Financial Management (UK) articles from May 2001

Financial Management (UK) archives from May 2001

Editor's letter.
May 1, 2001... The world of banking has had its fair share of ups and downs over the past few years. Whether it's branch closures, new internet services, competition from banks overseas or the war for credit card customers, UK banks haven't been able to stand...

Drop in confidence.(Brief Article)
May 1, 2001... Financial services firms have seen the biggest fall in business confidence for more than two years, according to the CBI quarterly survey. Almost 40 per cent of respondents said they were less optimistic than three months ago, while 13 per cent...

Charities reprimanded.
May 1, 2001... The London-based Lansdowne House Alcohol Advisory Unit and Barnhill Community Association in Middlesex are among five charities reprimanded by the Charity Commission for failing to submit their accounts to the commission, as required by law....

MP attacks BCCI `cover-up'.(Bank of Credit and Commerce International Ltd.)(Brief Article)
May 1, 2001... Successive UK governments have been engaged in a cover-up to shield the Bank of Credit and Commerce international's (BCCI) audits from public scrutiny, according to a report by the Association for Accountancy and Business Affairs. The 6 billion...

Firm ways to avoid tax.(Brief Article)
May 1, 2001... Sole traders and businesses operating under partnership agreements should become companies in order to cut tax and reduce liability, according to Susan Whiting, a tax expert at chartered accountancy firm Dean Statham. The level of corporation...

Cybercriminals terrorise UK firms.(Brief Article)
May 1, 2001... UK firms fear hackers are a serious threat to their future. A third of the UK'S largest companies and public-sector organisations have been victims of hacking over the past year, according to a report by the Communications Management...

IT managers are wasting money on the latest IT systems and are failing to gain competitive advantage.(Brief Article)
May 1, 2001... IT managers are wasting money on the latest IT systems and are failing to gain competitive advantage, according to Martin Butler, chairman of IT research and analyst firm Butler Group. "Most IT spend is a blatant squandering of money," he...

German buyers beat UK on-line.(Brief Article)
May 1, 2001... FDs are failing to recognise e-procurement benefits, writes Cathy Hayward The UK is lagging behind Germany in the adoption of e-procurement, according to a survey by American Express. Fewer than 10 per cent of UK companies have automated...

Finance revolution storms Whitehall.(Brief Article)
May 1, 2001... Financial managers in central government faced the biggest shake-up for 140 years when resource accounting became fully operational in April. The new system requires finance staff to make clear the full cost of assets and liabilities, including...

Companies err over FRS13.(financial accounting standard)(Brief Article)
May 1, 2001... Firms that come under the scope of FRS13 "Derivatives and other financial instruments: disclosures", are failing to apply correctly the standard in the preparation of their financial statements, according to the Financial Reporting Review...

BAAEC to close.
May 1, 2001... The Board of Accreditation of Accountancy Education Courses (BAAEC) which supervises the joint accreditation processes for CIMA, Cipfa, Icas and the ICAEW, is to close. The decision, which was made at a meeting of the four accountancy bodies,...

Firms turn to recruitment agents.(Brief Article)
May 1, 2001... Over 70 per cent of businesses use recruitment agencies to find new staff instead of using direct advertising, according to a survey by recruitment consultancy Badenoch and Clark. Businesses find that they get better quality candidates, a...

Tax change boosts green cars.(Brief Article)
May 1, 2001... The new company car tax system, due in April 2002, will increase demand for a new breed of smaller, greener cars, according to fleet management firm Velo. The [CO.sup.2] emissions-based system, under which big polluters are taxed more heavily...

Accountant stole to pay for gifts.
May 1, 2001... Martin Lang, a Scottish accountant who lavished thousands of pounds of gifts on a married woman, has been found guilty of embezzlement. Lang stole almost 600,000 [pound sterling] from EKC Technology between 1992 and 1997. He hid over 100,000...

BDO woos clients with comedy.(Brief Article)
May 1, 2001... Top six accountancy firm BDO Stoy Hayward is using comedians Martin Clunes and Dune Mackichan in a radio advertising campaign to promote its creative approach to business. The firm, which represents the Belgo Group and pop star Robbie Williams,...

