what is a chief financial officer?
As a chief financial officer (CFO), you are a senior leader in the finance department. You are responsible for overseeing the financial operations of a company. You also manage the company’s finance and accounting departments. CFOs make strategic decisions that influence a company's overall direction. You ensure financial reports meet the International Financial Reporting Standards (IFRS) and that the company files the necessary taxes with the Independent Authority for Public Revenue (IAPR).
You also conduct a financial analysis to determine the company's financial performance. From the data analysis, you identify risks and come up with ways to mitigate them. Other duties include financial planning in an organisation to ensure the departments stick to the budgets. You also oversee all the cash flow and identify ways to boost the company’s revenue.
Your role as the chief financial officer requires good strategic thinking skills. You should be proactive in supporting sustainable growth in the company. Your analytical skills help you evaluate data and identify risks associated with the role.
Would working as a chief financial officer suit your financial acumen and analytical skills? Then read on to find out what competencies and qualifications you need to thrive in a chief financial officer role.
chief financial officer jobsaverage chief financial officer salary
According to the Economic Research Institute, you earn a median salary of €150,000 per year as a chief financial officer in Greece. Most companies also offer incentives to CFOs, and you can earn an average bonus of €33,000 annually. The earnings fluctuate based on experience and educational qualifications. When you are new to the role, you can start with a salary of €92,000 per year. When you have additional experience and qualifications, you can take home over €236,000 annually.
what factors affect the salary of a chief financial officer?
Your salary as a CFO depends on a variety of factors, such as industry, educational level and company size. The company size plays a significant role due to the complexity of financial operations. Chief financial officers in large companies are in charge of large finance departments and are likely to earn more than CFOs in smaller companies. The CFO of a big company requires a higher level of expertise and experience to handle complex operations effectively.
The industry you work in also influences your earnings. Industries like finance and technology offer higher salaries to chief financial officers compared to other industries. Companies with a higher revenue pay higher salaries.
types of chief financial officers
The types of chief financial officers depend on the size of the company and their primary function. Some of the different CFO types include:
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startup CFO
As a CFO in a startup, you manage the cash flow and find new investors to expand the business. You identify new revenue sources to grow the business and manage risks.
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growth CFOs
When the company is growing, it faces numerous risks. As a growth CFO, you control the expansion processes and ensure the company builds resilience. You also manage the risks associated with growth.
working as a chief financial officer
Working as a Chief Financial Officer is an interesting career, given that you lead the finance team. Let’s explore the duties, responsibilities and work environments associated with the role.
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what does a chief financial officer do?
Some of the duties and tasks of chief financial officers include:
- Leading the finance and accounting teams: as a chief financial officer, you direct and manage the company’s financial teams. You hire senior-level finance managers, controllers and finance directors. You delegate duties to finance managers and direct and manage the functions in the finance department.
- Advising senior management: as a chief financial officer, you analyse the company’s finances and understand the financial position and obligations of the organisation. You use your financial acumen to advise the chief executive officer and other executives on the financial implications of industry changes or growth strategies.
- Enforcing internal policies and internal controls: as a chief financial officer, you create the financial policies and procedures used in the company. You supervise the implementation of internal controls and policies. You also manage and oversee independent auditors.
- Planning and overseeing the upgrade of financial systems: as a chief financial officer, you identify the financial systems and software used to manage the finances of the company. You oversee the installation and upgrades of financial systems and technologies.
- Relating with investors: as a chief financial officer, you are the head of the finance department, making you a senior executive. Your duties involve identifying investors and strategic partners for the company. You maintain good relationships with investors and stakeholders to understand their expectations.
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work environment of a chief financial officer
The work environment of a chief financial officer varies depending on the industry. You can work in diverse industries, including healthcare, retail, consultancy firms and manufacturing companies. Regardless of your industry, you spend most of the day analysing financial reports in the office. Your role can also involve a lot of travelling, especially if you work for a company with multiple branches all over the world.
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who are your colleagues?
Depending on your employer or industry, you work alongside finance managers, controllers and accountants. You also work alongside auditors, operations managers and product managers. Other professionals you are likely to interact with include finance directors, office administrators and chief executive officers (CEOs).
