CC FINANCE As can be identified in the table, meeting regulatory compliance mandates and accounting and financial reporting standards ranked high in the short and longer term. The 2008 financial crisis, as well as recent finance industry scandals, have induced a plethora of changing rules and regulations, which directly and indirectly affect the organisation. Compliance with these regulations is nowadays expected of a company’s CFO. They are not only expected to keep abreast of the applicable regulations but also other developments which might have a positive or negative impact on the company. Examples of such instances include new data protection regulations or alternative sources of finance. This not only ensures that the company is in line with all laws and regulations but extends beyond regulatory adherence, to effective planning and forecasting. The fast pace of development in technology, however, is by far the greatest change in business and beyond. Big data offers unprecedented opportunities for analytical insight into business by the finance function. Advances in the sophistication and power of mobile devices and PCs are revolutionising business. “Technological developments will serve to help gather, organise, standardise and make data timely. This will drive more effective business intelligence for identifying new market and profit opportunities, measuring and managing business performance, running simulations, or bringing customer insights,” specifies a report by ACCA (2012). The increase in the use of technology in data analytics will lead future complex decision-making by correlating, forecasting, and predicting future scenarios. As the duties of CFOs expand, effective communication and interpersonal skills have also become a prerequisite: “Emotional intelligence (EI) is the capability of individuals to recognise their own, and other people’s emotions, to discern between different feelings and label them appropriately, to use emotional information to guide thinking and behaviour, and to manage and/or adjust emotions to adapt environments or achieve one’s goal(s).” CFOs have to develop the ability to understand themselves and their emotions, as well as have sound situational awareness, to lead a team effectively. A CFO lacking in emotional intelligence will not be able to understand the needs, wants and expectations of management and work colleagues. Modern CFOs have to think and act beyond the traditional role. Needless to say, the broadening scope and the potential to influence the future viability of a business means that the role and function of the CFO is vital. However, on their part, CFOs have to safeguard their trusted positions by ensuring that ethics and integrity are kept high on their agenda. cc
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