This factor measures the knowledge of financial resources management required EITHER for the management of the position’s own work unit, as for example in the case of line management, or for organisation-wide application as in the case of say a management accountant.
Level
Description
1
NIL Does not require a knowledge of financial resource management, or of setting or managing a budget.
2
BASIC Requires an understanding of the purpose of budgets, and the ability to apply and work to a budget. This level also includes general financial awareness.
3
MANAGE Requires the ability to manage expenditure of a fixed budget where there is flexibility to allocate budget funds to achieve results or in response to circumstances, for example to choose between different supliers, or different types of expenditure such as labour, materials and equipment. May require the ability to formulate and seek approval for an expenditure budget. May have a limited expenditure authority or delegation relevant to the budget managed.
4
FORMULATE Requires the ability to formulate, apply, monitor, review and revise budgets which include both income and expenditure. May approve budgets. May raise project funding through sponsorships, etc. Responsible for and has control over budget achievement.
5
TECHNICAL Requires an understanding of the purpose of financial instruments and technology, and financial statements such as profit and loss statements, balance sheets, etc, and an ability to make basic interpretations from them. May monitor cash flows, invest on the money market, or make relatively prescribed, standardised investment decisions. Jobs at this level may include Stockbroker, Financial Adviser, CEO's and Board Directors. Generally there would be some level of specialist financial or regulatory qualification required to fulfil the role eg AICD or a financial qualification either tertiary (eg accounting) or vocational (eg Certified Financial Planner) .
6
SENIOR PROFESSIONAL Requires an ability to professionally evaluate financial statements and monitor financial performance, including possibly evaluation of domestic investment proposals and financial risk. May evaluate transactions and requirements and options such as foreign exchange risk to provide advice. May assess the impact on the organisation of taxation strategies. Jobs at this level may include Financial Analyst, Management Accountant, Equities Fund Manager.
7
STRATEGIC RESOURCING Requires an ability to evaluate sources of and secure financial resources. May assess capital structures or share placements. May assess foreign investment proposals, joint ventures, mergers, and significant acquisitions. Jobs include Treasurer, Financier, Merchant Banker, CFO
