CFO Chats with Auro Sen, CFO at AQUAREV

Please tell us about yourself and your role.

Hi, I’m Auro Sen, currently the CFO at AQUAREV. I’m based in Indonesia, though I’m originally from India. I started my career in consulting with Ernst & Young, then shifted into the start-up world about ten years ago. I’ve had the exciting opportunity to lead multiple companies from pre-seed all the way to Series B and Series C funding.

My current role at AQUAREV is focused on sustainability, specifically working with shrimp farmers across Indonesia. We provide them with both financing and technological expertise, which is a unique and impactful blend.

How did you start becoming a finance leader?

I’ve been very fortunate with the opportunities I’ve had. Early in my career, both at Ernst & Young and IBM, I was given significant responsibility, which helped me develop leadership skills. When I moved into the start-up space, it was a completely different environment. Start-ups are agile, and I took on multiple roles, from learning Indonesian to handling legal and HR matters. I loved picking up new things, and that drive to gain knowledge and expertise shaped me.

I also consider myself a people person. I genuinely enjoy understanding my team’s career ambitions and what’s working well for them. I prefer open, informal conversations, which makes it easier to lead a team that trusts and communicates openly with me. This approach has been incredibly helpful.

Luckily, in my last couple of roles, I reported directly to the CEO and effectively performed CFO-level duties, even if my title wasn’t always that. This gave me immense exposure and responsibility, naturally pushing me further into financial expertise. Now, at this stage of my career, I’m keen on giving back. I’m working more and more with younger teams (my current team’s average age is 24!) to guide them, help them make sound decisions, and develop them into future leaders.

What are some of the most significant challenges that you’ve faced or are currently facing, and how did you address them?

The rise of AI has been monumental in finance. It’s created some scepticism among junior team members about what the future holds for their roles. Integrating AI into our teams has been a challenge because people are apprehensive, fearing it might replace their jobs. As a leader, one of my key challenges has been helping people understand that they can collaborate with AI rather than viewing it as an opposing force. We’re fostering a culture where AI is seen as a tool to help us be more efficient, not to replace us. We’re also focused on upskilling our team so that redundancy isn’t an outcome.

Secondly, in the start-up space, one of the biggest challenges has been what was initially called the “funding winter,” which has really stretched into the last two years. The funding environment, especially in the Indonesian and Southeast Asian markets, for raising capital and onboarding new investors, has been a massive struggle.

From a finance perspective, this is probably my biggest challenge right now: how to convince investors and find the right ones who will not only support our vision and the board but also help our company scale.

I believe this will continue to be impacted by broader macroeconomic factors like the global geopolitical situation, the US economy, and even political shifts. All these factors ultimately affect how money flows into countries like Indonesia, Malaysia, or Vietnam at a ground level. So, fundraising has been a significant challenge, which then leads into the challenge of better forecasting and planning, as these macro factors heavily impact our projections.

For instance, when the US government levied huge tariffs, it significantly impacted our shrimp export business because a large portion of our market is exports. We had to revisit our plans, realising that some aspects weren’t sustainable. These unexpected events, while part and parcel of the game, are definite challenges we are facing a lot these days.

In this rapidly evolving environment, what new trends or opportunities in finance should businesses really be focusing on?

That’s a great question. I think it’s crucial for finance to return to basics right now. The fundamental truth of business is that cash is paramount. It’s crucial to truly understand the key metrics that drive the business, moving beyond grand narratives to focus on the actual input metrics that keep operations running. Cash conservation is incredibly critical in this economy, so it’s about going old-school and scrutinising our cash flow day in and day out.

I also believe it’s essential to get the entire business—CEOs, strategic advisers, and the board—aligned on maintaining consistency. In the start-up world, companies often pivot and experiment, which fosters innovation. However, at this juncture, choosing the right path and sticking to it is vital. Consistency allows for a compounding effect, building a more sustainable business model.

The focus has shifted from high sales volume and top-line growth to making our business approach more profitable and ensuring long-term profitability. This means going back to the fundamentals of finance.

