What Makes a CFO: Is the Path from CPA to CFO Narrowing?
PICPA's research makes clear that a CPA's technical chops are no longer sufficient on their own to land the CFO seat.
Is the Path from CPA to CFO Narrowing?
The share of S&P 500 CFOs who hold a CPA has been shrinking. It stood at 55% in 2012, but had fallen to 43% by 2022. Is the CPA-to-CFO career track still as viable as it once was?
To find an answer, the Pennsylvania Institute of Certified Public Accountants (PICPA) surveyed more than 320 senior executives — not just CEOs, but also HR and talent leaders, heads of operations, vice presidents, and CFOs themselves.
The CFO's Most Critical Capability: Financial Acumen
The survey found that the single most important capability for a CFO is financial acumen — the ability to manage a company's capital effectively. Organizations of nearly every type (C corps, S corps, LLCs, sole proprietorships, and nonprofits alike) flagged it as essential.
Financial acumen spans a range of sub-capabilities, and the one that topped the list was capital management and strategy. It ranked first among all 79 sub-competencies surveyed — a striking show of priority.
Close behind were financial forecasting, operational and financial reporting, and receivables management. Notably, forecasting and capital management both carry a strong forward-looking dimension, underscoring just how pivotal they are for any CFO candidate.
Are Pure CPA Skills No Longer Enough to Make CFO?
PICPA's findings show that a CPA's technical skill set is no longer sufficient on its own to reach the CFO role. As PICPA puts it: "Success as a CPA has always been built on years of effort, deep expertise, and meticulous compliance — but those qualities alone are no longer enough to rise to the CFO chair."
Today's CFO is expected to bring a far broader set of capabilities: strategic thinking, growth planning, and enterprise leadership. That makes building well-rounded management capabilities that go beyond the CPA credential more important than ever.
What CPAs Should Be Building to Become CFOs
Becoming a successful CFO demands a wider lens and a more complete skill set. Beyond company finances, what matters most is developing the capabilities to steer the company's future — strategic decision-making, growth planning, and leadership.
If you're a finance professional with a CPA looking to sharpen your edge for a shifting market, set your sights on the forward-looking capabilities PICPA points to.
Take on your next step as a CPA!
Source: https://www.cfo.com/news/cpa-skills-arent-enough-to-be-a-cfo-cpas-say/724116/
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