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Common Business Problems and Solutions for CFOs

June 27, 2017 By admin Comments are Off , , ,

Chief financial officers (CFO) today have a wide range of important responsibilities. Being in charge of the finance department means handling a business`s finances and security, but also includes other responsibilities such as personnel management and general management. There are a number of common business problems – and solutions for a CFO. You might think that the issues that affect a CFO are unique to each individual, but actually, most CFOs have the same business problems and solutions across a range of industries.

It is important to remember that a solution to a business problem needs to be practical. So, bearing this is mind, here are some issues and practical problem-solving steps for CFOs.

1. Finding and Developing Talent

Having a successful finance department involves employing, training and developing the right people. Most CFOs come as “finance” people and not “personnel” people, meaning that knowing the amount of staff to hire, who to hire and how to develop them, isn`t always straightforward.

The Solution!

Make sure that you value your staff, make them feel motivated and give them feedback and encouragement. If you are on a tight budget, try to think of other motivating solutions apart from bonuses and pay raises.

Oftentimes, you will need someone with a range of skills, and it can sometimes be difficult to find an individual that fits your exact criteria. You can resolve this by outsourcing certain parts of your financial team.

In general, employ people who you can coach but who can also think on his or her feet and resolve business problems with solutions.

2. Using Technology to Your Advantage

Technology is always advancing. Yet, adapting to technology is a common issue even the most seasoned executives run into. It is important to be able to effectively understand and analyze technological advances and new methods of presenting information.

The Solution!

Don’t feel intimidated by new technology as it becomes available. Popularity often equates with functionality and new technology can often provide your business with practical solutions. Embrace it, use the extra information it provides, and see how it can work to make your job easier.

3. Government Compliance

One of the biggest, if not the biggest responsibility of a business`s CFO is to ensure that the financial side of the business is compliant with government laws, rules and regulations. These rules change often and it can sometimes be difficult to keep up with these changes.

The Solution!

It is important that you, as a CFO, are always kept up-to-date with these changes. Try to organize a way to be kept abreast of updates, and have plans in place that limit the impact of changes, to ensure a smooth transition.

4. Security Risks (Such as Cyber Attacks )

The work that is done in the finance department can include extremely delicate information and it is therefore essential that you take every precaution to protect yourself from security risks like cyber-attacks. Attacks from online sources are common business problems and solutions can be a little more difficult to find.

The Solution!

One good practical solution to business problems, such as how to protect from cyber-attacks, is to use a cloud-based system. Your information will be saved online meaning that you are no longer using outdated systems that make cyber-attacks easier. Try to keep up-to-date with emerging technologies in this field.

These problem-solving steps for CFOs can help you resolve your most pressing business issues, help you prepare for them in advance as well as deal with issues as they emerge, minimizing the overall impact on your business.

Sometimes you need to expand your finance team’s capacity without expanding your personnel. At Nuvest Management Services, we can help you by meeting your specific outsourcing needs. For more information about how our team of professionals can help your business grow, get in touch with us today!