ACCA - The global body for professional accountants

Financial management capabilities – top tips

 

  • Make sure you can keep a tight focus on cash – monitoring and updating cash positions and cash flow forecasts daily if necessary.
  • Keep your financiers informed – regular updates let them know you are in control and encourage them to support you as your financing needs grow.
  • Use experts wisely – be prepared to pay for valuable advice but do not squander money by wasting experts’ time on trivia and inefficiency.
  • Financial management is not just technical – employ people with the right soft skills as well.
  • Make finance a key part of board discussions and decision making – recruit a finance director as soon as you can afford one.
  • Be proactive – encourage the finance team not just to respond to support requirements but to identify ways in which they can help other areas of the business.
  • Match capabilities to business objectives – use your strategy to identify the skills and systems you need.
  • Develop commercial awareness – make sure the finance team understand how what they do affects your business success.
  • Communicate effectively – encourage different departments to cooperate and build integrated systems that make sharing information easy.
  • Look to the future – develop forward-looking and scalable systems that will both help you grow and grow with you.
  • Encourage all managers to be financially aware – do not leave finance to just the finance team.

 

Last updated: 13 Jan 2014