Poor service bars on-line growth.(Brief Article)
May 1, 2001... Poor customer service causes over 80 per cent of on-line financial services users to abandon on-line transactions, according to a survey by intelligent software firm Motive Communications. Users encountered a range of problems including...

UK economy air tax halved.(Brief Article)
May 1, 2001... Air passenger duty on economy flights from the UK to destinations in the European Economic Area (EEA) was halved from 10 [pound sterling] to 5 [pound sterling] on 1 April following the 2000 budget. But duty on business travel remains 10 [pound...

Electricity arrangements live.(electricity trading arrangements)(Brief Article)
May 1, 2001... The new electricity trading arrangements went live at the beginning of April following months of delay. The arrangements are designed to increase market competition and are expected to reduce business bills by 10 per cent.

DTI report prompts PwC apology.(Robert Maxwell fraud case)(Department of Trade and Industry report on Mirror Group Newspapers)(Brief Article)
May 1, 2001... Maxwell fraud investigators criticise the financial advisers PricewaterhouseCoopers and US investment bank Goldman Sachs have apologised for their role in the fraud committed by the late Robert Maxwell. The announcements follow the...

Accounting and procurement software firm CODA has launched CODA-Financials version 8.1.(Brief Article)(Product Announcement)
May 1, 2001... Accounting and procurement software firm CODA has launched CODA-Financials version 8.1, a Collaborative commerce package for B2B and B2C self-service accounting. The package allows authorised users, including employees, customers and suppliers,...

Integration software firm Dragnet has introduced a website manager to enable SMEs to manage and update their websites in-house.(Brief Article)
May 1, 2001... Integration software firm Dragnet has introduced a website manager to enable SMEs to manage and update their websites in-house. Dragnet Site Manager removes the need for external web developers, reduces costs, speeds up amendment processes and...

AKP Software has launched a bookkeeping package for small businesses and sole traders.(Brief Article)(Product Announcement)
May 1, 2001... AKP Software has launched a bookkeeping package for small businesses and sole traders. WinCash Cashbook2 offers customised reports, allows users to have multiple bankaccounts, unlimited cash books and uncomplicated VAT functions. It is suitable...

Letters.(taxation of charities; barter companies)(Brief Article)(Letter to the Editor)
May 1, 2001... FinancialManagement, 63 Portland Place, London W1B 1AB; financialmanagement@cimaglobal.com Errors of commission I am writing to correct two errors in your article about charity finance, ("Causes and effects", FM, March 2001). It is not...

Pounds of flesh.(account for people, creativity and brains)
May 1, 2001... Accountants are good at valuing land, buildings and machinery, but modern business is throwing up new challenges. Alec Reed asks why the profession is taking so long to account for people, creativity and brains This is the time of year...

Hedging your bets.(practical implications of a greater degree of uncertainty in the business environment)(Column)
May 1, 2001... You can't account for what has yet to happen.., or can you? David Allen looks at the practical implications of a greater degree of uncertainty in the business environment One of the consequences of the rapid rate of change in the business...

If it ain't broke, don't fix it.(accounting for share options)
May 1, 2001... The current method for accounting for share options works and the Accounting Standards Board's `share-based payment' proposals for change will only complicate matters unnecessarily The Accounting Standards Board's (ASB's) "share-based...

Helping kids with homework.(legal issues affecting telecommuting)
May 1, 2001... The government wants to encourage flexible working but, asks Sue Nickson, how do you know when a refusal to allow a mother to work at home amounts to sex discrimination and what do you do about it? The government's green paper Work and...

Borderline cases.(VAT cost of on-line business)
May 1, 2001... How do you manage the VAT cost of on-line business? Gary Burnes examines the facts and the anomalies of current international and EU rules governing global internet transactions When a business such as Amazon.com sells its products over the...

