The Three-year Itch?
Published by claudia April 2nd, 2007 in SOX Tags: cfo, eastman kodak, sarbanes oxley, scandals, wall street.Reeling from the Sarbanes-Oxley blues, backdating scandals, and intense pressure to perform, CFOs (and their bosses) are vacating their offices at an alarming clip.
For years, companies have complained about the short-term focus of Wall Street. Now Wall Street has good reason to complain right back about them. Reeling from the Sarbanes-Oxley blues, backdating scandals, and intense pressure to perform, CFOs (and their bosses) are vacating their offices at an alarming clip. Various surveys estimate the average tenure of a CFO at anywhere from four and a half years to a mere 17 months.
This can’t be good. As Bob Brust, former CFO of Eastman Kodak, comments (see “The Tenure Track”), “If you stay with a company for only three years, you never get to see whether the decisions you made were good or bad; it usually takes five to seven years to really see the results.”
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