Analysis Of The Article ' Challenges For Financial Managers ' A Changing Economic Environment ' By Livia Ilie

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Financial managers must maintain an understanding of legal and regulatory issues when planning, forecasting, analyzing, and evaluating the appropriate steps to grow the firms bottom line (Byrd, J., Hickman, K., & McPherson, M., 2013). Whether the existing market structure is perfect or monopolistic competition, oligopoly, or a monopoly, the financial manager has the task of understanding and analyzing the difficulties that each market structure poses. This paper will analyze the challenges a financial manager will encounter and incorporate how liquidity, competitiveness, and efficiency affects financial managers.
Financial Manager Challenges
Besides gathering, analyzing, and translating data, financial managers and the finance department as whole must also be able to present the data they collect and analyze. In the article titled “Challenges for Financial Managers in a Changing Economic Environment” author Livia Ilie posits that responsibilities that once focused on financial planning budgeting now require strategic evaluations and professional communication of this information to subordinates and managers. Ilie (2015) stated, “The CFO has to be able to express in simple words what is behind the complex data analysis the finance department is making available” (p. 729). It is equally important to process and present the data as it is to explain to peers, subordinates and executives what the information means. This places a CFO or financial manager in the position as both a leader of peers and subordinates as well as a member of the executive team. Ilie recognized financial managers face many challenges related to changes in the role of a companies finance operation.
Miller, Yeager, Hildreth, and Rabin (2005) authors of...

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... structure, a financial manager must find ways to make their company stand out from others to remain profitable.
Efficiency
Efficient operations, especially, financial operations are important to manage as a company evaluates its competition and pricing. If product demand is not properly manage a firm could risk overproducing or under producing products. This would result in excessive or deleted stock and in either situation, additional cost.
Conclusion
Financial managers confront numerous challenges in their role as well as in various market structures. Regardless of the market structure, market liquidity, competitiveness, and efficiency are challenges that a financial manager will need to adapt to successfully. Despite the challenges, financial managers take pride in their involvement with executing plans and watching a company grow through challenging times.

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