Financial Management (UK) articles from June 2005

Financial Management (UK) archives from June 2005

The role of professional accountants in business is hitting the news--and CIMA has a key part to play.(IN BUSINESS)(Column)
June 1, 2005... A frenzy of activity in international accountancy over the past few months has highlighted the increasing recognition and importance of the role of professional accountants in business. In April, Graham Ward, president of the International...

FEE seeks views on risk reporting.(FIRST IN ...)(Federation des Experts Comptables Europeens)(Brief Article)
June 1, 2005... The accountancy profession's European representative is urging businesses to engage in a "robust debate" as the European Commission prepares to introduce new requirements on the reporting of risk management and internal control as part of its...

Tesco's FD defines the benefits of its career-average pension scheme.(RETIREMENT PLANNING)(Andrew Higginson )
June 1, 2005... Retail giant Tesco has pledged to set a best-practice example in response to the debate on tackling the UK's pensions crisis. Speaking at a recent CIMA lecture, Andrew Higginson FCMA, finance and strategy director at Tesco, said that his...

Smart operators earn CIMA honours.(FIRST IN ...)(John Allen and Lorna Harper)(Chartered Institute of Management Accountants)(Brief Article)
June 1, 2005... John Allen and Lorna Harper have become the first part-qualifieds to win the CIMA NHS Student Excellence Awards. Allen was presented with a certificate and an Apple iPod last month for achieving the highest overall mark of all the CIMA students...

OFR set to create new CIMA roles.(REPORTING)(operating and financial review)(Chartered Institute of Management Accountants)(Brief Article)
June 1, 2005... Management accountants have a major part to play in ensuring that the new operating and financial review (OFR) requirements create a beneficial reporting mechanism. Professor Michael Bromwich, CIMA professor of accounting at the London School...

CIMA and FM Awards 2005: whom are you nominating?(FIRST IN ...)
June 1, 2005... If you, or someone you know, has made a huge contribution to your organisation's performance this year, why not send in a nomination for this year's CIMA and Financial Management Awards? These celebrate the achievements of CIMA professionals,...

The Accounting Standards Board.
June 1, 2005... The Accounting Standards Board (ASB) has updated its financial reporting standard for smaller entities (FRSSE). The update will be effective for accounting periods starting on or after January I, 2005. It reflects the basic principles of FRS5...

The ASB has also issued an exposure draft proposing existing samendments to its tandard FRS26 (IAS39), "Financial instruments: measurement".
June 1, 2005... The ASB has also issued an exposure draft proposing amendments to its existing standard FRS26 (IAS39), "Financial instruments: measurement". The proposed changes will: extend the scope of the standard to include all entities other than those...

The Financial Services Skills Council.(working on a set of best-practice standards for compliance staff)(Brief Article)
June 1, 2005... The Financial Services Skills Council is working on a set of best-practice standards for those employed in compliance and money-laundering prevention. Currently, formal qualifications are not a mandatory requirement for compliance staff in the...

One2One: Alan Brown Chairman, Unilever China.(Interview)
June 1, 2005... It must have been a bit of a culture shock when you moved to the Far East in 1998. For an Irishman in China the cultural differences were obviously enormous. But, contrary to what you might think, it's a surprisingly straightforward...

Continental drift: the EU's transition to international reporting standards is well under way. David Tyrrall analyses the change in four countries--France, Germany, UK and also the US--by examining its effects on the annual reports of four prominent firms.(analysis on international financial reporting standards (IFRS))
June 1, 2005... These are interesting times for accountants, as the most ambitious attempt ever to harmonise accounting practices in the EU, and indeed the world, gathers steam. Early attempts at harmonisation by the European Commission didn't get far,...

Cyberspace invaders: we're under attack from zombies, worms, viruses and botnets. D K Matai discusses what we can save our organisations.
June 1, 2005... Any threat that can destroy a larger and more organised system is defined as asymmetric. Traditionally, nation states have concentrated on symmetric threats such as nation-to-nation warfare. Today, however, government agencies say that global...

Economy drive: the responsibilities that come with managing a fleet of company cars are becoming progressively onerous. Louisa Roberts asks the experts how employers can meet them without increasing their costs accordingly.
June 1, 2005... Spend five minutes on the internet searching for the latest news on the UK car market and you'll be faced by a mountain of facts, figures, legislative updates, rants from key players about how these new laws are harming the industry--and rants...

Intangibles and the OFR: Vivien Beattie and Sarah Jane Thomson report on their analysis of the gap between the balance sheet values and market values of firms in the FTSE 100.(TECHNICAL MATTERS)(operating and financial reviews)
June 1, 2005... In May 2004 the UK government issued draft regulations to make operating and financial reviews (OFRs) a statutory requirement for quoted companies. Clearly, financial statements are no longer thought to tell enough of a business's story on...

