CFO and Stakeholders

As soon as a CFO takes over the reins, he/she has to

forge healthy relationships with the CEO, the Board of

Directors, colleagues and staff. Delay or dormancy in

establishing good relations with stakeholders can

jeopardize not only their financial agenda but also their

career.

I’ll try to offer 3 helpful guidelines on how CFOs can turn

unfamiliar stakeholders into loyal allies even as the

clock is ticking.

1) Listen

Listening is the key to establishing good relationships, both personal and professional. Spend some time keenly listening for both direct demands and subtle indicators to understand what exactly the stakeholders need and what they would rather avoid.

Eg: a business head may need data interpretation from your team to make better decisions for his own team's tasks. The CIO may want a flexible mindset to ROI so he/she may optimally harness technology to produce tangible results in the long run. Listening helps you gather information to strengthen your own

The process of listening may begin with asking questions -individually, through group discussions or questionnaires. But remember that it is often difficult for stakeholders to put exactly what they want - or don't - in so many words.

2) Talk so that They May Listen

Different individuals have different styles of grasping what they hear

and responding to it. Learn to adapt your communication

accordingly.

For instance, some individuals prize logic and systems. They may

have an analytical and practical approach, preferring to get to the

point over small talk and aggressively focusing on achieving

objectives. It is best to keep your conversation with them clear,

concise and direct, avoiding sentimentality, and respecting them as

leaders.

3) Lead

The most effective leaders are ones who are followed even without having formal designations. You must lead despite having one.

Use your resources to the optimum to achieve this goal. Your position could help you get recognized and heard; but employ your interpersonal skills to attract support.

others with your far-sightedness, integrity and commitment to quality.

Finally, reward a job well done by expressing gratitude and giving greater autonomy.

Finally…

Understanding your stakeholders' needs,

communicating your expectations effectively and

leading beyond formal authority will help you turn

them into loyal supporters to drive your organization

towards profitability and sustainability.

Maureen O'Connell

Maureen O’Connell is the current Executive VP,

CFO and CAO of Scholastic Corporation. When not

working, Maureen loves running, Skiing, Scuba

Diving or Travelling.