Financial Management (UK) articles from November 2001

Financial Management (UK) archives from November 2001

Editor's letter. (Comment).
November 1, 2001... There was supposed to be only a slight dip in the economy and then everything would return to normal by next summer. The word "recession" was banned and we were talking "slow down", nothing more. So why are we so much less confident today? ...

Revenue kills off old image. (GBMW Round-up).
November 1, 2001... Extraordinary changes have transformed the Inland Revenue from a collecting and assessing department into a social department responsible for helping people on low incomes and for other social security work. Nick Montagu, chairman of the...

Turning strategy into profit. (GBMW Round-up).
November 1, 2001... Management accountants are becoming less involved with day-to-day accounting processes and are instead driving forward business strategy, Bill Connell, director of risk management at BOC Group, told delegates in a break-out seminar at CIMA's...

FDs told to pick the soft centers; David Kappler, group FD of Cadbury Schweppes, advised delegates at CIMA's GBMW Event how to enjoy the sweet taste of success. (GBMW Round-up).
November 1, 2001... The next generation of financial managers must be business partners rather than traditional accountants and will need to develop different skillsets to be successful, according to David Kappler, group finance director at Cadbury Schweppes. ...

IAS: think global, act international. (GBMW Round-up).
November 1, 2001... International accounting standards (IASs) are not optional, huge changes are inevitable and international does not just mean European, Mary Keegan (right), chairman of the Accounting Standards Board, reminded delegates. There is an urgent need...

Investors look for clear views; speakers at the event agreed that greater financial transparency is essential for winning stakeholder trust and further investment. (GBMW Round-up).
November 1, 2001... Transparent communication with stakeholders is the key to a successful business, according to speakers at CIMA's event. "Telling shareholders the truth is absolutely essential," said Douglas Flint, group finance director at HSBC. "In the long...

Creativity: gain not drain. (GBMW Round-up).
November 1, 2001... Creativity in business can bring substantial benefits, according to a worldwide on-line and studio audience at a GBMW seminar organised by CIMA and the Institute of Management. Participants voted unanimously to agree that business creativity...

Reward schemes made to fit. (GBMW Round-up).
November 1, 2001... "Performance-related pay is an important employee motivator, but it can be mis-targeted," warned Jim Matthewman, a consultant at William M Mercer, speaking at a break-out session at CIMA's Business Management Event. "Reward schemes have to be...

Integration success at Thomson. (GBMW Round-up).
November 1, 2001... A Thomson holiday can be bought via a travel agent, the internet, over the phone or on digital TV, because the firm's back-office systems have been integrated. "This is critical to the success of the business," explained David Maloney, chief...

Making the most of CGT. (GBMW Round-up).
November 1, 2001... Small business owners looking to sell their businesses before April next year are facing a dilemma. Should they sell now before the economy plunges into recession, or hold out to qualify from a fall in capital gains tax (CGT) rates? Under...

Share information with the IASB. (GBMW Round-up).
November 1, 2001... The International Accounting Standards Board (IASB) has invited further comments on its July 2000 discussion paper "Accounting for share-based payment", following different proposals on the issue from national standard-setters. The deadline for...

New NIC puts pressure on SMEs. (GBMW Round-up).
November 1, 2001... Small and medium-sized firms (SMEs) could struggle to cope with the new National Insurance Contributions (NIC) brought in earlier this year, according to Ashley Whittaker, chief executive of Cevas Data Systems. "Many employers don't have...

Finance roles under threat as more jobs cut; Cathy Hayward reports on Railtrack's collapse, and threats of job cuts for finance professionals across the world. (GBMW Round-up).
November 1, 2001... Finance jobs worldwide have been cut following the terrorist attacks on the US. The losses already announced in the airline and telecoms industries will be targeted at support and administrative functions, including finance, rather than at...

Softworld accounting and finance round-up. (GBMW Round-up).
November 1, 2001... Access Accounting launched Access Executive Desktop, which aims to make company information available to every employee at the click of a mouse. Staff can instantly access company statistics, trends and analysis, and the firm argues that this...

CIMA/Financial Management Awards 2001: as part of the CIMA Business Management Event on 27-28 September 2001, the inaugural CIMA/Financial Management Awards were given out at the Hotel Russell in London. The gala evening was a great success and attracted over 110 members, employers and stakeholders. (Awards).
November 1, 2001... EMPLOYER OF THE YEAR Winner: Lehman Brothers With a high-quality graduate training programme--which has CIMA as its core--and a desire to "grow its own" finance staff, the deserving winner of CIMA's Employer of the Year award was...

