A financial manager is responsible for the overall financial health of the organization. They generate financial reports, make investment activities on behalf of the organization and develop plans and strategies for long term financial goals. They work within the private and public sector where they give financial advice and undertake accounts related administration. They also give advice on appropriate business planning and help in decision-making processes to ensure that financial goals are met in the desired manner.
A wide range of organizations recruits financial managers including financial institutions, supermarkets, health, and industrial organizations, retailers, banks and insurance companies and many more.
The responsibilities and job description of financial managers include the following.
- Prepare financial reports, business activity reports, and forecasts.
- Monitor financial data & details to ensure the legal compliance.
- Supervising financial reporting of data and budgeting.
- Review financial reports and seek a way to reduce cost.
- Analyze market trends to maximize profits and explore expansion opportunities.
- Help management and board of directors to make financial decisions.
- Undertake research into pricing, competitors, and other factors affecting performance.
- Carry out business modeling and risk management.
The necessary skills that are required for a competent financial manager can be summarized as.
- Analytical ability is required in making decisions.
- Good communication skills are essential because he must explain and justify complex financial transactions.
- Detail orientation which is required to analyze financial reports like balance sheets, income statements in a precise manner in order to avoid errors.
- Numerical ability in math’s, algebra and statistics and an understanding of international financial and other documents and instruments.
- Organization skills are also important in order to supervise the manpower and the flow of other managerial information.
Employment of financial managers is expected to grow up to 20% from 2016 to 2026, which is much faster as compared to other occupations.
Several core functions of a financial manager like risk management and cash management are expected to be in high demand over the next decade.
Candidates with expertise in accounting and finance especially those with the master’s degree or likewise certifications should have bright job prospects.
A bachelor degree in finance, accounting, economics or business administration is normally a minimum required level for financial managers. However many employers look for candidates with an MBA degree in finance, marketing or operational research.
The average pay for the financial manager may range from $ 70,000/- to $ 2 00000 or equivalent.