Resource accounting and budgeting: a CIMA-sponsored study of RAB's impact on the devolved institutions of Northern Ireland, Scotland and Wales has found politicians struggling to grasp the concept.(TECHNICAL MATTERS)
June 1, 2005... The creation of the Northern Ireland Assembly, Scottish Parliament and Welsh Assembly in 1999 represented a major change to the way these parts of the UK were governed. At the same time, a key change in central government accounting systems was...

Equity investment: last year Malcolm Howard began an experiment to see whether an accountant could outperform the economists at predicting share values. Here are the results.(TECHNICAL MATTERS)
June 1, 2005... In the field of finance and economics, the current system of university funding in the UK is not conducive to the achievement of beneficial research work. The assessment exercise that's used to determine universities' research funding is biased...

Shamed by your English?
June 1, 2005... A SIMPLE technique for acquiring a swift mastery of good English has just been announced. It could double your powers of self-expression. It could pay you real dividends in business and social advancement, and give you added poise,...

How I improved my memory in one evening: the amazing experience of Robert Heap.
June 1, 2005... "Of course I place you! You're Bob Jones of Birmingham." "If I remember correctly--and I do remember correctly--John Bagshaw, the supermarket man, introduced me to you at the dinner of the Bowls Club three years ago in October." The...

Professional development: CIMA's new CPD scheme is a focused, yet flexible, framework to support what members already do to keep themselves at the cutting edge of their profession.(TECHNICAL MATTERS)(Chartered Institute of Management Accountants)
June 1, 2005... AT A GLANCE CIMA's new CPD scheme will: ** Take effect from 2006. All members will have to comply with its rules from January 1*. ** Concentrate on outputs. The scheme is concerned with the outcomes of activities, not the time...

Jackie Drought Group analyst, Linatex.(STUDENT ONE2ONE)(Interview)
June 1, 2005... Congratulations on being admitted to full CIMA membership recently. Do you feel any different now? It feels great. All that hard work has paid off and I'm making the most of my spare time now that I don't have to study. You started out...

Management accounting fundamentals: (also applicable to paper P1.) Break-even and variance analysis techniques can be used in any case where a standard unit cost and selling price can be determined.
June 1, 2005... You and your fellow CIMA students have been working so hard that you have decided to arrange a trip to the seaside to enjoy some welt-deserved rest and relaxation. The thought of a day off work, with champagne on the beach followed by a stroll...

Economics for business: if a monetary policy authority is fooled by the time lag between its interest rate adjustments and their effect on inflation, the consequences could be devastating.
June 1, 2005... To understand the difficulties of conducting monetary policy, consider the following imaginary experiment. First, place a brick on one side of a table and then sit on the opposite side with your face at table level. Next, try to pull the brick...

May 2005 exam results.(EXAM NOTICE)
June 1, 2005... If you wish to receive your May 2005 results via e-mail in the last week of July, you will need to select this option by logging in via www.cimaglobal.com to "My Cima" and accessing the "My personal details", "My communication preferences"...

Illness during the exams.(EXAM NOTICE)
June 1, 2005... If you were taken ill before or during the exams and you feel that it affected your performance, let us know. A special panel will then consider your circumstances. Write to us, with supporting medical evidence or a certificate, as soon as...

Exam questions.(EXAM NOTICE)
June 1, 2005... Visit the "Study resources" area on the website at www.cimaglobal.com/cps/rde/ xchg/SID-0AAAC544-F7A6A76E/live/ root.xsl/1377.htm to download the May 2005 exam questions. You can also buy question booklets and answer booklets from CIMA...

Post-exam guides.(EXAM NOTICE)
June 1, 2005... Post-exam guides for each of the professional level subjects will be available to download from the CIMA website three to four months after the exams. You will be able to access these in the "Study resources" area of the website (see web link...

Strategic level and TOPCIMA script review service.(EXAM NOTICE)
June 1, 2005... After the May exam results are released we will be offering a script review service for the three strategic level papers and TOPCIMA. Reviews will cost 120 [pounds sterling] per subject. The service is available to you only if you received...

Computer-based assessments at certificate level.(EXAM NOTICE)
June 1, 2005... For full information about entering for a certificate level computer-based assessment, visit www.cimaglobal.com/ cps/rde/xchg/SID-0AAAC544-F7A6A76E/ live/root.xsl/1360.htm.

CIMA Professional Development Certificate in Business Taxation.(EXAM NOTICE)
June 1, 2005... If you have passed intermediate level paper 6 Financial Accounting, but not intermediate level paper 5 Business Taxation, you can use a pass in the computer-based assessment Introduction to Business Taxation (UK) to gain credit for managerial...

Queries.(EXAM NOTICE)
June 1, 2005... Visit www.cimaglobal.com or get in touch with CIMA Contact or your local office.