Power of one.(information technology)
May 1, 2001... Increasingly sophisticated tools for analysing customer needs mean that there is now no excuse for not meeting them. Jonathan Yates argues that financial managers are in an ideal position to exploit the new IT Gordon Gekko, the villain of...

A controlling influence.(managing information technology assets)
May 1, 2001... Duplication of effort can make it difficult, if not impossible, to get to grips with your IT assets. The logical solution to this problem, according to Stephen Moriarty, is to improve your infrastructure management One of the problems with...

Fixed asset.(Hongkong and Shanghai Banking Corp.)
May 1, 2001... In a world where markets change rapidly and high-flyers take control of their careers by switching employers every couple of years, Douglas Flint takes an unusually long-term view. The FD of HSBC tells Cathy Hayward how he hopes to develop the...

Equity cards.
May 1, 2001... Shares might totter and markets tremble, but the stock of accountants continues to rise. Ruth Prickett finds out why scandals, economic crises and increased regulation are throwing up new opportunities for City financial managers A new...

Sermon on The Mound.(Bank of Scotland)
May 1, 2001... As governor of the Bank of Scotland, Sir John Shaw has steered the bank through huge political and market upheavals. He tells Gemma Townley why all good investments are ethical and why progress should not make banking impersonal The Bank...

Capital letters.
May 1, 2001... MBAs are becoming more popular than ever. But how much does a course cost, how is it structured and which business school should you choose? Godfrey Golzen comes up with some answers The MBA is by far the world's most popular postgraduate...

System breakdown.
May 1, 2001... How good is your company's costing information? Colin Drury and Mike Tayles report on CIMA-sponsored research into cost system design and profitability analysis KEYPOINTS * Most companies analyse the profitability of their chosen cost...

Truth or dare?(Brief Article)
May 1, 2001... Philip Linsley and Philip Shrives explain the dilemmas surrounding risk disclosure There is nothing new about risk. All enterprises involve risk and it has always existed. Recently, however, the subject of risk and its management has...

Score bores.(Brief Article)
May 1, 2001... How do managers view management accountants? Bernard Pierce reports on evidence that old-fashioned practices and poor communication are hindering the relationship The management accounting profession has tried hard to promote a broader and...

Costing the earth.
May 1, 2001... Complying with environmental legislation doesn't have to be a financial burden. Anthony Brabazon and Samuel Idowu explain how lifecycle costing and schemes such as take-back can minimise waste and pollution, while controlling expenditure and...

Basic extincts.
May 1, 2001... What do you do when you introduce sophisticated accounting systems, orders go up, customers are happy, yet your firm is about to go bankrupt? Keith Cleland explains how contribution-based activity helped a manufacturing firm to focus on the...

Firm foundations.
May 1, 2001... Theory or practice -- which is the best guide to targeting a company's capital structure? John Pointon and Jon Tucker discuss the alternatives Financial managers should all be familiar with the textbook approach to a company's capital...

INTERIM RECORD.(Brief Article)
May 1, 2001... The average daily rate for interim managers has risen above 500 [pounds sterling] for the first time, but finance managers are losing out, according to a survey by interim management specialists Russam GMS. Interim managers in the IT field top...

Get into shape with the army.
May 1, 2001... Do you really use your costly gym membership or do you lack the motivation to slip into lycra and start sweating? If you need some discipline to kickstart your exercise regime then why not join the army (if only for an hour). British...

Tall storeys for expenses.
May 1, 2001... You know the hotel bill's going to make a big dent in your bank balance (or expense account) when you get picked up from the airport by a Rolls-Royce Silver Seraph or a private helicopter. Welcome to Dubai and the Burj al Arab, arguably the...

What makes entrepreneurs different?
May 1, 2001... What makes entrepreneurs different? Integrity: Entrepreneurs stick to their principles even when the going gets tough Initiative: Entrepreneurs plan long term -- over a year ...

Richest Asians move into banking.(Brief Article)
May 1, 2001... Britain's richest Asians are moving away from making their money in the fashion, retail and textile manufacturing industries and are branching out into banking and finance, according to the fifth annual edition of Britain's Richest 200 Asians...

