Financial directions - CFOs play strategists and stewards.

(From Financial Director)

The CFO's strategic and financial duties are set to evolve and become more onerous, according to two reports, writes Kevin Reed.

A survey of 500 global senior executives by Deloitte Consulting and BusinessWeek finds that the CFO is in a unique position to act as a bridge between the chief executive and board, thanks to the increasing authority of the board and audit committee, along with the pressure on CEOs to relinquish their role as chairmen.

The report also finds confusion surrounding the responsibility for the growing compliance burden: only 30% of board members agree that the CFO takes charge of regulatory compliance matters.

CFOs are more concerned than the rest of the board that 'finance by committee' may be a result of the increasing role of audit committees. The CFO is said to be moving back into a more traditional 'corporate steward' role in the aftermath of corporate scandals such as Enron and WorldCom. But respondents said their organisation would benefit if the CFO played a more strategic role.

The report argues that CFOs will have to juggle stewardship and strategy in future. But not all CFOs are happy with this: only 35% see strategy as part of their ideal role, while 47% seek a balanced approach.

However, a study by Korn/Ferry International and Oliver, Wyman & Company concludes that CFOs want a more strategic role. The CFO of one insurance company commented, "Are we about being fiscal traffic cops, or are we about partnering with the ...