Internationaler Controller Verein

Transcription

1 Internationaler Controller Verein "How the International Controller Verein see Controlling and the Role of the Controller" Accountants Group in Germany Seminar 14. November 2012 Frankfurt 1

2 Agenda Introduction Who is the ICV Controlling, Controller, Controllership Definitions Controller guideline Mission statement Processes, tools and technics Manager and controller Controller as Business Partner Some statistics 2

3 The International Controlling Association 1975: The ICV was founded by graduates from the Controlling Academy, Gauting Today: more than members in 34 countries more than 60 working groups in Europe more than members Der Wegbereiter des Controlling: Dr. Dr. h.c. Albrecht Deyhle Gründer und Ehrenvorsitzender des ICV. 3

4 Our Self Perception We are opinion leader in Controlling. We develop Controllers to Business Partners. We enable succesfull careers in Controlling We are the right adress for managers We are an independent club, not bounded to any other organisation 4

5 Working Groups Countries in which the ICV is represented: Bulgaria Belgium Germany Italy Croatia Lithuania Netherlands Austria Poland Rumania Russia Switzerland Serbia Slowenia Spain Hungary 5

6 The International Controlling Association Business Intelligence Communication- Controlling Controlling und IFRS Beyond Budgeting Controlling and Innovation Project-Controlling Controlling and Quality Working Capital Management Controlling and Riskmanagement Green controlling Teams with leading Practiciners, consultants and scientists merging latest research with practical experience. Their goal is to provide you a new, practical control solutions to current challenges to these members to make available. 6

7 Our Philosophy Controlling has the goal of enduring value enhancement and not short-term profit maximation. We take a holistic view of controlling. We don't just see the costs, but first and foremost, the market as well. Controllers reveal development and improvement possibilities, adopt an independent attitude and assume co-responsibility for the company's success Controllers are the business conscience of the company. 7

8 Historical developement of Controlling Controlling as information supplier Provision of information for succesful steering Controlling profitoriented steering and monitoring (Siegwart, 1986) Controlling as coordination (Horvath) Controlling as integrater of information, goals, planning, control and organisation ( Küpper) Controlling to ensure management rationality (Schäffer/Weber) 8

9 Controlling, Controllership and Controller Controlling is understood as a specific management function which mostly is done by a controller but can partly also carried out by different Aufgabenträgern Controllership is defined to include all job items/tasks which are normally executed by a controller determinall als Controller soll der Inhaber einer Controllingstelle, der bestimmte Aufgaben für Manager wahrnimmt verstanden werden 9

10 Controller Mission Statement of the IGC Controller design and accompany the management process of defining goals, planning and controlling and thus share responsibility for the achievement of objectives Controllers ensure strategy - result - financial, process transparency, and thus contribute to higher profitability, Controllers coordinate sub-goals and partial plans and organize holistically across the enterprise, the forward looking reporting, Controller moderate and make the management process of defining goals, planning and control, so that decision makers can act goaloriented, Controller provide the necessary service to the business data and provide information; Controller design and maintain the controlling systems 10

11 STEERING The Steering Process INFORMATION PLANNING EXECUTION CONTROLLING 11

12 Controlling processes Strategic/ operative planning Reporting and forecasts Managerial accounting Project evaluation Riskmanagement- and controlling Functional controlling Economic affairs Organisation, processes, instruments, (IT)- systems 12

13 Controller's Tools and Techniques Why do we need a controller? internal navigator in order to support management ensuring that goals will be achieved What are a controller's products? plans that contain goals and ways to achieve these goals reports proposals for improvement What are controller's tasks? challenging setting corporate goals developing early warning indicators Who are the business partners of a controller? management 13

14 Self-Conception of a Controller at Lufthansa BUSINESS PARTNER strategy based Deep understanding of the business model focus on value driver REPORTING AGENT focus on transparancy 14

15 Controllings Internal and External Competitors Who are my competitors? Where are the markets and who are my customers? What services and products am I able to provide? What resources do I have to provide?? Prof.J. Weber Handelsblatt

