Rise from the East - ICAEW

Q&AThe Q&AVital interviews Patricia Aw,international business developmentco-ordinator for ICAEW in MalaysiaDAN MURRELLQWhat did you want to be whenyou were young?AI have so many flashbacks, but themost memorable is that I wanted tobe a writer. Maybe I can still be a writer if Iget my blog site up one day soon.Q What was your first job?AAfter completing school education, itwas cool having a 9-to-5 job. My firstrole was as an administrator to a Hong Kongconsultant in the business unit of aJapanese commodities trading house.Q What was your first senior role?AA far cry from the relaxed workingenvironment that I had got used to:I was general manager (GM) to the CEO’soffice at a telecommunications andmarketing company. It was a challengingrole and required a different skill set.QWhen did you join ICAEWand why?AI joined in 2006 six months afterICAEW started operations in itsMalaysia office. At first I was on a six-monthcontract, two years later I became full time.I was looking for a reputable organisation.The professional accountancy educationscene in Malaysia is robust and competitionis keen among the various professionalaccountancy bodies.We are buildingpipelines that willraise the profileof MalaysianaccountantsQ What does your job entail?AI support our employers on theirrecruitment drive, sourcing andsecuring strategic sponsorships withpartners including student networks anduniversity accounting, finance and businessclubs. I have about three meetings a day,which could be a counselling session, talk,or event. Or it could be meeting universityadministrators and lecturers as well as theemployer support team.QWhat do you like most aboutyour job?AThe freedom to conceptualise andimplement events and activitiesinvolving students and potential students.I am fortunate to be surrounded byintelligent individuals who are pursuing theACA programme – it is great to engage withthem. I also enjoy working with, andhelping the Malaysian ACA studentnetwork, an active group that organiseslocal events for our community of students.QWhat are the biggest challengesfor ICAEW Malaysia?AWith the direct support of theSouth-East Asia office and theMalaysia City Group, we have garneredmuch traction in positioning the ACA as apremier professional accountancyqualification. We are building pipelines thatwill lead to ACA student numbers and raisethe profile of Malaysian accountants.QWhat is your most memorablemoment so far at ICAEW?AAn event I organised for ICAEWmembers and students where TonyFernandes ACA CBE, founder of Air Asia,gave a keynote speech. It was inspirationalto hear from a great entrepreneur.Q What do you hope to achieve?ANow is an exciting time for ICAEWMalaysia. We’re harnessing the hardwork by building on relationships, brandawareness and market expectations.Q What tips do you have forACA students?ANever give up. I knew a student whore-sat a couple of the Advanced Stageexams: he had a ‘never give up’ attitude,which helped him to overcome challenges.QHow do you relax in yourfree time?AThe three fs... food, family andfriends. I also enjoy travelling whentime permits.For more insight into South-East Asia visiticaew.com/economicinsightVITAL APRIL 20139

STUDYTECHNICAL INTEGRATIONGETTYImprove yourknowledgeand skillsThe examining team offers a helpful guideon the key areas to consider whenpreparing for Technical Integration examsThe TechnicalIntegration (TI)exams are designedto develop core technical,commercial and ethical skillsin combination with technicalknowledge and understanding.Progression from ProfessionalStage, combined with workexperience, will prepare youto take the next step into TI.The Business Reporting examfocuses on compliance issues;the Business Change examfocuses on planning scenarios.VITAL APRIL 2013Each exam is three and a halfhours long. The keydifferences are as follows:1. Business Reporting containsfour questions; Business Changecontains three questions. OneBusiness Change question is amini case study, worth at least40 marks.2. Two questions in theBusiness Reporting exam areunintegrated, dealing with onlyone technical area – corporatereporting and taxation. Theremaining Business Reportingquestions and all the BusinessChange questions integratetwo or more technical areas.3. Business analysis is testedonly in the Business Changeexam. The technical materialof corporate reporting,auditing, taxation and ethics iscommon to both.CORPORATE REPORTINGThe Professional StageFinancial Accounting andFinancial Reporting examscover a high proportion of IAS/IFRS. However, there are morecomplex standards that are notdealt with at Professional Stage,or are only covered at a basiclevel; these standards aretested at TI. Where ProfessionalStage material is tested at theTI exams, it is combined withhigher skills including lookingat interactions between IAS ormaking judgements wherethe treatment of a transactionis unclear.Financial statement analysisrequires interpretation offinancial statements in thecontext of a business scenario.This may involve projectingprofit, or recalculating profit,on a more meaningful basisthan that provided in publishedfinancial statements, for aparticular purpose such ascorporate valuation.AUDITINGThere are few differences inthe International Standards onAuditing (ISA) covered atProfessional Stage. The keydistinction at TI is in theirapplication, involving complexscenarios and difficultjudgements. TI integratesauditing with corporatereporting: auditing judgementswill often require simultaneousfinancial reporting judgements.BUSINESS ANALYSISBusiness Analysis takeselements of Business Strategyand Financial Managementfrom Professional Stage to ahigher level. One aspect isfinancial data analysis, whichincludes interpretation offinancial and non-financial data.TAXATIONTaxation at Advanced Stagerelies heavily on the foundationof knowledge and the ability toprepare basic tax computations.At Advanced Stage there ismore emphasis on identifyingthe appropriate treatment of atransaction and the ability toidentify tax planningopportunities. Where relevant,it is important to consider theinteraction of different taxes.SKILLSKnowledge and understandingof technical material alone isnot sufficient to pass TI exams.Technical knowledge is appliedto complex scenarios in lightof specific commercial andregulatory conditions, whiletaking account of clientrequirements. TI assessesprofessional skills includinganalysis, synthesis, andcommunication, along withcommercial and ethicalawareness and the applicationof professional judgement.What is the differencebetween knowledge and skills?Well, you may know how toplay chess and the variousrules entailed, but this doesnot make you a grandmaster.The skills are in planning ahead,developing and applying astrategy. Accounting has manymore rules than chess; the skilllies in applying these rules inthe context of the commercialsituation, developing practicalsolutions and providingrealistic, commercial advice.Ethical skills will demandmore than the implementationof ethical rules. Rather, theymay require ethical judgementto be exercised in complexscenarios where the appropriateethical stance is unclear. Forinstance, advising resignationas the first response to everyethical dilemma would not beappropriate.11

