Driving Transformational Growth: Insights from India’s Leading CFOs on Financial Strategy and Sustainability

As the business environment becomes more complex, companies are relying more on their CFOs’ expertise.

In today’s dynamic market landscape, the role of the CFO has evolved from traditional financial oversight to a more strategic and transformative position. 

At a recent roundtable moderated by Neelam Dhawan, Advisor and Mentor to C2FO, CFOs from some of India’s most influential companies—PepsiCo, Maruti Suzuki, Schneider Electric, Motherson Group, Tata Communications and Hindustan Unilever—discussed the theme of “Driving Transformational Growth: Unlocking Working Capital Efficiency.” 

This insightful conversation revealed how finance leaders are integrating sustainability into their core strategies to fuel growth and long-term value creation.

Evolving role of the CFO: from number cruncher to strategic innovator

The discussion highlighted a fundamental shift in the CFO’s role, now encompassing performance management, stewardship, disruption, and people management. Kaushik Mitra, VP Finance and CFO for India at PepsiCo, emphasised the necessity of real-time performance tracking and robust risk management to enable agile decision-making. 

CFOs are not just guardians of the balance sheet. They are becoming critical drivers of innovation through AI, digital transformation and strategic investments. This evolution requires CFOs to be financially astute and forward-thinking visionaries.

Capital efficiency: a catalyst for innovation

Capital efficiency emerged as a key theme in the discussions, particularly in today’s uncertain economic climate. Kabir Ahmed Shakir, CFO of Tata Communications, underscored the importance of managing free cash flow strategically to support investments in innovation and sustainability initiatives. 

Optimising treasury operations is essential to maintain liquidity while driving returns from surplus capital. As Shakir noted, “We are laser-focused on improving EBIT to cash conversion, which directly impacts our capacity to invest in transformational initiatives.”

Sustainability: a core component of financial strategy

A recurring theme throughout the discussion was the integration of sustainability into financial strategies. 

Ritesh Tiwari, CFO of Hindustan Unilever, stressed that sustainability is not just a corporate responsibility but a competitive advantage. By aligning long-term environmental goals with financial performance—such as their commitment to saving 3 trillion liters of water—HUL enhances its brand reputation and fosters long-term partnerships and investor confidence. 

Kaushik Mitra elaborated on PepsiCo’s Pep+ initiative, where sustainability is central to their operational strategies, driving innovation in water neutrality and sustainable packaging.

Leveraging technology to enhance working capital efficiency

Technology’s role in driving working capital efficiency cannot be overstated. 

Preeti Gupta Mohanty, CFO at Schneider Electric India, discussed how digital tools are integral to achieving ambitious ESG goals, including net-zero supply chain emissions by 2030. By leveraging technology, Schneider Electric streamlines operations while enhancing energy efficiency across its value chain. 

The CFOs agreed that technology-driven solutions, such as dynamic discounting platforms, are vital for unlocking capital tied up in supply chains, enabling businesses to innovate while maintaining financial flexibility.

Resilience amidst market challenges

Amidst fluctuating global markets, regulatory pressures and supply chain disruptions, CFOs are adopting proactive strategies to ensure resilience. 

Arnab Roy, CFO of Maruti Suzuki India, emphasised the importance of continuous assessment of market risks and opportunities. A strong risk management framework, combined with data-driven insights, is essential for navigating economic uncertainties while pursuing growth.

Sustainability and partner alignment: a winning combination

Partnerships emerged as critical enablers of sustainability goals. CFOs recognised that aligning with partners who share a commitment to environmental stewardship creates a ripple effect throughout the supply chain. 

Preeti Gupta Mohanty spoke about Schneider Electric’s collaboration with suppliers to achieve sustainability targets, highlighting the necessity of collective action in the journey toward net-zero emissions.

Conclusion: financial leadership in a sustainable future

The roundtable underscored a significant shift in how CFOs perceive their roles in driving business success. Integrating sustainability into financial strategies is no longer optional; it is a business imperative. By focusing on capital efficiency, risk management and sustainable practices, today’s CFOs are not just safeguarding their companies’ financial futures but also contributing to a more sustainable and resilient global economy.

As businesses evolve in response to economic and environmental challenges, CFOs who lead with innovation, foresight and a commitment to sustainability will set the benchmark for industry leadership. These trailblazing leaders demonstrate that financial performance and sustainability can — and must — go hand in hand to drive long-term growth and value.