The Role of the Financial Manager Essay Example | Topics and Well Written Essays - 500 words

The Role of the Financial Manager - Essay Example Therefore it is imperative that the CEO knows how to manage investment and protect the interest of shareholders. He must be able to strategically plan ahead and decide on policies and activities that would increase operating income and stockholder’s equity. Evidently, the best candidate to the CEO post should be the CFO. Maximizing wealth is not something that is new to a CEO who has been managing the finances of the organization. The primary role of the CFO in the firm is to plan strategies and pursue activities that will improve the total value of the firm. In most successful organization, CFOs basically work side by side with the CEO in strategic planning and decision making. He has developed excellent communication skills as he present the current financial condition of the firm to different stakeholders, has been closely oriented with the company’s product and operations, has been consistently working in line with the company’s vision, and has been able to d evelop managerial skills. However this does not absolutely imply that all CFO’s make successful CEO’s. The total personality of the CFO, his business acumen, the quantity and quality of his past experiences, and his continuing passion for the organization combined, make for a better CEO. D.