STUDYAN ASSUREDAPPROACHSteve Whittenbury provides some tips onhandling a key part of the ACA qualificationSteve Whittenburyis a tutor at BPPProfessionalEducation. For moreinformation aboutACA courses offeredby BPP visitbpp.com/icaewAudit and Assurance (A&A) has always been acentral part of the ACA qualification. Beforeyou take your Advanced Level exams, youwill tackle two modules that specifically cover thisarea, so it’s helpful to know what each one includesand how you can prepare for some of the problemareas where students tend to struggle.For most students, their first taste of Assurance isat the Professional Stage knowledge level (CertificateLevel from July). The main focus here is onintroducing the concept of assurance as well as theprocess and who needs it. You will also be introducedto key systems of internal control found withinbusinesses and consider how best to gather evidenceon the operation of such systems. Finally, you will beintroduced to ethics, although this runs through thewhole ACA like a stick of seaside rock.Assurance is examined by computer-based assessment(CBA), sometimes one of the first such assessmentsattempted by ACA students, so getting a pass is at theforefront of many students’ minds. Feedback fromICAEW suggests that eight or nine out of every 10students taking the Assurance CBA pass first time.So let’s look at the rules of the game and see whatyou can do to boost your chances of success:MAKE IT COUNTYOU HAVE 90 MINUTES TO1 COMPLETE THE CBAEvidence suggests that there is no real time pressureon the Assurance CBA, so you should be able toconsider your answers before you confirm yourresponse. You should practise online to get familiarwith the CBA – your training provider may have anonline mock, or you could use the samplee-assessment at icaew.com/examresourcesEACH CBA WILL TEST SUBJECTS IN LINE2 WITH THEIR SYLLABUS WEIGHTINGSIn general, each of the four main syllabus areas takes uparound a quarter of the CBA, so you should expect 10 to15 questions on each area. Selectively revising for the CBAis a recipe for failure; you must focus on every chapter inthe learning materials and practise as many questions asyou can from the whole syllabus.QUESTIONS WITH MORE3 THAN ONE REQUIREMENTNEED TO HAVE ALL THERIGHT ANSWERS TO SCOREEvery CBA question set isreviewed to see how hardcandidates found it (the term“facility” is used) and if the facilityof a real CBA question is belowaverage (questions should betough, but not too tough) theexaminer may decide to reviewhow the question is presented orconsider amending the dastardly“distracters” – multiple-choiceoptions that represent the mostcommon mistakes made. Soalthough the CBA is fair, you stillneed to be careful.THE PASS-MARK IS 55%4 Getting things half-right willnot do here; aim to answer all ofthe questions to give yourself agood chance of success.12 APRIL 2013 VITAL

STUDYQuestion ofjudgementThe Case Study examining teamexplain how they assess the crucialskill of applying judgementApplying judgement (AJ) is one ofthe four skills that ACA studentsmust demonstrate. As the tableshows, the way in which AJ is assessedchanges through the qualification,culminating in the higher skills demandedby the Case Study (CS) – and it is the skillwith which CS candidates often havemost difficulty.WHAT IS APPLYING JUDGEMENTIN THE CASE STUDY?AJ is the link between structuringproblems and solutions (SP&S) andconclusions and recommendations (C&R).The examiners are looking to assess yourabilities in AJ through various criteria,such as:recognising linkages;prioritising key points;demonstrating professional scepticism,objectivity or an appreciation of bias;evaluating options;using knowledge of ethical codes andprofessional experience;questioning any assumptions providedor explaining own assumptions.The AJ columns of the marking key willalways include elements of these (thoughthe wording may be adapted to suit thespecific scenario). But what do they meanin practice?HOW HAS AJ BEEN ASSESSEDIN THE REQUIREMENTS INRECENT CS EXAMS?CS candidates are given accounts andother (numerical or factual) information,which they must analyse to formconclusions and make recommendationsfor a client or other audience.Requirement 1 (R1):R1 is usually financial statement analysisbased on historical financial information,which is assumed to be accurate unlessspecifically indicated otherwise.In the case of Watchwell ( July 2011),candidates were asked to assess currentyear performance against the previousyear using headline financial informationand KPIs.In 4DVD (November 2011), candidateswere asked to analyse current yearaccounts which showed significant losseson disposals of non-current assets.In both instances candidates wereexpected to demonstrate their judgementby extending their analysis to considerthe implications beyond the specific task.For Watchwell: Rationalising theimplications of their analysis of revenueor costs with judicious reference to theKPIs. This included: assessing trends inrevenue per hour among key clients;using the accounts to explain changes inpayroll expenditure; considering how one(financial) figure might relate to another(non-financial) figure, for exampletraining costs vis-à-vis ‘training days’; orevaluating the impact of contractsinherited from another company.For 4DVD: Considering the results oftheir analysis on the key areas of revenue,SKILLS PROGRESSION THROUGH THE ACA QUALIFICATION: APPLYING JUDGEMENTAssessed skills Professional Stage Advanced StageKnowledge modulesObjective testingApplication modulesSpecified in simpleTechnical IntegrationSpecified in complexscenarioscenarioAssessing quality ofinformationAssessing options andpriorities includingethical issuesConsidering otherperspectivesOptions givenNot assessedOptions included insimple scenarioPossible alternativeprovidedOptions included incomplex scenarioAlternative(s) providedCase StudyUnderlying requirementwithin complex scenarioBalanced judgement ofpriorities and risks inunstructured scenarioAlternatives identified usingprofessional experience14 APRIL 2013 VITAL

STUDYChanges to theAccounting examThis year, ICAEW is making important changes to theAccounting exam, effective from 1 August 2013. Althoughthe syllabus and learning outcomes remain unchanged,the exam will include a new style of questionIt will continue to includeobjective test questions. Therewill be 24 objective testquestions, which represent 60% of theoverall marks. From August, the exam willalso include a new case study-stylequestion, representing 40%of the exam marks and itwill assess the preparationof basic financial statements.For the case study-stylequestion, you will be askedto prepare an incomestatement and a statementof financial position fromextracts of a trial balance,or a statement of cash flowfrom an income statementand statement of financialposition.If you are planning on taking theAccounting exam after 1 August 2013,updated learning materials includingThere will be24 objectivetest questions,whichrepresent60% of theoverall markspractice questions in the new style willbe available soon. Speak to your tuitionprovider to see if your learningmaterials are included in your tuition,or purchase the new learning materialsfrom gillards.com/icaew. Make sureyou have the correctedition of learningmaterials for the style ofexam you intend to sit.The exam length remainsat 1.5 hours long and the passmark at 55%. You will alsoapply for and sit the exam inthe same way as all othercomputer-based exams. Wehave rigorously tested thenew case study-stylequestion with employers,tutors and past students – all of whomhave tested the delivery platform.There will be no parallel running ofthe Accounting exam in its currentformat, so from 1 August there will beone Accounting exam available. ICAEWis simply switching over the exams andthe exam with the new style of questionwill be available from 1 August.ICAEW has provided additionalresources to help you prepare for thenew case study-style question,including sample papers and markplans. Sample assessments are alsoavailable, which give you theopportunity to practice the new stylequestion within the Accounting exam.View the Accounting exam resources aticaew.com/examresourcesSee more on the new style question inthe next edition of Vital magazine.WE NEED YOU!ICAEW is interested in getting toknow you better and wants tohear about your career journeyso far and why you chose acareer in accountancy.What factors did you take intoconsideration to realise that theACA was for you?Did you study the ACAqualification straight from schoolor did you go to university? Are youreturning to work after a career break?Have you had to conquer any barriersto train for the ACA? Perhaps you have had toovercome disability, or you have caringresponsibilities? Maybe you decided to retrainas a chartered accountant to change your careerafter working in another sector?All this information will give ICAEWa better understanding of how it cansupport and encourage futurestudents and to show them that acareer in finance, accountancy andbusiness is exciting and gives lotsof opportunities.There are a number of waysyou can share yourexperience. You can emailyour thoughts to these questionsto vital@icaew.com Or if youwant to share your experience face-toface,how about getting involved withICAEW Careers Network, where you canattend a careers fair at a local school, collegeor university and talk directly to thoseinterested in what you do?Find out more at icaew.com/ican16APRIL 2013 VITAL

