CEOs across industries want more from their CFOs, as research shows 63 percent of company leaders believe the CFO's role will become more important over the next few years.
So says an Oracle Netsuite report, citing KPMG research. That same research shows 30 percent of the same CEOs saying their CFOs fail to assist with organizational challenges, let alone understand them.
"Gone are the days of back-office bean counters," the report says. CFOs need seven key skills to thrive in such a changing environment:
- The CFO must lay the groundwork for effective fundraising. While the CEO will do the actual fundraising, putting in the hard work at the initial stages with a strong list of contacts and knowledge of the processes can be hugely beneficial.
- Strong communication skills: The ability to tell the company story using key numbers in a clear, honest, non-jargon way.
- Have a holistic view of the company business. CEOs recommend spending time with colleagues who don't work in finance and accounting.
- Things can change very quickly and CFOs need to be proactive and flexible, potentially using what one CEO called a "rapid strategy creation" process rather than focusing on less flexible longer-term cycles.
- Be more savvy with technology. CFOs don't need to be programmers but do need to have a working knowledge of technology trends and possibilities.
- CFOs have typically taken a more cautious approach as stewards of a company's financial health. But today's CEOs need them to take calculated risks and play a significant role in identifying risks to an organization and then coming up with mitigating strategies for such risks as well as to capitalize on potential opportunities.
- Finance skills are of course important, but fitting in with company culture is crucial. "The company's leadership is a team," said David Windley, president of IQTalent Partners at Caldwell, an executive search firm. "That team is leading the company and the chemistry between them working together is very important."
"Business leaders are looking for their CFOs to go well beyond the balance sheet to serve as strategic partners who contribute to growth," the report concludes.