Financial Management (UK) articles from March 2006

Financial Management (UK) archives from March 2006

Our continuing success on a global front hinges on innovation, collaboration and reputation.(IN BUSINESS)(Chartered Institute of Management Accountants)
March 1, 2006... CIMA is succeeding internationally and awareness of its reputation keeps on growing. This circle of success is because of our members and students and for them, too. A significant part of our strategy for global growth is based on...

CIMA members around the world.
March 1, 2006... CIMA members around the world will have the chance to take a new accelerated MBA qualification as the result of a joint initiative by the institute and an Australian university. The new distance-Learning course, run by Deakin University,...

Pass rates for six of the ten exams.(Chartered Institute of Management Accountants conducted test for accountants)(Brief article)
March 1, 2006... Pass rates for six of the ten exams in the second diet of the new syllabus were "encouraging and consistent", according to CIMA. But it added that the results for papers P1, P2 and P9 were "of some concern", especially because independent...

Tickets are still available.
March 1, 2006... Tickets are still available for the CIMA conference addressing the impact of "full economic costing" on higher education institutions. The event, which takes place on March 14 in London, will be chaired by John Newton, assistant director...

Further to our February news item.
March 1, 2006... Further to our February news item on CIMA members involved with the International Federation of Accountants, it should be noted that Professor Richard Wilson FCMA is a founding member of the Consultative Advisory Group. This was set up in 2004...

Department of Health places 62 health service bodies on critical list.(PUBLIC-SECTOR ACCOUNTING)(National Health Service (UK))(Brief article)
March 1, 2006... Poor financial management by a significant minority of NHS organisations is preventing the health service as a whole from balancing its books. A recent report from the Department of Health (Doll) revealed that 28 per cent of NHS...

CIMA contemplates Combined Code option for OFR.(FIRST IN ...)(Chartered Institute of Management Accountants)(operating and financial review)(Brief article)
March 1, 2006... CIMA is exploring the possibility of including the operating and financial review (OFR) as part of the Combined Code requirements. The option is one of a number that the institute is considering after the chancellor's decision in November to...

Home Office pins Whitehall farce on IT implementation difficulties.(PUBLIC-SECTOR ACCOUNTING)
March 1, 2006... The Home Office has responded to damning criticism of its financial management by the chairman of the government's committee of public accounts. Its finance chiefs were forced to issue a public statement after Edward Leigh censured the...

Continuing professional development on a Compact Disc.(FIRST IN ...)
March 1, 2006... The institute has provided a free CD-Rom on the cover of this issue of FM to help members plan their continuing professional development. This provides a detailed demonstration of the new online resource, the CIMA Professional Development...

The Financial Reporting Council.
March 1, 2006... The Financial Reporting Council is consulting on changes to the Combined Code. It's seeking views on whether or not to relax the existing provisions to allow company chairmen to serve on remuneration committees. The council is also...

The Association of Accounting Technicians (AAT), the International Association of Book-keepers (IAB) and the Institute of Financial Accountants (IFA) are investigating the feasibility of a joint qualification structure.(Brief article)
March 1, 2006... The Association of Accounting Technicians (AAT), the International Association of Book-keepers (IAB) and the Institute of Financial Accountants (IFA) are investigating the feasibility of a joint qualification structure. The three organisations...

Almost three-quarters of directors.(does'nt know the environmental regulations)(survey by the Institute of Directors)(Brief article)
March 1, 2006... Almost three-quarters of directors are unaware of key environmental regulations, according to a recent survey by the Institute of Directors. The IoD believes that a lack of government guidance on new EU green legislation has meant that the...

Charles Snailham ACMA Director of finance, London Symphony Orchestra.(ONE 2 ONE)(Associate Chartered Management Accountant )(Interview)(Cover story)
March 1, 2006... You don't have a background in the arts. How did you end up with the LSO? I'd always said that I would never work in London, but when I saw the orchestra's advert in the Guardian I thought it was too good an opportunity to miss. I'm not...

They wont put it down; it's not impossible to produce an attractive, clear annual report that combines brevity with depth of analysis, although far too few firms manage it. Camilla Berens and Steve Kemp explain how to convert your company's yearly statement into a triumph of investor--and public--relations.
March 1, 2006... Annual reports are rather like Danish pastries: they often look attractive on the outside, but you can never be sure whether their contents will live up to expectation, writes Camilla Berens. This yearly publication is an ideal tool for...

