We support CFO's with the effectiveness of his/her function. We believe that an effective finance function creates value for the organisation and is fun to work in. Simply by making and keeping the organisation focussed on the result(s).
Research (click here) shows that controllers are effective when in the decision making they have attention for the impact on future performance. And when controllers identify and monitor the progress of performance improvement actions. Currently there is too little eye for the effectiveness of controllers as CFO's acknowledge that they still have a large improvement potential in effectiveness of controllers.
There are three areas in which a CFO can act in order to improve the effectiveness of controllers. First of all, without good management information and analysis that put the facts on the table a discussion on the performance and results would not even be possible. So the quality of management information obviously contributes to controllers' effectiveness. Besides that a controller needs his/her personal competencies to convince their colleagues in the management team and impact the decision making. By developing the set of personal competencies that fits the companies requirements a controller improves his/her effectiveness. Finally, a CFO needs to create a finance function that enables business controllers to focus on the analysis of performance data and deduct advice on what needs to be done. Currently business controllers still spend more than 60% of their time on financial control activities (like making the management information report instead of analysing it).
Scoring positively in only one area will not contribute significantly to the overall effectiveness of controllers. The chain is only as strong as its weakest link. That is why it is important to improve your score on all the influencing factors. Quite understandable if you look at the day to day business. What does the business need to look at if there are still voids in your management information? What impact of your management information can you expect if controllers do not have the required skills to tell the story behind the numbers? “People believe people”. Mere numbers and reports do not set teams in motion. If the skills of your controllers are not on par and you have not clearly defined these skills in their performance management process, how will you know if your controllers develop in the right direction?
We continously work to improve the effectiveness of controllers. In the client references below, you can get a flavour of how our clients value our work.
Do you want to measure the effectiveness of your controllers and compare it to others? Or do you simply want to improve the effectiveness of your controllers. Please contact us, as we would love to help you with that.