(1) What do you consider to be the main role of the financial manager within a corporate organizational structure?
(2) How does the financial manager capture the financial performance of the organization and relate that information to improving profitability?
The financial stability of an organization depends on the financial manager. They play a vital role in every corporation. Their main responsibilities are producing financial reports, initiating investment activities, developing strategies and perform essential functions such as plan and implement activities that help achieve the long-term financial goals of the company. Financial managers can be found in companies such as banks and insurance as well as other related corporations.
The financial manager's role is very complex and aside from taking care of the financial records and investments, it is essential that he or she understands the way the business functions in all areas and as a whole. He or she must have a very specialized financial knowledge as even if the company's structure varies from one to another, the responsibility of the financial manager is similar. His main responsibilities include budget management which gives him the authority to decide how money is going to be allocated to the various projects and learning which among them deserves high priority and gets the necessary funding on time and as needed. (Boundless.com)
The financial manager researches, analyzes and figures out the financial projections. Whenever there is a new product to be developed, there is a need for financial capital over time. The finance manager has the role of knowing the estimated cost of the product development and the expected revenue that will be earned from it so that the appropriate amount will be spent on the new product. There is a need for him or her to learn about data analysis and perform educated guesses to decide on an approximate value of the cost and revenue. It can never be a hundred percent definite on the future cash ...
This solution discusses the following:
- The roles, functions, and responsibilities of the Finance Manager and the Finance Department
- The main role of the Finance Department as it relates to the corporation's structure
- The role of the Finance Manager in improving the company's profitability
1,043 words and five (5) non-APA references