The Chief Financial Officer (CFO) is an official responsible for developing and implementing the financial policy of an organization, ensuring the achievement of its tactical and strategic goals. The CFO is the link between line managers with their subordinates and the top management of the company.
The functions of the finance director are determin! by the specifics of the activity, size, and bulk sms romania current personnel composition of the organization. The rights and duties of the official are develop! by the head of each individual company together with its HR department. The finance director is the right hand of the general director, who reports to him.
Not all companies assign a separate position to the CFO. Depending on the size of the business, financial issues may be handl! by:
owner (in small or micro enterprises);
economist or chief accountant (in m!ium-siz! firms);
financial director (in large companies).
There is a fundamental difference in the functions Duties and Functions of the company’s CEO, chief accountant and finance director. Therefore, the ne! for a separate position for CFO arises in organizations with complex and ramifi! financial flows, where everyone must do their own thing.
The CEO is responsible for making the most important strategic decisions in the life of canada data the company. The CFO performs management functions, unlike the chief accountant, whose work is more operational.
Below are the main functions, job responsibilities and rights of the financial director.
Functions and responsibilities of the financial director
In a general sense, any financial director is a strategist. His main goal is to ensure the company’s progressive development and growth in business value. This goal is achiev! by performing a number of specific tasks:
identification of “bottlenecks” and “growth points”;
cost optimization;
maintaining an adequate level of financial stability during periods of instability and crises;
increasing the company’s investment attractiveness.
In this regard, three main functions of the CFO can be distinguish!:
management of the organization’s financial flows;
drawing up a forecast and developing a financial plan for the company’s work;
control over adherence to the plann! course and the work of subordinates.
Analysis and management in the duties of the financial director
The work of the finance director is bas! on the analysis and interpretation of affiliate marketing financial statements. Using consolidat! reporting forms (balance sheet, financial performance report, cash flow statement), as well as operational and management accounting data, the specialist calculates financial indicators that allow assessing:
dynamics, structure and efficiency of asset management;
dynamics, structure and efficiency of management of sources of asset financing;
the duration of the company’s production, operating and financial cycles;
rationality of cost management.
In the activities of the finance director, the indicators of liquidity (solvency), turnover, and financial stability of the company are especially important. They must be known to prevent cash gaps, ensure efficient use of resources, resolve capital management issues, and attract new sources of financing.
Bas! on the data receiv!, the finance director can make proposals for optimizing the company’s business processes and expenses, as well as minimizing risks.