There has been a trend across corporate America of promoting financial officers to CEO. What are some advantages and disadvantages of this practice
(Based on the article of Financial Managers: http://www.ncbuy.com/careers/blsj/job010.html)
With every situation comes pros and cons as to what the best option will be for those involved. Moving the CFO of a company up to CEO can benefit the company in ways that would be vastly different if the company was to hire someone that knew nothing about the financials of the company. Of course, the same can be true that it could also hinder the growth of the company and not be the best option. CEO's are incharge of advancing the company just as they are involved in failures for the company and usually the one that answers to the board of directors - if the company is big enough to have a board. "The CEO is essentially responsible for the success and failure of the company because the CEO ultimately leads the company and determines its direction" (Rakoczy, 2006-2011). Having experience as a CFO - generating financial information that would be reported to the other executives and understood so that changes can be made where needed provides knowledge that would support the ...
CFO to CEO Corporate American Financial officers are examined.