An event to remember. (Letters).
November 1, 2001... I have just read the editor's letter in the October 2001 issue of FM, and I felt the piece was balanced, measured and humanitarian. I was in the US at the time of the attacks on the World Trade Center and saw the incidents live on TV. It will...

A little consideration. (Letters).
November 1, 2001... I have read the editor's comment and the crisis management article in FM October, and I thought both were sensitive, informative and timely. However, I was shocked to see the image of the Trade Center towers on the cover and on page 21. I...

Profits before people. (Letters).
November 1, 2001... I thought the overall tone of the editorial in October's FM was inappropriate. While acknowledging the disaster of the Trade Center, the article seemed more focused on organisations and markets, than on the human tragedy. It is obvious...

A difference of opinion. (Letters).
November 1, 2001... I think the crisis management feature in October's issue was excellent, and linked well into the events of 11 September. Sadly, this is probably one of the biggest crisis management news stories ever and, like all strong stories, it will run...

Tasteless image. (Letters).
November 1, 2001... The October issue of FM has arrived and I have to say that I am dismayed with the front cover. I find this in very poor taste. The world is reeling from the effects of this atrocity and I do not think we should have displayed this picture on...

Unfortunate, but necessary. (Letters).
November 1, 2001... I am sure that your late amendments to FM in the light of events on 11 September will raise comments both for and against. But I think you handled a difficult subject effectively and with due relevance to CIMA members. Your editorial was both...

Democracy or plc? (Letters).
November 1, 2001... First, congratulations on updating our magazine to reflect the horrors of 11 September. Sadly, well done. I was also pleased to have an article about Charles Tilley, our new chief executive. His remarks that "CIMA has thousands of members...

Global positioning system. (Letters).
November 1, 2001... I support the views expressed by Robert Likhang in his letter "Name dropping" published in October's FM. As a retired academic in accountancy, I can confirm that ACCA is far more popular than CIMA in the developing parts of the world....

Name calling. (Letters).
November 1, 2001... Who's talking about changing the name of the institute? Marketing the term "CIMA" is surely the best way to distinguish the chartered management accountants from other accountants. The term "accountant" can be used by anyone, and there is zero...

Bargaining for Advantage.
November 1, 2001... Author: G Richard Snell Publisher: Penguin Books ISBN: 0 1402 8931 3 Price: 8.99 [pounds sterling] G Richard Shell has clearly carried out some extensive research into the psychological processes of negotiation to produce this...

Preaching to the converted.
November 1, 2001... Book: Practice What You Preach Author: David H Maister Publisher: The Free Press ISBN: 0 743211871 Price: 17.99 [pounds sterling] This book sets out to demonstrate that the most financially successful firms are those which insist and obtain...

Making the most of a bad situation.
November 1, 2001... Book: Getting out of a Contract Authors: Adam Rose, David Leibowitzand Adrian Magnus Publisher: Gower House ISBN: 0 566 08161 X Price: 39.95 [pounds sterling] There are occasions when what was previously seen as a perfectly good deal can...

Future tense: economic forecasts are particularly vital at budget time. David Ross looks at the forecasts for major world economies and assesses the consequences of the terrorist attacks on the US. (Economics).
November 1, 2001... It is usually at this time of year that companies begin planning their budgets for the following year. The targets from the sales director will be agonised over, and all sorts of costs will be scrutinised down to the very last pound--but will...

Working in the margins: everyone's talking about activity-based costing, but are we neglecting more traditional costing methods? David Allen reconsiders marginal costing and brings an old established technique into contemporary focus. (Management).
November 1, 2001... Activity-based costing has been one of the most strongly promoted techniques in accountancy in recent years. However, this form of absorption costing is usually so complex that it is possible only if users buy the latest version of some type of...

Playing away from home: should employers be responsible for their staff outside working hours, and can they act to protect their company image? Sue Nickson examines the issue of out of work misconduct. (Legal).
November 1, 2001... England's most recent football triumphs mean that the team has qualified to enter next year's World Cup finals. It seems such a long time ago now that England bowed ignominiously out of the last competition after being reduced to 10 men by a...

Reconstruction theory: many people have argued that creative destruction is key to the success of capitalism, but can it sustain an entire economy? Mike Brown examines the business of evolution. (Capitalism).
November 1, 2001... One of the best-selling business books of the 1980s was In Search of Excellence by Tom Peters and Robert Waterman, which sought to pinpoint the virtues of many of the global companies of the time. Ever since then, business magazines and...

