Finance Controller and Chief Financial Officer (CFO). They sound like very similar positions, which leads many people to confuse them, but in reality, they are quite different, as you will discover in this comprehensive guide.
The most important differences between a CFO and a Finance Controller
Whether you are interested in an accountancy career that ultimately leads you to one of these coveted positions or you’re simply curious about the main differences between the CFO jobs and Finance Controller jobs you see advertised online, everything you want to know can be found right here in this article. Let us start by outlining some of the most important high-level differences between the two roles:
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Level of Seniority
One of the biggest differences is the level of seniority attached to each role. While there is no doubt that a Finance Controller has a very important part to play in the day-to-day running of a company and is a senior figure in the corporate hierarchy, they are still junior to a CFO. A CFO is the head of finance for the organisation that employs them and will often sit on the board of directors. Even if they do not actually sit on the board themselves, they will normally report directly to the CEO, which means they have the ear of the most senior executive at all times.
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Tacticians or Strategists
Perhaps the easiest way to convey the key difference in the way a Finance Controller in Sydney may work compared to a CFO in Sydney (or anywhere else in Australia for that matter) is to examine their primary modus operandi: how they operate on a daily basis. A CFO normally adopts a strategic approach to his or her work, making financial decisions that affect the future direction of the organisation and its profitability. He or she will spend a great deal of time researching the latest market trends and devising new strategies that take advantage of these trends.
A Finance Controller, on the other hand, will usually take a more tactical approach to their work, spending much of their time ensuring that best accounting practices are adhered to by every member of the team. He or she will be more concerned with monitoring the company’s current financial health accurately, rather than formulating strategies to improve on that health.
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Different Perspectives
Following on from the last point, the different way in which CFOs and Finance Controllers approach their duties naturally leads to them adopting a different perspective on corporate finances. As someone who is most concerned with the accuracy of corporate ledgers and the way in which they are prepared by more junior members of the accountancy team, a Finance Controller takes what could be considered a rather inward-looking view of the company accounts. In contrast, a CFO is constantly looking outwards, in order to more accurately perceive the environment in which the company is operating and how this may affect its fortunes in the future.
These are the main conceptual differences between the two positions. Now let’s take a closer look at the practical differences: the different responsibilities that each job entails.
Finance Controller VS CFO Responsibilities
Finance Controller key responsibilities
If your future plans include applying for Finance Controller jobs in Sydney, you can expect to be assigned the following responsibilities should you be successful in one of your applications:
- Development and maintenance of corporate financial controls and policies.
- External audits.
- Maintenance of all corporate financial accounts.
- Production of external financial reports, including GAAP statements, tax statements and, if applicable, SEC filings.
- Approval of invoices for payment.
- Ensuring compliance with all relevant financial and tax regulations.
- Managing debt collection activities.
- Payroll processing.
These are the main responsibilities associated with the position of Finance Controller, whether you are based in Central Sydney, somewhere else in NSW or on the other side of the country completely.
CFO key responsibilities
If you hope to be working with a CFO recruiter at some point in your future, to land your dream job as a Chief Financial Officer, you can look forward to the following responsibilities if you succeed:
- Providing directors with financial and operational advice.
- Developing and refining new corporate finance strategies.
- Investigating ways to increase corporate revenue.
- Overseeing all treasury activities.
- Supervising the Finance Controller and other key members of the accounting team.
- Developing and maintaining strategies for cyber security, fraud prevention and risk management/insurance.
- Finding ways to make efficiency improvements through organisational and management restructures.
- Acting as a public spokesperson on all corporate financial matters.
As you can see, a CFO has more strategic responsibilities: responsibilities for tasks that directly influence the financial health of the company for which they are working.
The Importance of These Differences for Employers
If you are interested in hiring a senior accountant, you can imagine how important these differences will be to you. Whether you should concern yourself primarily with CFO recruitment or Finance Controller recruitment activities will depend on what you need most. If strategic vision is your main priority, a CFO will fit the bill. On the other hand, if you desperately need a technical accountancy wizard to knock your internal ledgers into shape, you should approach an experienced Finance Controller recruiter. In either case, AXR can meet all your needs. Contact us now for full details of our recruitment services in Sydney CBD and the surrounding area.
If you would like a confidential  accounting and finance career conversation, please feel free to reach out our specialist accounting and finance  team at [axr].
