Financial Management (UK) articles from March 2003

Financial Management (UK) archives from March 2003

Editorial comment.(Air travel is discussed)(Editorial)
March 1, 2003... The unusual sight of tanks rolling into London's Heathrow airport last month was, apparently, intended to reassure the public that the government was determined to prevent terrorists from launching missiles at aeroplanes. However this affected...

CCAB-I in out-of-court settlement. (News Round-Up).(Consultative Committee of Accountancy Bodies in Ireland)(Brief Article)
March 1, 2003... The Consultative Committee of Accountancy Bodies in Ireland (CCAB-I) has agreed a settlement with the Republic's minister for enterprise, trade and employment in judicial review proceedings over his decision in 1996 to recognise the Institute...

Firms urged to embrace flexibility: parents of young children are to gain new rights at work. (Work-Life Balance).
March 1, 2003... The CBI'S criticism of the imminent extension of flexible working privileges for parents is shortsighted, according to the British Chambers of Commerce (BCC). From next month, working parents of children aged under six (under 18 in the...

Uplifting growth for on-line underwear company. (E-Commerce).(Figleaves.com)(Brief Article)(Company Profile)
March 1, 2003... Internet lingerie retailer Figleaves.com is expanding its management accounting function in recognition of the key contribution it made to the firm's first break-even result. In December 2002 the company reported break-even at EBITDA on net...

Firms back tamer watchdog: the new audit regulator isn't as fierce as many had feared. (Corporate Governance).
March 1, 2003... Government plans to merge the Accountancy Foundation (Ale) with the Financial Reporting Committee (FRC) to create a "super-regulator" have been greeted with relief by many business leaders. They had been concerned that it would impose draconian...

CFOs struggle with human factor. (News Round-Up).(Brief Article)
March 1, 2003... Finance directors are frustrated by their inability to measure the return on investment in employees and want a greater role in managing human capital, according to a survey by Mercer Human Resource Consulting. Businesses spend 36 per cent of...

Industry dogfight benefits flyers. (News Round-Up).(airline price dropped for the second quarter in a row)(Brief Article)
March 1, 2003... An airline price war in has turned corporate travel into a buyers' market, according to the latest American Express corporate travel index. Economy fares from the UK to western Europe dropped for the second quarter in a row, falling 14 per cent...

Institute starts on-line bulletins. (News Round-Up).(Brief Article)
March 1, 2003... CIMA has launched an e-mail newsletter. Entitled CIMA Insight, it brings together all the issues facing the profession, including expert technical updates; features focusing on current business accounting topics; news in brief; links to...

Minister hints at new CSR law: regulation remains `a key tool', says Margaret Beckett. (Corporate Social Responsibility).
March 1, 2003... Legislation is essential to force firms to act more ethically and report on environmental and social issues, according to experts on corporate social responsibility (CSR). "Sustainable development is unobtainable unless the current...

Higgs defends his handiwork: there's no call for `grinding, immediate change', he says. (Corporate Governance).(Derek Higgs)
March 1, 2003... Businesses should stop worrying about the power structure of their boards and start thinking more about value creation, according to Derek Higgs, whose report on corporate governance was published in January. Although the report's initial...

SMEs in danger of extinction. (News Round-Up).(small and medium-sized enterprises)(Brief Article)
March 1, 2003... Most small and medium-sized enterprises have no fraud prevention, crisis management or succession plans, and one in eight admits that the loss of a single customer could kill off their business, according to a survey of owner-managers by...

The end of the budgeting? (News Round-Up).(Brief Article)
March 1, 2003... The annual budget is no longer the best way to plan and control revenues and costs, according to Better Budgeting, a booklet from management specialist Develin Consulting. Rolling forecasts emphasising strategic goals and including changes to...

Following an increase in firms' awareness of their obligations to the wider community, consultancy Arup is set to launch an independent, transparent reporting tool to measure and record sustainable performance. (Technology News in Brief).(Corporate SPeAR will be launched)(Brief Article)
March 1, 2003... Following an increase in firms' awareness of their obligations to the wider community, consultancy Arup is set to launch an independent, transparent reporting tool to measure and record sustainable performance. Corporate SPeAR records...

Over a third of UK businesses plan to upgrade to Bacstel-IP, the new software to connect to Bacs, as soon as possible, although the deadline is 18 months away. (Technology News in Brief).(Brief Article)
March 1, 2003... Over a third of UK businesses plan to upgrade to Bacstel-IP, the new software to connect to Bacs, as soon as possible, although the deadline is 18 months away. About 20 per cent hope to change in the next six months, according to research by...

