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07. Accounting and Finance Emerging Trends
Accounting and Finance emerging trends.
FIRST MOVERS MARKET
The number of Chartered Accountants has hit critical levels and a number of large Chartered Accountancy firms are taking extreme measures to attract and retain top talent. From retention bonuses and salary increases outside of regular reviews, to approving long periods of leave and sabbaticals.
Corporates are also working hard to stay competitive in this market. Pay increases, promotions, professional development and additional leave are all on the table.
For first movers who would normally become qualified and head overseas, the border closures have meant a change in approach. Instead of leaving, they were able to demand higher salaries from their employer who had no other option but to agree because of the lack of global talent.
This has created a false, and unsustainable economy with the dramatic upward pressure on salaries.
There has been a leap in demand of Chartered Accounts globally, and now with the option of travel back on the cards as the borders begin to open, we will see a wave of Chartered Accountants head overseas to take up attractive global positions. This will put further pressure on the market here – both in terms of talent shortage, and salaries.
THE RISE OF THE SME CFO
Small to medium-sized businesses are the backbone of New Zealand’s post-pandemic economy. These organisations are high-growth, often export focused, private equity-backed and in their post-capital raise phase. And, taking control of their finances, is a new breed of CFO.
Often a candidate’s first introduction to CFO level, these roles are sometimes called a General Manager Finance, Finance Director or Head of Finance. Their mandate is for growth, and the challenges and opportunities in these roles are interesting and diverse.
Where the role significantly differs from a traditional CFO role with a larger company is the hand’s-on exposure to operational and commercial aspects of the business. These roles are about far more than the numbers. It’s a holistic finance role where good chemistry with the CEO, and well-developed soft skills are a must – a SME CFO needs to be able to take a business on a journey.
The experience and skills gained in these roles cannot be under-estimated. Not only are we seeing SME CFOs well-positioned for tier-one CFO opportunities, but career paths leading to CEO positions are clearly being forged.
