Immediately you think about the job description of a financial manager, what come to your mind? Money, right?
Well, if my guess was right, then you are not far from the truth.
As the name implies, most of the duties and responsibilities of a financial manager revolves around money.
I believe you already know that when money is involved, trust and carefulness is very important.
Companies always want to employ a financial manager they can trust.
In turn, financial managers need to give optimum attention to every detail in order to avoid mistakes.
Since you are reading this article on the job description of a financial manager, my guess is, you are either seeking a job or about to chose a career path.
This article will guide on everything you need to know about taking up a financial management job, so read attentively.
What does a financial manager do?
Financial managers are professionals who evaluate daily financial activities in a firm and give professional advice to the organisation’s management on present and also future financial plans.
They play a very integral part in making financial decisions and are vital to the growth and success of any firm.
What are the duties and responsibilities of a financial manager?
Your duties and responsibilities as a financial manager may vary depending on your employer and the size of the firm.
But, irrespective of these factors, the duties and responsibilities of a financial manager are, but not limited to these:
1. Evaluate and review financial report
They evaluate and review the company’s financial report.
This is to ensure that are records and reports are accurate.
2. Prepare and present a company’s financial forecast
It is the responsibility of a financial manager to predict the financial future of a firm.
As this information is important for preparing and management budget.
3. Come up with innovative ways to growth a firm’s finance
They also come up with new and innovative methods to improved a company’s finance.
4. Keep financial records
Financial managers keep a company’s record for future reference.
They do this using finance software or manually by the use of paper and pen.
5. Ensure that budgets are strictly followed
After preparing and presenting a budget and it is approved, then it is the duty of the financial manager to ensure that it is followed strictly.
Sticking to the budget helps the company manage fund in the best way possible.
Some other duties and responsibilities of a financial manager are:
- Carry out market research and analysis
- Coordinate daily financial activities
- Prepare financial reports
- Provide financial advice
- Ensure that all account policies are observed
- Help the management understand financial information
- Work as a team with auditors to make sure all financial reports and records are accurate
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What qualifications do I need to become a financial manager?
The minimum level of academic qualifications you need to become a financial manager is a bachelor’s degree in accounting, economics or finance.
Although not mandatory, a master’s degree in economics, finance or accounting and being a chartered accountant is advantageous.
Aside from academic certification, a financial manager needs to also have excellent knowledge and understanding of the use of finance software.
You also have to be conversant with updated methods and software used in financial management.
In addition, good understanding of accounting principles and financial statistics is a huge plus.
Just as it is in every other job out there where experience is a requirement, experience in financial management is also not left out.
Employers prefer employing those with some years of working experience in accounting, financial analysis or related fields than those without.
In most cases a minimum of 5-8 years is preferred.
What skills and personality suit a financial manager?
Taking the job description of a financial manager into consideration, there are certain skills and personality you have to posses in order to excel in this career path.
Here are some of the skills and attributes a good financial manager should possess:
A financial manager should be capable of making accurate financial forecast, and with the knowledge of this forecast, work as a team with the management to draft out a workable budget.
When this budget is approved, it is also necessary for the financial manager to follow financial activies up in order to ensure that the budget is adhered to religiously.
2. Critical thinking
A good financial manager must be able to think critically and analytically.
You should be able to make financial decisions that contributes to the growth as well as the success of the firm
3. Communication skills
All good communicators are not financial managers, but all financial managers should be good communicators.
You should be able to communicate the technical and non technical aspects of finance verbally and in writing.
4. Organizational skills
The importance of being organized at all times in financial management cannot be over emphasized.
You should also stay calm and organized when working.
And Instead of trying to do so many things at a time, learn to prioritize your tasks.
To become a good financial manager, you have to be a good leader as well.
You should be able to train and work with your team to manage projects, budgets and also meet up with deadlines.
6. Honesty and integrity
A good financial manager should be trustworthy.
Your employer should be able to believe and trust that you can manage the firm’s finance.
While creating financial reports, you should be honest enough not to change figures for your personal interest.
7. Interpersonal skill
You should build and maintain good working relationship with your team and the management.
A good working relationship makes work smoother.
Where do financial managers work?
There are so many business firms that always require the services of a financial manager.
Some of the typical employers are:
- Non profit organizations
- Insurance companies
- IT firms
- Media firms
- Manufacturing companies
The role of a financial manager is required across a variety of sectors, from government owned businesses to private owned.
What are the different types of financial manager jobs?
There are a variety of financial manager jobs, and the different job description may differ slightly some of which are
1. Commercial financial manager
The role of a commercial financial manger is innovative and strategic thinking. They analyse data and come up with productive ideas.
The aim of this strategic thinking is to improve the overall profit of the firm.
The job description of a commercial financial manger require that they carry out some of these duties and responsibilities:
- Evaluate progress and compare it with previous achievement.
- Analyse the resultant effect of business decisions.
- Evaluate and analyse business process and progress.
The role of a financial manager is a leadership role.
2. Assistant financial manager
An assistant financial manager works as part of the team of the financial manager.
Some of their typical duties are:
- Assist with monthly account management.
- Preparation of balance sheets
- Support in the preparation of budget
- Reconcile balance sheet
- Carry out cost analysis
The assistant financial manager reports to the financial manager.
3. Finance manager
The finance manager usually handles the administrative and clerical aspect of accounting.
Some of their typical duties and responsibilities are:
- Process invoice and expenses of staffs
- Sort post
- Maintain petty cash records
- Reconcile accounts
The role of a finance manger is more of an entry level finance role.
How much do financial managers make?
Your salary as a financial manager may depend on your geographical location, as well as your employer.
In the United States, the average salary of a financial manager is about $95,000 per year.
The lowest pay is about $65,000 while the highest pay is about #135,000 according to Glassdoor.
This figure is different in other locations. Aside from location and employer, it is obvious that experience is also a determinant factor.
What role can I be promoted to after becoming a financial manager?
Hard working financial managers always excel this career path.
The normal career structure is to go from financial analyst or assistant finance manager to financial manager.
After becoming a financial manager, you can then be promoted to positions like head of finance, senior finance manager, financial controller, and finance director.
How do I get experience in financial management?
Practically every job requires a level of experience before you qualify for getting the job.
When employing a financial manager, most employers seek for a minimum of 5-8 years experience in accounting of finance management.
Here are some common routes to obtaining experience in financial management:
- Internship: This is best for new graduates. During the internship, you may be given a stipend or nothing at all. But in all, you still get the necessary experience you need to a higher position in your career.
- Placements: During breaks or holidays, students can obtain placements to assist in finance management
- In house shadowing: This may last for some days or weeks. But, it is usually for a short period of time.
What do I include in my financial management resume?
Your resume should be professional enough to support your goal.
When creating it, here are some things to include;
- Your skill
This guide on the job description of a financial manager is optimized to help you create a good resume.
Feel free to make optimum use of it. Not just for create a resume but for answering interview questions too.
Summary of financial manager job description guide
Financial managers are very important to every organization.
Satisfaction in this career path comes with knowing that you are playing a very integral part to the success of the organization.
As a result, an understanding your job description as a financial manager gives you an edge in this career.
In addition, it helps you to know the scope of your duties and responsibilities so that nothing is left out under your watch.
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