DNA OF A CFOTHE MAKING OF A FINANCE LEADER

hays.com.au/cfo

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WHAT DOES IT TAKE TO BECOME A CHIEF FINANCIAL OFFICER?

Its not hard to see the appeal of the top finance job. Buthow do you get there? Career paths can vary, but thosewho become CFO share something in common the DNAof a CFO.

We spoke to 500 CFOs across Australia and New Zealandto uncover this DNA.

SPEAKER & HOUSEKEEPING

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David CawleyRegional DirectorHays Accountancy & Finance NSW

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hays.com.au/cfo

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BACKGROUND& QUALIFICATIONS

84% of CFOs surveyed were male, while 67% were aged between 41 and 55.

CA/ICAA, NZICA

Business, commerce, finance or accounting. Over half (57%) have an MBA while 44% have a masters degree.

CPA

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INTERNATIONAL EXPERIENCE

Yes, I have worked outside Australia and New Zealand at some point during my career

UK (58%), Asia (32%), North America (20%) and Europe (17%)

The experience has had a considerable or some benefit to my career.

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BUSINESSPARTNERING

Our survey showed that CFOs have an average of five direct reports and 30 indirect reports.

69% have departments other than Finance reporting to them most commonly IT and Procurement.

27% believe that the operations function is the most important discipline to partner with.

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INTERESTS& INSPIRATION

Sir Richard Branson, Bill Gates, Gerry Harvey, Rob Fyfe.

If I had my time again I would still choose the profession, Im happy to stay in my current post or take on a higher finance leadership role.

78% of those surveyed choose to play sport or exercise in their spare time.

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RICHARD MOOREWhilst a CFO looks like its a risk-averse role, I think you need to take risks in terms of your career in order to get the best reward.CFO, MYOB

HOW MANY YEARS PQE (POST-QUALIFICATION EXPERIENCE) DO YOU HAVE?

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Chart1

0.014

0.087

0.146

0.259

0.494

East

Sheet1

Less than 5 years6-10 Years11-15 years16-20 years21+ years

East1.4%8.7%14.6%25.9%49.4%

ARE YOU CURRENTLY CONSIDERING WORKING OUTSIDE AUSTRALIA / NEW ZEALAND?

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74.2% SAID NO25.8% SAID YES

IF YES, WHY ARE YOU CURRENTLY CONSIDERING WORKING OUTSIDE AUSTRALIA / NEW ZEALAND?

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Chart1

0.308

0.183

0.231

0.279

East

Sheet1

More opportunities in international marketsCFO roles are more varied in international marketsInternational experience is a must for career developmentBetter work-life balance/family reasons

East30.8%18.3%23.1%27.9%

IF YES, WHERE?

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Chart1

0.362

0.102

0.016

0.299

0.213

0.008

East

Sheet1

UKEuropeMiddle East & AfricaAsiaNorth AmericaSouth America

East36.2%10.2%1.6%29.9%21.3%0.8%

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SANDRA PIGDONLook around at the knowledge, skills and experience you can gain while in your current position, because when you get higher you will be able to utilise those skills and knowledge. If you go too narrow too early you limit your future options.CFO, Intertek

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TOP TIPIt is clear that understanding different cultures is an absolute value add for your career. Though if you do not have the opportunity to gain international experience, you can gain it as well by having worked for different industries, different company sizes or by working across a number of states. You dont necessarily need to get the experience overseas.

WHAT DO YOU THINK ARE THE TOP THREE SKILLS NEEDED TO BE A GOOD CFO?

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Chart1

0.569

0.515

0.18

0.168

0.643

0.118

0.242

0.052

0.022

0.208

0.238

0.062

0.042

East

Sheet1

People managementStrategic planningFinancial analysisFinancial accounting/technical knowledgeCommercial acumenWorking capital/cashflow managementRisk management/ corporate governanceInvestor relations/ relationships with third partiesTaxation/treasuryCommunicationStakeholder engagementProcess improvementsCost efficiencies

East56.9%51.5%18.0%16.8%64.3%11.8%24.2%5.2%2.2%20.8%23.8%6.2%4.2%

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IAN MINNETTCFOs need to know how to present numbers to non-finance people. You need to be able to turn them into easily digestible information in a board room. Thats the most important transitional issue for someone moving into a CFO role.CFO and Trustee of the Property Trust, The Salvation Army

WHAT IS YOUR GREATEST PROFESSIONAL CHALLENGE IN THE NEXT 12 MONTHS?

