The CFO role has evolved dramatically, and today’s construction CFO is being asked to do more than ever — and often, in less time. As companies navigate complex financial pressures, workforce challenges, and shifting markets, the CFO is expected to guide not just financial reporting, but also strategic direction, technology investments, and company culture.
At the same time, turnover in CFO positions continues to rise. Recent studies show that CFOs stay in their roles for just over three years on average, making it one of the shortest tenures among C-suite positions despite growing responsibilities.
For construction companies, the stakes are even higher. With project-driven cash flow, regulatory complexity, and increasing competition for skilled talent, strong financial leadership can directly determine a company’s long-term success — or struggle.
As a leader within construction, it takes courage to step back and ask the hard questions about strengths and weaknesses. But by asking these tough questions, CFOs can learn about themselves and better steward their companies and people.
This article lays out a blueprint for effective financial leadership in construction, built on three essential pillars that CFOs must master:
- Embracing a future-focused mindset
- Building a company culture that values talent
- Knowing the business and local community
You’ll also be able to take a step back and ask yourself an important question: Who is that CFO in the mirror going to be — and where can you start?
The Role of the CFO
No longer limited to financial reporting and compliance, today’s CFO is a key driver of strategic growth, operational decision-making, and organizational culture. As noted in Forbes, “In recent years, CFOs have played a more active role in creating strategy for the company overall, not just tallying up the funds but devising new programs, structures, and tech investment plans to help the company’s bottom line.”1
The CFO’s ability to collaborate across departments, connect financial insights to business objectives, and provide steady leadership through uncertainty makes this role more critical — and more demanding — than ever. In its 2024 study, Datarails found that over the course of the past five years, CFOs stayed in their roles for an average of 3.1 years.2 The study further found that, compared to peer executives, CFOs had the shortest tenure, even though their salaries are some of the highest among company leaders.3
Research by Russell Reynolds Associates supports this finding, showing that S&P 500 CFO turnover reached a three-year high in 2024 at 14.4%.4
CFOs in Construction
To help shape this article, the authors spoke with four CFOs across the construction industry, each bringing unique experiences and perspectives to the conversation.
While every CFO’s journey is different, their insights consistently reinforced the importance of these three pillars as drivers of effective leadership and company growth.
Pillar 1: Focus on the Future
Beyond day-to-day accounting tasks, a key function of the CFO is working with the company’s C-suite executives to map out its future. Simply put, CFOs must be comfortable with being uncomfortable — stepping away from being “in the weeds” to focusing on creating a future road map to successfully navigate new territory.
CFOs must cultivate a big-picture mindset — seeing challenges and opportunities across all areas of the business, not just in finance.
Colin Kelly, CFO of Hurricane Fence in Richmond, VA, said, “Operations teams run differently than financial teams. Everyone has to understand each other’s lingo. Operations has to understand the basics of what the financial team is looking for, and the financial team has to understand how the operations team functions.”
CFOs are in a unique position to not only understand a company’s financial details, but also see the future outlook of where the company should be and how to get there. This includes investing in new technologies such as AI, developing growth plans, and understanding how the organization’s capital is being leveraged.
It’s important to consider the future when making decisions about today, focusing on the following key areas:
- Financial planning and budgeting: Build forecasting processes that drive more predictable results and inform stronger decisions.
- Technology strategy: Evaluate whether current enterprise resource planning (ERP) and technology systems align with long-term business goals and identify integration opportunities to increase efficiency.
- Capital and cash management: Actively manage payment timing, banking relationships, and software tools to optimize working capital.
- Risk management: Assess whether insurance coverages match business risk and explore captives or alternative coverage models.
- Tax strategy: Proactively work with tax advisors to plan for upcoming tax events and optimize positioning.
- Reporting: Deliver timely, accurate reporting that supports leadership decisions and informs stakeholders.
- Talent development: Strengthen onboarding, monitor retention trends, and invest in people’s growth to build long-term bench strength.
CFOs who focus on the future will also help foster a culture that is future-oriented. The CFO’s vision will help build a culture in which employees will think about the job they want to have within the company and will seek out new challenges for growth.