Few chief accounting officers and controllers are being promoted to fill the role of CFO, according to The Wall Street Journal, which cites trends measured by Korn/Ferry International.
In 2010, 36 percent of finance chiefs who were promoted internally had previously served as chief accounting officer or controller. Only 20 percent of current CFOs have such a background, according to the report.
Why are so few chief accounting officers being appointed CFO?
Chief accounting officers and controllers may lack the necessary skills to transition to the CFO role.
Charles Eldridge, senior client partner for Korn/Ferry, said the highly technical demands on chief accounting officers and controllers make it difficult for them to gain the operational and leadership skills finance chiefs need, according to the report.
There is still hope for chief accounting officers and controllers who wish to become CFOs, as individuals with these titles were promoted to CFO at 11 companies last month, according to the report.
More articles on healthcare finance:
How CHS, Tenet, UHS, LifePoint and HCA fared on 'Black Monday'
Bankrupt Georgia hospital accused of putting patients at risk
4 hospitals receive credit downgrades in past month