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Chart1

0.469

0.129

0.109

0.109

0.067

0.051

0.04

0.025

East

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Achieving company objectivesFinding time to pursue my own career developmentManagement of risk policy/mitigationManaging work life balance given the increased globalisation of businessLack of opportunities in the local marketKeeping up-to-date with the latest changes in the industryManaging a larger and more internationally diverse teamManaging regulatory change within the finance industry

East46.9%12.9%10.9%10.9%6.7%5.1%4.0%2.5%

WHAT IS YOUR ULTIMATE CAREER GOAL?

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Chart1

0.277

0.177

0.057

0.051

0.277

East

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Happy to stay in current postCEO (Chief Executive Officer)COO (Chief Operations Officer)Start my own businessA bigger CFO role (e.g. Group CFO or CFO of a larger organisation)MD (Managing Director)General ManagerBoard DirectorA complete career change

East27.7%17.7%5.7%5.1%27.7%1.5%3.0%10.4%1.3%

WHAT PERSONAL CHARACTERISTICS DO YOU THINK HAVE HELPED YOU SUCCEED IN YOUR CAREER SO FAR?

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Chart1

0.636

0.664

0.294

0.451

0.465

0.356

0.571

0.368

0.505

0.59

0.559

0.205

0.354

East

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Proactive natureHard workingAmbitiousConfidentGoal focussedEnthusiasticAdaptiveArticulateCredibleCollaborativeEthicalNetworkedInfluentialCharismaticPersistent

East63.6%66.4%29.4%45.1%46.5%35.6%57.1%36.8%50.5%59.0%55.9%20.5%35.4%13.1%40.4%

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DAVID STURGISSWhen you make a decision you need to consider all aspects... Theres a chain reaction one decision leads to other things and as CFO you need to understand the full impact of decisions.CFO of the Australian National University

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TOP TIPLooking at these characteristics, to be successful in your job it is important that you stay positive, understand expectations and are willing to take on extra duties. Showing good manners, arriving on time and meeting deadlines are there for a must.

WHAT CAREER DEVELOPMENT STEPS HAVE YOU TAKEN IN THE LAST TWO YEARS?

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Chart1

0.294

0.406

0.655

0.058

0.225

0.446

0.167

0.292

East

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Undertaken training to understand functions outside financePartnered with key departments outside financeAttended networking eventsUndertaken an international role/secondmentPartnered with a mentor to help my developmentKept up-to-date with the latest industry changesUndertaken further formal qualificationsUndertaken technical training

East29.4%40.6%65.5%5.8%22.5%44.6%16.7%29.2%

HOW DO YOU MEET AND NETWORK WITH OTHER CFOS?

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Chart1

0.623

0.601

0.28

0.167

0.132

East

Sheet1

At industry/technical eventsAt networking eventsOnline via social media (i.e. LinkedIn)At internal events within my organisationI dont network with other CFOs

East62.3%60.1%28.0%16.7%13.2%

ON AVERAGE HOW MANY HOURS DO YOU WORK EACH WEEK?

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Chart1

0.012

0.15

0.546

0.237

0.055

East

Sheet1

Less than 3838-4546-5556-65More than 65

East1.2%15.0%54.6%23.7%5.5%

WHAT ARE YOUR TOP THREE TIPS FOR THE NEXT GENERATION OF CFOS?

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Chart1

0.557

0.186

0.13

0.16

0.563

0.128

0.076

0.216

0.13

0.667

0.11

0.118

East

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Be commercially awareDont be afraid of hard workLearn your tradeUnderstand your sectorDevelop your people skillsHave confidence in your convictionsFocus on learning & developmentTake advantage of every opportunityGet international experienceGet involved with ops rather than just the numbersGain professional qualifications & pursue CPDDevelop & maintain a strong prof network

East55.7%18.6%13.0%16.0%56.3%12.8%7.6%21.6%13.0%66.7%11.0%11.8%

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GERHARD ZIEMSNever look at the detail first. It is important you always start with the big picture and then drill down to the detail if you need. The bottom line will tell you where you need to focus more time.CFO, BHP Billiton Mitsubishi Alliance

HOW DO YOU READ / KEEP UP TO DATE WITH THE LATEST NEWS / INDUSTRY UPDATES?

