Finance Controller vs Finance Manager
Finance controller and finance manager are two specialized positions in the finance department. This is the age of specialization and within a single department specialized posts are created so that all operations go on smoothly with roles and responsibilities of all posts clearly demarcated. In the sphere of finance in an organization the posts of finance controller and finance manager are often confusing to many as they cannot differentiate between the two. This article will explain the features of the two posts to enable readers to understand the differences clearly.
Functions of a Finance Manager
As the name suggests, a finance manager is responsible for all the financial risks undertaken by the company. He is the person who does financial planning and also keeps records. He has the duty of keeping the top management aware of all financial records. In recent years, a finance manager has also started to communicate financial performance and forecasts to analysts. A finance manager has to oversee the decisions made by the finance section of an organization keeping the risks down to a minimum.
A finance manager is responsible for financial budget, allocations to different departments and explanations for expenditures of various departments. This means that apart from having good accountancy skills, a finance manager also needs good HR skills. The role of a finance manager is today vital for the success of any organization and they are viewed as a vital cog in any business.
Functions of a Finance Controller
He is subordinate to finance manager and needs to report to the manager every now and then. He mainly plays the role of an accountant, supervising accounts and reporting financial statements to finance manager. He is appointed to implement internal controls and to continually monitor them to ensure their success. In some countries such as the US, the post of finance controller is held by a government official to ensure transparency and accountability.
In a way, a finance controller is in the middle rungs of management looking after day to day operations within the financial sphere of the business implementing risks employed by finance manager. He collects all the data and conveys the same to the finance manager. He is often asked to make financial forecasts based upon data he has gathered.
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Finance Controller vs Finance Manager • While there are many similarities between the roles of a finance manager and a finance controller, finance manager is a face of the management in the finance sphere while finance controller is his subordinate who oversees the risks implemented by the finance manager. • Finance controller looks after day to day operations and gathers all the data and information and shares it with the manager. • Finance controller is often asked to make financial forecasts based upon gathered data and also has to minimize risks.
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