The role of the CFO has changed dramatically over the last 10 years, from leader of the Finance department looking after financial reporting and cost management, to one of the most strategic roles in an organisation. Whether through digital innovation, operational efficiencies, or sustainable growth strategies, modern CFOs are playing a pivotal role in steering their companies towards long-term success.

One of the questions that I regularly ask Heads of Transformation is, ‘what is your reporting line’?

Some report into the CIO, particularly if their area of expertise is more digitally focused. A smaller proportion may report into a Head of Strategy, particularly in a large blue-chip organisation, or COO.

But a large proportion of those I ask report directly into the CFO. This makes complete commercial sense as without the CFO’s approval, no transformation initiatives can go ahead, and the scope of these and timescales need to be approved by the CFO too.

Some organisations have their CIO now reporting directly to the CFO; something which in the past would have been frowned upon.

Key architects of change

CFOs now have to be multi-skilled and are uniquely positioned in the business to drive innovation and change. Their role has changed from financial gatekeeper to management of transformation processes ensuring that budget and timescales are closely monitored.

This shift has made the CFO one of the most influential voices in the boardroom. With a direct line into all areas of the business and a constant eye on both operational performance and strategic vision, CFOs are now seen as key architects of change – not just enablers.

As a result, the jump from CFO to CEO is becoming less of a surprise and more of a logical next step. They already have the commercial acumen, the cross-functional oversight and the trust of stakeholders – all qualities that are critical in today’s modern CEO.

CFO's role is key to long-term success

In many ways, the CFO has become the proving ground for future CEOs – a role that blends financial expertise with strategic leadership, innovation and transformation. And as businesses continue to navigate uncertainty and change, the CFO’s role as a catalyst for transformation will only become more central to long-term success.

get in touch

If you need help to hire T&T professionals or are looking for you next career move, get in touch with David Kingston on davidkingston@srmrecruitment.com or call +44 (0)7931 984316.