- The Roles of the CFO - Past, Present and Future
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- Expectations associated with many C-level executives are related to their functional responsibilities. For example, the Chief Information Officer (CIO) has direct authority and responsibility over the informational needs of the organization. Similar to the CIO, the Chief Technical Officer (CTO) oversees the technical aspects of the organization while the Chief Marketing Officer provides leadership regarding marketing efforts and the results that those efforts have in promoting the organization’s outputs – all having both authority and responsibility. However, the expectations associated with the Chief Financial Officer (CFO) may not all be directly associated with their functional responsibilities – in some areas, they may have responsibility but little, if any, authority.
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Take Assessment Watch Video- Don’t Miss the Danger Signs: How to Monitor Your Risk Controls
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- As advanced as an Internal Control Plan can be, it is not self-sustaining. Independent and/or ongoing evaluations are required to determine if each component is functioning effectively, and to allow deficiencies to be addressed in a timely manner. Monitoring is the process of comparing what you would expect to what actually happens. Within the Committee of Sponsoring Organizations of the Treadway Commission (COSO) framework, that takes place in three stages:
- Why Failure Is Not About Losing
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- The word “failure” has a stigma attached to it I believe should be challenged. Failure is a noun defined by the Merriam-Webster dictionary as: omission of occurrence or performance lack of success a falling short one that has failed
Governance & Controls – structure and controls.
Transaction Recording – systems, transaction processing and closing the books.
Reporting - efficient, timely and accurate information for decision making and meeting compliance requirements.
Accounting
Business Planning - provide the financial roadmap for the company with supporting analytics.
Financial Forecasting - integrate the company’s current performance relative to budget with the real-time business environment.
Investment Analysis - the framework to analyze new opportunities as they present themselves.
Finance
Cash Management - the discipline to ensure cash is available to operate the business normally.
Funding - Planning for and raising funds to meet the needs of the business.
Risk Management – Identification and mitigation of key business risks.
Treasury
Self-Awareness - Internal.
Team Building - External.
Strategy & Culture – Motivate people to follow you.
Leadership
Four Pillars of Executive Expertise
CFO.University is built around the Four Pillars of CFO Success. These Pillars are supported with Core Competencies. Our framework allows you to master your role as a senior financial officer. The Four Pillars are made up of:
Accounting – Governance & Controls, Transaction Recording and Reporting
Finance – Business Planning, Financial Forecasting and Investment Analysis
Treasury – Cash Management, Funding (Capital Raising) and Risk Management
Leadership – Self Awareness, Team Building and Strategy & Culture
