summer internship report (qualities of a financial leader) - Copy

PROJECT REPORT ON
IDENTIFICATION OF SKILL SETS AND TRAITS NEEDED TO
BECOME A FINANCIAL MARKET LEADER
IN
INTELLIQUANT INVESTMENT MODELLING &
TECHNOLOGIES
SUBMITTED IN PARTIAL FULFILMENT OF THE
REQUIREMENT OF
MASTER OF MANAGEMENT STUDIES
BY
SANDEEP NAGESH NAYAK
ROLL NO 2015105
MMS-II (SEM III)
YEAR 2015- 2017
LALA LAJPATRAI INSTITUTE OF MANAGEMENT
MAHALAXMI, MUMBAI – 400034

PROJECT REPORT ON
IDENTIFICATION OF SKILL SETS AND TRAITS NEEDED TO
BECOME A FINANCIAL MARKET LEADER
IN
INTELLIQUANT INVESTMENT MODELLING &
TECHNOLOGIES
SUBMITTED IN PARTIAL FULFILMENT OF THE
REQUIREMENT OF
MASTER OF MANAGEMENT STUDIES
BY
ROLL NO 2015105
MMS-II (SEM III)
YEAR 2015-2017

LALA LAJPATRAI INSTITUTE OF MANAGEMENT
MAHALAXMI, MUMBAI - 400034
SUMMER INTERNSHIP PROJECT
SUBMITTED BY
ROLL NO 2015105
MMS – II (SEM III)
YEAR 2015 - 2017

Certificate
This is to certify that the project work titled “IDENTIFICATION OF
SKILL SETS AND TRAITS NEEDED TO BECOME A FINANCIAL
MARKET LEADER” is a summer internship work carried out by Mr.
SANDEEP NAGESH NAYAK.
The project was completed for "INTELLIQUANT INVESTMENT
MODELLING & TECHNOLOGIES", under the guidance of Mr.
SAMIR KUMAR
I further certify that the said work has not been submitted in the part or in
full, to any other University.
Date: 31st
August, 2016
______________ _____________
Dr. Arati Kale Dr V.B. Angadi
Project Guide Director

DECLARATION
I, Mr. SANDEEP NAGESH NAYAK, student of Lala Lajpatrai Institute
of Management of MMS II (Semester III) hereby declare that I have
completed the summer internship project on “IDENTIFICATION OF
SKILL SETS AND TRAITS NEEDED TO BECOME A FINANCIAL
MARKET LEADER” with "INTELLIQUANT INVESTMENT
MODELLING & TECHNOLOGIES" in the Academic year 2015 -
2016. The information submitted is true & original to the best of my
knowledge.
SANDEEP NAGESH NAYAK.

ACKNOWLEDGEMENT
At the outset of this project, I would like to express my profound thanks to
a few people without whose help, completion of this project would not
have been possible.
First and foremost, I would like to express sincere thanks to
"INTELLIQUANT INVESTMENT MODELLING &
TECHNOLOGIES” for giving me this opportunity to work with them.
The list is endless but to name a few special people, I would like to thank
Mr. SAMIR KUMAR for being extremely supportive and guiding me
throughout my internship and giving me constant motivation and expert
advice.
I am very grateful to Dr. ANGADI, Director of Lala Lajpat Rai Institute of
Management, for giving me the opportunity to do this project in
"INTELLIQUANT INVESTMENT MODELLING &
TECHNOLOGIES"
I would also like to thank Dr. ARATI KALE for being an excellent
mentor and helping me whenever I approached her.
Last but not the least; I take pride in thanking my parents Mrs. VRINDA
NAGESH NAYAK siblings and friends for their much valued support.

EXECUTIVE SUMMARY
There’s a really big difference between a good leader and a great leader. A great leader
is part of a very small team of people who run the business like literally run the
business. A great leader ultimately is first and foremost part of that senior management
team—and a very distant second, running the finance function. Great leaders are those
who can make a difference. It’s the value that one add in the discussions that take place
around the senior management or board table. That comes through understanding how
an organization works, understanding what’s important to one's colleagues at the senior
management level, and then making a difference accordingly. If one goes to a board
meeting and the numbers are slightly off or one can’t explain something, a little bit of
credibility dies. Get them off by a lot and one just won’t be around. What really
matters, though, is having the experience and the confidence to distil down in simple
words how one think one can make a business better or how a company can be made
better. Data and analysis really help with that process. If one is able to present that, it’s
an enormously powerful position. Great leaders are born. One have to have an instinct
that wants to create value. For example, how much time does the leader spend in front
of customers? If one don’t have an instinct to go out and talk to the customers, one
really don’t have a place around that senior management team. One have to have the
instinct to want to go and find out where value is created. And if one doesn’t, one might
be a good leader. But as far as one's stakeholders are concerned, one will never be a
great leader.
The functions of finance are evolving. While control of money and budgets remains a
core role, finance teams are increasingly taking on more strategic functions to support
decision making and performance management. We are particularly interested in these
evolving strategic functions as they relate most heavily to the concerns we raised about
the supply and demand for management information. Moving further to the financial

aspect, there is an important distinction between financial management and financial
leadership. Financial management is the collecting of financial data, production of
financial reports, and solution of near-term financial issues. Financial leadership, on the
other hand, is guiding a non-profit organization to sustainability. This is the job of an
executive director. He or she is responsible for developing and maintaining a business
model that produces exceptional mission impact and sustained financial health. To do
that successfully, the leader has to be ever mindful of essential non-profit business
concepts and realities.
This research reveals some valuable characteristics that will help leaders of today, as
well as of tomorrow, to benchmark and improve performance, highlighting the
attributes of exceptional leadership display in a crisis. Interestingly, the research
provides a new emphasis on existing corporate governance guidance, as well as new
insights on active board leadership. This is a research on identification of skill sets and
traits needed to become a financial market leader for a financial person who is a leader
or aspiring to be one. This research covers all the aspects such as managing risk,
managing cash flow etc. which is essential on a regular basis to a leader. The
conclusion and recommendation part states about how the leader should move
according to today's pace of market where as the recommendations suggest where the
person lags out coping with the corporate.

INDEX
SR.
NO.
CONTENT PAGE NO.
1 INTRODUCTION 1
2 OBJECTIVES 6
3 CHAPTER 1 8
4 CHAPTER 2 28
6 CHAPTER 3 37
7 CONCLUSION 44
8 RECOMMENDATION 46
9 RECOMMENDATION TO THE
COMPANY
48
10 BIBLIOGRAPHY 51

IDENTIFICATION OF SKILL SETS AND TRAITS NEEDED TO BECOME A FINANCIAL MARKET LEADER
Page | 1
INTRODUCTION

Page | 2
What is 'Leadership'?
Leadership is the ability of a company's management to make sound decisions and
inspire others to perform well. Effective leaders are able to set and achieve challenging
goals, to take swift and decisive action even in difficult situations, to outperform their
competition, to take calculated risks and to persevere in the face of failure. Strong
communication skills, self-confidence, the ability to manage others and a willingness to
embrace change also characterise good leaders.
General Leadership Skills
A leader is only a leader when he influences people to work on goals which were not
always worth pursuing for them before. A leader is somebody who in advance does not
use his power to force his goals to be achieved. He has vision and the skill of
convincing by which he is able to get his message understood at all levels of an
organisation. He is social and he can inspire people.
The general leadership skills concerned with this all are:
 Analytical skills
 Convincing capabilities
 Social & Emotional skills
 Inspiring skills
Professional Knowledge
In the former capabilities there can't be find a surprising definition of leadership, I
guess. But, there is another quality that makes someone a leader. That quality makes
leadership a situational capability, in the sense that a leader can't be a (great) leader
everywhere and in all circumstances. The quality meant is based on the knowledge and
experience in a business sector. If a leader lacks this kind of professional knowledge his
vision will have little worth. People distrust leaders who don't know their profession.
And right they are. He who doesn't know the sector in which his organization works
and the environment in which it is active simply doesn't know enough to head into new

