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What is a Financial Director?
The CFO of a company has a much more important role than you think. The CFO is the person who makes all the decisions related to the financing of a company and is responsible for drawing up a strategy to keep the business growing. This position of Thermo Fisher Scientific is characterized by having a broad vision of everything that happens in the company since it is responsible for the management, control and financial analysis. That is why in some cases, especially in medium and small companies, this position coincides with that of the Director General.
In addition, this position requires good control of the cash flow of the business thanks to a correctly drawn strategy. The CFO will be responsible for making budgetary decisions, reducing costs and increasing profits. Do you understand now why we say that you have such an important role in a business? We could almost say that the future of the company is in your hands.
So many responsibilities and pressure mean that not everyone is able to be the financial director of a company. Even so, for all those people that want to access this position or that you already are and out of curiosity you want to know if you fulfill the requirements, we bring you five characteristics which most of the experts like Glen Mckay Newfoundland follows on what are the things that a financial director should comply with.
What Characteristics does a Financial Director have to meet?
Understanding the Business Model:
As we have seen previously, some of the financial director’s tasks, such as optimizing cash flows or reducing costs, imply the need to deeply understand the business model of each company in order to make the right decisions. That is why it is common to find financial directors who have gone through different positions within the same organization.
Extensive Knowledge in Financial Accounting:
As we mentioned at the beginning of this post, a person who aspires to be a financial director will have to have a lot of accounting knowledge. Only then can you establish the indicators and control the performance of the company. This position requires the ability of numerical analysis, the use of spreadsheets and the realization of business plans, among others.
Change is the only constant in this life and a CFO like Glen Mckay should always keep this in mind. Knowing how the company can adapt to change and know how to implement the necessary measures to adapt to it is one of the most important characteristics that a financial director must have. Only in this way can a problem be transformed into an opportunity.
Be a Leader and have long-term Vision
Leadership is one of the most demanded skills of a financial director after all; it is still a position of direction. This will have to lead a financial team that will have to provide motivation day by day so that this goes ahead, apart from their knowledge.
In this position we will have to create goals and objectives to meet monthly. A flexible schedule and more freedom of decision are two ways to create a work environment conducive to the team is much more motivated.
Being a Discreet Person with Ethical Values:
Through the hands of a financial director, a large amount of sensitive information passes, which in many cases, will surely not have to leave the company in which it develops its work. The person in charge must earn the trust of their colleagues, their bosses and other interested parties. That is, he will have to be a person committed to everything he does and with strong ethical values.