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When it comes to the role of a CFO, day-to-day management is just as crucial as keeping focus on the big picture. While these long-term issues certainly can keep a CFO up at night wondering how to resolve any troubles their company may face, it’s the daily operational duties that often showcase an exceptional CFO.
As we’ve discussed in the past, a CFO’s role is evolving to involve an increasing amount of tasks. Issues like efficiency, growing business and maintaining ample visibility are just a few of the responsibilities that fall into the hands of a CFO. It is essential that the correct strategy is implemented and its execution be performed as precise as possible.
For any CFO looking to improve production, there are a few ways to go. When it comes to efficiency measurement, the issue can get sensitive. That’s because streamlining or replacing staff with a more qualified team could be in the mix for a struggling business. For a company not dealing with these kinds of issues, but still looking to boost productivity, they may choose to focus on improving other aspects of the company like business processes and technology.
Additionally, efficiency could mean streamlining costs. When this is the case, a CFO needs to ensure they are working with the correct data and cost analysis. If they do not, they could put the company further in the red. To find where your efficiency could improve, the CFO must keep their attention on these matters in an ongoing matter.
While amplifying visibility and growing the business may not seem like the ideal responsibilities of a CFO, today’s modern officer knows that these are two key segments to hone in on. If your business is global, there are multiple levels that require constant research and analysis. They include supply management, differences in business culture and even laws and regulations that are uncommon to your home location.
When it comes to visibility, this may not be a CFO’s direct responsibility. However, this is where they can once again demonstrate their keen eye for analysis and management. By looking at the data, ideally real-time but the old spreadsheet method works fine as well, the ideal CFO can pinpoint where areas of the business can improve or given extra attention to reach its full potential.
As the business landscape continues its evolution, the role of the CFO will most likely continue to shift with it. Regardless, a superb CFO knows that proactivity, foresight and proper execution are keys to growing a business. With the proper person at the helm, your business will be in capable hands regardless the issue.