The role finance plays not just in businesses but all over is altering. Financial organisations of today have a haloed image because more and more corporations rely on the insight and strategic power of financial leaders. Why? Because the world is transforming, and so is the business with it. We now have a new era of employees. They are redefining the way work is done. We have access to big data, which is opening new avenues of information. Over and above the world is getting smaller, which brings with it new risks and better opportunities.
All these factors combine to change the role finance professionals play. There was a time when finance leaders were on the side-lines. Today, they have a seat in the boardroom. Their responsibilities include an array of jobs ranging from IT risk management to business strategy. It this era, where finance permeates all sectors of a business, the position of a CFO is also developing.
Since the day the position of a Chief Financial Officer was invented, the role and responsibilities the person has evolved to the Nth degree. The job holds not only an elevated image but also a greater reliance. Almost all top executives of a business rely on the financial leader for guidance and support. The role of a present CFO encompasses:
• managing a globally diversified business
• mitigating new technology risks
• oversee the technology that integrates the entire business
The KRA of a CFO now include:
• reporting the past
• controlling the current
• creating a brighter future
Though the possibilities for CFOs have opened, the challenges and risks have also gone higher. When done correctly, the role can impact, influence, and shape the entire organisation from the lowest level to the highest echelon.