Peace dividends: if you're seeking the ultimate game of risk and return, look no further than Iraq and Afghanistan. Greg Baker asks the security experts how foreign companies can survive and thrive in the danger zone.
March 1, 2006... The reconstruction projects in Iraq and Afghanistan clearly represent massive profit-making potential for huge multinationals seeking business in these war-torn countries. What's more surprising are the opportunities they offer to the smaller...

Worst-case scenarios: certain threats can't be controlled, but most aren't as unmanageable as you might think. Ruth Prickett checks out the systems that allow firms to act on the early warning signs and plan a rapid response should disaster strike.
March 1, 2006... There's an old joke about two men confronted by an angry lion. One stops to put on a pair of trainers. When the other tells him that they can't possibly outrun a lion, he replies that he doesn't need to--he only has to outrun his friend. The...

Continuity errors: does your firm have an adequate disaster recovery plan? David Taylor explains why it needs to encompass not only IT but a lot more besides.
March 1, 2006... Disaster recovery (DR) and business continuity (BC) are often seen as IT issues. Traditionally, if there was a major systems failure, the IT department had a DR procedure to restore them, and when people considered business disruption they...

Lean management: the term is usually applied to the production line, but the finance function would benefit from getting a bit leaner, too.(TECHNICAL MATTERS)
March 1, 2006... Why does life only seem to get harder for the financial manager? Accounting is getting more complex, compliance requirements are increasing and commercial pressures are demanding more from you as a business partner. And then a non-accounting...

International accountancy: Peter Fleming asks Charles Tilley, CEO of CIMA; Steve Vieweg, CEO and president of CMA Canada; and Barry Melancon, CEO and president of AICPA, about the state of the financial management profession around the world.(TECHNICAL MATTERS)(Chartered Institute of Management Accountants)(American Institute of Certified Public Accountants)(Discussion)
March 1, 2006... Can you give a broad definition of management accounting? Steve Vieweg: Management accounting began by looking at and controlling costs. Now we have a much wider field that includes things such as risk analysis and supply chain, as well as...

Intellectual capital: Indra Abeysekera looks at two studies to compare the differences in the way that intellectual capital is accounted for by Sri Lankan and Australian companies.(TECHNICAL MATTERS)
March 1, 2006... We recently compared the findings of our research into intellectual capital (IC) reporting practices in Sri Lanka with those of a previous similar study in Australia. The results suggest that a policy framework for consistent and comparable IC...

Capital budgeting: don't take capital expenditure evaluation lightly when acquiring fixed assets, warns Theodore Chen, who recommends the discounted corporate cash flow method.(TECHNICAL MATTERS)
March 1, 2006... Making a wrong choice when acquiring capital assets could drain your firm's finances over a long period, since they can't readily be sold off to solve short-term cash flow problems. The capital budgeting process is, therefore,...

Irrational Exuberance.(Robert Shiller )(Brief article)(Book review)
March 1, 2006... IRRATIONAL EXUBERANCE Author: Robert Shiller Publisher: Princeton University Press Price: 17.95 [pounds sterling] ISBN: 0691123357 The title refers to a comment by Alan Greenspan, the former chairman of the US Federal Reserve, in a speech...

International Financial Reporting Standards in Depth.(Robert Kirk )(Book review)
March 1, 2006... INTERNATIONAL FINANCIAL REPORTING STANDARDS IN DEPTH. Author: Robert Kirk Publisher: Elsevier/CIMA Publishing Price: 35 [pounds sterling] (two volumes) ISBN: 0 7506 6473 8 First, a health warning: given this book's subject matter, do not...

The Concise Handbook of Management.(Jonathan Scott )(Brief article)(Book review)
March 1, 2006... THE CONCISE HANDBOOK OF MANAGEMENT Author: Jonathan Scott Publisher: Haworth Press Price: 20 [pounds sterling] PB (30 [pounds sterling] HB) ISBN: 1 84149 337 6 All the management books published before 1939 would fit into a car boot. By...