Page | 3
directions in a convincible way. If workers follow a "leader" like that they won't do that
by their own conviction, but simply while they stand in awe for power and authority
because they are afraid of losing their own position.
Universal Management
Managers may think that management is a profession itself. And, of course, it is in a
certain way. Management has its own body of knowledge. A manager needs certain
knowledge and management skills to practice his job. Managers think they can practice
their skills in whatever other business. Here we need some humbleness.
The manager that storms in when starting a new job in a new business must absolutely
be distrusted. He needs an extraordinary skill for processing data to make it possible for
him in a very short time to teach the firm, its environment and the sector enough and by
that to convince other people of his hunt for chance. If there are people who can make
this come true, well, they are rare!
Management and Leadership
A leader is a leader while his people recognize his legitimacy. A leader is a leader
because he is acknowledged as such by his people!
Not every manager is a leader. Not every manager has to be. There are enough
management functions where work is all about control and consolidation of the existing
situation. Change is sometimes hardly necessary. Not every manager has to be a great
leader. Many managers conduct too much as such. They bring useless change
everywhere, are very satisfied about themselves, but aren't working well at all. They
waste their energy doing things which aren't important after all.
Essentials of Leadership
In the literature it is sometimes suggested that workers ask for charismatic leaders.
However something vague as charisma will help a leader without doubt, the concept
charisma makes things not more clearly. A leader is not a leader by his charisma but by
a combination of capabilities. Knowledge of the profession and sector is a quality rarely
or never called in management literature while it is an essential quality as well as all the
others.

Page | 4
Leader vs. Manager
“Leadership and management are two distinctive and complementary systems of action.
Each has its own function and characteristic activities. Both are necessary for success in
an increasingly complex and volatile business environment…strong leadership with
weak management is no better, and is sometimes actually worse, than the reverse. The
real challenge is to combine strong leadership and strong management and use each to
balance the other.” John Kotter
Often a distinction is made between leadership and management, although sometimes,
it would seem, for the sake of it. Individuals cannot simply be classified as either one or
the other – both leadership and management skills are needed for success. At times
‘leaders’ will need to manage tasks and projects, and ‘managers’ will need to influence
and inspire people. Managers are not confined to management and leaders are not
restricted to leadership - the critical issue is about getting the right balance for the job
one do.
Management is generally seen to involve overseeing day-to-day operations,
accomplishing goals and achieving tasks, while leadership spans a wider remit that
includes influencing and inspiring others, generating ideas and defining a strategy and
vision. In the table below one will see a direct comparison between leadership and
management activities. An individual can be a great leader, a great manager, or both,
but each area requires the mastery of slightly different skills and competencies.

Page | 5
Management Produces Order &
Consistency
Leadership Produces Change &
Movement
• Planning and budgeting
• Establishing agendas
• Setting timetables
• Allocating Resources
• Establishing direction
• Creating a vision
• Clarifying the ‘big picture’
• Setting strategies
• Organising and staffing
• Provide structure
• Making job placements
• Establishing rules and procedures
• Aligning people
• Communicating goals
• Seeking commitment
• Building teams and coalitions
• Controlling and Problem Solving
• Developing incentives
• Generating creative solutions
• Taking corrective action
• Motivating and Inspiring
• Inspiring and energize
• Empowering subordinates
• Satisfying unmet needs
By understanding each of these skills and behaviours, it is possible for one to
successfully navigate the fields of both management and leadership.

Page | 6
OBJECTIVES

Page | 7
Objectives of the research on identification of skill sets and traits to
become a financial leader:
•To find how Financial Leadership differ from General Leadership
•To lists down Leadership Attributes that can be followed for success
•To find some of the most sought after Leadership Attributes
•To find what do some notable Leaders recommended

Page | 8
CHAPTER 1

Page | 9
1.1 FINANCIAL LEADER v/s GENERAL LEADER
In many regards the distinction between being a leader and being a financial leader is
artificial – all called on to be leaders within the organisations. But for the person who
carries the financial brief inevitably that leadership will be expressed from a finance
perspective. What should this leadership look like?
To be an inspiring financial leader one has to be an inspired financial leader – one who
is as fired up for the mission of the organisation one works for as the best of one's
colleagues. This is particularly true in the charity sector when people's commitment to
the mission of the organisation often transcends all other considerations. If the finance
voice is to be heard it must come from someone who shares their passion. One has to
win the hearts of people before one can win their heads. To do that one need to be able
to command their trust. If one doesn't know where to start building one's own
understanding of one's organisation's mission, take time out of the office to visit the
projects one's organisation runs, volunteer to help out at fundraising events or talk to
people about their experience of the charity.
In a similar vein, it is imperative that all leaders embody the values of the organisation.
One of the great tragedies of the current financial crisis is the disappointment generated
by leaders who talked about values and standards but who patently did not live those
values in their own lives. It is telling that some of the deepest hurt has been felt by the
employees of those companies who thought they were working for an organisation that
stood for something, and are left questioning whether they can continue.
The second key attribute is to be a genuine business partner. The finance leader is too
often seen as the person to be got around, the person who will block initiatives, and the
person who will say no. The inspiring financial leader, by contrast, is the person who is
an enabler, someone who helps their colleagues work out how something can be
achieved. It may be of course that the answer to what is required is beyond the reach of
the organisation at present, but the stance should be one of: "If that is what one are
trying to achieve we will need to do x, y and z". If the finance leader is known to be as
hot for the mission of the charity as the person asking their advice then that advice will
be received with a different heart.

Page | 10
Third key attribute is to be someone who acts as the adviser and confidante of the chief
executive. In particular, a key role is to protect the chief executive and keep them out of
trouble by helping them make decisions that are grounded in reality.
The finance leader should be well placed within the organisation to adopt that sort of
role, as they are in the best position to have a view across the whole organisation and
see how the different parts interact. However, position alone is not sufficient, one have
to earn the right to that level of confidence and it comes if one's passion for the mission
and one's commitment to working in partnership is evident.

Page | 11
1.2 QUALITIES OF GENERAL LEADER v/s QUALITIES OF
FINANCIAL LEADER
In this part of the chapter we will see how Qualities of a General Leader are different
from basic qualities of financial leader at (i. managerial level, ii.CFO level, iii.
Chairperson Level)
Qualities of a General Leader
1. Honesty
Whatever ethical plane you hold yourself to, when you are responsible for a team of
people, it's important to raise the bar even higher. Your business and its employees
are a reflection of yourself, and if you make honest and ethical behaviour a key
value, your team will follow suit.
2. Delegate
Finessing your brand vision is essential to creating an organized and efficient
business, but if you don’t learn to trust your team with that vision, you might never
progress to the next stage. It’s important to remember that trusting your team with
your idea is a sign of strength, not weakness. Delegating tasks to the appropriate
departments is one of the most important skills you can develop as your business
grows. The emails and tasks will begin to pile up, and the more you stretch yourself
thin, the lower the quality of your work will become, and the less you will produce.
The key to delegation is identifying the strengths of your team, and capitalizing on
them. Find out what each team member enjoys doing most. Chances are if they find
that task more enjoyable, they will likely put more thought and effort behind it. This
will not only prove to your team that you trust and believe in them, but will also
free up your time to focus on the higher level tasks, that should not be delegated.
It’s a fine balance, but one that will have a huge impact on the productivity of your
business.