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Chart1

0.559

0.499

0.653

0.397

0.447

0.204

0.058

0.144

East

Sheet1

Printed newspapersPrinted journalsThrough professional associationsSubscribed news websitesFree news websitesiPad app. news sitesPodcastsWebcasts

East55.9%49.9%65.3%39.7%44.7%20.4%5.8%14.4%

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TOP TIPToday a lot of resources are available free of costs. If you dont get the opportunity to attend expensive events, try and look things up online. Platforms such as Slideshare, LinkedIn and Twitter are having a wealth of information, search for content, groups and discuss with colleagues. Subscribe to a news feed or join a free webinar every now and then.

DO YOU USE ANY SOCIAL MEDIA SITES?

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81.9% SAID YES

18.1% SAID NO

IF YES, WHICH ONES?

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Chart1

0.945

0.125

0.398

0.094

0.002

East

0.2%

Sheet1

LinkedInTwitterFacebookGoogle +I have my own blog

East94.5%12.5%39.8%9.4%0.2%

SUMMARY THIS IS THE DNA OF A CFO

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CONCLUSIONThe role is so broad and varies so greatly from organisation to organisation that it is impossible to define any CFO as typical.

Nevertheless our research would suggest that CFOs tend to be highly experienced and well-educated professionals with sound commercial, leadership and people skills.

They work hard, play hard and genuinely believe that they can make a difference through what they do.

They nurture others and they are adaptable, ethical and tenacious.

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Q&ADavid CawleyRegional DirectorHays Accountancy & Finance NSW

DNA of a CFOVisit our landing page for more informationhays.com.au/cfo

Hays JournalInsights for experts in the world of workhays-journal.com

Global Skills IndexRecruiting scarce talent across the globehays-index.com

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THANK YOU

DNA OF A CFOTHE MAKING OF A FINANCE LEADERWHAT DOES IT TAKE TO BECOME A CHIEF FINANCIAL OFFICER?SPEAKER & HOUSEKEEPINGBACKGROUND& QUALIFICATIONSINTERNATIONAL EXPERIENCEBUSINESSPARTNERINGINTERESTS& INSPIRATIONRICHARD MOOREHOW MANY YEARS PQE (POST-QUALIFICATION EXPERIENCE) DO YOU HAVE?ARE YOU CURRENTLY CONSIDERING WORKING OUTSIDE AUSTRALIA / NEW ZEALAND?IF YES, WHY ARE YOU CURRENTLY CONSIDERING WORKING OUTSIDE AUSTRALIA / NEW ZEALAND?IF YES, WHERE? SANDRA PIGDONTOP TIPWHAT DO YOU THINK ARE THE TOP THREE SKILLS NEEDED TO BE A GOOD CFO? IAN MINNETTWHAT IS YOUR GREATEST PROFESSIONAL CHALLENGE IN THE NEXT 12 MONTHS? WHAT IS YOUR ULTIMATE CAREER GOAL? WHAT PERSONAL CHARACTERISTICS DO YOU THINK HAVE HELPED YOU SUCCEED IN YOUR CAREER SO FAR? DAVID STURGISSTOP TIPWHAT CAREER DEVELOPMENT STEPS HAVE YOU TAKEN IN THE LAST TWO YEARS?HOW DO YOU MEET AND NETWORK WITH OTHER CFOS? ON AVERAGE HOW MANY HOURS DO YOU WORK EACH WEEK?WHAT ARE YOUR TOP THREE TIPS FOR THE NEXT GENERATION OF CFOS? GERHARD ZIEMSHOW DO YOU READ / KEEP UP TO DATE WITH THE LATEST NEWS / INDUSTRY UPDATES? TOP TIPDO YOU USE ANY SOCIAL MEDIA SITES? IF YES, WHICH ONES?SUMMARY THIS IS THE DNA OF A CFOCONCLUSIONQ&ATHANK YOU