Skip to main content

The Power of the Chief Financial Officer: A Look at Tasks and Rights

Written by p400123 on . Posted in Uncategorized.

The Power of the Chief Financial Officer: A Look at Tasks and Rights.

  • S+P Seminar
  • CFO Course

When times become economically tight, the focus is first drawn to him: the Chief Financial Officer. He is not only the numbers person in the company but also a strategist with power. But what exactly makes the role of the CFO so influential? And how does one successfully balance control, strategy, and communication?

Chief Financial Officer

1. These 5 Responsibilities Make the CFO Irreplaceable

The CFO (Chief Financial Officer) is much more than a financial administrator. He actively shapes the financial future of the company:

  • Financial Planning & Reporting: The CFO develops financial strategy, creates budgets, and ensures transparent reporting.

  • Cash Flow Management: He monitors liquidity, plans investments, and ensures solvency.

  • Risk Management: Currency risks, interest rate changes, or market volatility – the CFO analyzes and manages all financial risks.

  • Taxes & Compliance: With a deep understanding of tax law, he ensures correct levies and minimizes tax risks.

  • Communication: The CFO represents the company to banks, investors, and regulatory authorities.

Practical Relevance: In the S+P CFO course, we show you how to systematically and strategically manage these areas – with immediately applicable tools for practice.

2. Rights and Areas of Influence of the CFO

The CFO is not just an executor – he co-shapes the corporate strategy. These rights make him a central power position in the company:

  • Participation in strategic decision-making rounds

  • Voting rights in budget and investment decisions

  • Access rights to all finance-relevant company data

  • Negotiating authority with external capital providers

  • Initiative rights in internal restructurings related to finance

Tip: Position yourself early as a CFO as a sparring partner to management. Those who can deliver numbers and think strategically will become irreplaceable.

3. CFO = Duties, Responsibility, Control Authority

Alongside rights, the CFO role comes with clear duties:

  • Ensuring financial stability: Early warning systems, liquidity planning, emergency reserves

  • Accounting & Annual Report: Responsibility for accuracy and meeting deadlines

  • Compliance with regulatory requirements: e.g., HGB, IFRS, tax laws, ESG guidelines

  • Control of investment strategy: Plausibility checks, cost-benefit analyses, approval processes

A CFO is always at the intersection of return, risk, and responsibility. Those who actively steer their duties protect the company – and themselves.

4. CFO Competency at a Glance – The Overview Table

Area CFO Responsibility
Finance Planning, Reporting, Budget & Cash Flow
Strategy Evaluation of investments, M&A, foreign expansion
Compliance Tax law, accounting, reporting obligations
Risks Interest rate, currency, market risks, ESG financial risks
Communication Investors, banks, internal management

5. Conclusion: The CFO as Navigator of Corporate Future

The CFO is more than ever a power center in the company today. He decides not only on numbers but also on ways, strategies, and priorities. To be successful as a CFO, one needs analytical depth, legal know-how, and strategic foresight.

Start your CFO development now with the S+P course:

  • Strategic Financial Management

  • Cash Flow and Risk Management

  • Investment & Balance Sheet Policy

  • Communication with Banks & Investors

  • Certificate “Certified CFO (S+P)”

👉 Register for the course now

Other articles you might be interested in:

This article was created with the support of the S+P Tool Box – for easily implementable CFO strategies.