Functions of The Chief Financial Officer an Organisation
A chief executive officer is a person who is responsible for managing the company’s finances in terms of Financial Planning risk management record keeping and Financial Reporting over the company.
The work of the chief financial officer is to make capital structure Decisions of our organization. The capital structure of an organization allows the management to understand the kind of funding’s the company uses to finance its overall activities undergrowth. In a company, the debt and equity distribution are what make up the finances of the company. It is the work of the ca4 to ensure that there is a balance between the Equity and the debt that a business uses to finance its assets its operations and also for future growth. It is the work of the CFO to ensure that the company has capital investments and her strategic growth plans and fundamental investment models which will enable the organization to run day-to-day and also for future growth.
It is the work of the CFO to ensure that risks are managed in an organization. Risk management can be said to the process of forecasting financial risks and coming up with procedures to avoid and minimize the impact of these risks in an organization. The CFO is in charge of executing strategies in an organization’s they are the ones that can identify risks are system manage and integrate them into the corporate strategy. It is the work of the CFL to ensure that risks such as liquidity debt compliance financial and operational risks and many other risks are mitigated to ensure that the bottom line of the organization is secured.
The CFO ensures that there are proper auditing and reporting of financial work of an organization. The work of a CFO is to come up with ?audit and reporting for ensuring that the organization complies with the rules and regulation of finances and also ensures accurate and timely Financial Reporting and collection of data. The CFO is expected to manage the avoidable circumstances and inform the board in time so that measures can be put to mitigate any issue.
Another role of the CFO is that he ensures that there is investor relationship. The CFO needs to understand that there are different kinds of investors that is the sell-side analyst and also the buy-side analyst he should ensure that??allocated ?time effectively for both of the analysts so that he may be able to balance and ensure that they are in the business wholeheartedly. when CFO shares his milestone about the company progress the investors are confident about where the organization is going and they are confident when investing in the company.