ACA NEWSACCOUNTANCYGIRLFINANCIAL MANAGEMENT EXAMFROM SEPTEMBER 2013The objective test question element of theFinancial Management exam is beingremoved from September 2013. The finalexam in which objective test questions willbe included is June 2013.From September, the exam will includewritten questions only. The overallstandard of the exam will be maintained;the exam will not become more difficultand will still continue to be tested bystudent and technical moderators toensure it is set at the right level ofdifficulty for the length of the exam andthe level of the syllabus. The exam lengthremains at 2.5 hours long and the passmark at 55%.If you are planning on taking theFinancial Management exam at theSeptember exam sitting or from thisdate, updated learning materials willbe available soon. Speak to your tuitionACA TUTOR CONFERENCEprovider to see if your learning materialsare included in your tuition or you canpurchase the new learning materials fromgillards.com/icaew Make sure you havethe correct edition of learning materialsfor the style of exam you intend to sit.There will be no parallel running of theFinancial Management exam.For help preparing for this exam visiticaew.com/examresources to view a newsample paper and marks plan.If you have a question relating to any ofthese changes, please contact the studentsupport team:T: +44 (0)1908 248 250E: studentsupport@icaew.comFor the latest information on the upcomingchanges to the ACA, visit icaew.com/studentresources You can also view awebinar which explains all of the upcomingchanges to the ACA at icaew.com/listenagainThe annual tutor conference was held on 6 February, attended by over 140 tutors from 29organisations worldwide. The event gave tutors from as far afield as Malaysia and Bangladesh agreat opportunity to engage with ACA examiners and ICAEW staff on all manner of topics fromthe upcoming evolved ACA, to the assessment of ethics in examinations. Tutors are invited toattend the conference if they deliver ICAEW courses for an organisation registered on theICAEW Partner in Learning scheme. This means your tutors and the organisations they work forare provided with the resources and up-to-date knowledge they need to teach you the 15accountancy, finance and business modules that make up the ACA qualification. Feedback fromthe event has been incredible with tutors finding the open dialogue between examiners,themselves and staff, invaluable.Look out for blogs by tutors on the student community soon on common mistakes in theexam that were highlighted by examiners on the day. Visit icaew.com/studentcommunityIf you are reading this atwork, then you may be likeme, someone who eats lunchat their desk. I am trainingwith a well-known largeaccountancy practice, whichhas a perfectly pleasantrestaurant. Yet I choose to eatmost of my lunches at mydesk… on my own. I feel Ishould defend my choice. Sohere’s my defence: ACAstudents are busy people,right? So when you areapproaching exams (I am7/15) the lunch break is anopportunity to do a bit ofonline shopping or sort outlife admin overload. Plus,podcasts, social media andon demand TV means all youneed to turn lunchtime intoentertainment time is a tabletor smartphone. Yes, most ofthese activities involve usinga screen. So I am guilty fornot giving my eyes a break.Nonetheless, time is acommodity and I am pleasedto lead the campaign for theright to be anti-social atlunch. Finally, a ‘hello’ isappropriate – I am the newestACA student to take on thealias of Accountancy Girl.Look out for my blogs on thestudent community and inVital. Share your experiencesand have your say at icaew.com/studentcommunityVITAL APRIL 201317

COVER STORYON HISMAJESTY’SFINANCIALSERVICEThere are fewjobs that offermore scopethan being CFOfor Dubai’sroyal family.SameerAlansari tellsAlison Colemanhow the ACAhelped himget therePHOTOGRAPHY: MATILDE GATTONI18 APRIL 2013 VITAL

Few professions offer the samecareer diversity and scope forprestige as accountancy.And as Sameer Alansari hasdemonstrated, having the titleGroup CFO for the executive officeof the royal family of Dubai on yourCV is as prestigious as a career inaccounting can get.Born in Kuwait, he spent his earlychildhood years in Dubai, howeverhis formative years, from the age of14 until he graduated fromuniversity, were spent in Englandafter his parents decided to movethere in 1976.By his own admission, at schoolhe was an average B student;never a high flyer academically,but confident of being able toachieve a respectable grade.However, just a year after startinghis education in the UK, on theadvice of one of his uncles, he hadVITAL APRIL 201319

COVER STORYmade the decision that his future careerlay in accountancy.“My uncle was a banker, and headvised me that a career ininternational banking or becoming achartered accountant would be a verygood option for me. As it happened Iloved mathematics and economics,so the idea of working in accountancywas something that appealed to me,”reflects Alansari.At Loughborough University he tooka degree in accountancy and finance,and before he graduated had his sightsset on joining one of the larger firms,ultimately securing a training positionat BDO in London where he spent threevery challenging years.“Looking back I think they werepossibly the three most difficult years ofmy life,” he says. “It was so tough;working full time, spending all my freetime studying, and struggling to haveany sort of personal life.“I remember thinking to myself thatif I failed at any stage of my training Iwould drop out, because I was seeingothers failing exams and having to worktwice as hard to take them again. Butfailure was never really an option. Thetruth was, I really enjoyed what I wasdoing at work and that kept memotivated, focused on the training andpassing my exams.”Alongside his professionaltraining, Alansari’s roleprovided him with a breadth ofexperience across a number of businesssectors, and saw him working withpeople in a range of financial roles frombookkeeper to CFO.“It was a high pressure role forsomeone who was new to theprofession – you could say it was a caseof sink or swim – but I thrived on thechallenges, and particularly enjoyedmeeting a lot of new people. While thisspurred me on to succeed in my exams,I had the added incentive of knowingthat I would be one of literally a handfulof Arab-speaking UK-qualifiedchartered accountants,” he says.In 1987, even before gettingconfirmation that he had passed hisfinal exam, he had job offers from firmsin Bahrain and Dubai, and it was to thelatter, and a position with Ernst &Young, that he went.He explains: “Why Dubai? Well atthat stage I knew that I would be justone more chartered accountant in theSameerAlansari in hisapartment,whereone roomshows offmemorabiliafrom hisfavouritefootball team,Liverpool FCUK. In Dubai, there was lesscompetition and my qualification wasvery highly regarded in the Arab world.”He admits that the move required aconsiderable amount of adjustment onhis part. On joining the firm he wasworking with some of their biggestclients with whom he forged strongrelationships, and ultimately that waswhat he came to see as the biggestadvantage of being an ICAEWChartered Accountant; working withprestigious clients at the highest level.Nevertheless, in 1992, after five yearswith Ernst & Young he found himself ata career crossroads.He says: “I was doing a lot of highprofile government-related workinvolving major investment, but I felt Ireached a point where I was ready to tryother things. I knew that if I stayed withthe firm there was a good chance that I20 APRIL 2013 VITAL

