Role of a Management Accountant and How they Support CFOs
Management accounting is a strategy for businesses to identify which concepts can produce the best outcomes once they are applied. After computing and analyzing, management accounting helps you make a viable startup that will most likely grow and mature.
When a great business opportunity comes up, it is almost too easy to go ahead and leap right into it. The prospects of profitable returns has that kind of appeal. With their wide role in the business finances, a management accountant onboard can provide reliable support to your Chief Financial Officer (CFO).
The Management Accountant
A certified management accountant (CMA) is a multi-skilled professional. His greatest strength is his seamless execution of five different roles: an accountant, analyst, planner, strategist and communicator.
By working his way around various skillsets, the CMA assists CFOs in making sound SME financial management decisions.
Here are more reasons why you should seriously consider teaming up with a management accountant:
Explains financial concepts
As a business owner, you always have the final say. However, you will find it difficult to make decisions without the input of a professional bean counter. To that end, a management accountant is expected to explain in detail the major consequences that come with opting for a specific business decision.
Gives sound business advice
A good management accountant is able to step into the shoes of a business adviser.
Based on his vast knowledge of financial accounting and management accounting, a management accountant can tell how to handle your business finances. CMAs can also break down the financial implications of implementing new projects.
Related: In Pursuit of Success: CFO Roles in Business Growth
Maps out the best strategy
Owning and managing your own business is never easy. This is especially the case for growing businesses like yours.
But if you have a management accountant, you have professional assistance as you formulate the best business strategies. The vast knowledge of your business accountant will make it easier to pinpoint strategies that will suit your business best.
Initiates internal audits
Finally, a certified management accountant can provide indispensable help in conducting internal business financial audits. These internal audits are vital for your business to ensure the accuracy and efficiency of your internal financial processes.
Plus, it will also come in handy in case your business gets chosen for a random business audit.
Management accounting for business is the best way to foster the ideal level of integrity and professionalism for your business. Consider collaborating with a management accountant especially if you have a growing business.
Looking for professional management accounting services? Check out our wide array of finance and accounting services at D&V Philippines today! You may also download our Premium CFO Solutions to know how outsourced services can provide you with a comprehensive support.
This post was first published 7 September 2015 and edited 24 August 2020.