It's a fair copter ...
May 1, 2001... Bored with your Playstation 2, fed up with expensive Gameboys and DVDs, colleagues no longer impressed by your Smart car? Try the ultimate boy's gadget the Bell 206 Jet Ranger 111 -- or a helicopter to the rest of us. Cheap fuel, no tax...

How to get the lion's share.(Brief Article)
May 1, 2001... A course on developing your personal impact may conjure up images of learning to wear big shoulder pads, five-inch stilettos and wield an impressive chunky briefcase while berating junior colleagues. But this is far from reality. Personal...

RNIB INVITES ACCOUNTANTS TO COLOUR THEMSELVES EXCITING.(Royal National Institute for the Blind)(Brief Article)
May 1, 2001... Accountants are one of the UK's dullest-dressed professions, according to a survey by the Royal National Institute for the Blind (RNIB). Almost 10 per cent of the 1,200 members of the public questioned said accountants needed a makeover....

Financial managers choose quiet life over city perks.(Brief Article)
May 1, 2001... Finance staff are increasingly working outside the UK's main cities, despite higher salaries, because of the poor quality of city life, according to research by recruitment consultancies Martin Ward Anderson and Sewell Moorhouse. "We have...

How to: deal with formal meetings.(Brief Article)
May 1, 2001... 1.Prepare for the meeting by reading the last set of minutes, the agenda and any pre-circulated reports. If you want to raise a topic that is not on the agenda, you can usually do so orally under "any other business". But if it is complicated,...

E-mail manners.(Brief Article)
May 1, 2001... E-mail manners E-mails have replaced traditional forms of business correspondence, according to a report which reveals that most young people have never written a formal letter. Almost half the 2,000 people polled by e-mail provider MSN Hotmail...

Recovery positions.(Brief Article)
May 1, 2001... Originally a US invention, recovery auditors are becoming an increasingly influential presence in the UK. Paul Morton explains why this is both a threat and a promise for companies and their finance departments Outsourced auditors are...

Elections to council.
May 1, 2001... The following have been elected to serve as members of council from the close of the AGM on 9 June 2001 until the close of the AGM in 2004: John James Perry (Area 4, West Midlands) was re-elected for another term; John Harold Baird (Area 8,...

AGM.
May 1, 2001... I B Haggis and C H Mendis are to be co-opted to council for two years from the close of the AGM in June 2001, and J Abbott, J H White and P R Whitworth are to be co-opted for a further two-year term.

Bruce Epsley, Henry Jackson Byrne and Claire Ighodaro have been nominated as president.
May 1, 2001... Bruce Epsley, Henry Jackson Byrne and Claire Ighodaro have been nominated as president, deputy president and vice-president respectively for the institute year 2001-2002.

Institute bronze medal.
May 1, 2001... The institute bronze medal is awarded to: A W Cowie; B L S Hulatt; C H Mendis and F Macfarlane. Institute plaques have been awarded to Dr B Banerjee; C A Carr; T J Hinton; T Mumtaz; and J A Pulley.

Exam entries show syllabus success.(Chartered Institute of Management Accountants)(Brief Article)
May 1, 2001... Over 35,000 students have entered for the May 2001 CIMA exams (around 85,000 individual papers) demonstrating the success of the new syllabus, council heard at its meeting last month. It also heard that ongoing talks with SAICA had led to a...

Disciplinary report.(Brief Article)
May 1, 2001... 1 Slinder Dhariwal--registered student (928668X) The Disciplinary Committee considered a complaint against Ms Dhariwal. She was found in possession of a booklet of notes in the Management Accounting Applications exam in November 1999,...

ITCC, International Telecommunications Clearing Corporation.
May 1, 2001... On the move is edited by Louisa Roberts. Please e-mail her with news of your move at louisa.roberts@cimaglobal.com Adrian Parkes FCMA has joined ITCC, the International Telecommunications Clearing Corporation, as chief financial officer....