Page | 12
3. Communication
Knowing what you want accomplished may seem clear in your head, but if you try
to explain it to someone else and are met with a blank expression, you know there is
a problem. If this has been your experience, then you may want to focus on honing
your communication skills. Being able to clearly and succinctly describe what you
want done is extremely important. If you can’t relate your vision to your team, you
won’t all be working towards the same goal.
Training new members and creating a productive work environment all depend on
healthy lines of communication. Whether that stems from an open door policy to
your office, or making it a point to talk to your staff on a daily basis, making
yourself available to discuss interoffice issues is vital. Your team will learn to trust
and depend on you, and will be less hesitant to work harder.
4. Confidence
There may be days where the future of your brand is worrisome and things aren’t
going according to plan. This is true with any business, large or small, and the most
important thing is not to panic. Part of your job as a leader is to put out fires and
maintain the team morale. Keep up your confidence level, and assure everyone that
setbacks are natural and the important thing is to focus on the larger goal. As the
leader, by staying calm and confident, you will help keep the team feeling the same.
Remember, your team will take cues from you, so if you exude a level of calm
damage control, your team will pick up on that feeling. The key objective is to keep
everyone working and moving ahead.
5. Commitment
If you expect your team to work hard and produce quality content, you’re going to
need to lead by example. There is no greater motivation than seeing the boss down
in the trenches working alongside everyone else, showing that hard work is being
done on every level. By proving your commitment to the brand and your role, you
will not only earn the respect of your team, but will also instil that same
hardworking energy among your staff. It’s important to show your commitment not
only to the work at hand, but also to your promises. If you pledged to host a holiday

Page | 13
party, or uphold summer Fridays, keep your word. You want to create a reputation
for not just working hard, but also be known as a fair leader. Once you have gained
the respect of your team, they are more likely to deliver the peak amount of quality
work possible.
6. Positive Attitude
You want to keep your team motivated towards the continued success of the
company, and keep the energy levels up. Whether that means providing snacks,
coffee, relationship advice, or even just an occasional beer in the office, remember
that everyone on your team is a person. Keep the office mood a fine balance
between productivity and playfulness. If your team is feeling happy and upbeat,
chances are they won’t mind staying that extra hour to finish a report, or devoting
their best work to the brand.
7. Creativity
Some decisions will not always be so clear-cut. You may be forced at times to
deviate from your set course and make an on the fly decision. This is where your
creativity will prove to be vital. It is during these critical situations that your team
will look to you for guidance and you may be forced to make a quick decision. As a
leader, it's important to learn to think outside the box and to choose which of two
bad choices the best option is. Don’t immediately choose the first or easiest
possibility; sometimes it's best to give these issues some thought, and even turn to
your team for guidance. By utilizing all possible options before making a rash
decision, you can typically reach the end conclusion you were aiming for.
8. Intuition
When leading a team through uncharted waters, there is no roadmap on what to do.
Everything is uncertain, and the higher the risk, the higher the pressure. That is
where your natural intuition has to kick in. Guiding your team through the process
of your day-to-day tasks can be honed down to a science. But when something
unexpected occurs, or you are thrown into a new scenario, your team will look to
you for guidance. Drawing on past experience is a good reflex, as is reaching out to

Page | 14
your mentors for support. Eventually though, the tough decisions will be up to you
to decide and you will need to depend on your gut instinct for answers. Learning to
trust yourself is as important as your team learning to trust you.
9. Inspire
Creating a business often involves a bit of forecasting. Especially in the beginning
stages of a start-up, inspiring your team to see the vision of the successes to come is
vital. Make your team feel invested in the accomplishments of the company.
Whether everyone owns a piece of equity, or you operate on a bonus system,
generating enthusiasm for the hard work you are all putting in is so important.
Being able to inspire your team is great for focusing on the future goals, but it is
also important for the current issues. When you are all mired deep in work, morale
is low, and energy levels are fading, recognize that everyone needs a break now and
then. Acknowledge the work that everyone has dedicated and commend the team on
each of their efforts. It is your job to keep spirits up, and that begins with an
appreciation for the hard work.
10. Approach
Not all human beings are the same. A basic concept, but something that is
often overlooked. You have cultural perspectives, language barriers, different
educational backgrounds, personality traits and varying value systems with which
individuals come pre-conditioned that greatly affects how information is processed
and interpreted. Some people work well under pressure, others don’t. Some respond
best to tough love, others take it personally and shut down. In order to optimize
your effectiveness as a leader, you must have the ability to customize your approach
on a person by person basis, based on the situation at hand. Your capacity to
execute this concept will play a huge role in your ability to get the best work out of
your team and other partners along his journey.

Page | 15
11. Self-assessment
Effective leaders periodically take stock of their personal strengths and
shortcomings. They ask: “What do I like to do? What am I really good at?” “What
are my areas of weakness, and what do I dislike doing?”
Knowing your areas of weakness does not make you weak; on the contrary, it
allows you to delegate to others who have those abilities, in order to achieve the
common goal. Rather than clinging to the false belief that they can do it all, great
leaders hire people who complement, rather than supplement, their skills. Working
on your areas of weaknesses will improve your leadership ability – and recognizing
them makes you more human.
12. Knowing the organization
Effective leaders know the organization’s overall purpose and goals, and the
agreed-upon strategies to achieve these goals; they also know how their team fits
into the big picture, and the part they play in helping the organization grow and
thrive. Full knowledge of your organization – inside and out – is vital to becoming
an effective leader.
13. Courage
“Courage is rightly considered the foremost of the virtues, for upon it, all others
depend.”– Winston Churchill
The quality of courage means that you are willing to take risks in the achievement
of your goals with no assurance of success. Because there is no certainty in life or
business, every commitment you make and every action you take entails a risk of
some kind.
Among the seven leadership qualities, courage is the most identifiable outward trait.

Page | 16
14. Humility
Great leaders are those who are strong and decisive but also humble.
Humility doesn’t mean that you’re weak or unsure of yourself. It means that you
have the self-confidence and self-awareness to recognize the value of others without
feeling threatened. It means that you are willing to admit you could be wrong, that
you recognize you may not have all the answers. And it means that you give credit
where credit is due.
Humility gets results. Larry Bossidy, the former CEO of Honeywell and author of
the book Execution, explained why humility makes you a more effective leader:
“The more you can contain your ego, the more realistic you are about your
problems. You learn how to listen, and admit that you don’t know all the
answers. You exhibit the attitude that you can learn from anyone at any time. Your
pride doesn’t get in the way of gathering the information you need to achieve the
best results. It doesn’t keep you from sharing the credit that needs to be shared.
Humility allows you to acknowledge your mistakes.”
15. Focus
Leaders always focus on the needs of the company and the situation. Leaders focus
on results, on what must be achieved by themselves, by others, and by the company.
Great leaders focus on strengths, in themselves and in others.
They focus on the strengths of the organization, on the things that the company does
best in satisfying demanding customers in a competitive marketplace.
Your ability as a leader to call the shots and make sure that everyone is focused and
concentrated on the most valuable use of their time is essential to the excellent
performance of the enterprise.
16. Cooperation
Your ability to get everyone working and pulling together is essential to your
success. Leadership is the ability to get people to work for you because they want
to.

Page | 17
The 80/20 rule applies here:
Twenty percent of your people contribute 80 percent of your results.
Your ability to select these people and then to work well with them on a daily basis
is essential to the smooth functioning of the organization. Gain the cooperation of
others by making a commitment to get along well with each key person every single
day. You always have a choice when it comes to a task: You can do it yourself, or
you can get someone else to do it for you. Which is it going to be?