European firms eager to integrate. (IT News Round-Up).(Brief Article)
March 1, 2003... The European business process integration (BPI) market is set to grow by 12 per cent by 2005, reaching 1.24 billion [pounds sterling], according to a survey by business analysts at Datamonitor. The UKhas the largest share of this market with 32...

Accountants make reporting improvements a priority. (IT News Round-Up).(Brief Article)
March 1, 2003... Improving the efficiency and speed of financial reporting tops the agenda for more than 85 per cent of financial managers, according to research by the organiser of the Softworld accounting and finance exhibition. Changes to the...

Whiter than white. (Letters).
March 1, 2003... With the recent publication of the Higgs and Smith reports, it would be easy for members to lose sight of an issue that will have a significant impact on them as individuals, rather than as employees. The new Proceeds of Crime Act and the...

Exposure time. (Letters).
March 1, 2003... In response to Oliver Campbell's letter (FM, February), the award of FCMA is given after an assessment of the strategic input and senior-level experience of the applicant. This review is conducted by two members of the assessors' panel,...

Creating a level playing field. (Letters).
March 1, 2003... Before Sheffield United narrowly lost to Liverpool in the Worthington Cup semi-final, United's manager, Neil Warnock, was accused of making jibes about the Liverpool team. But he was being realistic. He pointed out that his team cost 600,000...

Statute of independence? (Letters).
March 1, 2003... A wave of opinion is emerging against the proposals of the Higgs review, in contrast to your report in February's FM. Any review conceived on false premises will reach the wrong conclusions, and Higgs has no evidence that corporate success or...

Safe and (financially) sound: how much is your reputation worth? Sri Rasiah highlights the financial damage that can be done to an organisation that doesn't protect its information and knowledge with security tools. (Technology).
March 1, 2003... What would be the financial impact on an organisation that couldn't access its customer database or had its financial data distorted? How successful would your product launch be if your presentation were known to your competitors in advance?...

Hell to pay: a dogmatic reward strategy can seriously damage your organisation's financial health--which is why management accountants should get more involved in policy-making. (Management).
March 1, 2003... The last weeks of 2002 were notable for the number of high-profile cases concerning the relationship between an organisation and its employees. Most column inches were devoted to confrontations in the public sector. First came the hospital...

Strength in diversity: in the late 1990s Accenture introduced a range of initiatives aimed at increasing the diversity of its workforce. Marian Corcoran explains the firm's motives and outlines what it has gained. (People Management).
March 1, 2003... In the 1980s and 1990s choosing to take time out from work, whether for family reasons or to fulfil another lifelong dream, would have almost certainly put the brakes on your future promotion prospects. But, as work-life balance issues...

Better late than never? The annual report is not nearly as useful to investors as companies might like to think, writes Cathy Hayward. But quarterly--or even real-time--reporting is becoming a practical option. (City).
March 1, 2003... The gulf between the needs of companies and investors was beautifully demonstrated recently in a survey by PricewaterhouseCoopers. It found that nearly all firms saw the annual report as a key tool for shareholders to use when making...

What is it good for? Increasing uncertainty about a war on Iraq is making the forecaster's job even harder than usual, writes David Ross, but the underlying trends in the fundamental economic measures are telling. (Economics).
March 1, 2003... In February the price of oil went above $30 per barrel, the price of gold surged to a six-year high of over $380 per ounce and the dollar fell to four-year lows against sterling and the euro. On the world's stock markets the FTSE 100 fell for...

Uneasy jets: the 9/11 terrorist attacks on the US proved ruinous for many of the traditional long-haul airlines, but low-budget operators are prospering at their expense--for now. As war in the Middle East looms, Cathy Hayward asks the experts what the future holds for an industry still in a state of extreme uncertainty. (Cover Feature The Airline Industry).(Industry Overview)
March 1, 2003... Life in the airline industry has been especially turbulent over the past two years. It was almost grounded by the combination of overcapacity, the events of 11 September 2001 and the risk of further terrorism. And the outlook is looking even...

Divide and rule: segmental reporting can play a major role in making financial statements more useful to investors. Paul Thompson and Hung Woan-Ting draw on segmental information from two South-East Asian airlines to show how to make an in-depth comparison of their performance. (Finance Segmental Reporting).(Illustration)
March 1, 2003... Most large plcs today operate in more than one geographical area or industrial sector, and each of these business segments is likely to have its own specific mix of economic, cultural and regulatory traits. These may well lead to different...

