Nolop, former CFO of both E*Trade and Pitney Bowes, notes that the role of the CFO has already changed from "super controller" to "strategic CFO." Looking ahead to 2025, he predicts the following:
- Strategic partner: "CFOs will explicitly partner with CEOs in defining, executing and communicating a company's business and financial strategies..." The critical partnership between business officers and heads of schools is a topic I've discussed extensively with seasoned and varied individuals from both offices. Independent schools operate in an increasingly competitive and complex world, and they require a sound business strategy to successfully support their mission and academic program over a sustained period. The business officer must be a leader in developing and implementing this comprehensive strategy.
- Globalization: "CFOs will develop a more global mindset." This is already happening for many CFOs as their schools grapple with the possibilities, including educating more international students, developing an overseas presence, harnessing online learning, complying with myriad tax and regulatory matters, and managing the impact of the global economy on all students.
- Communications: "The CFO will require superior presentation, writing and listening skills." I have often said that the most successful business officers excel at communicating financial matters to non-financial people. This reality applies increasingly to both internal and external audiences.
- Compliance: "The proliferation of new and more onerous laws and regulations" will require business officers to fine-tune daily operations and seek efficiencies to mitigate compliance burdens. Business officers have told me resoundingly that human resource compliance issues already keep them up at night. Nolop predicts that these demands will only become more difficult, and I agree.
- Compensation: "CFOs will enjoy much greater compensation," and that is great news. Not only has the NBOA Business Office Survey continually shown a steady uptick in salaries, but business officers with the title "chief financial officer" enjoy markedly higher compensation still. Needless to say, the trend toward higher pay is consistent with longer weeks and growing portfolios of responsibilities.
My overall takeaway from Nolop's predictions: First, the role you serve is critical to your school and will be even more important in the years ahead. Second, NBOA is your partner to help you be successful today—and we will be that partner in 2025 as well!