Independence for assurance engagements.(ETHICS)(ethical guidelines for financial professionals)
June 1, 2005... The following notes apply to all members in practice when performing assurance engagements. They arise from the need to be independent in mind and appearance when carrying out such engagements and are supported by the current ethical...

Elections to council 2005.(INSTITUTE UPDATE)(re-elected members)(Brief Article)
June 1, 2005... The following members have been re-elected to serve for another term on council from the close of the AGM on June 11, 2005 until the close of the AGM in 2008: * Robin Clutterham: area 1 (Central London and North Thames). * Daphne...

CIMA annual conference 2005.(INSTITUTE UPDATE)(Chartered Institute of Management Accountants)(Brief Article)
June 1, 2005... CIMA's annual conference will take place on November 10 at the Congress Centre in London. The theme this year is "Success--the power of financial management" and the hot topics on the agenda include the risks of cybercrime, the operating...

Around the world in 80 ways?(Letters)(Letter to the Editor)
June 1, 2005... I was interested to read Peter Weeks's letter about the publicity he saw for the CIMA qualification in Sri Lanka (April). Sri Lanka probably has the highest number of CIMA students and members outside the UK. The institute is very active in Sri...

Slight returns.(Letters)(Letter to the Editor)
June 1, 2005... Little things go a long way, as the saying goes. Staff feel empty and ignored when a colleague or boss fails to bid them good morning or rushes down the hallway without even acknowledging their presence. Subtle snubs, flippant gestures and...

Diary.(Calendar)
June 1, 2005... All events are free unless stated otherwise. To book places, contact the local event co-ordinator highlighted for the relevant area unless stated otherwise. Visit www.cimaglobal.com/members/inside/local for updates. CENTRAL LONDON AND...

Do the quango: Mike Brooks explains why working part time as a director of a public body can give you even more than the simple satisfaction of selfless community service.(JOBS & CAREERS)(Column)
June 1, 2005... Many business professionals find the middle of their careers a frustrating time. They feel that, although they may have made a major personal investment in their own development, the risks they've taken and the sacrifices they've made have not...

CIMA.(ON THE MOVE)(appointment of Falconer Mitchell and David Dugdale)(Chartered Institute of Management Accountants)(Brief Article)
June 1, 2005... Professor Falconer Mitchell has been appointed to chair CIMA's research board for a term of two years. He succeeds Professor Robert Berry who was chair for 16 years. Professor David Dugdale has been appointed joint vice-chair for two years.

Royal Group.(ON THE MOVE)(appointment of Clive Darlaston at Spanish development firm)(Brief Article)
June 1, 2005... Clive Darlaston FCMA has become group financial director for the Royal Group, a Spanish property developer. He was divisional FD at MyTravel.

Gangmasters Licensing Authority.(ON THE MOVE)(appointment of Ray Dawson)(Brief Article)
June 1, 2005... Ray Dawson FCMA has been appointed director of finance and business services at the Gangmasters Licensing Authority, a new body created to regulate labour providers in the agriculture and shellfishing industries.

Wagners.(ON THE MOVE)(appointment of Don Dissanayake to Australian concrete company)(Brief Article)
June 1, 2005... Don Dissanayake FCMA has been appointed international finance officer for Wagners, an Australian-based concrete and composites group. He has worked for Amatil, Coca-Cola and GEC.

Coda.(ON THE MOVE)(appointment of Steve Dashwood)(Brief Article)
June 1, 2005... Steve Dashwood ACMA has been promoted to the role of UK managing director at Coda. He was operations director at the finance systems supplier.

Richard Sketchley ACMA has been appointed FD at two firms.(ON THE MOVE)(Growing Success Organics and Wessex Horticultural Products)(Brief Article)
June 1, 2005... Richard Sketchley ACMA has been appointed FD at two firms: Growing Success Organics and Wessex Horticultural Products.

Jonas.(appointments at Drivers Jonas.)(Brief Article)
June 1, 2005... CIMA student Martin West has joined Drivers Jonas as a partner. He will lead the relocation unit in the chartered surveying firm's strategic consultancy business.

Public probity: the Nolan committee's seven principles.(JOBS & CAREERS)(Brief Article)
June 1, 2005... Selflessness. Holders of public office should act solely in terms of the public interest. They should not do so in order to gain financial or other benefits for themselves, their families or their friends. Integrity. Holders of public...

Secret diary: passing his exams has reawakened Piers Pommeroy's ambition, but it may take more than letters after his name to jump-start his moribund career. Good job he's got entrepreneurial friends.(Diary entry)
June 1, 2005... Week 1 I have to admit that I was wrong. When I was first appointed "customer satisfaction focal point" for the internal audit business unit, I was not well pleased. It seemed to me that this was yet another potential banana skin on the...