Back to the floor: as Safeway's fortunes improve, the retail sector waits to see the impact of the chain's refurbished stores. Cathy Hayward catches up with Simon Laffin, winner of CIMA's Business Leader of the Year 2001 award. (Feature interview)(Cover Story).
November 1, 2001... Imagine you're in your local Safeway store one afternoon and a shoplifter makes a run for it across the car park--not an unusual occurrence. In hot pursuit is the store manager-again not that unusual. But what is unusual is that this particular...

Safe sex: some firms dread office relationships because of the havoc they can cause when they go wrong, while others dread staff forming relationships with people in competing firms because of the security risk. Ruth Prickett asks how firms can protect their reputations and their secrets. (Feature relationships).
November 1, 2001... It's the same old story: boy meets girl over the coffee machine, coy looks are exchanged over the photocopier, love blossoms, e-mails fly, productivity increases and colleagues smile understandingly at the happy couple... or maybe not....

Cold calling: the telecommunications industry seems to have exhaled its last breath, but does it have the strength to revive itself? Cathy Hayward traces the demise of the telco business and asks whether there are signs of a pulse. (Feature telecommunications).
November 1, 2001... Telecommunication companies (telcos) and their shareholders have had a rocky ride over the past year. The industry, which peaked in spring 2000, when telecoms shares sold like expensive hot cakes and everyone dreamt of making millions, has been...

Taking cover: weather derivatives bring a whole new meaning to forecasting as companies move to protect their earnings from the unpredictable weather. Peter Bartram finds out whether clouds really can have silver linings. (Feature weather).
November 1, 2001... What's the weather like? This may sound like a casual enquiry now, but it could become a loaded question over the next few years. As global warming disrupts familiar weather patterns, more companies are waking up to its potential impact on the...

Brand aid: calculating the value of your brand is difficult and most methods are flawed. Taking an engineer's approach, however, could produce clearer results. (Feature branding).
November 1, 2001... The notion that brand is important in business is widely understood. Many executives have recognised the power of branding in the battle for the attention of their customers, employees, shareholders, regulators and even business partners. But...

AIS aid: the budgeting process is a familiar feature in all businesses, but how useful is it for charity finances? Nick Croft uses a case study to explore the role traditional budgeting has to play. (Feature budgeting).
November 1, 2001... Official accountancy terminology defines budgeting as an integral part of the control process, but this is true only if operational managers can actually influence those budgets. Eric Flamholtz (1) considered the budgeting process to be a...

Tool of the trade: a company in New Zealand is one of the few to have implemented activity-based management successfully but, as Stephanie Gourdie discovers, it needed careful planning and a radical rethink of company culture. (Feature activity-based costing).
November 1, 2001... Since professors Robin Cooper and Robert Kaplan codified and developed activity-based costing (ABC) (1), many organisations have implemented it, but few are using it for cost management. The original emphasis of ABC was on developing more...

As easy as ABC: much has been written about the advantages of activity-based costing, but how complicated is it to implement within your business? John Porteous shares his experience at Barclays. (Feature activity-based costing).
November 1, 2001... Barclays Service Provision (SP) was formed in 1999, following a strategic review of IT and operations within the Barclays banking group. When this substantial business division recently implemented activity-based costing (ABC), it had to tackle...

Personnel services: in a highly competitive employment market, it is a challenge for companies to attract and retain the top finance professionals. Orla Leonard outlines ways to make sure your employees stay happy and stay put. (Psychology).
November 1, 2001... I head a hard-working and dedicated team of finance professionals which plays a key role in developing our organisation's strategies and carrying them out. There's a good team spirit among most of us, and we enjoy our work, but the firm is...

Click and go travel. (Manager).
November 1, 2001... P&O Business Travel has just relaunched its website as an on-line travel management tool for corporate clients. Businesses can now make air, hotel and rail bookings; access visa application forms; view travel expenditure data; and access air...

Outshone by popstars. (Manager).
November 1, 2001... Britain's youngsters are shunning accountancy and aiming for careers as pop stars, footballers, hairdressers or barmaids, according to a report by Baby Bond--a saving scheme to encourage parents to save for their children's future. Only 13...