Sea changer: it wasn't until the early 1990s that the Royal Navy had a financial forecasting system, but the man who created it, Malcolm Cornberg FCMA, has tackled a whole raft of challenges during his career in Her Majesty's fleet. He talks to Cathy Hayward about reorganisations, resource management and Russian nuclear submarines. (Profile Malcolm Cornberg).(Biography)
March 1, 2003... Life on dry land might seem a dull option for a naval officer. But for Captain Malcolm Cornberg, who has spent much of his career grappling with the Royal Navy's resource planning, it's rarely been plain sailing. As first deputy assistant chief...

Best shot or long shot? Having cut the federal funds rate steadily since the end of 2000 in its effort to boost a flagging US economy, is the Federal Reserve getting short of ammunition? Ted Stone reviews the remaining options available to the Fed. (Business US Economy).
March 1, 2003... When the US Federal Reserve reduced the federal funds rate to 1.25 per cent in November 2002, many people thought that America's economy was ready to rebound. But, having seen disappointing levels of consumer spending at the end of the year,...

In for a penne ... what are the organisational issues that hamper companies when they try to introduce modern management accounting systems? Alberto Asquer draws on his research at an Italian food manufacturer to propose a recipe for success. (Business Implementing Innovation).
March 1, 2003... Many state-of-the-art technologies that help managers to keep things on track--activity-based costing and management systems, for instance--use a range of tools to assess operational efficiency and the achievement of organisational goals. Yet...

More charity, less faith: the government wants the voluntary sector to provide an increasing number of public healthcare services, but are charity managers and trustees up to the task? Nick Croft reveals case-study evidence of a lack of accountability, control and efficiency in the sector. (Finance Voluntary Sector).
March 1, 2003... Traditionally, the voluntary sector has provided invaluable healthcare services to beneficiaries who don't qualify for public assistance. It has also provided statutory services under contract with local authorities. The government is leaning...

At your services: software that helps manufacturers to link all their process information and enable staff, customers and suppliers to access relevant data on-line is nothing new. Now, however, some systems are promising similar benefits to professional services organisations. (Business PSA Software).(Industry Overview)
March 1, 2003... A new kind of business software package has emerged over the past couple of years: first identified in the US by the Aberdeen Group, professional services automation software (PSA) is now making waves in Europe. The idea behind it is to bring...

CIMA Publishing sold to Elsevier. (Institute News).(Brief Article)
March 1, 2003... Elsevier has completed the acquisition of CIMA Publishing, which will be integrated into Elsevier's Business Books Division. "This is a very exciting development for both CIMA and Elsevier," said Philip Shaw, MD, science and technology...

A good ACT to follow for career flexibility. (Institute News).(Association of Corporate Treasurers)(Brief Article)
March 1, 2003... After qualifying as an ACMA in July 2000, the last thing on Michelle Russell's mind was further study. But her role as an assistant treasury manager of the global exposure group at Schroders Salomon Smith Barney, where she was responsible for...

Malaysian firms plan to rise to Chinese challenge. (Institute News).(Brief Article)
March 1, 2003... Businesses need to reposition their roles and competitive edge and to recognise their strengths and weaknesses to benefit from the rise of China as a new economic dragon, according to Datuk David Chua, deputy secretary-general of the Associated...

CIMA roadshows. (Institute News).(Brief Article)
March 1, 2003... In an open forum, Harry Byrne and Charles Tilley will respond to your questions. These popular events give you the opportunity to meet CIMA's president and chief executive. They will also provide an excellent chance to meet fellow members and...

Correction to exemptions notice. (Institute News).(Correction Notice)
March 1, 2003... The phone number published for inquiries about the new exemption policy for CIMA exams in February's issue was incorrect. All initial inquiries about changes to the exemption policy should be made to CIMA Services on 020 8849 2251. We apologise...

President's engagements. (Institute News).(Financial institute events)(Illustration)(Calendar)
March 1, 2003... 7 March Institute of Chartered Accountants of Scotland annual dinner, Edinburgh. 11 March Visit of Chief Bajarno from Chartered Accountants of Nigeria to CIMA headquarters. 12...

Biz.Net sponsors 2003. (Institute News).(Reed Accountancy Personnel and Affordable Accounts Group are sponsors)(Brief Article)
March 1, 2003... CIMA Biz.Net has secured two national sponsors for 2003. Reed Accountancy Personnel has extended its agreement for a further 12 months, following two successful years as the initiative's sole sponsor. This year it has been joined by the...

