Comments for Robert Parker @ CFO http://www.cfospeak.com Robert Parker @ CFO Mon, 06 Feb 2012 15:33:37 -0600 http://wordpress.org/?v=2.8.4 hourly 1 Comment on IBM jumps to number 4 among “World’s Most Respected Companies” by Service http://www.cfospeak.com/ibm-jumps-to-number-4-among-worlds-most-respected-companies/comment-page-1/#comment-603 Service Mon, 06 Feb 2012 15:33:37 +0000 http://www.cfospeak.com/?p=58#comment-603 <strong>Service...</strong> [...]IBM jumps to number 4 among “World’s Most Respected Companies” | Robert Parker @ CFO[...]... Service…

[...]IBM jumps to number 4 among “World’s Most Respected Companies” | Robert Parker @ CFO[...]…

]]> Comment on Ideas that shaped a century – The culture of “Think” and respect for people by Shekhar Pandit http://www.cfospeak.com/ideas-that-shaped-a-century-%e2%80%93-the-culture-of-%e2%80%9cthink%e2%80%9d-and-respect-for-people/comment-page-1/#comment-593 Shekhar Pandit Tue, 16 Aug 2011 10:39:28 +0000 http://www.cfospeak.com/?p=275#comment-593 Dear Robert, Great to know that IBM was established when even before the existance of computers. Liked your message that not only the machines but the pepole behind the machines with great ideas are important for any success. regards, Shekhar Dear Robert,

Great to know that IBM was established when even before the existance of computers.

Liked your message that not only the machines but the pepole behind the machines with great ideas are important for any success.

regards,

Shekhar

]]> Comment on Ideas that shaped a century – The culture of “Think” and respect for people by Trina Sun http://www.cfospeak.com/ideas-that-shaped-a-century-%e2%80%93-the-culture-of-%e2%80%9cthink%e2%80%9d-and-respect-for-people/comment-page-1/#comment-592 Trina Sun Sun, 14 Aug 2011 13:31:42 +0000 http://www.cfospeak.com/?p=275#comment-592 Robert, Great to see this reflection upon what IBM is about...and the THINK culture. Also, really enjoyed your comments about IBM's respect of people and this being a foundation and driver for IBM's longevity. Thanks. Regards, Trina Robert,

Great to see this reflection upon what IBM is about…and the THINK culture. Also, really enjoyed your comments about IBM’s respect of people and this being a foundation and driver for IBM’s longevity.

Thanks.

Regards, Trina

]]> Comment on Lease vs Purchase – it is more than a numbers decision by Robert http://www.cfospeak.com/lease-vs-purchase-%e2%80%93-it-is-more-than-a-numbers-decision/comment-page-1/#comment-556 Robert Fri, 18 Mar 2011 09:39:36 +0000 http://www.cfospeak.com/?p=117#comment-556 The factors to be taken into account while evaluating lease vs. outright purchase are : a. Tax rate applicable for IT equipment b. Corporate tax rate c. Opportunity cost for the money deployed d. Type of lease (Finance / Operating) Taking the above into account, once the cash flows are charted out, it may be observed that the net cash outflow under lease will be lower than outright purchase making lease a more economically viable option. The cash flows could be discounted to reflect the present value of cash flows. If it were to be an operating lease structure, the position will favour lease even further as the residual value does'nt get recovered during the primary lease period which results in lower lease rentals. Also, since IT equipment in India fall under the 60% block as per Tax Rules, the consequent tax benefit post three years would be negligible and would hardly have any impact after this period. The factors to be taken into account while evaluating lease vs. outright purchase are :

a. Tax rate applicable for IT equipment
b. Corporate tax rate
c. Opportunity cost for the money deployed
d. Type of lease (Finance / Operating)

Taking the above into account, once the cash flows are charted out, it may be observed that the net cash outflow under lease will be lower than outright purchase making lease a more economically viable option. The cash flows could be discounted to reflect the present value of cash flows. If it were to be an operating lease structure, the position will favour lease even further as the residual value does’nt get recovered during the primary lease period which results in lower lease rentals.

Also, since IT equipment in India fall under the 60% block as per Tax Rules, the consequent tax benefit post three years would be negligible and would hardly have any impact after this period.

]]> Comment on Eleven practical ideas for smarter expense planning and budgeting in both downturns and upswings by Shri Krishna Prakash http://www.cfospeak.com/eleven-practical-ideas-for-smarter-expense-planning-and-budgeting-in-both-downturns-and-upswings/comment-page-1/#comment-554 Shri Krishna Prakash Thu, 20 Jan 2011 11:17:10 +0000 http://www.cfospeak.com/eleven-practical-ideas-for-smarter-expense-planning-and-budgeting-in-both-downturns-and-upswings/#comment-554 Awesome. Thank you Mr. Parker. Shri Krishna Prakash Awesome. Thank you Mr. Parker.

