KJ Tjon on Strategy of Finance: Board Member, Kaleyra, Nubia Brand and Volcon Insights

About

About KJ

My specialty is business turnaround and performance improvement. I radically improve the trajectory of companies across a broad range of industries and excel at scaling companies up or down, depending on the life cycle stage of the company or industry.

Born in Amsterdam (the Netherlands), I’ve worked in Europe and Asia before coming to the US. This gives me a unique perspective and ability to work effectively across very different cultures. Building and leading diverse teams, I work to increase the value of the company.

Working under some tough circumstances, I’ve dramatically improved performance, streamlined operations, and transformed companies in telecom, transportation, logistics, technology, and manufacturing.

I’m a decisive but collaborative leader; I seek input and trust my team’s judgement but am comfortable making fast, fact-based decisions that may not be universally popular. This combination has led to many major successes, for example:

✔ Spearheaded numerous performance improvement projects at Epiq that delivered an average cost savings of 20-30%

✔ Improved accuracy of financial and SEC reporting processes, shortened audit cycles, and established revenue recognition procedures for the $1B telecom equipment manufacturer

✔ Secured billions of dollars in three rounds of financing, driving Hawker Beechcraft through Chapter 11 and rapid emergence as a lean, agile, and low-debt company

✔ Drove change as interim C-level executive for many clients while at Alvarez & Marsal

My major experience and areas of greatest interest include handling all aspects of operations management, building and leading strong and effective teams, organizational restructuring, merger integration, and financial operations.

LinkedIn is a powerful resource for connecting with other likeminded professionals. I welcome such connections.

About Volcon

At Volcon, we build vehicles that allow for a deeper connection. Whether it’s hearing the river roaring right next to you on a trail ride, or the wildlife you encounter as a result of the stealthy-quiet drivetrain, electric powersports products reveal new horizons. From unlocking new territory to explore to unleashing new features of your machine through your smartphone, Volcon vehicles allow you a connected outdoor experience like nothing else.

About Nubia

Nubia Brand International Corp. is a publicly traded (NASDAQ | NUBI) Special Purpose Acquisition Company (SPAC) headquartered in Dallas, Texas.

About Kaleyra

Kaleyra, Inc. is a global CPaaS company providing mobile communication services to financial institutions, e-commerce players, OTTs, software companies, logistic enablers, healthcare providers, retailers, and other large organizations worldwide.

Founded in 1999 as Ubiquity, merged with Solutions Infini in 2016, and rebranded as Kaleyra... in 2018, the company acquired US-based Hook Mobile in 2018, the global mobile engagement provider mGage in 2021, and the audio-video solution provider Bandyer in the same year. Kaleyra today has a customer base of 3800+ companies spread around the world.

Through its proprietary platform and robust APIs, Kaleyra manages multi-channel integrated communication services on a global scale, consisting of messaging, rich messaging and instant messaging, push notifications, e-mail, voice services, video calling, and chatbots.

Kaleyra’s technology makes it possible to safely and securely manage billions of messages monthly with over 1600 operator connections in more than 190 countries, including all tier-1 US carriers.

more

Show Notes

This episode of the SoF podcast features a discussion with the very dynamic, energetic, and always-smiling KJ Tjon - a seasoned senior finance executive with more than 25 years of experience in the technology and telecommunications sectors.

She currently serves as a Board of Director for Kaleyra, a Communications Platform as a Service provider; Nubia Brand International, a blank check company focused on the wireless telecom sector; and Volcon, a developer and manufacturer of electric off-road powersport vehicles.

Previously, KJ served as CFO of Alorica, Epiq Systems, and Hawker Beechcraft, and President & COO of Scientific Games. She also spent almost a decade at Alvarez & Marsal, as a business transformation and performance improvement specialist.

In this episode, we unpack KJ's... professional journey from Europe to Asia to the USA as well as from an Assistant to Corporate Finance executive to a senior Consultant to CFO and now a Board member. Further, we deep dive into how to think about building diverse teams, understand the CEO <> CFO relationship dynamics, and get her advise on the first 100 days play for CFOs joining a new company.

more

Quotes

"Focus on what you can control."

"The first thing you got to do is understand from the CEO, what do they think are really the true business drivers and what is really the key for the company in the next six months for it to get done because finance needs to support that. Your goals have to align with whatever direction the CEO is going."

