Module 3.D

More documents

Recommendations

Info

Finance Managing long-term and operational funding, accounting, and financial reporting. Accounts payable Managing amounts owing to suppliers to ensure timely and accurate payment (maintaining Accounts Payable Ledger). Accounts Managing amounts due from clients and service-users to ensure prompt receivable collection (maintaining Accounts Receivable Ledger). Accounting and Bookkeeping to record and track financial transactions and fixed assets reporting (control) (maintaining Cash Book and General Ledger). Budgeting and Preparing and monitoring budget, variance analysis, and management forecasting accounts. Expense Approving, recording, reimbursing, and monitoring employee-generated management expenses (travel, accommodation, etc.) Tax Planning and managing all tax-related expenses. Treasury Managing cash to maximize liquidity. management Payroll Administering salaries, wages, bonuses, and deductions. Another way of thinking about the roles of the CFO related to control is to consider the main organizational functions of finance, as: • Catalyst. • Strategist. • Stewardship. • Operative. These roles are illustrated below (taken from “What is a Financial Controller? Roles and Responsibilities” 43 . 43 What is a Financial Controller? Roles and Responsibilities, Oracle Netsuite. 70
In the public sector of some countries a distinction is made between the similar roles of financial controller and comptroller. The latter is viewed as having a broader and more senior role overseeing fiscal activities similar to the role of the Chief Financial Officer. The controller is in control of the accounting function and maintaining financial records. Given the seniority of the position, the CFO plays both a strategic role to enable achievement of the organization’s core purpose as well as an operational role supporting core functions. They are key to ensuring conformance with reporting requirements as well as supplying information internally to aid effective decision-making. They also have responsibility for overall financial control. Therefore, it is essential the CFO fully understands their organization and its culture, vision, mission, goals, priorities, risks, resources, people, and processes. CIPFA developed a detailed description of the Role of the Chief Financial Officer in Public Service Organisations based on five principles which is worth quoting in full. 44 Principle 1: The CFO in a public service organisation is a key member of the Leadership Team, helping it to develop and implement strategy and to resource and deliver the organisation’s strategic objectives sustainably and in the public interest. 44 Role of the Chief Financial Officer in Public Service Organisations, CIPFA, 2011. 71
Page 1: 3D. CFO, Internal Audit, and Extern
Page 5 and 6: • Ensure that those making decisi
Page 7 and 8: • Identifying and equipping finan
Page 9 and 10: According to Standard 2050 - Coordi
Page 11 and 12: 79
Page 13 and 14: References and Additional Reading 1
Page 15: The Practice of Internal Controls,

Module 3.D

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?