CFOs finding themselves with additional responsibilities outside of their traditional roles has become increasingly common. Good news: You can prepare yourself for potential changes by cultivating certain principles you may already rely on, a new study claims.
There’s been some attention recently to the evolving role of the CFO. While the finance officer’s main role in most companies will remain the same, additional responsibilities should be expected.
There’s no way to predict exactly how a company’s expectations for its CFO might evolve, but there are several principles you can follow to make sure you’re prepared for any changes might be in the works, according to a new study by the International Federation of Accountants (IFAC).
What should you expect?
According to the IFAC study, the five principles that will shape the evolution of the CFO are:
- An active role in senior management. The CFO should be there to support, and at times guide, the CEO.
- Balance the responsibilities of economic planning and business partnership. CFOs are used to taking care of business on the finance end of things. But they should also be invested in their companies’ goals and missions.
- Act as an integrator and navigator for the organization. Because finance officers usually have a pretty good picture of multiple areas of their companies work, there’s no one better to help steer the ship and provide guidance during inter-departmental projects.
- Be an effective leader in the finance department. As head of Finance, CFOs need to hone their managerial skills to ensure their department is running like a well-oiled machine.
- Bring professional qualities to the role and organization. As an important member of senior management, CFOs should conduct themselves professionally. Finance officers are role models in their companies and should keep that in mind when making decisions and leading.