16 Controlling Philosophy of ICV Controlling is a goal-oriented steering process that only functions when managers and controllers work together. 16

17 Controlling is Teamwork Manager responsible for results finance processes and strategy Controlling Controller responsible to create transparency on results finance processes and strategy Dr. Dr. h.c. Albrecht Deyhle 17

18 Controlling as Management Support RATIONAL MANAGEMENT SUPPORT COMPLEMENT LIMIT CONTROLLER FULFILL MANAGEMENT TASKS CONTROLLER AS BUSINESS COMPANION CONTROLLER ENSURE TARGET COMPLIANCE CONTROLLER AS BUSINESS PARTNER 18

19 Role Images of a Controller BEAN COUNTERS SNIFFER CHANGE AGENT INNOVATOR BRAKEMAN NAVIGATOR COMMUNICA- TOR INTERNAL ADVISOR INSPECTOR ECONOMIC CONSCIENCE ARCHITECT JESTER 19

20 Controller Job Description by a Former Lufthansa CEO Economic conscience Adviser and father confessor Decision pusher Neutral analyst and merciless therapist Warning flag setter Harm avoider and surprise preventing agent Sparring partner und challenger but also growth developer and customers advocate 20

21 Drivers of successful controllership ACTIVITIES PEOPLES INTERACTION TRENDS 21

22 Cooperation with managers based on trust High level of performance Identifying the managers needsand characteristics Delivering services instead of goods Serving all stakeholders symmetrically From marketing to conversation Cooperation in the managers project groups cooperation with other service provider 22

23 Controller Communicate with several Departments Executive Board Internal/external Communication Investor Relations Accounting Reporting Data Warehouse Valuation Principles Balance Sheets Controlling Auditing/ Legal Risk Management Compliance Financial Planning Budgets Incentive schemes Incentivesystem Business Units 23

24 Realization of sustainable business cycle 24

25 Adaption of changes Changes in the organisation Market changes and competitors Changes in the strategy Changes in management Internal and external competition Crises 25

26 Core Competencies of a Controller ANALYTICAL ABILITY COMMUNICA- TIONAL ABILITY BEING RESISTANT BUSINESS PARTNER KNOWING THE BUSINESS KNOWING THE TOOLS KNOWING PEOPLE S BEHAVIOUR 26

27 Relevant skills and capabilities in future Communication 81 Critical challenging 68 Backbone 64 Professional expertise 47 Command of toolset 32 Neutrality 17 Legend: No. of nominations in % 27

28 Prefered Role Images of a Controller Internal Consultant 32% Ökonomisches Gewissen 26% Navigator 13% Kontrolleur 10% Communicator 5% Change Agent 3% Spürhund Hofnarr 2% 2% Innovator 1% Bean counter 1% Architect Bremser 1% 0% Sonstiges 3% 28

29 Prefered Role Images of a Controller Kontrolleur Spürhund Bean Counter Bremser Ökonomisches Gewissen Hofnarr Architekt Kommunikator Innovator Change Agent Interner Berater Steuermann 66 29

30 External Effects Offer Change Opportunities Role Making vs. Role Taking descending relevance ascending relevance External influences (e.g. changing customer needs) require the controller to redefine their roles. -2% 53% The corporate culture determines the role model of the controller. -5% 28% We consistently use freedoms to shape our field of activity. -6% 27% We define our responsibilities. -6% 22% We offer particular services to position us internally. -12% 22% We perceive tasks that were assigned by the management. -19% 10% 30% 20% 10% 0 10% 20% 30% 40% 50% 60% 30

31 Statement of the founder of the controller Academy in Germany "The setting and pursuit of goals is the most fundamental task of guiding managers. Controlling it is the task of every manager. Controller do not make controlling, they rather support executives in the management process of defining goals, planning and control. Controlling means good teamwork, formed by the interaction of managements and controllers activities. The aggregated controlling competences therefore benefit controllers and managers likewise." Dr. Dr. h.c. Albrecht Deyhle 31

32 Thank you very much for your attention! Internationaler Controller Verein 32