Controller vs.

Treasurer
by Charles Crawford

Controllers and treasurers are financial managers with different missions.

Treasurers and controllers are both financial managers, but they have different roles.
Controllers usually concentrate on what has already happened inside a company. They
prepare financial statements and other reports based on past activity. Treasurers focus
outward and interact with the bankers, shareholders and potential investors who provide
capital. In some small businesses, the owner, a controller and an outside accountant might
share the financial duties.

Qualifications
Treasurers and controllers should be college graduates -- with several years of
experience working in accounting or finance positions -- who have completed courses in
accounting, finance or economics. Both positions call for candidates who pay attention to
detail, are analytically minded and possess organizational skills. They should be comfortable
working with Microsoft Excel and financial analysis software. Master's degrees are preferred,
especially by large corporations. Employers often require that controllers be certified public
accountants.

Where They Work

There are positions for treasurers and controllers in all sizes of companies except for the
smallest, where owners and outside accountants often perform the necessary financial
functions. Treasurers and controllers work in nonprofit organizations and government
agencies as well as private sector businesses, especially banks and other financial
businesses. Their day-to-day functions include accounting oversight -- mainly the concern of
controllers -- analysis and reporting. Treasurers tend to specialize in cash management and
risk management.

Focus
Controllers focus on the internal workings of organizations. They prepare budgets and
supervise accounting and auditing work. They also generate the tax returns and financial
statements required by regulators. Controllers monitor whether operational units are meeting
deadlines and complying with regulations. Treasurers obtain loans and other credit from
outside sources, maintain relationships with banks, raise equity capital, invest company
funds and communicate with shareholders. In general, they manage the company's cash
and ensure that the company meets the financial goals expressed in the budget.

Job Outlook and Salary

The U.S. Bureau of Labor Statistics has predicted a 9 percent growth rate in jobs for
financial managers -- including controllers and treasurers -- through 2020. Commercial
banking and the savings industry, however, where many financial managers work, can
expect a 14 percent decline in employment for the same period. Job candidates with
master's degrees, certifications and an understanding of international finance will have the
best prospects for employment. The median annual salary for financial managers was
$103,910 in 2010, with $106,400 for the highest 10 percent.
Controllership and Treasurership Functions
The Controllers Institute changed its name to Financial Executives Institute in 1962 and
developed the following list of functions for controllers and treasurers. The controllership
functions are accounting functions while the treasurership functions are finance functions.
According to the FEI, the combination of these functions defines financial management.