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What Role Should The Financial Manager Play In A Modern Enterprise?

4 Answers

James FitzGerald Profile
A financial manager should hold all the accounts together as well as be in charge of all the money that comes out of your business.

The financial manager manages the monetary affairs of a particular individual, connected/interrelated people or even an entire entity or business in order to maximise and spearhead monetary success and to look at the best way to turn around a poor financial situation.

As they are the head of finances, they should have a firm grasp and knowledge of finances and look to control what is on the table. If, for example, there is plenty of work coming through, the financial controller can look to expand and they can do this in a number of ways. Firstly, by moving to a larger office and hiring more staff in order to take on the workload.

They can also look at other solutions to counteract losses and reduce costs accordingly and this introduces several further possibilities. It is vitally important for a financial manager to be the leading light in money policies and where the money is spent. For example, the rent on a place in the centre of a city might be very expensive compared to moving an office to somewhere on the outskirts of a city; this in essence will be a lot cheaper.

Other ways to encourage cutting costs are to switch off all computers in the office at night instead of leaving them running; this will reduce the level of electricity bills as well.
Anonymous Profile
Anonymous answered
Role of financial manager:
Funds raising:
  Promotion
  reorganisation  
  expansion or diversification
  mergers  
  consolidations
funds allocation:
  Efficient allocation of funds
  1)how large should an enterprise be, and how fast should it grow?
  2)in what form should it hold its assets?
  3)how should the funds required be raised?
Profit planning:
  Pricing, costs, volume of output and the firm's selection of product line.
Understanding capital markets
Arthur Wright Profile
Arthur Wright answered
Basically to watch the companys cash flow and make sure money isn't being wasted and getting the best deals possible for their money
Anonymous Profile
Anonymous answered
Role of financial manager:(CFO)
• Capital budgeting decision
1. Which project should we invest in ?
2. Should we expand or diversify ?
• Financing decision
1. How much cash should we raise ?
2. How should we raise cash ?
• Dividend decision
1. How much cash should we return to investors ?
• Liquidity decision
• Care taker of shareholder’s money
• Wealth maximization
• Profit maximization
• Bookkeeping
• budget and cost control
• inventory management
• financial reporting
• developing the Auto desk business plan

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