# Deliveroo’s Financial Hot Potato: Time for new CFO to step up to the plate Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2022-08-10 Category: BUSINESS Category URL: https://financedigest.com/category/business Meta Title: Deliveroo's IPO Disaster: CFO Grimble's Tech Meta Description: Discover how Deliveroo's IPO turned sour, with share prices plummeting and competitors gaining ground. Can the new CFO turn things around with technology? URL: https://financedigest.com/deliveroos-financial-hot-potato-time-for-new-cfo-to-step-up-to-the-platehtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/2021-10-04t104827z1lynxmpeh930ifrtroptp4health-coronavirus-ukraine-1736815494965-compressed.jpg) _By_ **_Lianne Gatti,_** _Country Manager UK & I at Konsolidator_ Optimism was high for food delivery business Deliveroo prior to the company’s IPO launch in March 2021 – and early successes saw hopes climb even higher. But this now seems like a distant memory, and it has been dubbed [‘the worst IPO in London’s history](https://www.ft.com/content/bdf6ac6b-46b5-4f7a-90db-291d7fd2898d).’ Share prices fell by more than a quarter – causing the organisation’s value to fall by almost £2bn. It seems that the [food delivery](https://www.financedigest.com/european-food-delivery-shapes-up-with-getirs-gorillas-buy.html "European food delivery shapes up with Getir’s Gorillas buy") sector is in crisis. Jitse Croen, CEO at Just Eat, a competitor to Deliveroo, had a net worth of $1.2bn in October 2021 – this plummeted to $350m in June 2022. Companies initially struggled to adjust to a post-pandemic [world where consumers have returned to eating in restaurants](https://www.financedigest.com/best-restaurants-in-the-world-a-foodies-guide.html "Best restaurants in the world – a foodie’s guide") and now they are finding potential customers are financially squeezed. Deliveroo hasn’t been idle following its recent troubles. It paused r [ecruitment](https://www.uktech.news/mobility/deliveroo-pauses-hiring-certain-roles-tech-downturn-20220526) across certain aspects of the business in May – with the cost of living crisis, rising inflation rates and global supply chain problems cited as contributing factors. But this hasn’t stopped the company from making changes at the top. Adam Miller announced he would be stepping down as CFO in September. [Scilla Grimble](https://uk.finance.yahoo.com/news/deliveroo-picks-grimble-chief-financial-080752582.html?guccounter=1&guce_referrer=aHR0cHM6Ly93d3cuZ29vZ2xlLmNvbS8&guce_referrer_sig=AQAAAI3l9kuJu7xpb_JNTUMq-dqpHZS5fQwDQK1uIEoBoTvLEvMOTKXdOMvjO-RfWk6VpI3RdniYwjOWRdwmO1W7wM04pMRQgf2GjCj2kKAzMOJvK_pGtq3YKF7XWy2KqRBeJ7ySdJKVbRH3OXqY9nZd5ZK3NTddKyzBLRXuC3HYY4mY) – whose resume includes MoneySupermarket.com and Marks & Spencer – will take over no later than June 2023. Deliveroo has reached a crossroads – the economic downturn means focusing on efficiency is more important than ever. But how can Grimble drive the necessary [changes – and what role](https://www.financedigest.com/10-ways-automation-has-changed-the-role-of-the-cfo.html "10 ways automation has changed the role of the CFO") will technology play in the revival? **Nothing Lasts Forever** CFOs count maintaining the [company’s cash flow and financial](https://www.financedigest.com/disconnected-customers-are-one-of-the-biggest-problems-facing-financial-companies.html "Disconnected customers are one of the biggest problems facing financial companies") assets as their traditional responsibilities. However, the pandemic has kickstarted a transition. The [CFO is becoming increasingly close to the CEO – meaning that they should spend less time](https://www.financedigest.com/cfos-its-time-to-own-the-business-model.html "CFOs: It’s time to own the business model") collecting numbers and checking for miscalculations. Instead, they are growing to become senior decision-makers within [businesses and should use this time](https://www.financedigest.com/why-the-new-year-is-the-best-time-to-start-your-dream-tech-business.html "Why the New Year is the best time to start your dream tech business") to analyse the data and provide an insight that makes them a valuable consultant to the CEO. Access to accurate [financial data](https://www.financedigest.com/data-fake-will-be-the-new-real-in-financial-services-in-2023.html "Data: Fake will be the new real in financial services in 2023") is essential. But the expectation to consult means that the [CFO has less time to devote towards day-to-day financial](https://www.financedigest.com/cfos-need-a-focus-on-forex-in-financial-planning-tools-accountagility-reveals.html "CFOs need a focus on forex in financial planning tools, Accountagility reveals") calculations and number-crunching. Deliveroo’s primary goal is to [cut costs](https://www.financedigest.com/gms-cruise-to-focus-on-cost-cuts-as-it-ramps-up-robotaxis.html "GM’s Cruise to focus on cost cuts as it ramps up robotaxis") whilst boosting efficiency – and this requires shrewd investment. Implementing sophisticated technology and automation that can handle [financial consolidation](https://www.financedigest.com/make-way-for-the-rise-of-the-finance-super-apps-consolidation-of-financial-digitisation-tools-platforms.html "Make way for the rise of the Finance Super Apps – Consolidation of Financial Digitisation Tools & Platforms") can accelerate the calculation process, ensuring