What do you think is the biggest financial mistake you observe companies are making?

That’s a very true statement. I think a few common mistakes stand out. Firstly, being overly optimistic. Companies often assume that current success will continue indefinitely. As finance professionals, we must be prudent and make provision for anticipated negative events, rather than just hoping for continuous growth. Over-optimism can be detrimental in the long run.

The second mistake, especially common in start-ups, is over-hiring. When capital is raised, the immediate instinct is often to spend on payroll and expansion. While expansion is great and can drive sales, it often pulls you away from the goal of profitability. Many companies only realise this years later, leading to unfortunate layoffs. This can often be avoided with better planning from the outset, rather than needing corrective measures later.

My third strong belief is in compliance. For young companies, compliance often takes a back seat to immediate business goals. However, in the long run, non-compliance can severely impact a company, leading to fraud cases, investigations, and even shutdowns due to a lack of governance and internal policies. It’s easier to establish a solid compliance framework when a company is small, setting a strong foundation for future growth.

How do you think the finance sector will be like over the next 3 to 5 years? What major shifts are on the horizon?

I’m very optimistic about the future of the finance sector. With the advent of AI, finance is evolving from merely a “numbers guy” role to a more strategic one. The insights and perspectives from finance are increasingly impacting core business operations, rather than just reporting figures. Senior finance roles are becoming more akin to strategic advisers, leveraging data for insights and informed decision-making.

AI-driven automation will significantly speed up financial processes like payments and book closures, enabling faster decision-making for management and the entire company. This eliminates lag time between results and action. I’m cautiously optimistic about a bold and positive future for finance.

What trends do you think will have the biggest impact on financial strategy and also decision-making?

I see three key areas of impact.

Firstly, in accounting, many traditional tasks, especially book closures, can be automated by AI. Accountants may shift from making debit entries to supervising AI modules.

Secondly, and excitingly, financial planning and analysis (FP&A) will be transformed by AI and automation. Forecasting and prediction will become significantly easier and more accurate. AI can analyse a company’s current health and provide deeper insights by combining knowledge from backend systems. This will enable us to create much better business models and more accurate forecast projections.

Overall, I believe this is the most crucial instrument for any business: the ability to forecast and look ahead, and AI will be a powerful tool to help us get there.

Finally, in terms of reporting, the amount of automation available today is making it incredibly easy to generate reports—whether they are financial reports, investor reports, or MIS dashboards. We now have so many plug-and-play tools where you input the data and get a beautiful presentation or slide deck instantly. Previously, a team would create it, I’d review it, and there would be a lot of back-and-forth, consuming a lot of time.

Now, with AI, this process is so quick that if an investor needs something today, I can send it to them by tomorrow without having to drag PowerPoint boxes around or change colours. So, presentations and reporting will become super fast.

To summarise, accounting will be automated for efficiency, FP&A will provide more accurate future insights, and reporting and presentations will become quicker and more presentable for everyone to understand.

How is the regulatory environment changing and how are finance leaders navigating it?

Yes, it’s been quite volatile, both globally and locally. As a finance leader, it’s crucial to stay tuned into market conversations and network with regulatory bodies or connected individuals to anticipate changes. If I foresee a potential regulatory impact, I’ll start taking risk mitigation steps early on.

However, not all shifts can be predicted. Unexpected events, like tariffs, sometimes hit without warning. In such cases, the only option is to persevere and manage through the changes. What’s paramount is compliance, even if a regulation isn’t favourable. Temporary non-compliance can lead to severe long-term consequences.

Having well-connected individuals within the company who are linked to government and regulatory boards can also help unlock doors and provide quicker information, smoothing the navigation of regulatory changes. Ultimately, volatility must always be factored into business models and strategic visions, and we do our best to figure out how to navigate these regulatory hurdles.

How do you balance the need for financial innovation with the demand for risk management and compliance?

Both are incredibly critical, but my primary focus is on compliance. Without it, financial innovations won’t matter. We need to ensure our compliance is robust for any government audits or other situations.

