Financial organization in Firms

Financial organization in Firms

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Do you agree with the author on when to hire a CFO?I do support the author’s opinion on the right time to hire a chief financial officer. A chief financial officer should be hired immediately the firm can afford. Waiting until a firm reaches the tipping point is lethal. Financial operations begin as soon as any firm starts it operation (Elliott and Jamie, 2008, 3). It is therefore necessary to hire a financial officer who looks into the financial and accounting matters of the firm. If the owner and the Chief executive officer of the firm takes a double role things may not work out. This is because a CEO has other more important managerial roles to attend to and hence there will be a deficit in the time dedicated to the financial and accounting matters which are also core to the firm.

Do you think you are getting top quality financial advice at 8 hours a month for $150/hour?

Hiring a financial adviser for eight hours a month is not realistic in a firm. Eight hours a month means that only the crucial financial and accounting matters will be looked into by the expert hired. It thus leaves other matters which are also of important to the firm unattended. This hence creates a vacuum in the accounting department as the hired expert does not comprehensively attend to all the financial matters.

What would you do if this was your company?

If quick office was my company I would have hired a financial officer immediately after its inception. Financial and accounting operations begin with the onset of operations. To ensure the financial matters in the company get a firm foundation, it would be necessary to hire a financial officer at the beginning (Atrill and McLane, 2008, 12). This would enable me as the chief executive attend to other more crucial management matters. It would also ensure that all the accounting and financial work runs smoothly in the company.

The approach of economic reform that Japan is taking is epic in scope with many components that still need to be implemented. If components are not adhered to or implemented correctly, it could have negative impact to not only Japan’s economy but the world economy. Do you agree with this approach? Why or why not?

The approach that Abe Shinzo has taken to reform Japan’s economy is so lame and is not materialistic at all. Deregulating businesses is lethal to the economy as unseen incidences of consumer exploitation are bound to happen which would be lethal to the economy. Excessive taxes imposed on the different traders are bound to discourage both local and foreign investors. This is pronounces a threat even to the world economy as Japan is one of the states whose economies are supportive to the world’s economy. Therefore, we can conclude that if the cards are not played well, Japan and the entire world might end up in an economic crisis and even a financial depression.

References

Elliott, B., and Jamie, E. (2008). Financial accounting and reporting. New Jersey: Pearson Education.

Atrill, P., and McLane, E. (2008). Accounting and finance for non-specialists. New Jersey: Pearson Education.