business generates enough cash flow to repay the loan that you are requesting. In order to determine this the banker will be looking at your company’s historical and projected cash flow and compare that to the company’s projected debt service requirements. There are a variety of credit analysis metrics used by bankers to evaluate this, but a commonly used methodology is the “Debt Service Coverage Ratio” generally defined as follows..."

More at WikiCFO.com

Creating a Flash Report

noreply@blogger.com (Matt Murphy) — Tue, 21 Dec 2010 19:18:00 +0000

The finance function of an organization can contribute significantly to a company's operating success. The key is how the financial leadership communicates with sales and operating staff.

A proven tool to enable this communication is the flash report, or dashboard.

The flash report details the organization's liquidity, productivity, and profitability. It is meant to be a current summary of the company's performance as a whole, as well as how the efforts of the company's individual departments tie to productivity and profits.

The flash report differs significantly from the standard monthly financial statements. It's purpose is to show a company's leadership where they are, and where they are headed, as opposed to where they have been. It highlights strengths, weaknesses, as well as trends in each.

Does your organization use a flash report? If not, why not?

Creating a flash report has never been easier.

Now's the time for your company to look forward. Set up a flash report today!

Congress passes tax deal. What's in it?

noreply@blogger.com (Matt Murphy) — Fri, 17 Dec 2010 20:38:00 +0000

The Congress has passed, and the President is expected to sign, legislation which will, in effect, maintain Federal income tax rates at the levels which have been in effect for several years.

So what will be the impact for you and your company? The tax and accounting publisher CCH has a good rundown which might be worth your perusal.

WikiCFO Stops Leaks.

noreply@blogger.com (Matt Murphy) — Fri, 10 Dec 2010 19:42:00 +0000

While WikiLeaks dominates the news cycle, there are more urgent leaks many owners and managers face: operating losses and negative cash flow. What should you do if you have these kind of leaks to plug?

WikiCFO has the solution.

First, you can peruse the list of wikis on cash management and profit improvement.

Next, take a look at the following classic wikis:

How to Turnaround a Company

Why Don't I Have Cash?

How to Collect Accounts Receivable

How to Develop a Daily Cash Report

The Thirteen Week Cash Flow Report

Segmenting Customers for Profit

Finally, seek professional help. If your organization lacks the capability to plug its leaks, then find it before it's too late!

Best Practices for Compensating Sales and Marketing People

noreply@blogger.com (Matt Murphy) — Thu, 09 Dec 2010 22:26:00 +0000

You can't have a business without making at least one sale. Making sure your salesforce is appropriately incentivized to grow your business and land the right customers is crucial. So what are the best ways to do this?

From WikiCFO.com:

"Compensating sales and marketing employees is a critical, and complicated, issue for many companies. Sales incentives are very common today and many companies experience mixed success with these programs. Incentives work best when they are integrated into well-established performance management processes. These plans require careful design, excellent administration, and constant communication."

"1. Understand Your Customer and Sales Model It is important to develop incentives that support your sales models. Do you rely on deep, long-term relationships? Or does your company sell products to a mass or retail market? Each model requires different features and your incentive plan should reinforce the primary sales model.

2. Determine Program Objectives What are the two or three things that you really want to accomplish with sales incentives? Are you trying to increase market-share? Revenues? Asset growth? These questions are critical, as they become the foundation and guideposts for the program."

More at WikiCFO.com...

Upcoming Conferences for CFOs

noreply@blogger.com (Matt Murphy) — Tue, 07 Dec 2010 18:39:00 +0000

A couple of conferences next year of note:

CFO Corporate Performance Management Conference: Turning Analytics Into Action
http://www.cfocpm.com
New York City - January 30-February 1, 2011

The 2011 Corporate Performance Management Conference will offer practical guidance to CFOs on how to produce high-quality and predictive analytics, as well as explore how data is being embraced throughout companies and in diverse business categories. Through presentations from leading thought leaders and cutting-edge case studies, this year’s event will highlight the extensive reach of the data revolution. To finance executives the advantage is clear: good data brings discipline to business-unit planning and performance management and gives finance the insight to make fact-based decisions. More important, by understanding the strategic implications of the data, finance gains the ability to change course in volatile circumstances as well as a true competitive advantage.

The 18th Annual CFO Rising Conference & Exhibition: Creating a Sustainable Edge
http://www.cfo.com/conferences
Orlando - March 13-16, 2011

Some of the industry's most powerful and transformative CFOs will gather in Orlando to offer insights, strategies, and concrete solutions to the core challenges you face. Won't you join us for the 2011 edition of CFO Rising?

Topics covered include:

* Health-care costs
* Human-capital analytics
* Banking relationships
* Scenario planning and forecasting
* Disaster planning
* Managing IT systems
* Fraud prevention
* Energy costs
* Financial statement presentation
* Cash management
* International accounting standards
* Growth strategies
* Regulatory reform
* Global economics
* Travel expense management
* Shipping and logistics
* Facility costs
* Environmental improvements

CFO News Week Ending November 26, 2010

noreply@blogger.com (Matt Murphy) — Wed, 01 Dec 2010 02:45:00 +0000

Each week The Strategic CFO scours the Web for the most important and interesting news to CFO's. Here is what we found this week:

Enterprise Dispatch from WSJ.com: Small Business:

"Like the cost of Thanksgiving dinner, the value of early-stage start-ups continues to go up.According to a quarterly survey from law firm Cooley LLP, median "pre-money" valuations (the value of a company prior to a financing) of Series-A deals rose for the fourth consecutive quarter to $7.8 million, while Series B prices jumped to $32.5 million from $15.9 million in the second quarter.On the other hand, valuations for later-stage companies dropped."