Shri Krishna Prakash

]]> Comment on Lease vs Purchase – it is more than a numbers decision by Shri Krishna Prakash http://www.cfospeak.com/lease-vs-purchase-%e2%80%93-it-is-more-than-a-numbers-decision/comment-page-1/#comment-553 Shri Krishna Prakash Thu, 20 Jan 2011 09:00:54 +0000 http://www.cfospeak.com/?p=117#comment-553 Dear Mr. Parker, Thank you. I do agree with you from a Corporate Development / Strategy/FP&A perspective it does make case for converting "CAPEX to OPEX". Also froma FP&A perspective to ease the cashflows. A thought I wish to share on trade-off: While I was evaluating and building a business case for a lease vs Buy for RS 6000's and all the components that go along with it for supporting Financial services clients, (fist time was in Melbourne 2002 and second time in NYC/NJ, USA around 2004), the cost incurred in leasing for 3 years was close to recovering the Outright bought one by depreciation in 5 or 6 years (if my memory serves me right!) It would be great if you could share some of the recent ROI calculations /spread sheets for some of the stacks, which should help. All the very best for a wonderful 2011 . Have great one. Shri Krishna Prakash Dear Mr. Parker, Thank you. I do agree with you from a Corporate Development / Strategy/FP&A perspective it does make case for converting “CAPEX to OPEX”. Also froma FP&A perspective to ease the cashflows.

A thought I wish to share on trade-off: While I was evaluating and building a business case for a lease vs Buy for RS 6000’s and all the components that go along with it for supporting Financial services clients, (fist time was in Melbourne 2002 and second time in NYC/NJ, USA around 2004), the cost incurred in leasing for 3 years was close to recovering the Outright bought one by depreciation in 5 or 6 years (if my memory serves me right!)

It would be great if you could share some of the recent ROI calculations /spread sheets for some of the stacks, which should help.

All the very best for a wonderful 2011 . Have great one.

Shri Krishna Prakash

]]> Comment on Mergers and Acquisitions – The human side by Robert Parker http://www.cfospeak.com/mergers-and-acquisitions-the-human-side/comment-page-1/#comment-552 Robert Parker Mon, 20 Dec 2010 07:28:19 +0000 http://www.cfospeak.com/?p=73#comment-552 Subbu - Thanks for this great input and I admire the process of Mahindra acquiring Satyam in light of the tough challenges. Subbu – Thanks for this great input and I admire the process of Mahindra acquiring Satyam in light of the tough challenges.

]]> Comment on Does the dual structure GST hamper India’s growth? by Robert Parker http://www.cfospeak.com/does-the-dual-structure-gst-hamper-india%e2%80%99s-growth/comment-page-1/#comment-533 Robert Parker Tue, 16 Nov 2010 11:35:59 +0000 http://www.cfospeak.com/?p=19#comment-533 My post, 'Does the dual structure GST hamper India's growth?', did not contain original thinking. The text should have been attributed to Harsh Gupta, who wrote about it in HT Mint (http://www.livemint.com/2009/08/04221641/Dual-differentiated-GST.html) on August 4, 2009. It was my mistake, and mine alone. I apologize for my oversight. My post, ‘Does the dual structure GST hamper India’s growth?’, did not contain original thinking. The text should have been attributed to Harsh Gupta, who wrote about it in HT Mint (http://www.livemint.com/2009/08/04221641/Dual-differentiated-GST.html) on August 4, 2009. It was my mistake, and mine alone. I apologize for my oversight.

]]> Comment on Mergers and Acquisitions – The human side by Subramanian G http://www.cfospeak.com/mergers-and-acquisitions-the-human-side/comment-page-1/#comment-532 Subramanian G Tue, 16 Nov 2010 03:57:12 +0000 http://www.cfospeak.com/?p=73#comment-532 I agree with you and the points you have captured from the Article. The acquiring company has to give priority on integration of cultures and have a leader who would play a key integrator role. He should be a person with a great charisma and stature to assure good opportunity to the talent to grow and avoid a mass exodus/key talent drain. Here communication has to be continuous, it does not matter if it is repeated multiple times, equally walking the talk is important. But if one is handling a distressed company then it is equally challenging, but transperancy and engaging key team of the acquired company to come with ideas to improve is important. People are not bonded to organisation for just money / incentives, it is also passion, self respect and independence on decision making. If the acquirer leaves a hurt feeling unknowingly then the value is lost, since there will be an under current which goes unnoticed until it explodes. People follow right leaders and it is important to keep them motivated. The value which is paid drops to naught , if the talent and customers goes away. It takes quite a time to rebuild. A leader and integrator are two different players, both have to play the role simultaneously so that the value is not lost and a common goal is met. ......Subbu G, VP ( Finance) , Mahindra Satyam I agree with you and the points you have captured from the Article. The acquiring company has to give priority on integration of cultures and have a leader who would play a key integrator role. He should be a person with a great charisma and stature to assure good opportunity to the talent to grow and avoid a mass exodus/key talent drain. Here communication has to be continuous, it does not matter if it is repeated multiple times, equally walking the talk is important. But if one is handling a distressed company then it is equally challenging, but transperancy and engaging key team of the acquired company to come with ideas to improve is important. People are not bonded to organisation for just money / incentives, it is also passion, self respect and independence on decision making. If the acquirer leaves a hurt feeling unknowingly then the value is lost, since there will be an under current which goes unnoticed until it explodes. People follow right leaders and it is important to keep them motivated. The value which is paid drops to naught , if the talent and customers goes away. It takes quite a time to rebuild. A leader and integrator are two different players, both have to play the role simultaneously so that the value is not lost and a common goal is met. ……Subbu G, VP ( Finance) , Mahindra Satyam

]]> Comment on Does the dual structure GST hamper India’s growth? by vinty http://www.cfospeak.com/does-the-dual-structure-gst-hamper-india%e2%80%99s-growth/comment-page-1/#comment-530 vinty Sun, 14 Nov 2010 17:53:00 +0000 http://www.cfospeak.com/?p=19#comment-530 Plagiarist Plagiarist

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