Chief Financial Officer: missions, skills, training, salary and career development

The increasing complexity of financial operations and the need to guarantee economic stability have made the position of Chief Financial Officer (CFO) indispensable. Responsible for overseeing finance and administrative management, this professional plays a strategic role in ensuring the stability and sustainability of companies in a constantly changing financial environment.

Description of the job of Chief Financial Officer (CFO)

The Chief Financial Officer (CFO) is a key player within the company, responsible for financial and administrative management. He or she ensures the financial health of the organisation, monitors compliance with accounting, legal and tax practices, and plays an active role in financial strategy. By overseeing human resources and financial information systems, the CFO plays a crucial role in making strategic choices that determine the company's future direction.

As head of the finance department, the CFO manages accounting, treasury and budget planning, ensuring that operations comply with laws and regulations. They also oversee audits to ensure the transparency of financial statements. Using a variety of management tools, the CFO works with senior management to develop financial strategy and make critical decisions, playing a central role in the company's stability and growth.

What is the role and remit of the Finance and Administration Director?

Financial and accounting management

The CFO supervises all the company's financial and accounting operations. They draw up budgets, control expenditure and manage cash flow. He or she is also responsible for preparing financial statements and management reports, ensuring that they comply with current accounting and legal standards. It is the CFO's responsibility to ensure that all transactions are properly recorded and that financial reports are accurate and complete. The CFO is also responsible for collecting trade receivables and monitoring financial flows.

Monitoring financial performance

The CFO analyses the company's financial performance, identifies deviations from targets and proposes corrective measures. They draw up financial dashboards and reporting tools to monitor key performance indicators (KPIs). It is responsible for providing senior management with accurate analyses and recommendations based on financial data. He or she is also involved in financing the company's projects, assessing needs and seeking the best credit solutions.

Financial strategy and investments

Working with senior management, the CFO helps to develop the company's financial strategy. He or she assesses investment opportunities, participates in fund-raising and negotiates with financial partners (banks, investors, etc.). They play a crucial role in decisions to merge, acquire or sell businesses. The CFO must make strategic choices regarding the allocation of resources to maximise the company's profitability and growth. They carry out market and feasibility studies for each investment project.

Risk management and compliance

The CFO ensures that financial risks are kept under control and that operations comply with current regulations. He implements internal control procedures and manages external audits. He or she is also responsible for managing the company's insurance, ensuring that it is adequately covered against all types of risk. The CFO 's responsibilities also include the legal compliance of all financial operations and the overall administrative management of the organisation.

Administrative and HR supervision

The CFO manages administrative services and may supervise human resources. He or she is responsible for contract management, supplier relations and premises management. In terms of HR, the CFO ensures that salary policies are applied and that legal obligations are met, particularly in terms of employment law. They must ensure that the working environment complies with safety standards and legal regulations. The CFO is also involved in the recruitment and training processes to ensure that teams have the necessary skills.

What skills do you need to be a good Finance and Administration Director?

Professional skills :

• Mastery of accounting and tax standards.
• Expertise in financial management and management control.
• Skills in financial analysis and drawing up performance indicators.
• Knowledge of business law, employment law and labour law.
• Mastery of management tools (ERP, accounting software).

Personal skills :

• Leadership and management: Ability to lead teams, motivate and coordinate the efforts of different departments.
• Analysis and decision-making: Ability to make informed decisions based on rigorous financial analysis.
• Communication: Ability to explain financial information clearly and concisely to non-financial audiences.

What are the current challenges facing an Administrative and Financial Director?

Digitalisation and digital transformation

The digitalisation of financial and accounting processes is a major challenge for CFOs. The implementation of integrated management software (ERP) and the use of artificial intelligence to automate financial tasks are major challenges.

Financial risk and cyber security management

With cyber attacks on the increase, securing financial data and implementing robust internal control systems are priorities for CFOs.

Regulatory and tax compliance

Compliance with constantly changing financial and tax regulations requires constant monitoring and adaptation of internal procedures.

How do I become an Administrative and Financial Director?

Education and training

To become a CFO, you generally need a 5-year degree in finance, accounting, management or auditing. The following courses are particularly popular:

• Business school diploma with a specialisation in finance or audit.
• Masters in finance, management control or accounting.
• Accounting diplomas such as the DCG (Diplôme de Comptabilité et de Gestion) and the DSCG (Diplôme Supérieur de Comptabilité et de Gestion).

EM Normandie offers courses tailored to this profession, in particular the Master in Management and its Master 2 in Audit and Finance. This course provides the necessary skills in financial analysis, risk management and financial strategy, offering a comprehensive preparation for becoming a successful Chief Financial Officer.

Professional experience

Significant experience in positions of responsibility in finance or accounting is essential. Positions as management controller, auditor or accounting manager are key steps on the way to becoming CFO.

What are the career prospects for a CFO?

• Progression to the position of Chief Executive Officer or member of the Executive Committee.
• Opportunities in large groups, SMEs or multinationals.
• Possibility of becoming a financial management consultant or joining a management consulting firm.
• Transition to CFO (Chief Financial Officer) roles in international contexts.
• Management of foreign subsidiaries, involving additional responsibilities and economic challenges.

How much does a CFO earn?

The salary of a CFO varies according to experience, the size of the company and the sector of activity:

• Beginner: Gross monthly salary (approx.): €4,000 - €6,000
• 2-5 years' experience: Gross monthly salary (approx.): €6,000 - €8,500
• 5+ years' experience: Gross monthly salary (approx.): €9,000 and more

In what field does an Administrative and Financial Director work?

A variety of employers:

The Administrative and Financial Director (CFO) may work in various types of organisation, including:

• Large companies and multinationals: large-scale organisations with international operations.
• SMEs and ETIs (intermediate-sized companies): medium-sized to large companies, often local or national.
• Public and parapublic sector: Governmental or semi-governmental institutions.
• Associations and NGOs: non-profit and humanitarian organisations.
• Financial management consultancies: Firms providing specialist advice on financial management.

The nature of the work may vary slightly depending on the location and size of the company, with responsibilities ranging from managing tight budgets to coordinating complex financial strategies involving several departments.

Main areas :

A CFO works in a number of sectors, including:

• Industry and manufacturing: Managing finance in production environments.
• Financial services and banking: Supervising financial operations in banking institutions.
• Technology and telecommunications: Managing finance in high-tech companies.
• Health and pharmaceuticals: Supervising budgets and finance in the medical and pharmaceutical sector.

These varied sectors offer many opportunities for CFOs, depending on their skills and professional interests, allowing them to specialise in areas such as risk management, strategic planning, cash management or the optimisation of financial processes.

In summary

The job of Chief Financial Officer is essential for ensuring the financial health and overall performance of a company. As the central pillar of financial and administrative management, the CFO plays a crucial role in the strategic direction and stability of the organisation. His or her ability to manage human resources, oversee accounting, control cash flow and ensure compliance with legal and tax practices is essential to guarantee the transparency and accuracy of financial statements.

Chief Financial Officer is a high-level position requiring diversified skills and the ability to manage strategic responsibilities. It's a dynamic role that offers opportunities for growth and career development, while playing a central role in the success and financial stability of the business.