Thursday, Jun 8, 2023

What Does a Finance Controller Do?

The job description for a finance controller focuses on financial management. These professionals should be knowledgeable about the financial..

The job description for a finance controller focuses on financial management. These professionals should be knowledgeable about the financial reporting, tax, and regulatory compliance requirements. If you're interested in a career as a finance controller, there are several different options available. Listed below are some examples of the skills and experience required for this position. Read on to learn more! Also, consider how much you'd earn if you were a finance controller.

Financial reporting

As a finance controller, your job will revolve around financial reporting. This kind of reporting focuses on looking forward rather than backward, like accounting and auditing do. Controllers should provide financial reports for various stakeholders, including company executives, lenders, and investors. You should be knowledgeable of the rules and regulations governing financial reporting. This way, you can keep your company in compliance with the law. Also, your financial reporting should include useful insights.

The role of financial controllers is changing. Traditional financial statements are no longer adequate, and organizations must take advantage of technology and automation to stay competitive. As a finance leader, you must ensure that your team has the latest skills and tools to stay abreast of the latest developments in the industry and deliver accurate and timely results. This is a critical role that keeps the business running smoothly and ensures its continued success. By investing in a financial reporting career, you'll make your organization a better place to work and make smarter decisions.

In addition to being knowledgeable about financial reporting, you'll also need to have a thorough understanding of accounting, taxation, and accounting systems. These are the core technologies used by financial controllers. These tools include general ledgers, subledgers, and asset registers. You should also be familiar with global consolidation software, which combines the finances of multiple business units. Lastly, financial reporting solutions will help you generate financial statements and support various analytical techniques.

Finance reporting is important for compliance with tax and regulatory requirements. Publicly-held companies are required to submit financials to the SEC, while power-generating utilities must submit financials to regulatory commissions. In addition, these reports are used as a basis for income tax returns. Some lenders require financial reports as proof of compliance with loan covenants. The goal of financial reporting is to keep your company on the right track. If your company doesn't report properly, you'll have to face some tough questions from the IRS.


To be considered for a position as a finance controller, an applicant should have an educational background in accounting, management, or tax law. Candidates with specialization in management accounting may stand out from their competition. Obtaining a Ph.D. in accounting demonstrates the highest level of academic achievement in accounting education and could open doors to a variety of advanced positions in the industry. Taking advantage of a mentorship program will enhance confidence, increase expertise, and expand professional networks. The education of a future controller should indicate that the candidate is job-ready, with a working knowledge of tax law.

A CPA certification is not necessary for becoming a finance controller, although it is the most common path to a successful career in accounting. Earning a CPA certification requires rigorous education, field experience, and annual continuing professional education. Curriculum for a CPA certification focuses on business law, tax, and accounting. Other certifications for this field include chartered management accountant and chartered financial analyst. Regardless of the type of accounting certification, financial controllers should include all relevant academic experience.

A finance controller may also take on additional responsibilities, such as payroll management and the collection of overdue invoices. Besides accounting and finance, a financial controller may also be responsible for maintaining compliance with the law and filing tax returns. In some companies, a finance controller may be the same person as the CFO. In small teams, the controller is responsible for balancing the books at the end of the fiscal year so that the company can begin the next year on a solid financial foundation.

As a finance controller, you are responsible for implementing policies and procedures that will help your company make informed decisions. You will work closely with other employees and vendors to meet business objectives. You will have to stay abreast of the latest accounting regulations. Developing strong financial management skills is crucial for success as a finance controller. You will have to work with other employees and develop relationships with investment banks in order to successfully manage the company's finances.

Financial planning

A financial controller has many responsibilities in a company, and he or she is the person responsible for closing the company's books. Other duties of the finance controller include general accounting oversight, coordinating with external auditors, and monitoring internal controls to reduce the risk of fraud. The controller also assists in the creation of a company's budget. While a finance controller is a busy person, they play an important role in a company's overall success.