Page | 18
Qualities of a Financial Manager
1. Innate problem-solver.
Employers rely on employees who will pull through in challenging times. A manager
takes action to find solutions -- regardless of the situation or fault. This trait might not
be an easy read during the hiring process. If problem-solving comes naturally to you.
2. Analytical skills.
Managers in finance readily embrace and use their analytical skills to create waves in
their companies. The ability to demonstrate logical thinking in order to gather and
analyze a variety of information is an absolute necessity in the finance field. Since
analytical skills aren’t quite innate, being well-versed in analytical experiences ensures
a solid foundation.
3. Exceptional leadership.
The most coveted managers are those who drive themselves and others forward through
passionate motivation. Managers require a high level of leadership in the finance sector.
This is due to the fact that general project management, effective communication,
teamwork and many other day-to-day tasks involve a strong foundation in leadership.
4. Adaptable communication.
Manager's communication skills are always vital. Employers want candidates who are
able to communicate with managers, co-workers and clients. Managers should be able
to readily pivot their communication efforts to the chosen channels, platforms and
styles of everyone they encounter.
5. Humble confidence.
This goes beyond your firm handshake. Confidence provides a foundation for
acceleration in nearly every aspect of finance. You must have confidence in your ability
to move your company forward, but also harness a willingness to put your company
and team ahead of yourself. Can one invoke trust and loyalty in someone they’ve just

Page | 19
met? Can one effortlessly drive points home in a presentation? These attributes are
certain.
6. Unwavering professionalism.
Regardless of company culture or client environment, quality finance manager's job
exude professionalism in all situations. A formal tone will establish consistency and
trust--and while some environments may be more casual, quality finance manager
should know how to adapt but also remain professional. This is particularly important.
7. Self-management.
The ability to perform efficiently and effectively without direct supervision and
guidance is a trait that can turn an average employee into an asset. If one excel at self-
starting and self-monitoring, use the experience with managing projects, tasks, and
scenarios with little to no supervision. Self-drive is a critical aspect to success.
8. Ease with technology.
Advancements in technology have made streamlining timely processes a breeze. In the
financial services industry, tech skills are becoming a necessity for manager. For
example, many firms are looking to hire managers with knowledge in Structured Query
Language (SQL). Does one have more than the minimum requirement for tech
knowledge?
9. Intellectual curiosity.
The best finance managers are those who wish to develop in every position they take
on. If one is dedicated to continued learning and advancement in the finance sector,
employers will take notice. One is likely to be viewed as a company thought leader or
change motivator within the organization. Showcase the passion for learning
throughout and consider seeking out companies who share this passion.
10. Compatibility for both independent and team work.
Work settings are likely to vary in finance positions. The best manager is the one who
can move seamlessly from independent tasks to acting as a beneficial member of a

Page | 20
team. If one excel at a variety of work styles, be sure one accurately displaying these
styles throughout their work.
It’s important to remember that very few people can showcase all of these traits. But
even displaying a few will make you a quality manager in terms of soft skills. Harness
your outstanding traits and reach out to companies who showcase similar values within
their company culture.

Page | 21
Qualities of A CFO
1. CFOs must become analytics wizards.
The current role of the CFO is very transactional. However, that is starting to change.
CFOs are quickly becoming more analytical at their core.
CFO's should only be spending about 10% of their efforts and time on transactional and
90% of our time on analytics. Only about 3% of organizations are at the desired state.
Most organizations are in the 50/50 range, and most companies are trying to move up
that chain. The more time one spend on analytics the more you help the business and
enable effective business partnering. The CFO of the future will be a true business
partner who will provide these insights. There is already a "pull from businesses" as
they seek out more analytics data and that CFOs are cognizant of that pull.
2. CFOs must manage an increasing amount of risk.
The level of risk and the rate at which risk is increasing is unprecedented. This calls for
highly skilled risk management processes.
The "clear and present danger" is that a business model is going to be "disrupted by
technology”. CFOs are now constantly asking, "Who is going to put me out of business
tomorrow?"
The CFO of the future needs to be beside the CEO, helping to navigate these risks.
Making the business resilient and strengthening the business model is what the CFO of
the future will have to do.
3. CFOs must adapt to new technology.
CFO's must look at the business model and figure out how it can constantly be adapted
and how you can finance that evolution. How you use new metrics to enable innovation
is an absolutely essential question for a CFO.
CFOs can no longer rely on old tools and the traditional return on capital, return on
investment, payback period, and all the measures that CFOs are so familiar with.

Page | 22
The old way of thinking stifles innovation and ruins new business creation. The CFO of
the future must enable innovation and manage risk better.
4. CFOs must become better at managing people.
CFO's have to use your technical skills in the context of the business to influence
people and to lead change.
Leadership, people, and business skills are absolutely crucial to the future of the CFO
function. The more one moves up, the more one wants to make sure one have the right
people and leadership skills. Typically finance functions have not paid attention to that
in the past.
5. The CFO of the future must guide decisions in a politically charged
atmosphere.
The role of a CFO is to represent the organization and fight for the business models of
the new world.
A CFO of the future needs to be at the forefront of providing the business with financial
and business implications. A CFO needs to be able to partner with their business in
areas such as union regulations and minimum wages laws.
CFOs need to be able to measure political impact and show the effects it has in terms of
dollars and risk. They also need to enable their partners to lobby and send the right type
of messages.
6. CFOs must manage big data as a large part of business operations.
Data and analytics are becoming increasingly crucial to businesses, not just in terms of
finding new markets and new segments in order to achieve revenue generation, but also
for understanding, variabilizing, and controlling costs.
CFOs are not expected to be data scientists - they don't have to understand the
algorithms - but the CFO of the future will need to be the connector between the
business and data scientists.

Page | 23
CFOs in the future will need to be better adept at finding a business' needs and solving
problems as they arise. They are the ones that will translate that to the data scientists.
They are the ones that will help them build the right queries and get the answer the
business needs and then be able to take those insights back to the business in order to
make them actionable.
7. CFOs will make effective decisions with analytics from outside of
the enterprise.
CFOs need to develop the right question when creating datasets.
A lot of companies are using big data to drive decisions outside of the enterprise:
Fundamentally it is unstructured; it is outside the boundaries of the enterprise. Right
now a lot of the non-financial data is not trusted by owners of that data.
Non-financial data may include machine-versus-human labour and productivity, and
how many products were consumed or sold in the marketplace. To really get insights
into a business you have to look at the underlying non-financial drivers to the financial
information.
8. CFOs need to understand business drivers and the underlying non-
financial information that drives the financials of their company.
While analytics outside of the enterprises will become increasingly important, CFOs
must also be able to look at the value their company is creating based on variables such
as intellectual property and intangible assets? Those non-financial business drivers are
becoming increasingly important.
Looking at trends, the valuation of a company was traditionally based on 80% of the
value created in the balance sheet by tangible items and about 20% of the value was
intangible. There was a gap between the market cap of the company and the balance
sheet valuation.
If the CFO is focused on the balance sheet and is focused on compliance, focused on
processes and procedures and conformance, he's not engaging in value creation. The
more significant value is now created from your intangible assets. The CFO of the

Page | 24
future really needs to understand and become more of a P&L CFO to engage in value
creation.
Value creation today is a knowledge-based economy. Companies are now more likely
to create value using intangible assets and intellectual property.
9. Hiring decisions will become a major part of the job for future
CFOs.
CFOs will need to drive talent acquisition and retention.
A CFO will need to have a structured approach to create the competencies a company
needs, and they will need to fill in the gaps. A CFO must adopt a structured-
competencies framework and recruit and train new workers based on that framework.
CFO will need to find creative ways to retain workers based on the company's desired
competencies.

