FEI Weekly

December 5, 2019

Understanding cyber threats, CFO pick key to CEO payday and mentor through LinkedIn

Leaders Need to Understand Cyber Threats

Kellogg Insight

Understanding cyber threats and knowing how to respond to emergencies is critical to any organization’s operations. Boards and senior management need to prepare the exact same way as in every other area of their business: prioritize, decide where you can take risk and where you can get the greatest return, and that’s what you focus on. Leadership needs look at cybersecurity from two very different perspectives: First, what are the most likely scenarios? Second, focus on threats that are low probability, but if an opponent is successful, you’ve got massive problems.

CEOs Get Paid For Appointing Their Own CFO

Wall Street Journal

CEOs who appoint their own chief financial officers receive more compensation on average than those who don’t, according to a new study. CEOs who work with a CFO who joined after them take home a median pay package of $3.19 million a year, the study said. That is 10% more than CEOs working with CFOs hired by predecessors. CEOs were most likely to see higher compensation during the first three years of the CFO’s tenure at the company, when a CFO might be most receptive to his or her superior’s influence, the study said.

Expedia Moves Out CFO, CEO Over “Disagreements”

CNBC

Expedia announced Wednesday that CEO Mark Okerstrom and CFO Alan Pickerill are stepping down because of a fight over the travel company’s strategy. Board Chairman Barry Diller said the leadership changes resulted from disagreements over strategy between senior management and the board. In a memo to employees, Diller described the shakeup as an “unfortunate and difficult situation,” but added that it was part of a “new beginning” at the company.

Mentors Need to Leverage LinkedIn

Fast Company

More than half of professionals say they don’t currently have a mentor but would be interested in having one. But knowing where to start can be the trickiest part. There are plenty of people out there looking for a way to start a conversation with a potential mentor. Make it easier for them by using LinkedIn to spark a conversation. And experienced professionals should consider making the first move.

Swiss Hit Hedge Fund Over Accounting

Reuters

The Swiss stock exchange on Wednesday accused beleaguered money manager GAM Holding AG of accounting misstatements connected to its 2016 acquisition of a U.K. hedge fund. Zurich’s SIX exchange said it is seeking a sanction against GAM for understating financial liabilities in its 2017 financial statements, a result of failing to recognize a liability stemming from the acquisition.