According to a 2024 survey, 86% of controllers believe their roles will change within the next five years. Of those who expect changes, more than 25% believe that adapting to their new work will require different skill sets.
The role of financial controllers is forever evolving, especially for small to mid-sized businesses. They are no longer just the gatekeepers of financial records. Controllers are becoming strategic partners who use technology and data to fuel business growth.
Here’s a look at how the role is changing and how you can adapt with the support of fractional CFO services.
From Bookkeepers to Strategic Leaders
Historically, financial controllers focused on maintaining accurate books and overseeing budgets. Today, their role is expanding to include strategic decision-making. Controllers are now expected to analyze financial data to uncover insights that inform long-term business strategies.
For small to mid-sized businesses, this shift is critical, as controllers help translate raw numbers into actionable plans. By partnering with fractional CFOs, controllers provide the detailed financial oversight that complements high-level strategy, ensuring businesses can scale efficiently without sacrificing accuracy.
Embracing Technology and Automation
The role of the controller isn’t the only thing changing. Their toolkit is evolving, too. Tools like AI-driven analytics and cloud-based platforms, such as NetSuite, are automating routine tasks like financial reporting and payroll. While these resources can equip controllers with deeper insights, they also require new responsibilities.
With that in mind, the next generation of controllers needs to be open to learning new technologies and rethinking old ways of doing things. Leaning into innovative tech tools will help financial professionals adapt to the changing environment and deliver timely, relevant guidance to the C-suite.
For small businesses, adopting these tools means controllers can deliver real-time insights without the overhead of a full-time CFO. Controllers are already using AI to predict financial trends to help their businesses stay ahead of market shifts.
Data Analytics as a Core Skill
The modern controller wears multiple hats, including that of a data analyst. With access to advanced analytics, controllers can identify trends and assess risks. They can also recommend cost-saving measures.
For example, a controller might analyze cash flow patterns to optimize working capital, a critical need for mid-sized firms navigating growth. This data-driven approach aligns with the strategic goals of fractional CFOs, who rely on controllers to provide accurate, actionable data.
Addressing Compliance and Risk
Compliance remains an important part of the controller’s role, but it is becoming more complex. Controllers must stay updated on evolving regulations, such as tax laws and data privacy standards.
The good news is that adopting new tools will give controllers more time to focus on compliance and risk mitigation. Smart solutions with built-in compliance guardrails can reduce an organization’s risk of violations and help businesses avoid costly errors.
Collaborating With Fractional CFOs
Chief financial officers are tasked with focusing on long-term strategy and big picture goals. On the other hand, controllers manage day-to-day operational details. Balancing these roles is especially important for businesses that rely on fractional CFO services.
Your business can strike this balance by choosing the right service provider and supporting the controller in their day-to-day activities. When enlisting the services of a fractional CFO, be sure to involve your controller in the selection process. After all, they will be the one who is impacted the most.
How to Adjust to the New Landscape
The future of financial controllers is bright but demanding. As businesses face economic uncertainty and rapid technological advancements, controllers must adapt. They need to master new tools and embrace strategic roles.
For small to mid-sized firms, this change means that controllers are no longer just number-crunchers; they are vital to driving profitability and growth. Controllers must stay agile and data-savvy as they step into their redefined roles.
Take Control of Your Financial Future
The role of controllers is changing, and there’s no turning back. The question is, what will you do to make sure your controller is prepared? At Zabel & Co, we provide fractional CFO services and other bespoke growth and profitability solutions to help our clients thrive. Let our team prepare you for the future of finance with a fractional CFO. Contact us to schedule a consultation.