Page | 25
Qualities of a Chairperson
1. Integrity.
A commitment to ethics should always be the cornerstone of every accounting
department, but today this attribute isn’t just part of a corporate mission statement.
Accounting scandals and resulting government legislation have placed a spotlight on
professional integrity. The best financial leaders are respected and trusted, setting the
tone for the entire organization through their ethical behaviour and straightforward
communication.
2. Fearlessness.
Successful executives are willing to take a stand on controversial or risky matters. They
have the confidence to challenge decisions made by other leaders in the organization,
such as what they perceive to be a bad move into a new line of business or a potential
alliance that isn’t in the firm’s best interests. They have a reputation for asking the
difficult questions during meetings, negotiations, and other discussions.
3. Command of both technology and finance issues.
Efforts to safeguard the integrity of financial data and to improve efficiency through
sophisticated systems and applications have blurred the line between accounting and
information technology. Award-winning financial executives are frequently just as
knowledgeable about firewall systems and servers as they are about gross margins and
depreciation expenses. They are capable of identifying technology strategies that will
help the organization maximize productivity and achieve cost savings.
4. The ability to wear many hats.
Financial leaders are pulled in many directions—providing advice on a business deal
one minute and offering input on a purchasing decision the next—which makes it a
challenge to keep constant tabs on growth and cost-reduction strategies that will impact
financial results positively. Top executives are time-management experts who balance a
variety of demands while never losing sight of key accounting issues.

Page | 26
5. Skilled at motivating and inspiring others.
Successful financial leaders also bring out the best in those around them. They give
their employees the autonomy and resources to do their jobs. Many also serve as
mentors and play active roles in the education community, ensuring that future
generations of accountants have the necessary skills and guidance to get ahead in the
profession.
6. Eagerness to embrace change.
The best leaders recognize that change is a constant and keep a flexible mind-set when
it comes to modifying company policies and practices. They view their accounting
teams as the “enablers” of the organization, helping to address new business
developments successfully. Not only do successful financial executives encourage their
staff to exercise their creativity, but they also support those who challenge the status
quo.
7. Vision.
Financial executives must have a strategic mind-set, always taking note of trends that
have the potential to impact their companies. Many previous FEYA winners working at
private companies have implemented measures to comply with Sarbanes-Oxley despite
being exempt from the regulation. Some put the necessary documentation, controls, and
feedback in place well before the legislation even existed.
8. Strong communication abilities.
Today’s financial executives frequently take the lead in critical business discussions,
negotiations, and presentations. They must be able to communicate complex
information effectively and field challenging questions with ease. They’re clear,
concise, and persuasive with their messages, whether made verbally or in writing.
9. Interpersonal skills.
Financial executives must collaborate with a wide range of people from other
executives and board members to investors and representatives from regulatory
agencies. The best leaders are masters at navigating office politics, unequivocal in their

Page | 27
convictions and public statements, and yet able to tailor their interpersonal approaches
to suit the backgrounds and priorities of different individuals.
10. Accessibility.
Many managers say they have an “open-door policy” to promote teamwork and
encourage feedback from employees. Frequently, however, staff view these policies as
nothing more than words when they find those supposed open doors so often closed.
Top executives eliminate barriers by having a visible presence in the department,
interacting with employees as frequently as possible, and encouraging staff to welcome
all who approach them, regardless of their rank in the organization. Financial leaders
who exhibit these 10 qualities tend to make lasting, positive impressions at their own
companies and in the business community in general.
And with these differentiation we end our chapter 1 over here which states that a
general leader should have the general qualities which each and every leader should
posses so as to unite and take forward the company. But the financial leader has some
uniqueness that there must be some financial qualities that are very essential to take the
company financially ahead and to make financial strategies as and when needed.

Page | 28
Chapter2

Page | 29
Aside from the occasional coaching stint, most leader's days are long past, but the
lessons learned may hold the key to their future success. Two such lessons—learning to
take a leadership role on a team and to collaborate with other team members—are
critical for any financial leader who aspires to advance. Indication on those and the
result can be career stagnation.
Leaders face two distinct team challenges: they must lead the finance team as well as
play on the middle & senior management team, where the dynamics can be fraught with
tension as members compete for resources, the CEO’s favour, and even his job.
Building a strong team is critical because the leader's role is now so varied and
demanding that no individual can effectively manage and execute all parts of it alone.
Financial leaders who hope to put their time to best use—working on strategic planning
with the CEO, say, or meeting with large institutional investors—must rely heavily on
their supporting cast. It’s becoming increasingly difficult for any one person to have all
of the knowledge and all of the skills to get his or her work done. This is really driving
a need for teams.
Leaders need to get results through others. The demands on different sub functions in
finance are becoming much greater, and if the leader has not created an organization
with competence at each level, he gets pulled back into the details.
In this chapter 2 we will see 15 qualities that are different from the qualities which were
much generalized in chapter 1. These qualities of leader are applicable in every level
and are very essential to lead a financial team, to gear with other team and to lead the
business in the market.

Page | 30
15 Qualities of a Financial Leader
1. Building the risk team
Risk team is very essential while working in the company. This team leads the path in
very critical situation. So, for building it a leader should get the rest of the senior
leadership team on the board. Then, assemble the right people to assess the firm’s risks,
in this case by creating a risk management committee. After this neutralizing their ideas
about the risk is another task which needs to done by conducting a survey? Survey will
help to get what idea about the risk they have and then the leader can compile it to one
data. Once the definition of risk is set, the leaders should then collectively set a risk-
appetite level for the organization based on the impact the risk would have on several
key metrics, including revenue growth, earnings, and shareholder equity. For any given
decision to move forward, its potential estimated negative impact can be no more than
half the total risk appetite, since there could be more than one incident in a year.
Committee members should then self-assess their parts of the business before each
meeting and report on the top five to ten risks they face and what they’re doing about
them. From there, each risk is plotted on a grid according to its potential severity and
likelihood, with the results helping the committee winnow many dozens of items down
to a list of the top 10 risks for the corporation as a whole. The reason to do this is to
anticipate things before they come up; if one has a good team that’s challenging each
other, one gets some of that. But trust among the team is critical, so they can share their
areas of exposure, rather than trying to prove they don’t have any.
2. Equipping the board
Careful guidelines from the leader is required to get the best from the frontline
employees by sorting things out from their board. The board has the duty to exercise
oversight, so they should be part of the conversation on how detailed and extensive risk
management is, but it’s the leaders who know what the fine line is between too heavy
and too light. Once an organization is clear about the level of risk it wants to take in
executing its business strategy, it is much easier for board members to have a
conversation about where in that spectrum the company sits, and where it might want to

Page | 31
go. The board looks at how robust our program is, but that is less of a focus than
assessing what leaders are doing around these risks, whether leaders are looking at the
right risks, and what is happening in the business that changes leader's risks.
3. The financial expert
The leaders should have experience in rotating various roles in financial functions like
controlling, treasury, audit, financial planning and analysis, or business unit finance.
These leaders should tend to have intricate working knowledge of the company and are
often experts in relevant finance and accounting issues, such as financial regulation,
international accounting, or capital structure. Many should have advanced accounting
degrees or experience at an auditing firm. This type of leadership is particularly well
suited to highly decentralized companies with stand-alone businesses or early-stage
ones scaling up and professionalizing the finance function. Leader’s strong finance-
function knowledge across a broad spectrum of activities is critical to effective
compliance and standardization of processes. The finance-expert profile may also be
best for any company whose top team otherwise lacks strong finance leadership—or
whose finance department is inefficient or in disarray.
4. The Generalist
Companies in highly capital-intensive industries, put a high premium on operational
capabilities. So they look for leaders with broad experience—including financial
leaders who have spent time outside the finance organization—in operations, strategy,
marketing, or general management. Leaders that fit this description tend to engage
heavily in business operations and strategy and often bring strong industry and
competitive insights. They are often found in companies in mature sectors, such as
financial institutions, where operational similarities across business units provide a
good platform to rotate managers among businesses and eventually into functional
leadership roles; most are internally hired and already fill a leadership function, often
being groomed for this role.
5. Performance leader
Leaders with strong track records in transformations both within the finance function
and throughout the organization are what that have been as dubbed performance