Grimble has a platform to make informed and strategic decisions. **Crunching The Numbers** Excel’s over-reliance on manual [employee input is a major issue](https://www.financedigest.com/voice-quality-matters-quarter-of-employees-working-from-home-still-experiencing-regular-connectivity-issues.html "Voice Quality Matters: Quarter of Employees Working From Home Still Experiencing Regular Connectivity Issues"). Each spreadsheet is [managed by a handful](https://www.financedigest.com/why-a-rules-management-system-can-untie-financial-services-hands.html "Why a rules management system can untie financial services’ hands") of employees. And whilst their [understanding of how they work – and the unique data](https://www.financedigest.com/how-data-visualisation-is-helping-the-insurance-sector-understand-environmental-risks.html "How data visualisation is helping the insurance sector understand environmental risks") they possess – is infallible, this does not mean the system is flawless. Co-workers frequently express frustration when trying to collaborate on the platform. Excel was a satisfactory option when the automation revolution was in its primitive stages, but its lack of efficiency is harming businesses’ [transformation journeys](https://www.financedigest.com/the-road-to-transformation-raconteur-ceos-journey-from-near-bust-to-boom.html "The Road To Transformation: Raconteur CEO’s journey from near bust to boom"). [Human error is commonplace and financial experts can’t put](https://www.financedigest.com/the-human-platelet-lysate-market-to-stay-digitally-put.html "The Human Platelet Lysate Market to stay digitally put") their unreserved trust in a platform with a high margin for error. Financial [business](https://www.financedigest.com/financial-advice-for-starting-your-own-business.html "Financial advice for starting your own business") leaders like Grimble need to accept that Excel is not a foolproof solution for financial departments and runs the risk of manual mistakes and miscalculations. One small error can come at a huge cost for businesses, such as [JPMorgan losing $9bn](https://www.newstatesman.com/business/economics/2013/02/excel-most-dangerous-piece-software-world), when it divided two figures by their sum rather than their average. [Securing a tight hold over a company’s finances](https://www.financedigest.com/application-security-in-the-finance-industry-what-you-should-know.html "Application Security in the Finance Industry: What You Should Know") should be a priority. Deliveroo’s [accounting team](https://www.financedigest.com/what-can-accountants-learn-from-great-britains-olympic-team.html "What can accountants learn from Great Britain’s Olympic team?") – and many others – shouldn’t be expected to risk their reputation and credibility within the industry due to the presence of an outdated system. Cloud-based accounting systems – such as [Konsolidator](https://konsolidator.com) – offer a strong solution. Through automation, [finance departments can gain back time to devote towards alternative](https://www.financedigest.com/demystifying-alternative-finance.html "DEMYSTIFYING ALTERNATIVE FINANCE") tasks rather than being held back by slow and boring processes. This kind of [technology can also ensure that financial teams are able to track the source of every](https://www.financedigest.com/legislate-raises-3-6m-to-give-startups-smes-the-technology-to-query-and-compare-every-contract.html "Legislate raises .6M to give startups & SMEs the technology to query and compare every contract") financial figure, something that Excel has never been able to complete effectively. Harnessing [cloud-based systems can augment – not replace – financial](https://www.financedigest.com/how-much-does-cloud-based-financial-software-cost.html "How Much Does Cloud-based Financial Software Cost?") teams. [Implementing automation across financial processes and reporting is the first step](https://www.financedigest.com/12-steps-to-implementing-off-payroll-ir35-compliance.html "12 steps to implementing Off-Payroll (IR35) compliance") in a long journey towards improvement. **Your Order Is Almost Ready** Grimble will be under a lot of pressure once she takes the reins at Deliveroo. She has a huge opportunity to leverage her position and have a great influence and consultant to the CEO, Will Shu. In order to do this efficiently, it is imperative that Grimble – and her financial teams – are supported with sophisticated [technology](https://www.financedigest.com/shakedown-on-horizon-for-financial-technology-world.html "Shakedown on horizon for financial technology world") that can handle financial consolidation and enable the teams to work more efficiently. Identifying new, innovative technology would represent an ideal start to life in a new [business as a CFO](https://www.financedigest.com/5-ways-cfo-and-cio-collaboration-can-benefit-the-business.html "5 Ways CFO and CIO collaboration can benefit the business"). We believe that cloud-based solutions would ease her [financial team’s burden whilst drastically improving](https://www.financedigest.com/5-ways-to-improve-your-financial-literacy.html "5 Ways to Improve Your Financial Literacy") data accuracy. Grimble has the opportunity to unlock greater efficiency within Deliveroo – a piece of cake with the right tools. --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---