Ajay Seth, Chief Financial Officer of Maruti Suzuki, discusses the changing role of finance at the Fore School of Management’s Global Leadership Lecture Series
The finance and accounting area of the Fore School of Management hosted the third seminar as part of the Global Leadership Lecture Series. Ajay Seth, Chief Financial Officer and Board Member of Maruti Suzuki India Limited, addressed the session and shared his thoughts on the changing role of finance.
Rising expectations from management and the board saw CFOs as a business partner to ensure their end goals and goals were met. The standards have changed in terms of compliance and the number of compliances to be complied with. Businesses have become so dynamic that if a CFO fails to provide the right advice at the right time, there can be a significant drop in profitability and revenue for the business.
To pursue an active role in finance, students must go beyond the essential rules of finance. Students need to improve and invest in their soft skills. These include communication skills, development of leadership qualities, commercial and business acumen. Students should also invest in technical skills – developing software skills, learning about regulatory compliance, having a thorough knowledge of reporting standards, developing analytical skills – especially Business Intelligence and Data Analytics.
Ajay Seth concluded the session by discussing the necessary components that businesses need to focus on to establish value. Environment, Social and Governance (ESG), is very important for companies. Consumers appreciate a company that has a strong ESG practice. ESG components include CSR, risk management, pollution and climate change control, promotion of anti-corruption, etc. Likewise, good corporate governance is important for long-term success. Components of corporate governance include broad independence and constitution, executive compensation, shareholder rights, etc.