Page | 32
leaders. They tend to focus on cost management, to promote the use of metrics and
scorecards, and to work to standardize data and systems. They are often hired
externally. Most have also worked internationally. Companies employing these types of
leaders are often highly diversified companies requiring rigorous analytics to compare
performance across businesses, companies with aggressive growth or cost targets that
must be met in the near term, or companies with scarce resources that must be carefully
allocated.
6. The growth champion
These leaders are most common in industries with frequent disruptions that require
dramatic changes in resource allocation— and in companies that plan to grow
considerably or reshape their portfolio of businesses through aggressive M&A or
divestiture programs. Such moves make the leader specially valued for significant
experience in M&A, as well as for independent thinking, and strategic insight. Many
growth champions are the leaders who have spent a sizable portion of their career in
investment banking, consulting, or private equity.
7. Current capability in finance functions
The current capability of the finance function is the most important of these, since the
financial leader’s primary responsibility is to ensure the execution of core functions of
the finance group, especially strong compliance and controls, accurate data, and
systems integration. If a company struggles with efficiently performing the basic
finance functions, then it may be necessary to promote candidates for leader with
considerable experience in a variety of finance roles and a track record of performance
improvement. However, if strong capabilities are already present in the finance
organization, a company may consider candidates with other competencies, such as
broader management experience or strategic insight.
8. Influencer
Figure out what drives people and where your interests meet theirs by asking them
about their goals and projects. This breaks the ice. Starting with the topic they like
brings them into their comfort zone. Then the leader might start linking this topic to
their. This might help other candidates to get influenced with the leader’s choice.

Page | 33
Talking brings out the likes, dislikes, strengths and limitations of the candidate leader is
talking to. So, accordingly a leader can work with that skill and influence the candidate.
9. Asset management
The value of most companies vastly exceeds the value of the assets recorded on its
books. The difference is due to intangible assets not recorded on the company’s balance
sheet. In some cases there are already substantial intangible assets that are recorded on
the books. Recent changes in the accounting rules make asset valuation even more
important. The Financial leader is the most logical person in the company to understand
and explain asset valuation. Among other priorities, the leader is the party primarily
responsible for understanding: how the business is reflected in shareholder value,
measuring return on net assets, protecting corporate assets (risk management and
internal controls), and in setting fair value pricing for the use of company assets.
Financial leaders are key in providing guidance in mergers and acquisitions. Many an
acquisition has killed or significantly wounded successful companies who bought other
organizations without fully thinking the implications all the way through. A Financial
leader’s involvement in M&A is one of the most critical roles of the position. As an
asset manager, financial leaders must assist the CEO, in the allocation of company
capital using clear and objective criteria. This responsibility extends to the evaluation
process of when to own assets and when to lease them. The ability to determine when
outsourcing/leasing should apply and when assets should be owned and controlled in
house relies, in part, on the active involvement of the Finance function. The Finance
leader is also an asset manager by developing policies and procedures to maximize the
use of working capital employed in the business. Along with understanding key
business processes, knowing the relationship between the company and its customers
and suppliers is vital in managing working capital. Working capital management is a
value added activity. It is intimately tied to the company’s supply chain.
10. Application of IT
The application of information technology (IT) is a key asset of most companies. In
some companies IT is regarded as a strategic or competitive weapon. The day has long
since passed where IT can be regarded as a behind the doors clandestine activity.
Finance must be well versed in the application of information technology to solve

Page | 34
business problems, establish critical links with customers and suppliers, and provide
timely and accurate information throughout the company. Like Finance, IT supports
and holds together the entire company. It creates the opportunity for a strategic
partnership between the two functions so that efficiency and effectiveness are met
while creating asset value. In summary, due to their focus on creating shareholder
value, assisting in the allocation of company capital, direct involvement in managing
working capital, participation in mergers and acquisitions, acting in partnership with IT
in the development of information technology and their overall oversight role over the
balance sheet.
11. Financial fundaments
Leaders will still need a strong financial understanding and should target career
experiences that provide them with that understanding across various points in the
finance value chain. Leaders should have experience in the core finance areas of
financial and management accounting. As the breadth of the role increases, it’s
unrealistic to expect that leaders will deep-dive into every aspect of the finance
operation, but critically they must be able to ask the right questions across the
organisation. That’s a skill that best comes from experience gained across multiple
finance roles. Experience in specialised roles will continue to be beneficial, but
experience in mainstream roles in finance remains essential. Plan A should be to build
this broad foundation of finance experience through the career.
12. Deal maker
With the growth of global economic wealth, more businesses will look to drive growth
longer term. Some growth will be organic, but much is likely to be through acquisition
and merger and other forms of business tie-ups, tapping into already established
businesses to ease market entry and leverage expertise and market knowledge. Merger
and acquisition activity was identified as the fourth most important area of experience
for leaders to obtain. It gives specific technical finance experience in structuring deals,
but also can help develop wider skills in change and project management. More
broadly, we can expect funding, capital market experience and investor relations to
remain core finance capabilities in leaders of larger businesses too.

Page | 35
13. Expanding the reach
The reach of many finance teams will continue to change. The leader will need to be
able to manage carefully the different demands between mature and emerging markets
and align their finance strategies accordingly. They will need to be adept at working in
the global business environment, leading finance teams which are diverse and virtual
across mature and emerging markets. From managing new reporting requirements to
driving financial insight into new markets and new consumer sectors, or raising capital,
the finance organisation of the future must be entirely aligned to the business’s needs.
Leaders that can bring cross-cultural, cross-market business and finance experience to
the table will be highly valued. Time served in shared service operations may also be of
benefit, both in terms of gaining core finance experience, but also understanding the
centre – retained relationship dynamics.
14. Regulations and broader reporting
It’s no surprise that leaders are likely to face more regulation. Finance chiefs need to be
confident operating in a regulated environment and should be adept at putting in
finance structures and processes that manage legislative and increasing tax
requirements effectively. Alongside more regulation, we can expect ongoing changes in
reporting requirements – growing interest in the concept of integrated reporting, more
involvement of the finance organisation in reporting on different corporate performance
measures, increasing use of financial and non-financial data, recalibrating investment
assessments to account for environmental or social impacts and so on. Leaders need to
track carefully developments in these areas and think about how their career plans help
develop understanding here.
15. Focusing on management skills
Leaders will need to call into play a wide range of skills to perform the role
successfully, there are a number of standout management capabilities that will be
needed. The top four skills are leadership skills, communication skills, strategy skills
and change management skills. Strong leadership skills will be essential because the
success of the future finance organisation is very dependent on a strong united
leadership vision and an engaged and skilled finance team, particularly as the finance
organisation become more diverse. Businesses will continue to evolve and reengineer

Page | 36
their operations and activities, so experience in transformation and change management
for future finance leaders will also be a priority. So too will be effective communication
skills as they align messages and provide appropriate context on financial and business
performance to different stakeholder groups.
So, with this the chapter 2 of this research ends here on the note that these 15 qualities
if applied or are possessed by a person who is an aspiring leader or aspires to be a
leader will surely get a boost in his career.

Page | 37
CHAPTER3

Page | 38
No one expects the top finance job to be easy. When problems get to the leader’s desk,
they are inherently difficult ones — otherwise they would have been addressed earlier.
Nevertheless, there is no doubt that the scope of responsibilities held by the leader
continues to widen. In addition to being the leader of a complex and diverse finance
function, the leader is increasingly the public face of the organization and at the heart of
the strategic debate. As organizations look ahead to an uncertain future, the
responsibilities of the role will only build. Finance leaders will respond to the evolving
external environment with changes to finance operating models. Increasingly, the
leadership and implementation of these initiatives will become a core part of the future
role.
A turbulent external environment creates significant challenges for today’s leader.
Although the worst of the financial crisis may now be over, governments continue to
face severe fiscal strains, which will alter the relationship between private and public
sector. The banking system, while stabilized, will face a new regulatory environment
and the need to deleverage and rebuild balance sheets. Meanwhile, globalization and
the rise of emerging markets continue to reshape the competitive landscape and
redefine organizational strategy.
A shift in strategy to reflect the growth in emerging markets requires Group Leaders to
revisit their business and operating model. With some economies around the world
growing rapidly and others either static or in decline, leaders will need to balance
competing priorities across markets at varying stages of maturity.
In this chapter 3 we are about to learn the top 10 sought after qualities essential for a
financial leader to build up daily strategies in the organisation.

