Let’s start dwelling into a Financial manager’s function through the term “Finance”.
FINANCE is a field that usually deals with the study of investments. This sector involves in the dynamics of liabilities and assets over different circumstances of time and stages of risk. It can also signify as a science of money management. The major aspect of finance is – time and value of ‘Money’ that states about the purchasing power of currency and it can change as per the time.
Finance sets price of the assets and it depends on their risk level along with the expected return rate. The term, ‘Finance’ can be divided into three major categories – Public , Corporate and Personal Finance.
What are the Financial Managers?
The financial managers are liable for the health of a company/ an organization financially. They create financial reports; build strategies and plans, direct investment activities for achieving the long-term goals of their company. These professionals work in so many places which are mostly banks and insurance companies.
With the help of these experts, executives can take help while decision-making things that directly affects the organization. There are some significant tasks that are not handled without the financial managers. The reason behind that, it needs analytical ability and versatile communication skills.
What does Financial Manager do?
In Business, the managers of this stream are gradually altered with respect to the response of advanced technology that is enhanced on a regular basis. A well-known fact, the advancement of technologies relatively decreases the time of accomplishing the financial reports development. The main responsibility of a financial manager is to monitor the finances of the company. Now, they can do more research and analyze the statistics and data. As well as, they can advise the senior managers to adapt them for maximizing the profits of ideas.
Even, they are also work in teams and behave as business advisors to the top executives. Here is a list that their major responsibilities to do –
- Make forecasts, financial statements and the reports of business activities.
- Observe and monitor all the financial details that will match with the legal essentials or not.
- Administer their employees that are handling the reporting and budget of finance.
- Check the financial reports of the company and find ways to reduce the costs.
- Investigate the latest trends of the market to find the opportunities for acquiring the various companies or just for exploration.
- Assist to take the financial decisions.
The finance functions of managers, usually require some specific managerial skills in their planning, execution, and control. Following are some of the major functions – Investment Decision, Financing Decision, Dividend decision and Working Capital Decision.
How do I achieve it?
The role of a financial manager is crucial in any organization/ company irrespective of its size. Essential skills include relationship management, communication, strategic analysis and decision making. Theres not a single shot solution to achieving these skills, but can try out few tricks up their sleeves. For example, verbal communication can be attempted in a more persuasive manner to appear more confident. Fillers like um’s ah can be avoided by pausing before you speak. These silences may seem awkward to you but not to your listeners.
Another, but very important skill to master, in my opinion would be relationship management skills. This is because with growing professional responsibility we need to build bonds, inspire, influence, manage conflicts, establish teamwork and develop others. And developing relation management skills mean employing every bit of self awareness, self regulation and social awareness to understand what’s going on and how it’s affecting you. The more you work on these threee domains , the more better you wouldne at managing relationships.
Sonam has done her B.E. in Computer Science & Engineering. She happens to be a passionate content writer with 4+ years of functional experience and has varied interests in technology, travel, tourism and management related areas.