would be made partner within a coupleof years, which would be a majorachievement, but was that what I wasaspiring to?“By this stage of my career I hadrealised that what really motivated mewas being able to create and makethings happen, rather than becominginvolved in a project, albeit at a veryhigh level, after the event.”So he left Ernst & Young and started anew career where he could, in his ownwords, “be the creator”. He joined theDubai Aluminium Company (DUBAL),becoming CFO, and playing a significantrole in the successful turnaround of thecompany which went on to becomeone of the largest and most profitablealuminium companies in the world.But it was his next move that wasarguably the most glamorous, andpotentially the most challenging, whenhe became Group CFO with HisHighness Sheikh Mohammed BinRashid Al Maktoum’s executive office.He recalls: “That was an excitingtime for me; His Highness is a very‘‘smart man, with phenomenalconnections, and just being part of thatgroup opened up so many doors forme. Bear in mind that this was 2003,the start of a period of huge andextremely rapid growth for Dubai, andone of the most exciting roles I had wasrunning a substantial investmentcompany for His Highness.”What motivated mewas being able tomake thingshappen, rather thanbecoming involvedafter the event‘‘Within four years thecompany, DubaiInternational Capital, hadbecome a globally recognised PEinvestment company with assets undermanagement of $13bn.In 2009 he went on to become CEOof SHUAA Capital, the region’s leadingfinancial services institution, beforelaunching PEPlus, an independentadvisory business which he runs today.Alansari sits on the board of theregional healthcare PE fund TVMCapital MENA, and is a frequentlyrequested industry speaker at regionaland international conferences.He is one of a number of individualsrecruited from the highest levels ofbusiness, government, the professionsand other external institutions andappointed as visiting fellows by OxfordUniversity Saïd Business School’s newFaculty for Corporate Reputation.“Corporate reputation is somethingthat is often overlooked andunderrated, but has never beenmore important, so I was asked tojoin the global group," he explains."I’ve attended many forums withother visiting fellows. I enjoy it verymuch, but feel there is much work tobe done.”His academic exploits came fullcircle in 2009 when he wasawarded an HonoraryDoctorate by Loughborough Universityfor outstanding achievement andleadership in finance. Twenty five yearsafter qualifying as a charteredaccountant he continues to endorse theACA qualification as a passport to acareer with immense opportunities.He says: “There is no doubt that thebiggest benefit of training to become achartered accountant is the level ofcareer choice and flexibility that itpresents you with. While I thoroughlyenjoyed my time with BDO and thenErnst & Young, I have no regretswhatsoever about leaving practice forthe business world, because theopportunities and the success that I’veenjoyed have been incredible.“It is true that part of that successhas been the result of being in theright place, in Dubai, at the right time,during a spell of phenomenaleconomic growth, but none of itwould have happened without theright qualification.”Away from work much of his leisuretime is focused on football, inparticular following the fortunes ofhis favourite team Liverpool FC. Infact a few years earlier, while workingwith the Dubai-based DubaiInternational Capital (DIC) consortiumled by Sheikh Mohammed Bin RashidAl Maktoum, he was involved in aproposal to take over the club that hehas been a lifelong fan of.“In the end, it didn’t happen; and theAmerican buyers got the deal,” he says.A keen sports fan, he also plays golf,and is passionate about horse racing,not surprisingly since he races hisown horses that he has owned forover 10 years. He is also gathering agreat deal of satisfaction fromwatching his 22-year-old son follow inhis career footsteps.He says: “The only difference is thathe graduated from the University ofKent, but he has joined Ernst & Youngin Dubai on a training scholarship, andis facing the same challenges that Irecall, juggling work and studies. Iknow that he is feeling the pressurealready, but I keep telling him, you arethe rookie in the team and you have tofocus 24/7 on your work – andweekends off are out of the question.“With any career where you haveambitions and want to achieve, youhave to work at it, stay driven andfocused, but you also have to bepassionate about what you are doing. Ifyou truly enjoy your job, and you aredetermined to succeed, the rewardswill come and the sacrifices will allhave been worthwhile.”VITAL APRIL 201321

WORKWalkingthe ethicaltightropeFinance professionals must actethically, but how should they reactwhen under pressure to dootherwise? This CCAB case studyoutlines one hypothetical ethicaldilemma any FD might face, andoffers advice on how to resolve itYou have been the financedirector (FD) of a clothingretailer for 10 years. Thecompany’s year end is 31 March,and you are finalising the yearend accounts.You have recently been advisedby the warehouse manager of asignificant level of slow-movingstock. The stock in question isnow more than nine months oldand would normally have beenwritten down some monthspreviously.The shareholders are trying tosell the company, and themanaging director (MD) – who isthe majority shareholder – hastold you that it is not necessary towrite down the stock in the yearend accounts. You are sure thatthe MD wants the financialstatements to carry an inflatedstock valuation because he hasfound a prospective buyer. TheMD has indicated to you that, ifthe proposed deal is successful,all employees will keep their jobsand you will receive a payincrease.You think you are being askedto behave unethically. Whatshould you do?FUNDAMENTAL PRINCIPLESThe key thing is to ensure thatyou abide by four fundamentalprinciples, namely:1. INTEGRITY: In the light of theinformation you have, you mustensure that you act honestly, andthat you are open andstraightforward towards thosewith whom you come intocontact.2. OBJECTIVITY: Can you actwithout bias, despite thesignificant threats in the form ofself-interest and intimidation?CORBIS3. PROFESSIONALCOMPETENCE AND DUECARE: You must act diligently. Doyou have sufficient information tobe able to determine the22APRIL 2013 VITAL

