The Three Languages of the Successful CFO
How to Make a Difference with the 3 Languages of the CFO
Andrew Codd and I explore the 3 critical languages of the CFO and why business immersion, technology and mentoring & teaching are keys to a meaningful and rewarding career.
Why Mastering the Three Languages of Finance is Key to Success
In his discussion with Andrew, I share my view of the future of the CFO role with practical prescriptions to not only help CFOs survive but thrive amid increasing complexity and expectation. My central message: the most effective CFOs must master “the three languages of finance”—accounting, commercial/business, and technology—and proactively step into teaching and relationship-building roles.
Prediction: CFOs Must Evolve Beyond Numbers
In the future CFOs will not be defined solely by their technical expertise in accounting and reporting. As automation and technology handle more transactional and compliance tasks “a super exciting time for our role will emerge”, one driven by value creation, communication, and influence. Those who do not adapt risk being left behind.
However, a word of caution, “If we can’t deliver the fundamentals, we’ll never be able to get to this next level.” This means we can’t take our eyes off compliance, reporting and control. These duties remain foundational. But they are no longer enough. CFOs are expected to genuinely engage with the business, enable commercial growth, and leverage technology to deepen business insights and impact.
Here is more on the evolving role of the CFO from Dave Bookbinder’s Behind the Numbers show, Leadership, Self-Awareness and Communication.
Prescription #1: Learn (and Speak) More Than Just ‘Finance’
Although accounting may be the universal language of business, it isn’t the only business language the CFO must know. While fluency in accounting remains essential, it’s equally crucial for CFOs to understand and speak the commercial language of their organization—whether that’s sales, operations, supply chain or industry-specific terminology. For example, early in my career I was involved in the grain trading industry. The industry terminology was its own. Terms like “long and short”, “basis”, “elevations”, “basic hedge”, “position”, “spreads”, “bullish/bearish” even “the bank” were nothing like the definition you read in a dictionary. To gain credibility and influence I had to learn to speak in the language of the grain industry. Lesson - You need to communicate in the commercial terms of the industry you serve.
A third language is also becoming essential. With technology playing an ever-bigger role in our businesses and digital transformation accelerating in every industry, understanding how modern technologies like AI, automation, digital systems and data analytics integrate with finance is vital for staying at the decision-making table. CFOs have a good start. Our experience in selecting, implementing and operating broad business systems like ERPs, cash management systems, travel reporting systems, etc… is helpful when turning the focus to AI, automation and data analytics.
Prescription #2: Prioritize Relationship-Building and Listening
Technical skills alone are not enough; relationship skills are a differentiator of great CFOs. The ability to build trust and create honest, open environments, where business leaders feel comfortable sharing true challenges and even vulnerabilities, is critical. Only through active listening, empathy, and genuine dialogue can CFOs uncover and address real business pain points. “there are few issues more troubling than solving minor issues while failing to understand and solve the important ones.”
One of the most important relationship a CFO can nurture is with the CEO. In this article, The CFOs Role and the CEO/CFO Relationship, seasoned CEO, Tom Burke, describes the CFO’s role form the CEO’s perspective.
Prescription #3: Embrace the Role of Teacher and Mentor
Today’s CFOs have a responsibility to help others understand the story behind the numbers—not just within finance, but across the business and even into their broader stakeholder community. Teaching not only raises the financial acumen of the organization but also reinforces CFOs’ own influence and value: “Being able to deliver their knowledge to colleagues helps their colleagues learn, get better and deliver more value.”
I also encourage CFOs to look beyond the boardroom. Engage and mentor your stakeholders, broaden their exposure to your expertise. This wider engagement enhances creativity, adaptability, and ultimately, career satisfaction.
For more on your role training and coaching your team read, The Importance of Training and Coaching Your Finance Leaders
The Future of the Chief Financial Officer Role
The future belongs to leaders who combine technical rigor with commercial insight, technological savvy, and outstanding interpersonal skills. Those who expand their communication skills, invest in relationship-building, and act as educators will be the CFOs who elevate their organizations, make a greater impact, and find personal fulfillment.
In summary, CFOs must:
- Master accounting, commercial, and technology languages.
- Actively listen and build real relationships.
- Teach, mentor, and communicate value both inside and outside the organization.
Ignoring this call means risking irrelevance in a future where CFOs must be far more than stewards of numbers—they must be business partners, change agents, and ambassadors of financial literacy. Forward-thinking CFOs who invest in their areas of growing importance will be the successful CFOs of the future.
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