What is A Finance Manager’s Role at a Company?

A finance manager's role is critical in today's ever-changing business world. Their overarching position and responsibilities contribute to a company's success by ensuring that financial resources are managed efficiently and investments are maximized. Today, we'll go over the ins and outs of the finance manager role, from the job description and required skills to a quick rundown of how to get your foot in the door and land a job as a financial manager.

What Does a Financial Manager Do?

Financial managers hold a variety of responsibilities and roles at an organization, but their overall goal is to help protect the company's financial health and assets. For example, they are responsible for creating financial reports, developing and implementing financial strategies, and overseeing investments.

Furthermore, they are critical players in an organization's leadership team, working collaboratively to align financial goals with overall objectives. Often times you will find that financial managers operate in various sectors, from corporations to non-profit organizations and government agencies.

Financial managers are able to take on a wide variety of tasks due to their extensive knowledge in the field. With a Master in Finance at EAE Madrid, financial managers can become the bridge to financial success and organization for many businesses.

Responsibilities & Duties of a Financial Manager

While the exact responsibilities and duties of a financial manager may vary from company to company and from one specific skill level to another, there are many similarities. Here is a list of common tasks that financial managers are given in the position:

• Financial data analyzation
• Market trend analyzation
• Creating comprehensive and strategic financial plans
• Analyzing and mitigating risk
• Providing accurate financial reports and statements to the board and stakeholders

Key Skills

Let’s take a look at what key skills financial managers are advised to have in order to efficiently and successfully complete all assigned tasks. Check out these five highly desirable financial management skills:

• Financial Analysis Proficiency in financial analysis is indispensable. This skill enables finance managers to make informed decisions based on a deep understanding of financial data.
• CPA (Certified Public Accountant) Many finance managers hold a CPA certification, enhancing their ability to oversee financial matters, tax compliance, and external audits. 
• Analytical Skills It is crucial to be able to comprehend intricate financial information and draw useful conclusions from it.
• Communication Skills Sharing financial information with stakeholders, both financial and otherwise, requires clear and concise communication.
• Problem-Solving Skills Finance managers must be adept at solving complex financial issues while maintaining the organization's fiscal health.

Professional Development and Career Prospects

Businesses are increasingly seeking out the guidance of financial experts as they attempt to navigate economic uncertainty and pursue long-term growth. The experience and education gained in this position are highly marketable and can be applied to other fields and positions. This is allowing financial managers to advance into higher-paying and more rewarding positions as their careers progress.

One of the quickest ways to work up the financial field ladder is to continue building and improving your skill set. You can do this effectively by obtaining certificates related to your position. Here are just a few certifications financial managers can get to enhance their experience:

• Certified Financial Manager (CFM) Offered by the Institute of Management Accountants, the CFM certification is designed for those in corporate finance, financial planning, investment management, and related fields.
• Chartered Financial Analyst (CFA) Provided by the CFA Institute, this certification is ideal for investment management and analysis professionals, requiring three levels of exams and meeting specific educational and work experience criteria.
• Certified Treasury Professional (CTP) Administered by the Association for Financial Professionals, this certification is tailored for those in treasury management.
• Financial Risk Manager (FRM) Offered by the Global Association of Risk Professionals, the FRM certification is suitable for professionals in risk management.

How to Become a Finance Manager

So, how exactly does one become a financial manager? The journey to becoming a finance manager typically involves a combination of education and experience. Here's a step-by-step guide to help you embark on this rewarding career path:

1. Earn a Bachelor's Degree: A Bachelor's Degree in Finance, Accounting, Economics, or Business Administration is usually the first requirement. Some employers may also prefer a master's degree in a related field.
2. Gain Work Experience: Most finance manager positions demand several years of experience in finance or a related domain. Starting in entry-level roles like financial analysts or accountants can be a valuable stepping stone.
3. Consider Certification: Though not obligatory, as we stated earlier, certifications can showcase your expertise and enhance your experience (especially if you lack hands-on experience). CFM, CFA, CTP, and FRM are all recognized certifications for finance professionals.
4. Develop Strong Skills: Focus on honing analytical, communication, leadership, and problem-solving skills. Seek opportunities to bolster these skills through education, training, and on-the-job experience.
5. Network and Build Relationships: Building a professional network is crucial for staying informed about industry trends and job opportunities. You can achieve this by attending networking events, joining associations, and connecting with peers in the field.

Beginning a successful and satisfying career as a finance manager is possible with the right training, field experience, and credentials. Those who are up for the challenges and opportunities of this fast-paced industry have a bright future ahead of them.

Getting Started as a Financial Manager

If you're ready to embark on a career as a financial manager, you can take the first step today. Join us at EAE Madrid Business School and equip yourself with the knowledge and skills to excel in the dynamic world of finance.

Don't pass up the opportunity to become a successful financial manager and have a lasting impact on businesses nowadays. Your journey starts here at EAE Business School Madrid!