Can business strategic leadership get help from outsourced CFO Services?

 

Strategic leadership makes a big impact in the company where are appointed. Leaders that follow certain strategies and understand company’s current situation are the actual strategic leaders. They narrate long term goals of the organization and ensure that the employees play a major role in the expansion of the organization. In this article, we will discuss some essential aspects of strategic business leadership and their relationship with CFO and outsourced CFO services.

Strategic leadership refers to a manager’s potential to express a strategic vision for the organization. His task is to encourage and motivate employees to understand the vision and work towards to organization’s goal.

• Influence employees of the organization, motivate and boost their productivity by encouraging them to put forward their ideas and execute the ideas that could benefit the company
• Understanding areas of the organization where change is required, create strategies and execute those changes
• Creation and implementation of organizational structure
• Encourage employees to think of new and innovative ideas and execute them.
• To provide incentives and rewards to employees which would boost company’s productivity
• Allocate resources
• Define strategic vision of the company and create plans to accomplish those objectives

The strategic leadership management has certain objectives that are as follows –

• Strategic productivity
• Develop any environment in which employees understand company’s requirements in order to fulfill them

• The ability to align short-term goals with long-term objectives
• The desire to coach other employees
• Listening to others regardless of seniority
• A strong sense of accountability
• Taking time to listen to all employees on various levels of management levels              

• Identify the organization’s purpose or vision
• Maintain core capabilities
• Develop human capital
• Emphasize ethical practices

Strategic leadership is divided into four major categories that are mentioned as below –

• Control Innovator (HCI)
• Participative Innovator (PI)
• Status Quo Guardian (SQG)
• Process Manager (PM)

• Strategic leader adds more clarity to the business plans and activities
• A strategic leader identifies a clear and defined vision which makes it easier for all the employees to have a better understanding of the business structure.
• Specifies clearly defined objectives
• With the way the strategic leaders work, it makes it easier to execute business strategies and reach company goals

Strategic leadership is important due to several reasons. Let us go through some of those reasons that will serve as a better understanding –

• Influences employees to take their own decisions
• Takes into consideration the long term goals of the company
• Understands current situation and find ways to improve it

Let us now talk about some advantages of incorporating strategic leadership into an organization –

• Enhanced awareness of threats that might occur from outside
• Greater understanding of competitor’s strategies
• Increased employee productivity
• Reduced resistance to change
• Better understanding of activities that employees must perform in return for acknowledgment

The most important steps that strategic leaders undertake are as follows –

• Determine a strategic direction
• Effectively manage the firm’s resource potential to perform in an efficient and effective manner
• Emphasize on ethical practices
• Establishing and balancing organizational control

A CFO is a senior executive that is involved in the financial activities of the organization. A Modern CFO looks after the finances of the company and ensures that the company is financially strong by focusing on the financial aspects of the company.

A CFO is an integral part of the company and plays an important role in the establishment of an organization that is financially strong. Some services that CFO provides are –

• Cash flow management
• Generation and creation of budgets and financial projections
• Provides desirable financial information so that the company can make strategic decisions keeping in mind company’s goals and objectives

The reason why outsourcing is considered by some big companies is because they have proved to be highly beneficial over the past few years.

• Increase company’s efficiency and effectiveness
• Better risk management of the company’s various risks
• Better focus on the core activities of the company

An outsourced CFO is an expert who provides financial strategy services. An outsourced CFO helps the company resolve the financial issues of the company and create a company that is financial strong.

Hiring outsourced CFOs prove to be beneficial when it comes to strategic planning as CFOs provide strategies so that the company strategically plans and accomplishes company’s objectives.

There are many similarities in the way a CFO and the strategic leaders work. If the company that involve strategic leaders hire outsourced CFOs, they can prove to be highly beneficial and the company will achieve its objectives.