Valuation When Cash Flow Forecasts Are Biased from HBS Working Knowledge:

"The valuation of forecasted cash flows can be an inaccurate process, especially when the forecasts are created by optimists who neglect to consider worst-case scenarios. In this paper, Harvard Business School professor Richard S. Ruback has developed methods of valuating forecasted cash flow when the predictions are biased upward."
Full Working Paper Text

Road Trip: An Insider's Account of the Auto Industry Bailout from Knowledge@Wharton:

"Given that General Motors just announced a profitable year and completed the second largest IPO in history, it's a good time to take stock of the government-engineered restructuring of both GM and Chrysler. Steven Rattner, author of Overhaul: An Insider's Account of the Obama Administration's Emergency Rescue of the Auto Industry, is a good guide to how that relatively soft landing was engineered, according to this review of the book."

Panel Poised to Recommend Separate Board, U.S. GAAP Exceptions for Private Companies from Journal of Accountancy:

"The blue-ribbon panel on private company financial reporting is poised to recommend that the Financial Accounting Foundation (FAF), FASB's parent organization, move to U.S. GAAP with exceptions for private companies and that those standards should be set not by FASB but by a separate board..."

Essentials of Working Capital Management from Wiley: All New Business & Economics Titles:

A comprehensive primer for executives and managers on working capital management

"With limited access to credit and short term funding, it is increasingly important that companies focus on working capital management to free up funds and optimize liqidity. Written in the easy-to-follow Essentials Series style, Essentials of Working Capital Management covers the main components of working capital...."

When Home Is Where the Office Is from WSJ.com: Small Business:
"Like many cash-strapped entrepreneurs, Sergio Moutela started his business from home. But what he saved in office rent, he lost in productivity, thanks to a neighbor's incessantly barking dog and nearby construction work."It was pretty distracting," says Mr. Moutela, who was laid off from a logistics company before he launched Thruport International, a customs-brokerage firm, last year. "I can imagine how it sounded on the other line when I was making cold calls."Home is where the office is for more than half of U.S. entrepreneurs," according to the Small Business Administration. The arrangement is particularly popular among those just starting out since leasing a commercial space, outfitting it with furniture and keeping it clean can be costly. Still, starting a business from home isn't ideal -- or even possible -- for every entrepreneur..."
Seven Strategy Questions: A Simple Approach for Better Execution from HBS Working Knowledge:

"Business leaders can't develop and execute effective strategy without first gathering the right information, says Harvard Business School professor Robert Simons. In his new book, Seven Strategy Questions: A Simple Approach for Better Execution, Simons explains how managers can identify holes in their planning processes and make smart choices. Here's an excerpt outlining the seven questions every manager should ask...."
Is this the start of a the Chinese yuan as a reserve currency? from CEOWORLD Magazine:

"Capital flows into emerging markets are running at $575 billion a year, 20 percent higher than before the world financial crisis. The U.S. dollar has weakened over the past three months against all 16 major market currencies. Thailand Prime Minister Abhisit Vejjajiva, proposed the use of the Chinese yuan as a major regional trading currency. "The G20 did not make any progress on the matter and it is difficult to get the United States and China to express their clear stances on the issue. But what we can do is try to cooperate in the region and reduce the impact from currency volatility," Mr Abhisit Vejjajiva said...."

CFO News Week Ending November 19, 2010

noreply@blogger.com (Matt Murphy) — Wed, 01 Dec 2010 02:31:00 +0000

Each week The Strategic CFO scours the Web for the most important and interesting news to CFO's. Here is what we found this week:

China Takes Steps to Stabilize Prices from WSJ.com: What's News US:

"China outlined measures to combat inflation, but the primarily administrative controls aimed at capping prices of commodities and energy may reflect a reluctance to take more drastic steps...."

Need for Better Forecasting Tool Highlights Build vs. Buy Decision from American Banker:

"Last of three parts. In re-evaluating their approach to tracking and gauging risk, banks encounter a basic challenge: whether to build tools from scratch or buy new packaged products...."

Why You Should Focus on "Worst Practices" from HBR.org:

"If you want to be disruptive, don't start with best practices. Try, instead, find your industry's worst practices and take tiny steps - or better yet, giant leaps - towards bettering them...."

A new guide explains the basics of credit from Bankrate.com: Today's new stories Headlines:

"Ahead of pricing rules that take effect Jan. 1, the Fed hands out advice on credit...."

Corporate Bonds Lose Ground As Issuance Slows from Dow Jones DBR High Yield Alert:

"Corporate credit sold off Tuesday as stocks lost ground, with corporate bond risk premiums -- or spreads over comparable Treasury yields -- widening as Treasury yields fell...."

The Perils of Being the Little Fish from WSJ.com: Small Business:

"Three years ago, Garrett Camp achieved an entrepreneur's dream: He sold his start-up to a mega-corporation for $75 million.Two years later, he bought it back with the help of investors.What happened? Mr. Camp had no work experience to speak of when, as a Masters candidate at the University of Calgary, he founded website-recommendation service StumbleUpon with three friends. So he didn't know what to expect when he joined a big company like eBay Inc.He found he had to give up lots of flexibility and control in making decisions, dealing with problems and hiring talent. And he worried that the big-company procedures were smothering his company's entrepreneurial fire...."