As the retail industry evolves, the role of the chief financial officer is rapidly shifting as well.
During a Sunday session at The National Retail Federation’s Big Show in New York, financial leaders from Macy’s, Rothy’s and Levi Strauss and Co. shared how the CFO role has changed over the years and outlined why they are in better positions now more than ever to help their companies evolve and grow.
“My role has continued to evolve and I wear a lot of hats,” said Dayna Quanbeck, who last week was promoted to the role of president of Rothy’s. She joined the sustainable shoe company in 2019 as CFO and later expanded her role to include chief operating officer in 2022.
Quanbeck described what she sees as a “paradigm shift” in the CFO role, where leaders in this function have moved from mainly record keeping and reporting to “actually informing and driving strategy, capital allocation and risk assessment.”
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“Strategy is so core to what CFOs do,” she added. ” We’re just translating strategies into numbers.”
In a retail industry defined by uncertainly and constantly changing trends, adaptability is a crucial skill for retailers and brands. And the ability to measure progress in the numbers — a key element of the CFO job — is also increasingly critical.
Harmit Singh, who serves as both CFO and growth officer of Levi Strauss & Co., also explained how he sees the role of the CFO as having changed throughout his years serving in the function.
“The CFO role is very different,” said Singh, who has previously served as the CFO of Pizza Hut, Yum! Restaurants International and Hyatt Hotels Corporation. “When I started, it was more about creating shareholder value, more about control, more about the glass half empty.”
These days, as Singh explained, the stakeholder perspective — including those of employees and consumers — is just as important as that of shareholders.
“Employees are as important as your shareholders,” Singh said. “And your consumers are critical. So I think the role has changed dramatically over the years.”
He also added how new CFOs are expected to “embrace technology” as well as “doing right in the world” via a focus on Environmental, Social, and Corporate Governance, or ESG.
Like Singh, Macy’ chief financial officer Adrian Mitchell also serves in another leadership role — as chief operating officer — alongside his role as CFO. He explained how these dual executive roles give him significant exposure to several areas of the business, including stores, distribution centers — and as a right-hand man to the CEO.
“[I] just have a much greater appreciation for the pace of change that’s really achievable as you think about the impact that you’re having as a business,” Mitchell said.
Given the changing nature of the CFO role, retail leaders in this position said they feel empowered to implement new strategies and effect true change at a company.
“The CFO role is the most exciting,” Quanbeck said. “Everything that is in front of us as an industry, we’ve got to a front row seat to seeing how that is changing.”