Financial Planning Using Excel.(technical tips and new techniques)(Brief article)
March 1, 2006... FINANCIAL PLANNING USING EXCEL Author: Sue Nugus Publisher: Elsevier/CIMA Publishing Price: 19.99 [pounds sterling] ISBN: 0 7506 6355 3 Unlike many books, this one is exactly what it claims on the cover: "useful to all management...

Employee Share Schemes.(Philip Fisher )(Book review)
March 1, 2006... EMPLOYEE SHARE SCHEMES Author: Philip Fisher Publisher: CCH/Wolters Kluwer Price: 84.95 [pounds sterling] ISBN: 1 84140 226 S Increasingly, companies are looking to offer shares to valued employees. With hundreds of pages of legislation,...

Global contact details.(STUDY NOTES)
March 1, 2006... CIMA Services was relaunched as CIMA Contact from July 1, 2004 to reflect that students and members now contact us via e-mail, from our web site, via fax and via telephone, and that we offer information to students, members, organisations and...

Cornelia Dibua, financial analyst, group reporting, central finance, Shell.(STUDENT ONE 2 ONE)(Interview)
March 1, 2006... Congratulations on being voted part-qualified of the year in the CIMA Financial Management Awards. Which qualities do you think helped you to win the accolade? Probably my strongest asset is my ability to work on a wide range of tasks and...

Financial analysis: Tony Sweetman offers a model approach to answering a recent exam question that tested the candidates' ability to dissect and decipher financial statements.(PAPER P8)
March 1, 2006... The analysis and interpretation of financial accounts represents 35 per cent of the syllabus content for paper P8. This means that it is highly examinable and should be addressed seriously by candidates preparing for this exam. In the May 2005...

Management accounting--decision management: several techniques are available to help managers with complex decisions to make. Bob Scarlett explains the strengths and weaknesses of four popular approaches. (PAPER P2.(ALSO P4 AND P5)
March 1, 2006... Decision-makers typically have to choose a course of action from a number of alternatives. The information they consider may be purely financial or it may involve a mix of quantitative and qualitative factors. The criteria upon which they base...

Correction.(Correction notice)
March 1, 2006... On page 41 of February's "Study notes" section, panel 5 referred to "Opening inventory completed". This should have read "Completed in the month". The published wording was misleading, since the figure of 1,720 units (for both materials and...

May 2006 exam entry.(EXAM NOTICE)
March 1, 2006... The May exams take place on Tuesday 23, Wednesday 24 and Thursday 25. Online exam entry opened on February 1 at www.cimaglobal.com/examentry. The standard dosing date for entry is March 14. If you enter after this date, it will be accepted...

Cancellations and changes.(EXAM NOTICE)
March 1, 2006... We do not accept cancellations and will not refund fees. To change papers or exam centres, you must e-mail cima.contact@ cimaglobal.com and pay the admin fee by March 31. Changes before March 14 cost 26 [pounds sterling]. Changes after March 14...

Exam centre changes.(EXAM NOTICE)
March 1, 2006... A full list of exam centres is available online at www.cimaglobal.com/ examcentres. Special centres will charge an extra fee, which must be paid directly to them, on top of the standard exam fees. The following will be reclassified as...

Ask a tutor--April event.(EXAM NOTICE)
March 1, 2006... Visit CIMA's web site to find out about the next "ask a tutor" event, to be held in April. Use this chance to ask an experienced tutor a syllabus-related question.

TOPCIMA pre-seen material.(EXAM NOTICE)
March 1, 2006... The pre-seen material and assessment matrix for TOPCIMA will be available at www.cimaglobal.com/topcima from March 13. It is your responsibility to download this and familiarise yourself with it before the exam. A "clean" copy will be given to...

Important CBA deadline.(EXAM NOTICE)
March 1, 2006... If you wish to sit managerial level exams in May, you must complete all certificate level computer-based assessments (CBAs) by March 1. For full information about entering for a certificate level CBA, visit www.cimaglobal.com/certificateentry.

CIMA Professional Development Certificate in Business Taxation.(EXAM NOTICE)(Chartered Institute of Management Accountants)
March 1, 2006... If you have passed intermediate level paper 6 Financial Accounting but have not passed intermediate level paper 5 Business Taxation after the November 2004 exams, you can use a pass in the CBA Introduction to Business Taxation (UK) to gain...

