Board of Directors Advisory
For most boards, there are significant barriers that prevent them from being effective monitors, including: “Short-Termism”; Demands for Transparency; Capital Allocation Efficiency; Managing Innovation Investments; Cognitive Biases; and Managing Stakeholder Expectations.
TechCXO’s Board Advisory provides a framework that can be utilized by Directors at all stages of a company’s life-cycle to evaluate the long-term performance and capital allocation strategies of the companies they serve, and how value is created for their enterprises.
The framework includes an, end-to-end portfolio of solutions combining advanced analytics and financial models, enabling directors to create forecasts, what-if scenarios, and dashboards to provide transparency on the impact of capital allocation decisions on Enterprise Value.
Primary Board Activities & Deliverables
Enterprise Value Optimization
Strategic/Innovation initiatives are valued utilizing new methodologies that account for managerial flexibility to change directions as uncertainties get resolved.
Innovation initiatives are valued utilizing new methodologies (strategy lattices, financial option concepts) for valuing managerial flexibility to change directions as uncertainties get resolved.
Create “one version of the truth” for relying on to make intelligent capital allocation decisions across the enterprise. Balance short-term expectations with long-term value creation strategies. Generate information to evaluate corporate performance and growth potential – a measure of location showing where the business is currently and an indicator of the direction to where it is heading.
Profitable Revenue Growth
Profitable revenue growth is one of the most important drivers of value creation. Directors can provide strategic insights on optimizing profitable revenue growth for the companies they serve. Optimize Revenue growth ensuring profitability, enhanced value creation; improved transparency; alignment between Board and C-Suite; and increased Board engagement.
Linking Initiatives relating to improving operations, optimizing capital allocation efficiency, and enhancing the company’s “path-to-growth” strategy to sustainable shareholder value creation.
Improved ROIC on innovation initiatives along with mitigating risks of cognitive biases that could lead to disastrous decisions.