Page | 39
1. Making cash flow the priority
Cash flow is an important aspect of any firm and keeping the cash flowing is an
important task of a financial leader. So, stage one of cash flow is projecting it. Fore
vision of the cash available for various functions is very important and this factors
helps in keeping a track of cash in every operation. Factors like seasonal fundraising,
annual grant payments, reimbursement-based contracts, and start-up costs for new
programs are few of the problems which should be attained. This crisis must be attained
and resolved and it should be resolved in the early stage as it might be complex later
on. As a first step, assess whether the cash flow shortfall is a problem with timing or is
an indication of a deficit. The strategies used to solve the cash flow problem should
match the cause of the shortfall. This shortfalls needs to be managed and timing
problems can be prevented by managing the timing of payments and receipts,
improving internal systems, or arranging for a line of credit. Shortfalls caused by
deficits need to be solved by budget adjustments or strategic choices to absorb a near-
term shortfall. Managing cash flow is not a one-time activity. Insist that projecting and
discussing cash flow every month or quarter become routine practice.
2. Managing the right risk
Risk management is one of the important task of a financial leader. Leader looks after
the work done by the managers finance directors and program leaders. Managing the
right risk at the right way can have this processes. First, historically analysing the risk
of the organisation. Analysing the history of risks of the organisation and which would
affect the company more is the question. So, working on it with the history is the
solution. Secondly, moving up with current term ERM (Enterprise Risk Management)
is another way to tackle the risk. ERM is essentially the process of assessing all of the
risks that the organization faces with a comprehensive, enterprise-wide view and
making decisions about managing risk in the same way. An ERM process considers
both risks that are evident today and those that are will emerge as operational and
strategic plans are implemented. Some organizations need to complete a formal,
extensive internal assessment with a staff team and outside consultants. Smaller
organizations can complete their own organization-wide review of risks through
brainstorming and discussions. The most important step is to start thinking about all the
parts as a whole.

Page | 40
3. To diversify income or not
It means putting all your eggs or one basket or not. It is one of the important step to be
taken by the leader in order to determine whether how the income should be invested
further on. On the priority basis it is important to determine the degree of
diversification. The reliability and competitiveness of revenue streams dictate the
degree of diversification needed. Secondly, one needs to determine the risk. Income
diversification has so real risk. More revenue streams don’t necessarily mean greater
annual surpluses or organizational scale. To attract new revenue streams, an
organization has to develop and sustain new capacities. Maintaining multiple, highly
diverse revenue streams can be problematic when each requires, in essence, a separate
business. Each calls for specific skills, market connections, capital investment, and
management capacity. Only then will each product attract reliable operating revenue,
pay the full cost of operations, and deliver results.
4. Planning reserves
Building reserves is one of the most essential things by a financial leader.
A leader has to effectively have 3 goals while planning for the reserves. To start with, a
leader has to achieve surplus. That means, make sure that achieving a surplus is a
priority that is understood and supported by staff and board members. For some
organizations, there is an earlier step, too. They have to stop operating with deficits
before they can even dream of having a reserve. Following with this, the second step is
to determine the goals. The third step is to manage cushion. Once reserve is built it
must be used in a very strategic form. Using it to fill long term gaps is not advisable. A
cash cushion allows to check weather serious buying time to implement new strategies,
but reserves should be used with caution to solve temporary problems, not structural
financial problems. To maintain reliable reserves, it’s also important to have a realistic
plan to make provision for them from future surpluses.
5. Seeking for finance experience
A person should start preparing himself at early stage with financial experience. One
should, along with financial experience, should work over the non finance part of the
firm to study its financial flow. One should not be constant with one job and keep it
rotating through various other fields May it be with the same department. Diversity of

Page | 41
experience is more important than ever. Aspiring leaders need to work in an
environment where they’re dealing with complexity, including managing change,
leading transactions, negotiating deals, delivering tangible successes and handling
failure. One needs to have good practical experience of engaging with the commercial
dynamics.
6. Commercial insight
The commercial and strategic demands of the leader are encouraging a growing, though
it is still small, number of future finance leaders to step out of the finance function into
purely commercial roles. For leader, business leaders will be considered more over
those who stick to finance. This ensures that they have had accountability for a business
in the past, they’ve had the negotiating experience, they’ve had the Mergers and
acquisition experience, and they’ve had to sink or swim in those businesses based on
their leadership capabilities. But even if candidates wanted to gain experience of a
purely commercial role, there can often be organizational and cultural barriers that
prevent this kind of cross-fertilization of talent. Despite recognizing the importance of
commercial experience, only a slim majority of respondents believe their organization
creates opportunities for junior finance talent to develop these skills. The finance
function itself must play a role in breaking down these barriers and creating
opportunities for greater fluidity between finance and business roles. Managers are now
much clingier to their high-performers than they were. It’s a challenge to ensure that
there is sufficient mobility.
7. Seeking out mergers and acquisition experience
Getting post- as well as pre-deal exposure is the most important step of the aspirant.
Most leaders interviewed for this M&A experience as mandatory to the role. Although
deals have been few and far between during the financial crisis, the economic recovery
should herald a return of M&A activity, giving future finance leaders a good
opportunity to demonstrate their strategic and leadership skills. Transaction experience
is one of the best ways to really plug into the broader considerations of stakeholders
because a big part of any transaction is persuading the shareholders that you should do
it. When they are involved with M&A projects, most finance professionals will
participate in the pre-deal stage of valuation, due diligence and assessment of potential

Page | 42
synergies. Far fewer will be involved in the post-merger integration phase. Normally,
when a deal is done, all the finance guys tend to leave the integration to the business.
By continuing to support this process, which brings in a broader set of commercial and
soft skills, you gain valuable experience that can be useful in future as a leader.
8. Gain experience of finance transformation initiatives
A growing number of organizations have set up shared service centres to handle the
more transactional aspects of finance. Corporate are trying to realign their strategy
which includes the centralization of key finance activities, the restructuring of the
finance function or the establishment of a more rigorous performance management
framework. But, while this restructuring of finance can increase cost efficiency and
drive productivity in the function as a whole, it does have a material impact on career
planning and talent development. The centralization of tax, treasury and other core
functions, along with the hiving off of commoditized tasks into shared service centres,
means that finance professionals are less likely to get exposure to these activities than
they would have in the past, when these functions were decentralized and replicated
across divisions and regions. An aspiring leader to experience the implementation of a
shared service centre in terms of building their capabilities around large-scale project
management. Spending time within a shared service centre before coming back out into
the core divisions gives people an industrial-strength appreciation of processes, plus
strong experience of managing very tough projects. These skills are absolutely essential
for up-and-coming leader. Equally, experience of managing the ongoing relationship
with the shared service provider has become an important part of the toolkit for
aspirants. If one is not able to manage relationships with shared service providers and
drive performance, one is not going to be good at finance.
9. Get exposure to the market and its stakeholders
It is impossible now to be a successful leader and not be a good communicator. Leaders
who do not have these skills but excel in the traditional aspects of finance are now
regarded as rather quaint and antiquated. They may be very good at what they do, but
they wouldn’t be their own replacement. Aspiring leaders should seek to build
relationships with a wide range of stakeholders including banks, equity and bond
investors, regulators, rating agencies, analysts and the media. Organizations need to

