Feel close to the edge from excessive workload and responsibilities? In the recent 2013 CFO Survey titled “Endurance: The Journey Continues” published by Deloitte, one of the most significant stress factors facing CFOs today, is staffing and a lack of talent resources.
From the top stressor of “excessive workload, roles and responsibilities” to “insufficient support staff”, “too much admin/low value work”, “finding and retaining talent” and “time spent on staff-related issues”, one clearly has an image of a CFO who is stretched to the max, limiting time and the space to think strategically, instead focusing excessive time on the day-to-day operations side of the business.
This is a recurring theme from previous surveys. However, what is alarming is the extent to which the lack of good financial support staff has become a very pressing concern for CFOs, compared to the previous survey. This is in sharp contrast with perceptions that in today’s market there is an abundance of suitable and experienced executives to fill the necessary positions.
There are generally two options available to CFOs when looking for financial support staff. The first is engaging a full time employee with the necessary experience and qualifications, which in itself can be a long protracted, expensive procedure and carries an element of risk. The challenge with this approach is that the person may often not be fully utilised. The second option, which is growing in popularity worldwide, is to outsource the gap that exists in this support environment but utilising part time or interim finance executives offered by CFO outsourcing firms.
Speaking from experience within the CFO outsourcing environment, there is a definite shift towards engaging a part-time resource for the following reasons:
CFO Outsourcing companies who contract out financial executives should insist on their executives having a minimum of five years’ experience within the financial field and a minimum qualification of B.Com or B.Compt (Hons).
They are able to save companies money and time by bringing an immediate benefit. The outsourced executives are able to hit the ground running and CFO outsourcing companies are able to tailor make a solution that suits a company’s needs and budget.
3. Team approach
Once the CFO outsourcing company has an understanding of the business they are able to appoint the best possible executive or assemble teams of executives, with multiple skills sets, ensuring the correct level of experience and knowledge to assist a business.
There is a higher level of commitment from CFO outsourcing companies – the “you do well, we do well” adage applies. Companies who engage the outsource resource are not tied into long-term contractual agreements and should work on a 30 day notice period, therefore, companies are not exposed to employment issues or termination complications.
The basis of any good relationship is trust.
Why pay for a full time resource when the business only needs a part-time executive two or three days a week?
So the next time you are looking for a Financial Manager or Finance Director to support your business, try CFO outsourcing.