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  Microsoft Plans to Give Financial Managers New Clout
Time: 04:51 EST/09:51 GMT | News Source: Yahoo News | Posted By: Alex Harris

Microsoft Corp. will unveil a plan to inject stronger financial management into each of its business units and beef up the sprawling software company's central finance function, Wednesday's Wall Street Journal reported. Microsoft will also introduce seven newly appointed senior executives who will act as "CFOs" of each of the units and report to the unit's general manager. The executives will have responsibility for setting financial targets, handling budgeting and measuring performance of their units.

Microsoft Chief Executive Steve Ballmer in late 2001 first decided to rework his company's business into more-autonomous units. But Mr. Ballmer also found he had to fix a major flaw in Microsoft's corporate culture: It was strong at product development and sales, but weak in financial management. As a result, the company had expanded into diverse businesses, investing billions, but it lacked a clear sense of how well each venture was really performing.

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