ETHICSREPRODUCED FROM THE MAY 2012 ISSUE OF FINANCE & MANAGEMENT WITH PERMISSION FROM CCABappropriate value of the stock to beincluded in the accounts?4. PROFESSIONALBEHAVIOUR: You are required toaccount for the stock in accordancewith relevant accounting standards.Would any of the actions you areconsidering discredit theprofession in the opinion of aninformed third party?While observing those fourprinciples, you need to do someresearch in order to:Identify the relevant facts– You are receiving conflictinginformation from the warehousemanager and the MD. The MD isputting you under pressure toaccount for stock at a highervalue than that with which youfeel comfortable. He proposesmisrepresenting informationabout the company in thefinancial statements, whichwould be contrary to thefundamental principle ofintegrity. A self-interest threat toyour objectivity arises from thefinancial benefit that you arelikely to receive if the company issold under the proposed deal.You are also feeling intimidatedby the MD. He appears to besuggesting that the futureemployment of other employeesdepends upon the proposed dealbeing successful and, therefore,upon the results shown by thefinancial statements.Identify the affected parties– The key affected parties are you,the MD (and the othershareholders) and the potentialpurchaser of the company. Otheremployees of the company mayalso be affected, as it has beenimplied that their jobs are at risk ifthe proposed deal is unsuccessful.Decide who should beinvolved in the resolution– You should involve the warehousemanager, the MD and, if necessary,your fellow board members.Resignationwould only bean option tobe exercised,as a last resort,in the mostextremecircumstancesWHAT SHOULD YOU DO?You cannot simply do what hasbeen asked of you, because theprinciple of integrity requires aprofessional accountant not to beassociated with information thatthey believe to be false ormisleading. Relying on thepotential buyer’s due diligence toidentify the overvaluation is notappropriate. You are responsiblefor the honest presentation of theaccounts, and you should nottransfer that responsibility toeither the buyer or the auditors.The first step is to ensure thatyou have sufficient information.This would include establishingthe basis of valuationof the company’sstock, investigatingthe system forcounting andevaluating stock, anddiscussing with thewarehouse managerthe reason why thestock is slow-moving.You may also need todiscuss the realisablevalue with someoneelse, such as thesales director.Once you are sureof the facts, you should discussthe matter with the MD. If, in youropinion, the MD continues toinsist on an inflated stockvaluation being incorporated intothe financial statements, youshould consider how best to raisethe issue with the other boardmembers. Initially, you couldsuggest that both you and the MDraise the matter with the otherboard members. If you feel itappropriate to discuss the matterwith anyone else within thecompany, you must bear in mindthe need for appropriateconfidentiality and be clear aboutyour reasons for raising thematter.Discussions with the MD may bemade easier by reference to thecompany’s own code of ethics, if ithas one. If it does not, you shouldETHICAL GUIDANCECCAB provides a forum for itsmember groups – ICAEW, ACCA,CIPFA, ICAS and CharteredAccountants Ireland – to meet andact collectively on behalf of theaccountancy profession in the UK.The CCAB Ethics Groupco-ordinates activities between themember bodies relating to ethicalguidance, and liaises with relevantFinancial Reporting Councilstandard setting and oversightboards in respect of ethical issues.Its full set of ethical case studiescan be found at ccab.org.uk/ethics.phpICAEW students and memberscan call its ethics helpline on +44(0)1908 248 250. For generalguidance, visit icaew.com/ethicsmake the MD aware of the ethicalrequirements of your professionalbody. You could suggest that thecompany engages an independentexpert to value the stock.At each stage, you shouldconsider the need to followmeetings with email or otherwritten correspondence to recordyour points of view. This wouldbe particularly appropriate if youare of the opinion that the MD orthe board has not beensympathetic to your concerns.You might have to considerraising the issue externally, forexample alerting the auditors tothe existence of the slow-movingstock, or seeking advice fromyour professional body. If thesituation remains unresolved, youmay have to remove yourself fromthe conflict. The clearest way todisassociate yourself frommisleading financial accountswould be to resign. However, thiswould only be an option to beexercised, as a last resort, in themost extreme circumstances.Resignation alone would not helpto resolve the situation. It wouldbe advisable to take legal advicebefore considering resignation.You should document, in detail,the steps that you take inresolving your dilemma, in caseyour ethical judgement ischallenged in the future.VITAL APRIL 2013 23

WORKUp to speedThere’s more to speedreading than coveringground quickly, asmemory specialistMark Channon finds outAt a speed reading school in Japan,a student uses technology toincrease her reading speedIf you want to get from London toBrighton, make a few stops alongthe way and quickly get to yourdestination, would you choose a car or abicycle? In this scenario a car would beyour best form of transport. If however itis a sunny day and you want to enjoy thescenery with a group of friends, perhaps abicycle would be more suitable. Beingable to do both offers you greater choice.You could think of reading in the sameway. There will be occasions when youwant to savour a book and enjoy the story,but often you will simply want to get fromA to B, understand key concepts and getquick results. Having a range of readingspeeds offers you this choice.Here are three simple strategies thatwill get you started with speed reading.PRIMEPrime your brain for a great learningexperience. Ask yourself this simplequestion before reading an article orbook: “What do I want this article, book,chapter to give me?” And think carefullyabout your answer – in doing so youwill be more likely to pick up relevantinformation.You would generally check your mapbefore going on a journey. Do the samewith reading: preview the big pictureIt takes time for yourbrain to switch ontoautomatic pilot. Onlythen will you start tonotice more thingsand increase yourunderstandingand study the table of contents, chapters,headings and index for anything that willcatch your attention.GUIDEThink back to when you were learning toread as a child. What did you do? Likemost people, you probably used yourfinger to guide your eyes. This helped tostop your eyes from jumping backwards inthe middle of a sentence eitherconsciously or subconsciously – this isreferred to as back-skipping or regression.Why not re-kindle this technique? Use apen as a guide for your eyes and move itsmoothly under each line, building upspeed as you go. Remember what it waslike as a learner driver: you were sofocused on the process that you probablydidn’t take in much else. Speed reading isno different. It takes time for your brain toswitch onto automatic pilot. Only then willyou start to notice more things along theway and increase your understanding.PROBEIt’s quite natural to read a fictional bookand to talk through the story with apartner or friend. Try doing the same withnon-fiction. Check your understanding byfirst questioning yourself about itscontent, doodling your thoughts and thensharing your learnings verbally. This willimprove how you understand the material.Dealing with information overload isincreasingly challenging. Imagine what adifference it would make to you if youcould rise to this challenge by applying afew simple strategies. As with learning todrive a car, it won’t happen overnight butfor most the payoff will be well worth it.Memory specialist Mark Channon isan author and coach. Visit icaew.com/listenagain where you can findtwo 60-minute webinars presentedby Mark Channon:Improve your memory(February 2012) and Speedreading (March 2013)CORBIS24 APRIL 2013 VITAL