As the business's CFO, the finance controller has the most granular data available about its transactions. With an ear to the ground, they can make strategic decisions about the company's growth. By partnering with CFOs, financial controllers can unlock exponential value by making strategic financial decisions with a finance controller at the helm. In addition to providing strategic guidance, the role of the finance controller has many other benefits, such as improving efficiency and managing income and expenses.

The finance controller can act as the company's entire accounting team, handling payroll, collecting overdue invoices, and identifying areas for cost-cutting. In addition, they can negotiate better lines of credit with the bank or reassess vendor agreements to streamline office operations. These benefits make the finance controller a valuable business partner. The financial controller must have excellent communication skills and the ability to manage a large number of employees.

A financial planner or analyst is a key member of a company's management team. They help the executive make decisions by analyzing the company's financial information and providing forward-looking recommendations. The objective is to provide the CFO with data and intelligence that will help reduce risk and identify opportunities for growth. The finance planner or analyst reports to the CFO. Financial planners also assist in the preparation of budgets. If the FP&A team works closely with the controller, there will be a better understanding of the company's financial condition and strategy.

Regulatory compliance issues

As the world becomes more digital, financial controllers face new challenges. Data volumes are increasing at a record rate. According to McKinsey & Company, the world will have 175 billion terabytes of data by 2025. As these volumes grow, financial controllers must become experts in data governance and strategy. They must also apply these insights to financial planning, asset deployment, and liquidity management.

Regulatory compliance is a priority for financial services organizations, yet it is not always easy to manage. Recognition of the need for regulatory compliance is a better start than managing it. Richard White, division director of Robert Half Management Resources in San Francisco, explains the risks and stakes of non-compliance. Compliance is essential to the business, but it can be challenging for controllers to keep pace with the growing number of regulations.

For a finance controller, the biggest challenge is navigating the increasingly complex regulatory landscape. Traditionally, risk calculation has been an impenetrable manual process. Today, firms are recognizing the need for automation and are working to implement three lines of defense. Additionally, surveillance processes are becoming an integral part of compliance procedures. Companies must be able to track specific data points to ensure they are meeting regulatory requirements. The increased regulatory burden on firms means that the finance controller must take extra steps to stay on top of new trends and improve his or her skill sets.

Financial services are a vulnerable target for hackers. While compliance regulations mandate that banks have a basic level of protection, it does not mean the organization is secure. According to the latest data breach investigation report by Verizon, there were 3950 confirmed breaches in the past year. Sixty percent of these breaches involved personal data. Financial institutions lose trust and face stiff penalties for noncompliance. These are all important topics to consider.

Growth of commercial business partnerships

The role of a finance controller is evolving in more ways than one. More companies are requiring them to apply their analytical skills to strategic issues and work as business partners with operations managers. Controllers are also being called upon to provide operational data and insights to other departments and drive productivity improvements within organizations. This expanded role is requiring more expertise from controllers, so they must be prepared to handle it. Here are three ways in which a controller can make their job easier and contribute more to the success of their organization:

The ACCA says that most finance organizations continue to report on too many metrics and not enough on value. A balance between retrospective reporting and future reporting must be struck. Controllers must also provide tangible evidence of the value of business partnering activities. They must demonstrate that the financial resources invested in partnering activities are being targeted towards the right areas. This way, they will be able to better leverage the company's resources to deliver business value.

When it comes to collaborating with other business leaders, the controller should understand the mission of the organization and its leaders. Similarly, he or she should build a mission statement that aligns with the goals of the corporate leaders. This will provide clarity and allow the two groups to work in tandem. It is also important to have the right attitude and the appropriate skills for the role. If this is not the case, it will be difficult to be successful.

A modern organization cannot get by with traditional financial statements alone. In order to meet the needs of its customers and employees, the controller must be able to utilize digital technologies. He or she must be able to support automation and maximize efficiencies across accounting and operations. Modern organizations require a finance controller with a strategic mindset and advanced analytical skills. If a finance professional wants to be successful in the future, he or she should ensure that his or her team is equipped with the latest tools and skills. This way, they can achieve faster results.