Corporate Finance 2004-2005 Mark Pacyna / Manoj Ramnani VP’s for Corporate Finance Ross Business School Finance Club 1 What is Corporate Finance? Job Descriptions Sample Organizational Structure Sample of Ross On-Campus Recruiting Companies Lifestyle and Compensation Skills Recruiters are Seeking Interview Internship Recruiting Roadmap Upcoming Events 2 Corporate Finance Spectrum •Accounting •Reporting •Internal Audit •Analysis •Planning •Forecasting •Treasury •Budgeting •Variance Analysis •Product/Service Analysis •Business Development •Special Projects •M&A •Strategic Planning •Strategy Most corporate finance positions fall into this range… 3 MBA Graduate Job Descriptions Designated Positions or Part of Rotational Program Program/Product Financial Analyst/Strategic Planning Evaluating product, divisional or operating unit performance (budgeting, forecasting and variance analysis) Providing financial support for corporate and business unit initiatives Conducting lease vs. buy analysis Forecasting cash flows and capital structure Supporting the investor relations department in dealings with analysts and investors Reviewing debt, equity and hybrid financing alternatives Performing DCF analysis of acquisition candidates and outsourcing opportunities Articulating financial performance and strategies through presentations to/for senior finance management Capital Planning / Budgeting Competitive Intelligence 4 MBA Graduate Job Descriptions Designated Positions or Part of Rotational Program Financial Reporting Strategic Pricing Merger, acquisition and minority investment analysis Treasury Supporting the marketing organization with pricing analysis for new programs/products Corporate Development Monthly financial reports, budgeting and analysis Global Cash Management Debt and Equity Financing Pension funding, analysis and overseeing investment management Risk management, foreign exchange & commodity hedging Overseas Finance (international funding, dividend repatriation) Business Development (mergers, acquisitions, divestitures) Capital Planning Taxation Internal Audit Review of operational and financial controls, identify opportunities to improve 5 Combining Finance with Other Fields Business Development Expanding an existing product portfolio and/or markets served Consulting Generalists often perform financial analyst duties on projects Dedicated Corporate Finance Groups Internal consulting groups Marketing Non-brand marketing involves market/opportunity analysis, pricing strategies, and corporate resource allocation So how do you find the right career for you? 6 Sample Organizational Structure Chief Financial Officer (CFO) Controller Treasurer Director, Programs/Products Director, Planning Manager, Prog/Prod Fin Analysis Manager, Strategic Planning Manager, Strategic Pricing Manager, Corp. Development Chief Accounting Officer (CAO) Manager, Accounting Manager, Internal Audit 7 Sample of Ross On-Campus Recruiting Companies Amazon.com American Express Amgen Bear Stearns ChevronTexaco Cummins DTE Energy DaimlerChrysler Ecolab Eli Lilly ExxonMobil General Motors Honeywell Intel HP JP Morgan Kraft Merck Microsoft SC Johnson Target 3M Union Pacific Whirlpool 8 Lifestyle and Compensation Lifestyle Typical 50-60 hour work week (with peak periods) Minimal weekends Flexible work schedules Relatively low travel (except internal audit) Compensation is relatively good $100,000* average for Class of 2002 20.5% of the 2003 Class took jobs in Corporate Finance, up from 16% in 2002 and 6% in 2001. * Total compensation includes base salary, signing bonus, tuition reimbursement, & guaranteed performance bonus Internship opportunities 65+ internships in 2003 9 Skills Recruiters Are Seeking Analytical/Quantitative Leadership Teamwork Initiative Ability to Communicate Confidence Maturity 10 Corporate Finance Interview Personal Fit/Behavioral Corporate Finance Interest Industry Interest Company Interest Financial Problem Solving Cases 11 Job Hunting Resources iMpact Kresge Library Use Q&A to understand company strategy, industry, and job opportunities OCD Career Counseling Company files, Vault, Wetfeet, Hoover, Business and Company Resource Center, etc. Company Presentations Company and job descriptions, resume drop and interviewing schedule, company contacts, alumni database Career information, guidance, resume reviews, mock interviews Informational Interviews Day in the Life Carefully select Alumni that work in companies or industries that interest you Use MBA2’s as a resource 12 Corporate Finance Intern Recruiting Roadmap Company Presentations and Events OCD Resume Reviews TBD throughout the Fall Semester Finance Club Mock Interviews November 5 Speakers and Presentations September through early December – Start EARLY! Corporate Finance Forum October & November OCD Mock Interviews September & October – Do it NOW! Meet the Interns Beginning September 20 Early January Interviews Beginning mid-January 13 This week in Corporate Finance (see OCD Recruiting Events in iMpact for more details) Monday, 9/27 General Mills* General Electric Eaton Goodyear* Wednesday, 9/29 Thursday, 9/30 Tuesday, 9/28 Ecolab Federal Bank of new York Friday, 10/01 P&G Amazon Accenture Discover Financial Services International Finance Corporation Monday, 10/04 American Express * May or may not be recruiting for corp. finance positions This list may not be complete. Check OCD Recruiting Events for a complete list of all recruiting events, dates and times. 14 Upcoming Attractions Next Sunday at 5pm in TBD– Resume Reviews Upcoming Weeks… Intel will be hosting a seminar on Real Options for MBA2’s interested in Corporate Finance West Coast Forum participation Meet the Interns in Corporate Finance 15