Leaders reveal success strategies. (Manager).
November 1, 2001... Good leadership means sometimes throwing away the rule book and finding new ways of doing things, according to speakers at the fourth annual Leadership Trust Foundation conference. "Sometimes a good leader has to break the rules," said...

Innovation is the best way to raise employee motivation, according to speakers at "People mean business"--this year's Chartered Institute of Personnel and Development's annual conference. (Manager).
November 1, 2001... Innovation is the best way to raise employee motivation, according to speakers at "People mean business"--this year's Chartered Institute of Personnel and Development's annual conference. A number of top organisations are now using successful...

Ingredients for a successful business. (Manager).
November 1, 2001... You will need: * a motivating, energetic and talented management team, which has good leadership skills and knows how to make a profit; * an entrepreneurial spirit--be willing to take the risks and put everything on the line for the...

Be a better director. (Manager).
November 1, 2001... Many company directors are unaware of areas of their duties and find the combination of statute and case law confusing, according to a recent survey by the Institute of Directors (IOD). A new book, The Company Director's Guide, published...

How to: motivate your staff. (Manager).
November 1, 2001... Most firms spend thousands of pounds every year trying to motivate their staff and boost productivity. From lunches and rousing speakers, to skydiving and outdoor activities, motivational events take a huge chunk out of budgets--and that's...

Benefits for the opposite sex. (Manager).
November 1, 2001... Men and women are at odds over workplace perks, according to a survey by pension firm Virgin Direct. The research shows that men would rather have a company car as a perk, while women would prefer the provision of a creche. However, both men...

Watch and learn. (Aspiring Manager).
November 1, 2001... If you find yourself stuck for something good to watch on TV in the evening, then Einstein TV has the answer. The e-learning producer has just launched the Einstein Network, which includes the Accountancy Channel--sponsored by CIMA and other...

Long live long lunches. (Aspiring Manager).
November 1, 2001... It has finally happened--the long lunch is officially dead. Nowadays, we'd rather drink Perrier and be back at our desk by two than knock back the Bollinger and spend the afternoon propping up the bar. Whether we're all trying to impress the...

Lucky on the lottery. (Aspiring Manager).
November 1, 2001... Gambling might be a game of luck, but a little financial management can tip the odds in your favour, as trainee accountant Darren Poulton from Cheshunt found out when he scooped almost 60 [pounds sterling] on a fruit machine and 300,000 [pounds...

Tomorrow's people. (Aspiring Manager).
November 1, 2001... Are you a young leader of today and do you think you are a mover and shaker of tomorrow? If so, The Royal Society of Arts is offering fellowships to 100 young people aged 18 to 25 who have made a significant contribution to society or their...

Twenty-four hours from earning. (Aspiring Manager).
November 1, 2001... At some stage in a career, everyone dreams about setting up their very own company. Whether you have a great new business idea, or you can't bear working with your current boss, going it alone is a popular career option. According to...

How to: get the training you need. (Aspiring Manager).
November 1, 2001... 1. Training is expensive, so any request for a formal course must be well researched and convincingly communicated if it is to be approved by your line manager. You should consider carrying out plenty of preparation before even broaching the...

CIMA New Accountant of the Year. (Aspiring Manager).
November 1, 2001... Rachel Smee is to be awarded CIMA New Accountant of the Year at the Accountancy Age awards on 17 November 2001. She had the best overall exam results across the four stages, consistently achieving high marks, and received CIMA's third prize for...

Growing pains: whether you are an entrepreneur or you advise entrepreneurs, you have to grow your business. Ruth Prickett reports on tips from the CIMA Members in Practice Conference. (Consultants).
November 1, 2001... It's an old saw that if your firm doesn't grow it will die, but this is easier said than done. Members in practice have to deal with this problem both for their own firms and for those they advise. Speakers at the Members in Practice Conference...

CIMA opens for business as usual in new modern offices in Westminster. (Institute News).
November 1, 2001... CIMA began another chapter in its history last month with a move to new offices in Westminster. The open-plan, modern offices at Chapter Street, which are being leased for 15 years, have been completely refurbished and offer over 50 per cent...

CIMA Australia honours talent at GBMW awards ceremony. (Institute News).
November 1, 2001... CIMA Australia honoured the brightest and best of its members when it gave out awards at the Global Business Management Week gala awards dinner in Sydney on 27 September. Organisations from across the Australian business community nominated...