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WORKINTERNATIONALSERVICEWorking abroad could have a huge positiveimpact on your future employability, broadeningyour horizons and improving your soft skills.Amy Duff speaks to four ICAEW students whohave made the leapIn 2010, the Harvard BusinessReview published research thatfound that while travel andliving abroad is good for the soul, it’s alsogood for your career and boosting futurejob prospects. People who haveinternational experience or identify withmore than one nationality are betterproblem-solvers and display morecreativity, says HBR.“What’s more, we found that peoplewith international experience are morelikely to create new businesses andproducts and to be promoted. And themore expats interact with locals and localinstitutions, the more creative andentrepreneurial they’ll become.”Travelling overseas for an assignment,going on a sabbatical, accepting a new jobin a different country or even visiting anew continent with work for a couple ofweeks can give you a competitive edge andensure a prospective employer looks atyour CV twice. It’s also a great way ofbecoming more independent and buildingskills such as communication, selfrelianceand adaptability.Working abroad demonstrates that youcan cope in a multicultural, multilingualworking environment outside yourcomfort zone, away from friends andfamily. It also shows you have traits suchas motivation, independenceand maturity. There arepersonal benefits, too. Workingalongside people who don’tspeak your language willimprove your linguistic skillsno end. And of course, travelis an enjoyable thing to do.There may be a fewdownsides. Some employersmight think you’ll find it hard tosettle down if you spend too longtravelling and working; the noveltyof being in a new country may wearoff and friends may come and go tooquickly; you may struggle with languagebarriers or find it difficult to conformto local customs.But whatever your destination, theprofessional and personal benefitsprobably outweigh the risks. By takingtime out to travel and explore newdestinations you’ll be developing crucialsoft skills – leadership, team building,budgeting, negotiation and evendetermination and patience – as well asexperiencing new work situations.Peoplewho haveinternationalexperience arebetter problemsolversAPRIL 2013 VITAL

TRAVELIMPROVE YOUR PROSPECTSLAURA BEALES(above) works in theUK for KPMG and travelled toNamibia for a two-week project“KPMG runs a Europe-wide competitionwhere employees come up with an ideathat could be implemented at a localcharity within 100 hours. Whoever winsthat gets to go to Africa and take part ina project. I was there for two weeks. Myproject was working for LifeLine/ChildlineNamibia. I introduced an appraisal systemfor their staff and then led training coursesfor their management team on motivationand team building. It was outside mynormal job role but I enjoyed it. I gainedthings I wouldn’t have expected. You’reoften put on the spot and asked difficultquestions and I found I was quite capableof handling that. It shows that a lot of theskills you learn from accountancy are moretransferable than you think. I enjoyedbeing in a completely different place andworking with completely different people.Namibia is an amazing country. It wasexciting and inspiring.”HAYTHAM SATTARfrom Cairo, Egypt,works for PwC inDubai, UAE“Dubai is considered afinancial hub in the MiddleEast compared to Egypt,where we don’t have the bigfinancial institutions. When youfirst travel it can be a challenge,but once you’ve got your firstexperience under your belt thenmore international experience willbe good for your development.PwC has a global mobilityprogramme, which allows you tomove anywhere in the world, andI’m thinking about working in NorthAmerica, Australia or maybeLondon. My confidence is muchimproved. I now have friends fromlots of different countries and Iknow how to communicate withthem. Working in another countryhelps you to pick up the locallanguage, not justEnglish, becauseyou ask yourfriends, ‘howdo I say thatin yourlanguage?’ Itbuilds astrongerrelationshipbetween youand other peoplebecause you’reshowing an interest intheir culture. It’s very goodfor future employment becauseyou’re building a global network.My manager moved to PwC inSouth Africa, so if I wanted to movethere he could advise me.”GAUTAM JOSHI is fromBaroda, India and is workingin Glasgow, Scotland“I am a chartered accountant withthe ICAI (Institute of CharteredAccountants in India) and have myown practice, Gautam Joshi & Co.Being the senior partner of the firmand head of Indirect Taxes, I wasWorkingin anothercountry helpsyou to pick upthe languagelooking for global expertise anddecided to take the ACA to give ourpractice a competitive edge. Aftercoming to Scotland, I have realisedthe true potential of the ACA andappreciate the opportunitiesavailable to Indian charteredaccountants. There are challenges: Ihave to compete with localstudents and there are culturaldifferences – different ways ofworking and studying. But I like theprofessional work approach in theUK and am looking forward todeveloping my practice further.”AHMED MUKHTAR is fromPakistan and working forPwC in Riyadh, Saudi Arabia“I came to London as anindependent student, whereI did 10 of the Professional Stageexams. I did an internship for threemonths at a small firm of charteredaccountants, then cameto Saudi Arabia becausemy family had settledhere. One of themain advantagesof internationaltravel is thedifferent culture:you get to meetdifferent kinds ofpeople, workingenvironments,clients, methods...This will help you tounderstand people fromdifferent areas of the world.Where you decide to go dependson personal preference – you mightgo somewhere because it has greatweather, good opportunities or youcould save your money for thefuture. You need to understand thatpeople from different cultures willsometimes speak and actdifferently to you. My advice forstudents coming to the Middle Eastis start by doing lots of researchand then visit. Talk to companies,talk to the people who work there.You need to see what it’s likefor yourself.”CORBISVITAL APRIL 2013 27

