The CFO'S Perspective

Top business owners and CEOs know that having a well-run finance department is vital to their company's success. Being able to process and analyze payments coming in and going out is paramount. Likewise, your company's financial team should keep you in compliance with regulations, such as tax laws, and help drive some of the strategic decisions for your business.

But, what is the right size and make-up of a financial team relative to the scale of your business operations? If you are a start-up or small business, should you have a CFO? If you don't, who will handle these essential financial functions? At what point should you start scaling up your financial team. The answers to the questions could have an impact on the success or failure of your business.

In years past, a company's financial leader was largely disregarded when it came to strategic planning. In fact, many CEOs believed that a solid group of accountants could negate the need for a CFO altogether. Fortunately, these ideas have evolved.

Your company may have the most ground-breaking products or services and eye-popping marketing campaigns, but this is not enough to ensure financial success. This requires a closer relationship between the CEO and CFO, as well as the supporting roles within your company's finance team.

The employees in your company's office can make or break the business. They are often on the front line delivering customer service or managing critical information. Hiring highly talented and skilled individuals who will fit well into a company culture can seem almost ‘impossible’. When short staffed or during rapid growth, it may be tempting to hire almost ‘anyone’ as quickly as possible. This is usually a mistake because of the extra costs of carrying ‘dead wood’ on the payroll. The good news is that many office and administrative support occupations often require only a high school diploma with some specialized skills to qualify.

When it comes to sports teams, the coaches have a pretty solid picture of what they need for success. A baseball team needs nine players on the field, soccer eleven, and basketball five. But when it comes to the workplace, there is no hard and fast rule for determining the perfect number of roles for your team.

Whether you are a growing startup, or an established business, your company's products and services are only one part of the success equation. How you structure your organization can make the difference between long-term failure and success.

Here are some tips for planning organizational structure, how you can evaluate your current organization, and one way to make the most out of your team going forward.