Page | 43
take a structured approach to providing the necessary exposure and building these
opportunities into the talent management process.
10. Applying judgement to the data
Financial planning and analysis teams that want as much data at their fingertips as
possible yet insist on using only perfect data in their analyses are unlikely to provide
the kind of actionable insight many leaders seek from those teams, a new report
suggests. The desired level of insight can come only from financial planners who
incorporate more judgment into their analyses and fewer raw numbers. Poor financial
analyses may stem in part from overly detailed analyses that consume too much time.
With judgment playing such a critical role in analytics, these elements were identified
of judgment and specified how they should be incorporated into FP&A.
a. Integrate into the analysis both qualitative and quantitative data, as well as external
viewpoints.
b. Distinguish patterns that are relevant from those that are not; identify risks and
opportunities based on data analysis.
c. Isolate actionable and noteworthy implications, and teach managers something new
about their business.
d. Surface key biases and assumptions that affect the results of data analysis; identify
and size the impact of environmental factors that may not be reflected in the data.
e. Deliver controversial messages comfortably and with authority; clarify decision
trade-offs to internal customers. Stop relying on boilerplate performance-review criteria
that were created for finance generalists. Instead, tailor the FP&A competency model
by clearly defining analytic skills and behaviours that are unique to that discipline and
that lead to insight generation. Identify key decision points where FP&A can cut down
on unnecessary, non-value-added work, and establish protocols for analysts to
collaborate with business partners. Don’t spend much time looking for the perfect data
or analysis to answer business questions. Teach analysts to make smarter trade-offs
between timeliness and accuracy by setting guidelines about which types of decisions
or projects require perfection and which require only directional analysis.

Page | 44
Conclusion

Page | 45
In an era of economic crises and continual change, the role of the leader has become
ever more crucial. The current environment imposes greater responsibility and a higher
profile on the leader .When things go wrong, the leader can be first in the firing line.
The research about the qualities of leader has identified ten key behaviours and fifteen
additional behaviours to drive successful performance, whatever the prevailing market
conditions. From immersing themselves in the business and supporting the team and to
engaging and inspiring the board, anticipating the future and resolving critical decisions
of the team, the burden on leader is heavy and complex. The picture that emerges is
much more active than expected. It focuses on the leader providing strong, active
leadership of the board team, shaping strategy and taking tough decisions. Moreover,
much of the existing guidance for aspiring leaders implies a different set of priorities to
that emerging from the research – one key aspect is that the ten behaviours provide
more granularity on what is required for exceptional board leadership. Taken
individually, each behaviour is very much the application of appropriate, active
leadership, particularly when boards of companies are facing turbulence, whether
through performance or economic market pressures. The leader, however, stressed the
skills they admired in others was not the realisation that these behaviours are important
but instead, the ability to integrate them successfully into a disciplined approach to
board leadership. Success comes from real application, not just knowledge of concepts.
Given the rapidly shortening economic ‘boom to bust’ cycles across the economy and
the likelihood that many markets will continue to experience low growth, future leaders
will have less time to gain industry and individual company knowledge during ‘peace-
time’ periods. This poses more of a challenge for them when the economy comes under
pressure. Other than learning on the job and, perhaps making irrevocable mistakes,
today’s new leaders have limited forums in which they can acquire the skills necessary
to become truly exceptional chairmen of the future. There is a need for more guidance
on the active board leadership that will be required alongside the good governance. If
this were complemented with strong (and actively encouraged) mentoring by the
existing outstanding leader on best practices, tomorrow’s leader would be better
equipped for real application of these skills in the future.

Page | 46
Recommendations

Page | 47
The path to greatness is a road that can’t be measured in miles, just as greatness is a
term that can’t be quantified.
 Great leaders realize this and strive to expand their skills beyond numbers alone.
 Leaders must balance the responsibilities of acting as team captain in the
finance department while serving as an active player on the senior management
team. Though the roles may pull one in different directions at times, great
leaders must choose their paths wisely in such a way that pursues value for the
company as a whole.
 A timid leader is likely to get lost on the sinuous road to greatness, while a great
leader is a master of communication. This involves delivering reports with
confidence despite what the numbers may say, fostering close relationships with
those with whom you have traditionally not gotten along, and maintaining your
comforting presence among employees when uncertainty runs amuck.
 Don’t be afraid to stop for directions. At a time when more and more is being
demanded of the leader, one of the best things one can do for the company is to
recognize one's limits.
 A good leader can perform to strengths but it takes a great leader to admit
weakness.
 With data pouring in from all types of sources, it takes a level headed leader to
lead analysts to use Big Data and business intelligence in a way that will spark
growth for the company rather than waste time and resources.
Hoping that the qualities brought forth here will assist in the journey and shed light on
the ups and downs faced in the road to come.

Page | 48
Recommendations
To The Company

Page | 49
The major part of my job was working from home; so I had not much of a corporate
exposure unless few meetings with my seniors. Related to this I would write a few pros
and cons which will help for the advancement of the company and would try to help the
readers to know about work from home.
Pros
Hours are more flexible.
Working at your place with your people around and doing your work is much easier
and motivating than working with the people which are less connected to you. Keeps
one all motivated. It gives one time to do all household chores too.
Save time & money.
The secondary benefit was saving the travelling time. As the office is in Mahalaxmi it
generally takes me an hour to reach there but due to work from home used to save a lot
of time plus even it was economically good for me.
Depending on work culture, one may be more productive.
Being the only HR in the office it would have been difficult for me working alone on
the research in isolation as the others were totally into core finance. Working at home
with family did motivate me and increased my productivity.

Page | 50
Cons
Distracting at times.
Work from home is highly distracting at times as neighbor vendors sales men keep on
coming which breaks the link. So, one should have patience to not get distracted.
Otherwise the productivity goes down and the work remains unfinished.
Lack of senior’s co-ordination.
Senior didn’t really co-ordinate well which caused delay of work and less of guidance.
He used to postpone meeting and even cancel them at times which missed the regular
check on the work. If would have guided well the project would have been a better
work for the aspirant leaders.
Lack of communication.
If one is stuck somewhere at some point it is difficult to communicate as people at
office are busy with their work. He never used to ask how much work is done unless
told and never used to keep check or ask about difficulties.
Plus the requirement and the output given never matched properly due to
communication gap. This led to a large pile up in the end which was managed due to
some rigorous work of 3 days.

Page | 51
Bibliography

Page | 52
 Kate Barr and Jeanne Bell, MNA(An Executive Director’s Guide to Financial
Leadership)
 Association of Chartered Certified Accountants(A focus on finance leadership)
 AON Hewitt(The Multiplier Effect: Insights into How Senior Leaders Drive
Employee Engagement Higher)
 Karl Zehetner, Barbara Fahrngruber, Robert Pichler and Stefan Trappl.
University of Applied Sciences Vienna, Austria. (FINANCIAL LEADERSHIP
– TRANSFORMING FINANCIAL EXPERTS INTO CFOS)
 PricewaterhouseCoopers(Financial leadership in challenging times: Challenges
and opportunities for today’s CFO's)
 Jeffrey C. Thomson (FINANCIAL LEADERSHIP: WHAT’S IT ALL
ABOUT?)
 Finance forte (The future of finance leadership)
 CFO Handbook ( What makes a great CFO?)
 DirectorBank Group( What makes a great Director?)
 Alvarez & Marsal ( What makes an exceptional Chairman)

summer internship report (qualities of a financial leader) - Copy

Recomendados

Recomendados

Mais conteúdo relacionado

Mais procurados

Mais procurados (20)

Destaque

Destaque (19)

Semelhante a summer internship report (qualities of a financial leader) - Copy

Semelhante a summer internship report (qualities of a financial leader) - Copy (20)

summer internship report (qualities of a financial leader) - Copy