When you’ve got a finance background and are already working in accountancy and finance, your ultimate goal may well be to develop into a Chief Monetary Officer (CFO). But what does a CFO do and what skills and expertise do you should change into one?
Who’s a Chief Financial Officer?
CFOs oversee all of the monetary operations of an organisation, including accounting, financial reporting, tax, business control and treasury. They handle all features of economic matters and choice making.
What does a Chief Monetary Officer do?
The Chief Monetary Officer directs an organization’s monetary goals, aims and budgets. When you work as a CFO, you oversee the investment of funds held by the company and assess and handle related risks. You additionally supervise cash administration activities, execute capital-raising strategies to help a firm’s expansion, and deal with mergers and acquisitions. Most CFOs are also accountable for managing the corporate investments and will sit on the board.
If you happen to work as a Chief Monetary Officer in a smaller firm, you could be anticipated to hold out a range of accounting tasks, while executives at larger corporations typically overview reports and data from various divisions within their companies.
Training and training needed
As with all ‘Chief’-level executive positions, you will want several years of expertise at a senior management level as well as a degree in accounting, finance, economics, business or a related subject. Many CFOs start their careers as finance professionals, external auditors (Big 4), accountants or managers of small divisions, and work their way up to senior positions within a company.
The number of years of administration experience you will need will depend upon the scale of the corporate and the extent of the duties involved. Many Chief Monetary Officers have an MBA, a Masters or another type of advanced degree.
In case you are willing to grow to be a profitable CFO you will must demonstrate more than just outstanding finance skills. You need to have the ability to make smart and strategic decisions on behalf of the organisation, and try to be able to look holistically on the company and understand what it needs.
Importantly, you should also be able to translate financial data into helpful information for those across all levels of an organisation. Leadership, interpersonal and communication skills are additionally vital in such a high level position.