The financial manager

A financial manager is a person who is responsible for a significant investment and financing decision. He or she is responsible to carry out the finance functions. The financial manager occupies a key position in an organization. He or she in one of the members of the top management team and his or her role is becoming more pervasive, intensive and significant in solving the complex management to that of maintaining problem. Now, his or her functions are not confined to that of maintaining records, preparing reports and raising funds when needed. He or she is not a staff officer in a passive role of an adviser. The financial manager is now involved in the most vital decision of the allocation of scarce capital. In his or her new role, he or she needs to have a broader and far- sighted outlook, and must ensure that the funds of the enterprise are utilized in the most efficient manner. He or she must realize that his or her actions have far reaching consequences for the firm because they influence the size, profitability, growth and survival of the firm. Therefore, financial managers must have a clear understanding and a strong grasp of the nature and scope of financial functions.

Responsibilities of Financial Manager

The main task of financial manager is to manage the acquisition and efficient utilization of cash so as to maximize the value of the firm. Almost all the areas of a firm are affected by he functions or failure of a firm of a depends upon the decision of the financial manager. The major responsibilities of financial manager are as follows:

1.Financial planning and forecasting
2.Major investment and financing decision
3.Co-ordination and control
4.Dealing with the financial markets
5.Risk management