Business Manager of the Year. (Institute News).
November 1, 2001... Dale Wilcox ACMA won CIMA Australia's award for Business Manager of the Year 2001. Wilcox is currently chief operating officer for the NMG Group, and is based in Perth. Other nominees who were highly commended by the judging panel were Nick...

CIMA Australia Young Business Manager of the Year. (Institute News).
November 1, 2001... Carrie Anderson won CIMA Australia's Young Business Manager of the Year award. Anderson, who is a CIMA student from Melbourne, Victoria, works for Accenture as an analyst, but was nominated for the award while working in her previous role as an...

Elections to council 2002. (Institute News).
November 1, 2001... Retirements by rotation Notice is given that, as the term of office of the council member in each of the following electoral areas expires at the end of the annual general meeting in June 2002, elections will be held in January and...

Institute diary.
November 1, 2001... CENTRAL LONDON AND NORTH THAMES 13 November Best value--effective delivery of services in the public sector Speaker: Jacquie Dean, district audit officer, Millbank Time: 7.30 for 8pm Venue: The Moat House, 30-40 St Alban's...

Diary of events.
November 1, 2001... Pensions knowledge, basic course--final salary 21 November, Manchester Contact Eldorna Mapp on 020 7963 3193 Pensions knowledge, basic course--final salary 27 November, Leeds Contact Eldorna Mapp on 020 7963 3193 Pension scheme...

Help Age International. (On the move).
November 1, 2001... Malcolm Barter ACMA has recently taken up the post of director of finance, IT and support services, at Help Age International. The charity is a global network of not-for-profit organisations that work with and for disadvantaged older people on...

Rohm and Haas. (On the move).
November 1, 2001... Rob Andrew ACMA has been appointed European finance director for speciality chemical manufacturer Rohm and Haas. Andrew joined Rohm and Haas finance division in 1974 and his career includes a number of worldwide business leadership positions,...

National Lottery Commission. (On the move).
November 1, 2001... Joy Dagnell has been appointed head of compliance at the National Lottery Commission. Formerly compliance manager at Focus Central London Training and Enterprise Council, she will be responsible for a range of activities designed to police...

BBC World Service. (On the move).
November 1, 2001... The Association of Chartered Certified Accountants (ACCA) has Appointed Andrew Hind, director of finance and business development for the BBC World Service, as its new chief executive. Hind is also treasurer of two major charities; the UK...

Navison. (On the move).
November 1, 2001... Financial software firm Navison has appointed Flemming Beisner as its new managing director. Before joining Navison UK, Beisner was the company's regional vice-president of southern Europe, covering Spain, France, Italy and Portugal.

Clerical Medical. (On the move).
November 1, 2001... Clerical Medical is expanding its financial planning team. The company has confirmed four new team members including Christine Wakerley, joining from KPMG, and Neil Edwards, joining from HLB Kidsons, who will both specialise in tax and...

PKF. (On the move).
November 1, 2001... Accountancy firm PKF has appointed Spencer Bennett and Guy Hammett as financial planning consultants. Bennett joins after working in financial services for 16 years, most recently as a financial consultant at a solicitor's practice in...

Cornwell Affiliates. (On the move).
November 1, 2001... Colin Balkman has been appointed principal consultant at management consultancy Cornwell Affiliates. Balkman has worked with national government and non-governmental organisations. His expertise focuses on financial management, change...

Mishcon de Reya. (On the move).
November 1, 2001... Patrick Harrison has been appointed head of tax at law firm Mishcon de Reya. He joins from Gouldens, where he has been head of tax since 1994. Harrison qualified in 1986 and previously worked for Coopers and Lybrand as well as City law firms...

Tallyman International. (On the move).
November 1, 2001... Customer revenue management firm Tallyman International has appointed Roger Wilkins as technical director. Wilkins joins the company from Sanderson IT services, where he was technical director for enterprise consulting services.

Pendragon Professional Information. (On the move).
November 1, 2001... Pendragon Professional Information, publishers of Perspective (the electronic information service for the UK pensions industry) has appointed Kelly Bagley as programming analyst. Bagley previously worked as a consultant for Deloitte and Touche...

Certes group. (On the move).
November 1, 2001... Robert Lindsay, former director of IT resource specialist Certes group, has returned to the company as its chief executive. He returns after spending the past four years initiating a number of high-profile deals in the business world.

FSS. (On the move).
November 1, 2001... FSS, a Sphericon recruitment company, has brought together its existing banking teams to create a new division, FSS City. The move puts FSS in a better position to meet the needs of candidates and clients within the banking arena.