Over the past few decades, the role of the CFO has remained focused on financial planning and analysis, cost control, and risk management.
Today’s CFO is far more than overseeing the financial stability and regulatory compliance of the organization, due to technological innovation and access to massive amounts of data, both inside and outside the organization the role of the CFO is being transformed.
The CFO of today requires four core functions:
Master of Data and Technology
It is imperative that CFOs embrace new digital skills. For example, CFOs must be able to use technology and work on large data to their advantage or risk being left behind. Tools such as cloud based accounting software; QuickBooks, Sage Intacct, NetSuite, as well as outside tools like Excel and Power BI are all part of a powerful CFO toolkit.
Strategic Decision-Making Partner to the CEO
While the CEO remains the visionary leader of the company, the modern CFO helps pull all the different pieces together. They will keep an eye on poor investment strategies and business decisions that are short-term and detrimental to shareholder value in the long run.
A CFO's ability to communicate financial information and break down complex data to inform wider action planning is valuable and will have a positive influence on an organization's strategy.
Regulatory Challenges Resolver
CFOs are responsible for compliance lapses and being updated in expanding regulatory requirements, globalization, and enhanced security risks. Robust compliance and risk management practice must be a high priority for CFOs in 2023. Regulatory violations can completely bring an organization down.
Accountability & Transparency Manager
The CFO also looks to improve accountability and transparency across financial services and divisions in the organization. Understanding and integrating all divisions of the business and the flow of information allows for an efficient and profitable organization.
Looking ahead, the role and influence of the CFO only will grow in the coming years. Schedule a free consultation with us and learn more about the outsourced CFO services that we offer!