Liam is an experienced FD and CFO, able to provide strategic perspectives and with a laser-like focus on the effectiveness of the finance function within the business.
When people really understand how the financial ramifications of their decisions impact on overall business performance, they make better decisions.
In our experience, many senior executives leave what they perceive as “the financials” to the FD/CFO and their finance team.
However, understanding the basics of financial “cause and effect” and sharing that with all their people, allows your leaders to use a common language to communicate with each other and their teams, thereby underpinning strong teamwork. It also allows you and your leaders to evaluate the effectiveness of their financial decisions against the outcomes you have agreed.
Rigorous standards of financial management start with clarity about what information is needed by the business as a whole. What will support you in delivering the strategy, staying alert to deviations from plan, responding to unexpected or unanticipated events? This is a leadership responsibility. An effective finance function will translate these business imperatives and put in place appropriate systems, processes and standards that are attuned to the needs of the business (not just the finance team). Operational leaders should then be accountable for ensuring the systems and standards are understood by their people and used effectively.