Andersen Legal member firm Garretts.
May 1, 2001... On the move is edited by Louisa Roberts. Please e-mail her with news of your move at louisa.roberts@cimaglobal.com Andersen Legal member firm Garretts has recruited three senior securities lawyers: Julie Lynch Bridson and Diane Cozens, both...

The Royal Bank of Scotland.(Stephen Whitford)
May 1, 2001... On the move is edited by Louisa Roberts. Please e-mail her with news of your move at louisa.roberts@cimaglobal.com Stephen Whitford ACMA has been appointed as decision support manager at The Royal Bank of Scotland. His new position is in...

Rectella.(Pauline Harmstone)
May 1, 2001... On the move is edited by Louisa Roberts. Please e-mail her with news of your move at louisa.roberts@cimaglobal.com Pauline Harmstone ACMA has been appointed finance manager of Rectella, a curtain and soft furnishings company. Before joining...

Zorbit Babycare.
May 1, 2001... On the move is edited by Louisa Roberts. Please e-mail her with news of your move at louisa.roberts@cimaglobal.com Ray Harmstone FCMA has been appointed financial controller of Zorbit Babycare in Wigan. Before this he spent seven years at...

Naylor Wintersgill.
May 1, 2001... On the move is edited by Louisa Roberts. Please e-mail her with news of your move at louisa.roberts@cimaglobal.com Bradford accountancy firms Naylor Wintersgill and Woodward Richardson & Co have merged and will trade under the name Naylor...

Confederation of British Industry.
May 1, 2001... On the move is edited by Louisa Roberts. Please e-mail her with news of your move at louisa.roberts@cimaglobal.com The Confederation of British Industry has appointed Philip Gillett as chairman of its taxation committee. Gillett has held...

Rical Group.
May 1, 2001... On the move is edited by Louisa Roberts. Please e-mail her with news of your move at louisa.roberts@cimaglobal.com Paul Streatfield has been appointed as group financial director of Rical Group. Previously, he has held senior positions at a...

Akeler.(Nigel Pope)
May 1, 2001... On the move is edited by Louisa Roberts. Please e-mail her with news of your move at louisa.roberts@cimaglobal.com Business space developer Akeler has appointed Nigel Pope as finance director. Pope was previously head of finance at retailer...

Champion Accountants.
May 1, 2001... On the move is edited by Louisa Roberts. Please e-mail her with news of your move at louisa.roberts@cimaglobal.com Mark Langslow has been appointed as tax manager at Champion Accountants in Manchester, where he will develop the tax inquiry...

Bibby Financial Services.(Jack Chan)
May 1, 2001... On the move is edited by Louisa Roberts. Please e-mail her with news of your move at louisa.roberts@cimaglobal.com Jack Chan has been appointed e-commerce project manager at Bibby Financial Services. He joins from Carpe Diem Innovations,...

Sewell Moorhouse.(Julie Griffiths)
May 1, 2001... On the move is edited by Louisa Roberts. Please e-mail her with news of your move at louisa.roberts@cimaglobal.com Financial recruitment consultancy Sewell Moorhouse has appointed Julie Griffiths as recruitment consultant at its Leeds...

Somerfield.(Julian Barrett)
May 1, 2001... On the move is edited by Louisa Roberts. Please e-mail her with news of your move at louisa.roberts@cimaglobal.com Julian Barrett ACMA has been appointed deputy finance director at Somerfield. Prior to this, he was finance director at...

Domino's Pizza Group.(Andrew Mallows has been appointed finance director)
May 1, 2001... On the move is edited by Louisa Roberts. Please e-mail her with news of your move at louisa.roberts@cimaglobal.com Andrew Mallows has been appointed finance director for Domino's Pizza Group. Prior to joining Domino's, Mallows was a...

Global IT group Sanderson.(appointed a new management team for its Tallyman credit management business)
May 1, 2001... On the move is edited by Louisa Roberts. Please e-mail her with news of your move at louisa.roberts@cimaglobal.com Global IT group Sanderson has appointed a new management team for its Tallyman credit management business. David Harris has...