A controller in finance oversees the accounting and bookkeeping processes of an organization. They also oversee the financial reporting process. These positions also have responsibilities for IT security and strategic planning. The job description of a controller in finance may vary depending on the company. Some examples include bookkeeping oversight, strategic planning, and financial reporting.
Financial Reporting
Controllers are responsible for ensuring the accuracy of financial statements for companies. They also coordinate financial statement audits by internal auditors and independent third parties. They also monitor company compliance with regulations and relationships with regulatory bodies. These regulators are often interested in the financial health of public companies. They also monitor business tax returns.
Financial controllers need to have strong analytical skills and be meticulous in recording financial data. They must also have strong problem-solving skills and be able to work collaboratively with other members of a team. Moreover, they must be able to communicate truths to stakeholders. They must also be able to work under pressure.
A financial controller must also be capable of cost analysis. While traditional cost-allocation models are based on income behaviour, newer models are based on volume, actions, products, and the department’s goals. Controllers should be able to balance traditional and strategic tasks and be able to leverage emerging technologies to meet their goals.
Controllers typically have at least five years of experience in financial roles. They may be promoted from a position as an accountant or a manager. Some controllers may have an MBA or additional experience as well. They must also have a significant amount of work experience in a related field.
Financial controllers are responsible for two main functions: to manage the finances of the organization and to oversee the activities of the finance department. They oversee the financial accounts and perform internal audits to check for errors and frauds. They also manage interdepartmental communication. This job requires strong leadership skills, interpersonal flair, and a touch of charisma.
Controllers typically hold a bachelor’s degree in accounting and may be certified management accountants. They rise to their positions after five to 10 years of experience. In addition to accounting skills, they must have excellent management skills. Earning an MBA will help them develop these skills. They may also take over CFO duties in a smaller company.
A finance controller applies their knowledge of accounting and financials to create a strategic vision and implement the necessary tasks to achieve it. The controller also has the responsibility of analyzing efficiency of the company’s processes.
Bookkeeping Oversight
A controller in finance has a number of duties that include overseeing bookkeeping for a company. They prepare financial statements and balance sheets, provide cash flow reports, and develop budgets. In addition, they are the senior leader of the finance team. This role requires excellent leadership skills, as well as a high level of financial knowledge.
A controller is responsible for preparing the company’s budget and implementing internal controls over financial actions. They also review and approve all financial statements and reports. They also oversee payroll. This includes preparing accurate paychecks and ensuring tax deductions are made correctly. In addition, a controller oversees the maintenance of records.
A controller oversees the work of bookkeepers and other accounting staff. They are the chief accounting officer for a company and report to the CEO, CFO, or business owner. They supervise and manage the financial data of the company and prepare financial statements, business plans, taxes, and compliance certifications. As the head of accounting and finance, the controller ensures that the company’s financial statements are accurate and in compliance with applicable GAAP.
Most financial controllers have at least five years of experience in accounting and financial roles. Their careers often begin as staff accountants in an accounting department and progress from there to assistant controllers. Some controllers go on to obtain additional professional designations for professional growth and corporate support. One such designation is Certified Internal Auditor, which requires a bachelor’s degree, personal references, and work experience. A controller’s salary varies depending on his or her level of experience and the size of the company he or she works for.
A controller’s role extends beyond bookkeeping, however. Often, a controller also oversees cash management functions, such as accounts payable and accounts receivable, as well as bank reconciliation. In larger companies, hiring a controller is crucial to protect the company’s assets.
IT Security
To ensure the security of their financial systems, controllers must identify the vulnerable areas, including the company’s web presence and internal network, and devise proactive policies to address the risks posed by cybersecurity attacks. These proactive policies should determine who should be the first point of contact in the event of a cyber attack, and they should also designate who will be responsible for responding to the breach.
As more cybercriminals are targeting financial organizations, controllers must be proactive and implement cybersecurity measures. It’s important to understand the regulations surrounding cybersecurity, which have increased exponentially over the past few years. For example, companies that have global presences must adhere to the laws of various jurisdictions. It’s essential that controllers become familiar with these laws, as noncompliance can lead to significant monetary fines or even company closure.
An experienced financial controller will look for ways to save money. A skilled CFO will shop around for insurance every year, maximizing value-added options and reducing costs. For example, a financial controller may be able to negotiate bulk-order discounts and special contracted rates. They’ll also search for ways to reduce the usage of supplies. These savings will pay for themselves quickly. Further, an experienced controller should be familiar with cybersecurity best practices.
Controllers have long been responsible for managing the finance team, but in today’s world, the focus has shifted to streamlining workflows and reducing waste. They’re turning to new technologies like automation and digitization to streamline their processes. This can eliminate repetitive bookkeeping tasks and free up valuable hours. This can help the controllers focus on strategic initiatives and reduce their overall workload. Additionally, most business operations today are virtual.
As part of the finance department, financial controllers are often responsible for information technologies. They work closely with IT departments to improve the technology used to manage data. They also maintain insurance policies and conduct audits. A financial controller should also have excellent communication skills, because they will have to interact with people from lower levels as well as upper management. They should also have a strong ethical mindset and be ready to highlight instances of fraud.
Strategic Planning
Controllers are responsible for the financial management of a company. They help companies manage costs and improve process efficiency. They need advanced analytical skills and specialized knowledge of specific industries to be successful. Accounting firms that specialize in these industries are a great place to find a job as a financial controller. Experienced accounting professionals with at least five years of experience are ideal for the role.
A controller’s role also includes ensuring the financial statements produced by a company comply with accounting rules and regulations. These guidelines are outlined in international financial reporting standards and generally accepted accounting principles (GAAP). Controllers also ensure that the company’s financial statements meet legal requirements. For example, a public company has to file its financial statements with securities regulators and make them available to investors in a timely manner.
A financial controller’s role is critical to a company’s success. He or she must lead a team of experts and make sure they work towards a common goal. Financial controllers must also be skilled communicators and be able to translate data into actionable insights. Interested candidates can look for jobs on the CFO Hub, a job portal that connects employers with experienced financial controllers.
According to the U.S. Bureau of Labor Statistics (BLS), financial controllers make over $134,000 a year. They also enjoy strong job growth. According to the BLS, the number of jobs in this field is expected to grow by 17% between 2018 and 2028, which is a faster than average job growth for all other jobs.
Controllers must manage resources and automate processes to reduce the risk of human error. The latest technologies enable them to streamline financial operations and make them more efficient. These technologies can save time and allow controllers to concentrate on other tasks. Automated financial data input processes, for example, eliminate manual data entry, allowing controllers to focus on strategic planning and controlling.
Controllers are responsible for the management of expenses, as well as the creation of expense policies. They also help the company close its books at the end of the fiscal period, which allows it to start fresh. In smaller teams, the CFO and controller are often the same person.
