What are CFOs thinking as we enter a new year and head into a period of recovery? Not surprisingly, they are thinking about how to strategically structure their companies to be successful in the short and long term. They are also thinking about the risks and obstacles that their companies may encounter on the way to achieving their strategic objectives.

Finance executives also tell us they are concerned about the ramifications for their understaffed finance and accounting departments, such as controls being bypassed and compliance structures weakened. Even before the economy took a nosedive, there was a severe shortage of CPAs and CPAs. In many companies, corporate accounting and internal audit had great difficulty retaining employees due to intense competition for experienced accountants, auditors, and financial professionals. Even a loyal employee, when offered a big raise in salary, generous bonuses and incentive income, a signing bonus, and a better work-life balance, will have a hard time turning it down. That was the scenario before the recession. There were many empty desks in the finance and accounting departments due to supply and demand. Of course, the demand problem was caused by SOX and other regulatory and compliance requirements. Entering the recession, companies cut headcount across the board and instituted a hiring freeze, and finance and accounting departments again grappled with skeleton crews.

The demand for accountants and finance executives will increase

Now that a recovery appears to be underway, the demand for accountants and finance executives will increase. Some executives we’ve talked to are under the impression that hiring won’t be that difficult because there will be a large pool of people available due to all the layoffs. That may be the case in some sectors and in some disciplines, but not so much in accounting and finance. We are sure there will be competition for talent, especially accountants, because the demand has never dropped significantly. Many of our clients took advantage of the economic downturn to enhance their talent, strengthen their banking and reshape their teams for the future. Our advice to our clients not to wait until trading conditions improve. They should try to get ahead of the curve, if they can, and start planning and recruiting FD capital recruitment now.

Develop plans now to retain your key people

Here’s something else that CFOs may lose sleep over: Although it appears the economy is no longer on life support, that carries with it the risk that companies could start losing their best employees. CFOs, as well as CEOs and human resources directors, would be wise to develop plans now to retain their key people. History tells us that long before the economy turns into a recovery, top-performing companies start looking for other opportunities. We are being contacted by more and more employed finance executives who want us to “keep them in mind” when new opportunities present themselves. The war for financial talent is not over and it’s going to heat up.