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chief financial officer work schedule
The typical work schedule of a chief financial officer in Greece is 40 hours a week. You work usual business hours in full-time positions. Since the role involves a lot of travelling, it may affect your work schedule.
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career opportunities as a chief financial officer
Your career towards becoming a chief financial officer begins with entry-level roles in finance or accounting. Start your career as an accountant and progress to mid-level managerial roles, like finance manager or financial controller. CFOs have an opportunity to boost their career prospects and progress to senior levels by improving their skills. Many CFOs become chief executive officers.
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advantages of finding a job as a chief financial officer through randstad
Working with Randstad offers you a range of benefits.
- always a contact person you can fall back on and ask for help
- a range of jobs in your area
chief financial officer skills and education
To become a chief financial officer, you require the following educational qualifications:
- Education: to become a chief financial officer in Greece, you need a university degree. A bachelor's degree in accounting, finance, economics or business will set you up for the role. If you have a bachelor's degree unrelated to finance, you can supplement it with a master of business administration or relevant certifications to improve your job prospects.
- Work experience: many CFOs begin their careers in accounting or finance roles, which require certifications and professional qualifications. Get a Certified Public Accountant (CPA) designation from the Institute of Certified Public Accountants of Greece (SOEL). Some companies also expect you to have a Chartered Financial Analyst (CFA) certification and become a member of the CFA Society in Greece.
competencies and characteristics of chief financial officers
Chief financial officers require various qualities and personality traits, including:
- Communication skills: as a chief financial officer, communicating well helps you relay instructions effectively to your team and explain strategic decisions to company leaders. Since you are the face of the company in financial matters, your role involves public speaking engagements, meeting with investors, and being the company's finance ambassador. Communication skills help you build strategic relationships and collaborate well with others.
- Analytical thinking: as a chief financial officer, you are a big-picture or strategic thinker. You analyse the company's position and make strategic decisions that drive growth. Your analytical thinking helps you make forecasts and evaluate risks.
- Leadership skills: as a CFO, you rely on leadership skills to inspire and motivate employees to excel in their duties. You rely on your leadership skills to set goals and lead the team towards achieving other goals. You build a solid finance team and identify the gaps and blind spots.
- Flexibility: as a CFO, you should adapt to the changes in the financial industry or market quickly. Being flexible helps you cushion your company from unforeseen issues and build resilience for tough times.
- Tech-savvy: as a chief financial officer, you rely on technological skills to analyse data and review financial reports. Your knowledge and proficiency in using financial systems, accounting software and Microsoft Office applications is crucial.
FAQs
Here, you will find the answers to the most frequently asked questions about the profession of a chief financial officer.
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what are the responsibilities of chief financial officers?
As a chief financial officer, you are a senior executive who manages the finances of a company. Your duties include tracking cash flow and analysing the company's finances to identify strengths and risks. You are also involved in financial planning and determine and create the budgets for various departments.
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what skills are needed to be a CFO?
As a chief financial officer, you require strong leadership skills to guide the finance department. Your leadership skills help you motivate and inspire employees to perform their duties. You also require good decision-making skills. You make critical decisions on the company’s finances. With your proficiency in financial analysis and risk management, you can mitigate various risks in the company.
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does a CFO need to be an accountant?
It is not mandatory for a chief financial officer to be an accountant, but a strong background in finance is necessary to excel in the role. You combine your strong financial acumen with strategic thinking and leadership skills to excel. Having an accounting background or a CPA designation improves your career prospects.
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how many years does it take to be a CFO?
Most employers will have someone with eight to ten years of experience working as the CFO in the industry. However, you can also become a CFO with less years of experience if you prove that you have the right skills and knowledge to take up a senior leadership position.
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what is the most common path to becoming a CFO?
The basic qualifications of a chief financial officer include a bachelor's degree in finance or economics. Since it is a senior-level leadership role, you should pursue postgraduate qualifications, such as a master of science in finance or a master’s in business administration. You also require professional certifications and extensive work experience to excel in the role.
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how do I find a job as a chief financial officer?
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