The Job of a chief financial officer is one that be described very simply as someone who manages the past, present and future financials of an organisation. Without any of these aspects completed by the chief financial officer the company could find that it has high running costs and wastage or worse still no business direction.
When people think of the job of a chief financial officer, they tend to think of the processing of the previous period’s financial performance. While this is true it is only part of the role. Even with this information processed it would need to be presented to the other members of the senior management team. So the chief financial officer will need to communicate with executive assistantsto arrange meetings and pass on the reports.
Knowing the current monetary situation of the organisation is also considered a key part of the job of a chief financial officer. They need to know what has been spent on the current period’s budgets and step in when costs are spiraling out of control. The job of a chief financial officer may also be to be one of only two people who can authorise payments over a certain amount, which is often why they are seen as the financial gatekeepers of the company.
The job of a chief financial officer is going through a transformation and future of the organisation is becoming a bigger part of their daily tasks. In the past the work they completed for the future running of the company was often limited to the budgeting for departments, where they would often work with the chief operating officer and marketing manager. The operating manager is often more involved in this process and so a good working relationship with this senior manager is essential. However studies have shown that more Chief Executives are relying on their chief financial officers for aiding in the shaping of business strategies.
As such the job of a chief financial officer requires a wide variety of skills, from an analytic mind that can develop sound business strategy to good communication and presentational skills. They should not be shy to speak their mind whether this is to a marketing manager wanting a larger share of the budget or the chief executive wanting an opinion about business strategy. The job of a chief financial officer is more than an accountant; he is a vital part of the business model.