"You really got to know what to do and trust your instruments and have the experience. So I really felt like, I can spend the time to get certified, but I'll never be good enough to really do this without somebody sitting next to me who really knows what he's doing. So yeah, a little bit of knowledge is very dangerous when it comes to piloting planes. There's a lot more that can go wrong..."

"I always loved ops. Especially if you're at a company that actually makes stuff like airplanes or things like that, it's just really cool to just like see how things get made. So I've always kind of attracted to being in... the kitchen and seeing what's going on."

"I think the one thing that is lacking in my background is I don't have any depth in any real industry because I've moved around so much. And, I love to learn. So when I went, for instance, to Wichita for Hawker Beechcraft, it was super cool to learn about aircraft, how the planes are made, the walks with in the factory. I loved it."

more

Episode Summary

According to KJ Tjon, having a finance team with the proper set of complementary skills is critical to a CFOs success. A CFO should have a comprehensive understanding of all aspects of their company but need not be an expert in every field of finance, e.g., for tax laws, one can seek help from outside advisors when necessary. Having a team with diverse skills would fill the "expertise" gaps and make for an impactful function. In addition, excellent individuals at the VP and Director levels would take the function to another level.

CFOs should consistently assess the strengths and weaknesses of their team to identify areas for improvement and provide learning support. KJ suggests keeping the existing team in place and working around their weaknesses rather than bringing in new people initially.

KJ emphasizes the significance of promoting diversity and inclusion in the finance industry. She notes that while women are well-represented in accounting and tax roles now, achieving racial or other forms of diversity and that too across the geographies can be more challenging. She recommends actively pushing back on Human Resources (HR) function when repeatedly presented with the same type of candidates and proactively seeking out a diverse pipeline of candidates. Building such a pipeline takes time and effort but can be highly beneficial in finding the right candidate for the job while promoting diversity. KJ also highlights that fostering diversity and inclusion is not just about hiring diverse candidates, but also about creating a supportive workplace culture where everyone feels included and valued.

Speaking about the first 100 days plan for a CFO, KJ stresses the importance of building relationships with people both within and outside the company and understanding the business drivers. One should invest time in getting to know the CEO, executive team, finance team, and other departments such as marketing, sales, and operations. One should also understand the expectations of these departments from the finance team to serve their needs effectively. Aligning these expectations upfront goes a long way in long-term relationship building and making the overall company operations... more productive. KJ highlights the importance of spending time with outside stakeholders such as customers, lenders, and investors, enabling the CFO to receive outside perspectives and effectively communicate the latest developments with the company.

KJ emphasizes that the relationship between CEO-CFO is critical for the CFO to do their job effectively. It's essential to have a CEO who trusts and lets the CFO do their job. Before accepting a new job, CFO should try to understand the management style of the CEO and what background she comes from. For example, if the CEO comes from sales, there may be less interference with the CFO's job. KJ also stresses the importance of a personal relationship between the CEO and CFO, where they can speak candidly and disagree in private. Overall, the CEO-CFO relationship should be built on trust, communication, and a shared understanding of the company's goals.

KJ talks about the importance of building a strong relationship with the CEO before accepting a job as a CFO. She suggests getting as much exposure to the CEO as possible before taking on the role to understand their management style, priorities, and approach to working with their team. KJ mentions that she was fortunate to have worked for some great CEOs, including Tom Olson, who trusted his team and had a good relationship with her.

KJ emphasizes the importance of being transparent and honest with stakeholders, even if the news is not good. She believes that by being upfront about challenges and potential risks, the company can work towards finding solutions and mitigating the impact. People are generally averse to surprises.

KJ notes that it's essential to be adaptable and flexible in high-pressure situations, as sometimes unexpected solutions can arise. She suggests keeping an open mind and considering all possible options, even if they seem unconventional. There are always things outside of an individual's control, so one should focus on what is within control and optimize that. By staying focused on what can be controlled, being transparent and honest, and staying adaptable, KJ believes that companies can successfully navigate difficult situations and come out stronger on the other side.

KJ recommends that emerging professionals continuously learn and expand their knowledge base. She suggests taking on challenging assignments and projects outside your comfort zone to gain new experiences and skills. Additionally, KJ emphasizes the importance of networking and building relationships with other professionals in the industry, as it can lead to new opportunities and valuable insights. She suggests attending industry events, conferences, and seminars and connecting with people on LinkedIn. Finally, KJ emphasizes that being resilient and able to bounce back from setbacks is crucial for success in any career, including finance. She advises emerging professionals to stay positive and focused and to keep pushing themselves toward their goals.

more