WORKEmotionalintelligenceCommunication trainerJennifer MacKay tells uswhat this is and why we need itDaniel Goleman’s 1995 bestsellerEmotional Intelligence, Why it canmatter more than IQ put theconcept of emotional intelligence, or EQ,in the spotlight. But what does emotionalintelligence mean and why is it important?Boiled down, emotional intelligencemeans understanding your own emotionsand those of others. You may now besaying to yourself: “EQ soundsreminiscent of ‘treat people as you’d liketo be treated’, ‘don’t talk with your mouthfull’ and other basic mantras that Ilearned in school”. Maybe it is. But ifit is that basic, why do we continue tomismanage emotions?How often do we seriously think aboutour emotions, our own values and goals.These factors contribute to who we are,what we think and how we respond todifferent situations. We spend even lesstime thinking about the emotionalmake-up of others.But let’s consider what might happen ifwe did. How might it improve our worklives? Goleman believes there are fivecomponents of emotional intelligence:Self-awareness – knowing your ownemotions and how they can impacton others;Self-regulation – knowing how tocontrol these emotions;Motivation – knowing what internallymotivates you to achieve your goals;Empathy – understanding otherpeople’s emotions and how to respondto them; andSocial skill – knowing how to manageyour relationships.Your school teacher was right. The basicsprovide a good grounding. In EQ terms,these basic components enable us tohave more meaningful communication,better relationships and increaseour efficiency.WHY IS EQIMPORTANT FORYOUNG PROFESSIONALS?Think back for a moment. Have you everbeen on a team that has struggled toachieve its goals because they couldn’tresolve conflict? Or maybe you’ve saidsomething in frustration that you havelater regretted? If so, you know what canhappen when we stop using our EQ.We all make emotional mistakes. It ispart of being human. But emotionalderailments cost time and money andcan take a long time to mop up. EQ helpsus to minimise the frequency andintensity of nasty situations. And whenthey do occur, EQ then helps us to dealwith them appropriately.In the first instance, EQ teaches us tobe sensitive to what is going onemotionally, both inside ourselves andothers. By doing this we can equipourselves to make better choices aboutour interactions.EQ reminds us that there are otheropinions and responses than just ourown. This mindset can increase ourempathy for people, particularly thosewe find more challenging.An added benefit of having a high EQis that it encourages trust. In yourprofession, people frequently look toyou for advice and guidance. Whetheryou are interacting with clients,colleagues, managers or board directors,trust and relationships are fundamentalto your working life.The ability to build rapport, listen andask questions – and to recognise whensomeone is uncomfortable – is an asset.People will want to work with youbecause they see you as reliable. Butthis is not just about being nice, reliableand sensitive. Ultimately EQ allows youto manage emotion and its associatedstress and to focus on the task that needsto be achieved.As a result you can be clear-headedwhen team meetings get heated, whenyou need to break bad news to clients ornegotiate your next salary rise.As a young professional at the start ofyour career, learning these skills now willserve you well going forward.GETTY28APRIL 2013 VITAL

SOFT SKILLSthe information their answers provideallows you to make more constructivecontributions to the task in hand.3. Top tips for copingPause – if you feel emotion rising,pause, take control of it, then respond.Get clarity by calmly asking a question.Focus on the bigger picture.WHAT CAN YOU DO TODEVELOP YOUR EQ?Wherever you sit on the EQ scale, thegood news is that you can develop yourskills through some simple exercises.1. Tune into your emotionsAsk yourself:How do certain situations make me feel?What emotions do they bring out inme (anger, fear, resentment…)?What happens to me physically (bodylanguage, eye contact, voice)?What patterns do I notice? (identifyingthese patterns helps you to predictfuture reactions.)What can I do to manage the impact?2. Tune into others’ emotionsGet yourself to:Observe others – what is their bodylanguage, eye contact and voice saying?Listen – don’t imagine or tweak theirwords; what are they really saying?Ask more questions – questions buildrapport; they demonstrate that you areinterested in the other person. AndHOW CAN EQ HELP YOU INYOUR CAREER?If you still think EQ belongs in the therapyroom not the boardroom, read on. A FDclient of mine recently said he’d rather hirean accountant who was good at accountingand excellent at communication than theother way around. He is not alone.From interviews to promotions,emotional intelligence plays a role.HR departments look for it when theyrecruit. The organisation will look at howyou use yours when considering you forpromotion. In other words it is lookingfor people with both IQ and EQ.Research shows that people with higherEQs do better. In his article What makes aleader, Goleman writes: “When I calculatedthe ratio of technical skills, IQ andemotional intelligence as ingredients ofexcellent performance, emotionalintelligence proved to be twice as importantas the others for jobs at all levels.”It’s not enough just to be good atreading the balance sheet. To trulycontribute to the success of clients, yourteam and your career, you must read andrespond meaningfully to people too.Jennifer MacKay is acommunication trainerand speakerjumptraining.co.ukVITAL APRIL 201329

HEALTH & WELLBEINGSPOTTING STRESS IN OTHERSIn any working environment there are likely to bepeople who are suffering from stress, as WendySaunders, head of development at CABA, explainswine or one pint of beer cancontain as many calories asa chocolate bar. Overindulgingin alcohol can also lead to acraving for unhealthy ‘on theway home’ nibbles. Fast foodand sweets will do nothing foryour waistline or your bankbalance. It’s much better tohave some wholegrain toastwith peanut butter or honeyand a banana after a drinkingsession, plus lots of water.”4HEALTHCAMPAIGNSThe UKgovernment’s latestChange4Life campaign, BeFood Smart, aims to educatethe public on how to makepositive changes to their dietsAlthough lowin fat, too muchfruit can be ahidden caloriecontributorby highlighting the levels ofsugar, salt and fat in everydayfoods. Shock tactics used inthe television campaigninclude showing a wine glassfull of fat from a large pizza. InAustralia, Eric, a blueanimated balloon character, isthe face of their Swap It, Don’tStop It campaign to encouragethe nation to make simplelifestyle changes. Eric is alikeable, overweight father oftwo who wants to lose weightand live longer; the lightheartedapproach to tacklingobesity is certainly helping toraise awareness. While in Asiaand India, the national healthcampaign is tackling the issueof malnutrition and aims toeducate the public on theimportance of optimumnutrition.GETTYThere is a lot of advice around about handling yourown stress, but having an idea of how to spot thesigns in others before stress has a damaging effect ontheir health is important.The human body reacts physically to stress in manydifferent ways. Smoking or drinking more than usual;eating too many unhealthy foods or having noappetite; sweating more than normal or evendeveloping a nervous habit. Also look out forsleeplessness, headaches, nausea and dizziness.Stress can also affect how someone feels andbehaves. Does the person seem more anxious orirritable than normal? Are they losing their temperquickly? Are they constantly worrying? Have they losttheir sense of humour? Someone who is under toomuch stress may have trouble concentrating or makingdecisions and could shy away from difficult situations.If you suspect someone you know isn’t coping,speak to them. Stress is a problem that can makepeople feel isolated and keeping things bottled uponly makes it worse. Just be a good listener.Depending on your relationship with the person, youcould also encourage them to get involved in activitiesthat may help them cope better. Exercise often helpspeople see their concerns more clearly and deal withthem more calmly. Why not suggest going for a walkin the fresh air or organise some sporting activities?However, if you don’t feel comfortable having thesediscussions or believe the individual needs professionaladvice, encourage them to seek help from theirdoctor. Also, if the person under stress is a fellowtrainee accountant or work colleague who isn’t copingwith their workload, persuade them to talk to theirtutor or manager about it. Suffering from stress isextremely common – around half a million people inthe UK claim stress at work is making them ill and 33%of working chartered accountants in a recent CABAsurvey mentioned stress as an issue. There should beno stigma to admitting to a problem and tackling it.For excellent information on dealing with workrelated stress visit the NHS Livewell website attinyurl.com/7gysela You will also find help andadvice at caba.org.uk/wellbeingVITAL APRIL 201331

