Your accounting and financial knowledge is highly valued in business. Jobs in corporate finance include positions in treasury management, financial analysis, cash management, and controlling.
Key financial roles in the Treasury area include:
- maintaining liquidity
- optimizing cash resources
- establishing and maintaining access to short-term financing
- maintaining access to long-term financing and capital budgeting
- maintaining shareholder relations
- managing a firm’s exposure to interest-rate, foreign exchange, and other financial risks.
Generally corporations are organized with a Chief Financial Officer who overseas the financial and accounting operations of a firm. Beneath the CFO are two or three different areas including:
- finance , generally under a Vice President of Finance
- information systems, under a Vice President of Information Systems
- accounting under the Controller
On the finance side, a Treasurer reports to the V.P. of Finance and supervises the Treasury area. This includes:
- banking relations
- accounts receivables
- accounts payables
- cash and short-term investment
- borrowing management
- cash management
- pension management
- capital budgeting
- forecasting involving financial modeling
- external financing
- risk management.
Different companies have different organizational structures and positions.
Both accounting and finance knowledge are critical, and knowledge of management information systems have become more important. CFO’s and Vice Presidents of Finance oversea the Controller function including:
all the accounting and financial reporting functions
- accounts payables
- budget and financial planning
- management information systems
- credit and accounts receivable
- external auditor relations.
CFOs under Sarbanes-Oxley are responsible for signing off for the accuracy of the financial information and their information systems. Risk management and familiarity with enterprise resource planning concepts have also become important in corporate treasury areas (sources: AFP Essentials of Treasury Management, 2005 and “AFP’s 2004 Compensation Report”).