Council member required in Area 4. (Institute News).
March 1, 2003... Casual vacancy in Area 4 Notice is given that, as the council member in electoral Area 4 (West Midlands), John Perry, has retired, a new candidate is sought to represent Area 4 on council. The casual vacancy will last until the close of...

Institute diary. (March).(Financial institute events)(Illustration)(Calendar)
March 1, 2003... Check the CIMA website and bookmark www.cima global.com/main/about/local/ europe for up-to-date event information in your area. CENTRAL LONDON AND NORTH THAMES See area newsletter for further information 4 March ...

Phil Clarke ACMA has been appointed finance director of Selfridges. (On the move).(Brief Article)
March 1, 2003... Phil Clarke ACMA has been appointed finance director of Selfridges. He has been head of finance at the company since 2001, and has had operational responsibility for financial reporting and performance monitoring. He has also been a member of...

Deryck Salter FCMA has been appointed finance director of Kier Plant. (On the move).(Brief Article)
March 1, 2003... Deryck Salter FCMA has been appointed finance director of Kier Plant, the plant-hire division of the Kier Group. He has been financial controller at the company since 1996. Before this, he spent 15 years in South Africa, where he progressed to...

David Buttfield FCMA, recently retired group finance director of the DS Group. (On the move).(Fenner appoints a non-executive director and chairman of the audit committee)(Brief Article)
March 1, 2003... David Buttfield FCMA, recently retired group finance director of the DS Group, has been appointed as a non-executive director and chairman of the audit committee of Fenner.

Martin Taylor ACMA has been appointed head of financial management at Keele University. (On the move).(Brief Article)
March 1, 2003... Martin Taylor ACMA (above) has been appointed head of financial management at Keele University. His new position will involve managing a team responsible for strategic financial planning, financial modelling, management accounting, statutory...

Peter Ward FCMA has been appointed director of Diebold's EMEA shared-service centre in Leeds. (On the move).(Brief Article)
March 1, 2003... Peter Ward FCMA has been appointed director of Diebold's EMEA shared-service centre in Leeds. He joins from Equifax, where he was European financial systems programme manager.

CIMA passed finalist Barbara Reynolds has been appointed company secretary to all the operating companies in the Beckett Group. (On the move).(Brief Article)
March 1, 2003... CIMA passed finalist Barbara Reynolds (above) has been appointed company secretary to all the operating companies in the Beckett Group. She will continue in her position as group financial controller--a role that she has held for the past year....

Adventush has appointed Paul Chinn ACMA as a consultant to run its retail industry and programme/project management practice areas. (On the move).(Brief Article)
March 1, 2003... Adventush as appointed Paul Chinn ACMA as a consultant to run its retail industry and programme/ project management practice areas. His responsibilities will include developing relationships with current and potential clients. He has held a...

Cambridge Display Technology (CDT) has appointed Ian Butcher as chief financial officer. (On the move).(Brief Article)
March 1, 2003... Cambridge Display Technology (CDT) has appointed Ian Butcher as chief financial officer--a position he has held on an interim basis since last summer. Butcher joins CDT after 12 years at Whitehead Mann Group, first in London and more recently...

Richard Barnes, group finance director of Waterford Wedgwood, has been appointed chairman of the board by Staffordshire-based development agency InStaffs. (On the move).(Brief Article)
March 1, 2003... Richard Barnes, group finance director of Waterford Wedgwood, has been appointed chairman of the board by Staffordshire-based development agency InStaffs. Barnes was appointed to the board of regional development agency Advantage West Midlands...

Stephen Everard has been appointed managing director of international tax solutions and software company Goal (Global Operations and Administration Ltd). (On the move).(Brief Article)
March 1, 2003... Stephen Everard has been appointed managing director of international tax solutions and software company Goal (Global Operations and Administration Ltd). Everard has over 20 years' experience as a director at organisations such as Mercury Asset...

Singer & Friedlander Insurance Finance has appointed Andy James as assistant director. (On the move).(Brief Article)
March 1, 2003... Singer & Friedlander Insurance Finance has appointed Andy James as assistant director. He was previously operations manager at the company and will now assume responsibility for new business processing and all operational areas of the business....

Diary of events. (On the move).(Illustration)(Calendar)
March 1, 2003... Softworld accounting and finance 5-6 March, London Contact: www.softworld.co.uk/af or tel: 07000 763896 Retail banking in Europe 6-7 March, Paris Addressing developments in key European markets; the implications of current...