more-arw search

Q&A Forum

CFOs of growth companies mustn't limit themselves to finance. In the absence of a strategic HR leader, they are the most likely partner of the CEO to provide HR leadership…

"Finance chiefs of growth companies need to direct human resources strategy, says a leading consultant.", so say Robert Siler in a recent CFO.com article. Are we really equipped to handle to convoluted and often chaotic rules and regulations of HR or should we stick to the more strategic issues of how many, what types, goals, etc?

Answers

Topic Expert
Malak Kazan
Title: VP, Special Projects
Company: ERI Economic Research Institute
(VP, Special Projects, ERI Economic Research Institute) |

HR responsibilities in the scenario described will tend to be administrative and compliance in nature (benefits, HR handbook, payroll, recruiting/hiring, on-boarding). Focusing on the communication and execution of these responsibilities are essential.

Topic Expert
Mike Caruana
Title: Director of Financial Services
Company: Diamond Resorts International
(Director of Financial Services, Diamond Resorts International) |

I’m a fan of CFO’s playing larger roles within their organizations. A key responsibility of the C-suite team is crafting/ratifying the overall corporate strategy and translating it into ones that cascade to each business unit (I.T., Marketing, HR, Finance & Accounting, etc.) That being said, the CFO should be actively involved in all key strategy related discussions up and down the organization, which would include HR. (Imagine HR being out of the loop with the CFO’s strategic plan to consolidate all field offices to the Corporate location!) The head of HR is responsible for navigating the legal/regulatory landscape of their area, like the CFO for Finance & Accounting. As one wouldn’t expect the CIO to own the discussion on Revenue Recognition, the CFO can meaningfully plug into cultivating HR strategy without that being confused with them owning regulatory compliance for that area.

Steve Breitman
Title: President/CEO
Company: Mindful Business Solutions
(President/CEO, Mindful Business Solutions) |

I'm not sure what you mean by human resources strategy. If you're talking about rules and regulation, then that is best overseen by an expert which is probably not the CFO. If you're talking about things from a broader perspective, then I would say that the CFO should have a role in creating all strategies with a business because all strategies have a financial impact and the implementation of the strategies requires an integrated business information system. Some of the data may directly translate into accounting transactions. Other produce critical information for managing the business.

1106 views

Get Free Membership

By signing up, you will receive emails from Proformative regarding Proformative programs, events, community news and activity. You can withdraw your consent at any time. Contact Us.

Business Exchange

Browse the Business Exchange to find information, resources and peer reviews to help you select the right solution for your business.

Learn more

Contribute to Community

If you’re interested in learning more about contributing to your Proformative community, we have many ways for you to get involved. Please email content@proformative.com to learn more about becoming a speaker or contributing to the blogs/Q&A Forum.