Queries.(EXAM NOTICE)
March 1, 2006... If you have any questions, please visit the CIMA web site (www.cimaglobal.com) to see if they are answered there, or get in touch with CIMA Contact (seepage 45 for details) or your local office.

Honesty's your only policy.(INSTITUTE UPDATE)(Chartered Institute of Management Accountants)(Student ethics)
March 1, 2006... There are defining moments in every person's life--from birth and marriage to serious illness and death. Some of these can be anticipated, but it is the less predictable events, such as divorce, severe injury or redundancy, that produce the...

Same old story?(Letters)(Letter to the editor)
March 1, 2006... Your article about the forthcoming law against age discrimination was a welcome update ("Mature victors?", February). But opposite that article was a full-page advert by one of the UK's largest financial recruitment agencies (named recruitment...

For richer or poorer?(Letters)(Letter to the editor)
March 1, 2006... Older people talk about ageism as an evil and they seem to welcome the proposed discrimination legislation. As I see it, the proposed law is the thin end of a wedge that could result in the removal of all the benefits and privileges that older...

Flat tax society.(Letters)(Letter to the editor)
March 1, 2006... Both of your "Level best?" (December/January 2005/06) features on flat tax were lacking in two significant ways. First, they took no account of social context--what effect do various systems have on society? We all live on the same globe and I...

Treating 'em mean.(Letters)(Letter to the editor)
March 1, 2006... The seemingly endless suggestions regarding mergers between accountancy bodies continues. The pattern appears to involve the ICAEW signalling interest, other bodies responding positively, then a consultative process, followed by a vote of all...

Presidential engagements.(Chartered Institute of Management Accountants)(Calendar)
March 1, 2006... Tilt March 9 Visit to South Africa March 9 AAT luncheon, London (deputy president attending) March 10 Honorary officers' meeting, Scotland March 10 ICAS dinner, Scotland March 13-14 Lecturers'...

Diary.(Chartered Institute of Management Accountants)(Calendar)
March 1, 2006... CENTRAL LONDON AND NORTH THAMES Contact: area.one@ cimaglobal.com. Please book online, where possible, at www.cimaglobal.com/events March 6 CIMA Biz.Net: Emotional intelligence Time: 7.30 for 8pm Venue: Watford Moat...

A lovely audience: William Parker offers his guide to coaxing the most useful information out of an interviewee--without making them feel they're facing the Spanish inquisition.(JOBS & CAREERS)
March 1, 2006... All financial managers will conduct interviews at some time in their careers--and not only for recruitment purposes--so it's essential to grasp the basic skills of this process. Before the talking starts, you will achieve better results if...

Oman.(ON THE MOVE)(Irish removal and storage firm )(Brief article)
March 1, 2006... Paul Coy FCHA, finance director of Irish removal and storage firm Oman, has been appointed CEO of the group resulting from its merger with the Beverly Smyth company in January.

Kerzner Development.(ON THE MOVE)(Kerzner International)(Steven Dowd)(Brief article)
March 1, 2006... Steven Dowd FCMA has been appointed vice-president, finance, for Kerzner Development, which is chiefly responsible for the development of the Atlantis resort in Dubai. He was previously director of finance for Dubai's One&Only Royal Mirage...

Ladbrokes.(ON THE MOVE)
March 1, 2006... Rosemary Thorne FCMA has been appointed finance director at Ladbrokes. She was previously group FD of Bradford & Bingley.

Astron BPS.(ON THE MOVE)(Trevor Bishop )(Brief article)
March 1, 2006... Trevor Bishop ACMA has been promoted to the post of divisional finance director at Astron BPS. He was financial controller at the business process outsourcing provider.

Surrey County Football Association.(ON THE MOVE)
March 1, 2006... Jason Kilby ACMA has become county development manager at Surrey County Football Association. He was football development officer at Middlesex County Football Association.

Secret diary.
March 1, 2006... Nothing can hinder Piers Pommeroy's progress this week. Well, nothing if you don't count a vanishing paramour, a far-fetched nervous breakdown and new bosses who really can't be bothered Monday This week has started rather well, with a...