Local CFOs Say Recovery May Take 2 Years

FEI and IMA recently surveyed their membership (these are CFOs from local Southern California businesses). While many were cutting costs, through renegotiating with vendors and the like, most were looking forward to a better future. They were investing in improving processes. They were training their management and staff on ways to cut costs and perform better. Almost half of them were launching new products in the next few months and continuing to invest in Research and Development, at least, not cutting there. Many of their businesses, particularly in service industries, have flattened out and are just starting to see the hints of recovery. The business is nowhere near as good as 12 months ago, but it may be turning up. Many of these excutives felt that the road to full recovery may take a while, up to two years. What do you think?

Penn Post, Bob Eberlein and Chris Stiehl conducted this research. It will be available as a white paper soon. Please let me know if you want to be able to obtain a copy.