Job Description of Head of Finance in an Organization: Top Duties and Qualification

Introduction:

The Head of Finance role is crucial for any organization’s financial health and strategic direction. This person is the senior-most financial leader. He/she is responsible for overseeing all financial operations, from daily accounting to long-term financial planning and risk management. He / she serve as a critical business partner to the CEO and the rest of the executive team. He provides the insights needed to make sound business decisions and ensure the company meets its financial goals and regulatory obligations.

I am going to discuss job description of head of finance or simply Head of Finance Job Description. I am going to discuss what are the duties of a head of finance? and what necessary skills and reporting structure of a head of finance.

What is a Head of Finance?

Head of finance is a professional. He/she manage financial health of his/her organization. He/she oversee financial and accounting operations of his organization or simply financial activities. He / she set financial policies. He/she apply legal and financial policies. He/she support growth /success / financial performance of a company. He/she guide owners regarding financial policies and ultimately ensures that the company is earning profit.

He finds earning opportunities and ultimately ensures that the company is using its assets for gaining profit. He /she also complies the company’s rules & policies regarding finance. He /she prepare accurate reports of financial results or progress and present to top leadership or owners.

What are the duties of a head of finance?

A financial manager advises his/her company on how to increase profit with financial practices. A finance officer performs following duties.

1. He /she compile financial data, create reports, create report, and analyze financial health of the organization.
2. He/she oversee finance department. He/she also oversee personal issue of staff of the department.
3. He/she manage budget. He/she establish guidelines for other departments. He /she monitor cash-flows. He manages loans from banks if any. He/she identify ways for his/her company to minimize expenses and ultimately maximize profit.
4. He/she forecast financial growth of the company and create financial model. He/she develop plans for long-run.
5. He applies framework of risk management. He ensures that his company is applying accounting standards, rules and financial laws.
6. He evaluates and recommends investment opportunity. He manages treasury controls of his organization.
7. He may also be responsible to recruit, train, mentor staff of finance department.

Finance Manager Qualification:

• He must have completed BA in Finance from approved university. He must have experience in finance department.
• He may have completed MBA with specialization in finance from approved university. He must have experience in finance department.
• He must have completed Chartered Financial Analyst (CFA) and Certified Public Accountant (CPA) certificate.
• Candidate has knowledge of accounting, financial management, financial planning, and risk management. He has managed a team for many years.

Core Financial & Technical Skills:

1. He has expertise in budgeting, forecasting, and financial modeling to project future performance, manage resource allocation, and support strategic decision-making.
2. He must be expert in accounting principles, ensuring accurate and timely preparation of financial statements (income statement, balance sheet, cash flow), and overseeing audits.
3. He has ability to identify, assess, and mitigate financial risks (e.g., market, credit, operational, liquidity risk) and implement internal controls.
4. Skills in monitoring and optimizing cash inflows and outflows to maintain liquidity and financial stability.
5. Deep knowledge of regulatory requirements (tax laws, financial reporting standards) and ensuring the company operates within all legal and ethical guidelines.
6. Experience with ERP systems (SAP, Oracle, etc.), advanced Excel for data analysis, and an understanding of business intelligence tools and financial technologies.
7. Evaluating potential investments and managing the company’s capital structure (debt, equity) to maximize shareholder value.

Finance Manager Experience requirements:

Candidate must have worked for 10 years on senior post in finance department or on senior financial management position as head of finance. He must have experience of financial analysis, planning and budgeting.

How much can you earn working as a Head of Finance?

Average based salary of head of finance in USA is $129,000 – $192,000.  This role is often equivalent to a senior Financial Manager in US data, with the top 10% earning over $239,200. The final compensation package is heavily influenced by the following factors: (i) Location & Cost of Living, (ii) Company Size & Complexity, (iii) Industry, (iv) Experience & Education and Total Compensation Structure:

How do you become a Head of Finance?

Becoming a Head of Finance is a multi-step career path. It requires advanced education, professional certification, extensive experience, and leadership capabilities. It takes 10 to 15 years of experience to reach this executive level. It is the functional equivalent of a Chief Financial Officer (CFO) in smaller organizations.

The foundation of a Head of Finance role is built upon rigorous education and technical expertise. You should complete (i) Bachelor’s Degree in finance, and get professional certificates. These certificates are Certified Public Accountant (CPA), Chartered Financial Analyst (CFA) and Certified Management Accountant (CMA).

Conclusion:

I have discussed job description of Head of Finance and what are the duties of a head of finance? The Head of Finance position falls below a Chief Financial Officer (CFO) but above a Financial Controller or Senior Finance Manager. The pay for a Head of Finance is highly variable due to the seniority, complexity, and complete scope of the role. Duties of head of finance differ to some extent as per category of organization like education sector or manufacturing sector.

You must select a candidate that has complete MBA with specialization in Finance. He must have enough knowledge of financial terms or concepts like budgeting. He must have worked on senior post in finance department. He must have experience of managing teams of finance department and as well as leadership qualities. To become a head of finance department, you should complete (i) Bachelor’s Degree in finance, and get professional certificates. Except to these qualities, you personality should be attractive, your language and style of talking and gesture are essential for reaching to this role in a company.

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