The good news is that both financial automation and innovation can run in parallel with compliance. It’s about structuring our teams and internal processes effectively. One part of the finance or legal team consistently ensures compliance is up to date, while finance innovation teams work alongside them, aligning transformation efforts with regulatory requirements. Both roles are key and should operate concurrently.

What do you consider to be the most critical skill for any finance leader today?

I believe financial planning and forecasting is the most critical skill for a finance leader today. Reporting current numbers is easy, but the ability to understand what those numbers are truly saying and communicate that story to CXOs and the board in an easily understandable, non-technical way is paramount.

The second part is using this data to forecast the company’s future. This means going beyond simple growth projections to data-centric predictions. The closer your forecasts align with actual outcomes, the more it demonstrates how deeply a finance leader understands the business from the ground up, significantly strengthening the finance function.

Another crucial, often underrated, skill is being on the ground. We can’t just operate from spreadsheets in an HQ. For example, I love travelling to our shrimp ponds in Indonesia to understand the actual operations, how funds are utilised, and the real-world implications of decisions. Blending finance with this hands-on understanding is critical for running both the business and finance functions better.

What’s one question all finance leaders should be asking themselves today?

A key question finance leaders should ask themselves is: “Five years from now, what are the things I’m doing today that could be done by AI?” This prompts reflection on one’s unique value proposition compared to AI.

Many current tasks are likely to be automated. Asking this question now provides an opportunity for finance leaders to upskill themselves and their teams. It helps them understand that even if they’re at the top of their game today, their value contribution might change in a few years. This proactive assessment allows them to identify areas for development, ensuring their relevance and contributing to the company’s future success without fearing automation.

How do you approach mentoring and developing the next generation of finance leaders?

Oh, that’s actually my favourite part of my role! I’ve been fortunate to work with multiple age groups, but especially with those who are early in their finance journey. I always like to work very directly with them, focusing on building things together rather than just issuing commands.

I like to challenge them to take on responsibilities slightly beyond their current skill set, guiding them to success, which becomes a significant achievement for them. I encourage everyone, regardless of age or experience, to take on more if they show proactiveness.

A significant aspect of my mentoring is helping junior team members envision their next five years, both professionally and personally. Many don’t plan that far ahead, but by working together, we can set a clearer career and personal journey.

This approach has proven very successful, as it helps people understand their growth trajectory, even if it means moving to a different, bigger role in the future, or planning for personal milestones like marriage and its financial implications. It’s a more personal approach to upskilling.

I also conduct technical sessions to share insights on high-level interactions, like how speaking to a CEO differs from speaking to an investor or peers. I aim to share both soft skills and technical knowledge. I genuinely love this part of my job, especially when team members across the company come to me with questions.

What do you think is the most memorable insight that you’ve applied to your work?

One of my most significant takeaways came from a roundtable where most attendees were from prestigious universities, delivering polished presentations. However, there was one individual who had bootstrapped his business from scratch.

Because he built his business from the ground up, he possessed an incredibly detailed understanding of its fundamentals. When specific questions arose about team operations or numbers, many of the other CFOs and CXOs present didn’t have all the answers, as they weren’t as deeply involved in the ground-level workings.

But this self-made individual, despite lacking a fancy education, knew every single moving part of his business. I was profoundly inspired, realising that a deep, hands-on understanding of one’s business can surpass formal education, and that insight truly stuck with me.

What is one piece of advice that you could give to a first-timer to get the most value out of their Ortus Club experience?

Okay, I’ve had the privilege of attending a few Ortus Club events, and I genuinely love them. If it were my first time attending, I’d suggest people just open up a little more. I’ve found that the most valuable events are those where I’ve had the chance to connect with many people, sometimes initiating conversations myself, and often with the helpful facilitation from the Ortus team.

While some attendees might be less interactive, I believe the most value comes from actively engaging in conversations at the small tables or with groups of five or six people. That’s when the real insights and connections are made at these events.