CFO on the spot to chart new course for firms
Chief Financial Officers (CFO) need to be prepared to take on greater responsibility for corporate decision-making than ever before, according to accounting experts, who say that CFOs have been lured more often into the boardroom discussions where decisins are made.
“The traditional image of a CFO is one of glorified ‘bean counter’ whose primarily responsibility is to prepare the books and report back to higher level management on the overall financial risks and performance of the enterprise. However rapid globalisation of business, the impact of information technologies, changing the business and organisation structures, the growing importance of strategic alliances and a new focus on value creation has challenged in traditional role of the CFO,” said Sujeewa Rajapakse, President Institute of Chartered Accountants of Sri Lanka (CA) addressing an eminent gathering at a CFO Forum organised by CA in collaboration with IBM recently.
The forum titled ‘Journey to a Value Integrator’ saw many panellists saying that CEOs and boards of directors are counting on their CFO to be fact-based voices of reason and insight, but those expectations are rising faster than the ability to deliver.
“We are aware that recent economic crisis has made dramatic changes and impact for the CFO’s role well beyond resolutions of current economic trends. During the downturn the CFO and the team was forced to address urgent challenges in a volatile environment,” Mr. Rajapakse added, noting that CFOs were brought into higher level discussions at board room and become a part of the strategic discussion team.
The forum saw discussions on how CFOs can help ensure they are ready and equipped with the right skills and knowledge to be the leader in a strategic based organisation. It also featured how a CFO can successfully manage and effectively execute a broader agenda while helping the entire organisation become more agile flexible and responsive for market fluctuation.
“The traditional image of a CFO is one of glorified ‘bean counter’ whose primarily responsibility is to prepare the books and report back to higher level management on the overall financial risks and performance of the enterprise. However rapid globalisation of business, the impact of information technologies, changing the business and organisation structures, the growing importance of strategic alliances and a new focus on value creation has challenged in traditional role of the CFO,” said Sujeewa Rajapakse, President Institute of Chartered Accountants of Sri Lanka (CA) addressing an eminent gathering at a CFO Forum organised by CA in collaboration with IBM recently.