No one will deny the fact that leadership is an essential skill for management staff nowadays. This is true in any job sectors.

In the accounting industry, some finance leaders go on to take up the role of CEOs while some prefer not to. Are there any difference between the attributes of CEOs and finance leaders? What are the distinctive qualities of CFOs?

CEOs & CFOs
In the ACCA Hong Kong Employer Conference held in March 2008, finance and HR leaders shared insights on the attributes and skills that shape the finance leaders. Tony Osude, Head of Learning and Development, ACCA, said, “CFOs are now changing to the role of CEOs as finance professionals are taking up leadership in organizations.”

In the report “Paths to the top - best practice leadership development for finance professionals” of the survey conducted by ACCA and the University of Exeter, Centre for Leadership Studies, it is found that the current role of the finance leader reflects John Kotter’s description of the role of the leader. For example, delivering financial value, upholding regulatory requirements, shaping business strategy, and effective people management are common aspects.

Traits & Skills
In fact, finance leaders are highly expected to possess sound compliance knowledge, be able to manage changes in the organization, and to drive the overall success of the organization. The findings also show that the role of finance leaders is expanding into management of ethical issues.

Apart from technical knowledge, soft skills considered to be important for finance leaders include strong moral and ethical conduct, clear vision, strong professional judgment, results-driven, inspirational, team-building capacity, and positive and optimistic attitude.

Plan to Lead
Osude pointed out that timing is very important. He advised finance professionals to set their goals in career development and not to wait until it is too late to take up leadership in their career path. Apart from planning, broad experience, good networking, and a sound technical base are essential for finance professionals to move to the top.

Last but not the least, the role of the employer in identifying and developing finance leaders is indispensable. Delivering leadership programmes, coaching, mentoring, succession planning and retention are areas the employer should invest in so that potential finance leaders can be identified to take up the challenge.

Picture provided by: ACCA