InvestorQ : How CFOs are managing strategic investment decisions even though there is ongoing disruption?
Deepali Khupte made post

How CFOs are managing strategic investment decisions even though there is ongoing disruption?

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Kunal Verma answered.
7 days ago
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This has been a once-in-a-decade shock for the financial officers and has highly affected their capital allocation strategies. Everything that they had planned for the year 2020, has been more on paper strategy and became impossible to execute over time. So now, they have to be careful and stringent about they decide for the long-term value of their business.

This simply means they should develop a capital allocation process considering their long-term objectives, putting in the impact of all factors like advancement in technology, changing workplace, and evolving business models. Also, there will be long-term effects of this pandemic as well as it is not over yet.

Now, what these officers need to do? There was this analysis done by a team of experts, where about 55% of the CFOs believe that they should re-think their strategy. While some believe their capital allocation needs to be rethought. So, this is more about what CFOs believe as an entire unit, rather than focusing on industry demands and needs.
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