StudentgroupsAs an ACA student, youautomatically join your localICAEW student society ornetwork. Here’s a round-upof groups and networks inthe UK and around theworld. Visit icaew.com/studentgroupsLeeds Chartered Accountants’Student Society (LCASS)Chair: Joanna Browngillian.north@icaew.comBradford and District Chartered Accountants’Student Society (BRADCASS)Chair: Joanne Royalesamantha.hipkins@icaew.comNorthern Chartered Accountants’Student Society (NCASS)Chair: Ele Brownmarie.rice@icaew.comCumberland Chartered Accountants’Student Society (CCASS)Chair: Emma Forrestermarie.rice@icaew.comNorth West Chartered Accountants’Student Society (NWCASS)Chair: Tom Rigbyclaire.parisi@icaew.comLiverpool Chartered Accountants’Student Association (LCASA)Chair: Matthew Greenalex.pilkington@icaew.comIsle of Man Chartered Accountants’Student Society (IOMCASS)Chair: Matthew Dobsoncheryl.pryke@icaew.comManchester Chartered Accountants’Student Society (MCASS)Chair: Tamara Hallastrid.leather@icaew.comChester & North Wales Chartered Accountants’Student Society (CNWCASS)Chair: Heather Townsendalex.pilkington@icaew.comBirmingham Chartered Accountants’Student Society (BCASS)Chair: Louise Ruddlinda.conway@icaew.comBristol and Districts Chartered Accountants’Student Society (BADCASS)Chair: Jennifer Smithkaren.evans@icaew.comSouth West of England CharteredAccountants’ Student Society (SWECASS)Chair: James Westtrudi.coles@icaew.comSouth and East WalesChartered Accountants’Student Society (SEWCASS)Chair: Vaughan Reganemma.friedl@icaew.comSouthern Chartered Accountants’Student Society (SCASS)Chair: James Evansrachel.monk@icaew.comPICTURE CREDIT XXXXXXX/XXXXXX, XXXXXXXXX32MONTH 2013 FACULTY NAME

ROUND-UPOVERSEAS SOCIETIESRussia student networkChair: Sergei Zaitsevvadim.bozhenik@icaew.comChina student networkChair: Joanna Zhouvivian.yu@icaew.comChartered Accountants’ StudentSociety Huddersfield (CASSH)Chair: Gillian Alden and Thomas Schofieldsamantha.hipkins@icaew.comMiddle East student networkselina.elshunnar@icaew.comMalaysia student networkChair: Jovipatricia.aw@icaew.comSingapore student networkChair: Kishan Jasanileisl.pillay@icaew.comSheffield & District CharteredAccountants’ Student Society(S&DCASS)Chair: Susie Rodgerscarmel.smithson@icaew.comPICTURE CREDIT XXXXXXX/XXXXXX, XXXXXXXXXHumberside and District CharteredAccountants’ Student Society (HDCASS)Chair: Philip Georgealexia.bahadur@icaew.comNottingham Chartered Accountants’Student Society (NCASS)Chair: Katherine Shawelaine.franklin@icaew.comCyprus student networkChair: Katerina Christofideschristiana.diola@icaew.comLeicester & Northants CharteredAccountants’ Student Society (LENCASS)Chair: Catherine Drivervicky.nicholas@icaew.comEast Anglian Chartered Accountants’Student Society (EACASS)Chair: Sam Jenkinsmichelle.may-jones@icaew.comBeds, Bucks and Herts CharteredAccountants’ Student Society (BBHCASS)Chair: Sara Kingkim.shield@icaew.comThames Valley Chartered Accountants’Student Society (TVCASS)Chair: Michael Robertssue.pye@icaew.comChartered Accountants’ Student SocietyLondon (CASSL)Chair: Bronwen Kripcharmaine.murphie@icaew.comSouth Eastern Chartered Accountants’Student Society (SECASS)Chair: Kris McGrathkatherine.meadows@icaew.comSTUDENT SOCIETY EVENTSSWECASSAnnual ball 26 April, Holiday Inn, Plymouth,7pm. £15 eachAGM 16 May, Francis Clark Boardroom,Exeter, 6pmBBHCASSAGM 30 AprilSummer solstice boat party 21 June, TringCYPRUS STUDENT NETWORKRole of the CFO 9 April, NicosiaSECASSLaser Quest April, Burgess HillWine tasting or cocktail making MayCASSH & BRADCASSAGM 15 AprilAnnual student dinner 19 April,Cedar Court Hotel, Bradford. £30 eachLaser Quest AprilPub quiz MaySCASSAnnual Ball 6 AprilAGM 17 MayTVCASSAGM and Pub quiz AprilCurry night MayDrinks evening JunePaintballing JuneSEWCASSPub quiz 25 April, Tiger Tiger, CardiffSummer ball JuneNCASSBoat cruise 19 AprilFootball/netball tournament JulyCASSLAnnual ball 12 April, Old Vic Tunnels, SE1,£45AGM and wine tasting 29 AprilPub quiz 14 MayBoat party 4 JulyTreasure hunt 31 JulyVisit icaew.com/studentgroupsVITAL APRIL 201333

LIFEThe last wordMartin Lloyd-Penny FCA, founder ofmatureaccountants.com talks to Vitalabout the ACA and building a businessI graduated from the University ofManchester with a degree in managementsciences in 1974. About 70 people on thecourse went on to train as accountantsbecause you got a professional qualification tomake your way in the world. In those days youhad to do everything by hand, you couldn’t usecalculators in your Professional Stage exams. Iqualified with Binder Hamlyn.My daughter qualified with Deloitte aboutfour years ago so I’ve seen at first hand whatit’s like these days. You don’t go into it lightlybecause you know it’s going to be full on. Youput your life on hold for three years. But dowhatever you have to do to finish it becausehaving the qualification is a fantastic thing.I moved to BDO Stoy Hayward in Manchesterand ended up being a partner. At 32 I wasprobably the youngest partner in Manchester. Iwas good at generating business. But I realisedit wasn’t what I wanted to do and was offereda job by a client company as their financedirector. I wanted to get out and be involved inbusinesses; see a different side of work.The ACA is a fantastic qualification. It givesyou a grounding in the principles of business.When you qualify you can do anything youlike. You can use it as a stepping stone tothe next thing.You need a level of competence andtechnical ability in business and theprofession. But if you go into industry andcommerce, you’re going to use different skillsin terms of the day-to-day management of thebusiness. It’s more strategic, more commercial.You’ll be dealing with customers, suppliers,staffing issues and cashflow. It’s about howyou deal with the unexpected things and howyou deal with the opportunities.If you’re building a client relationship thereneeds to be a rapport. They need to trust you,to value what you’ll bring to the relationship,to respect you. You’ve got to be able toprovide that arm around the shoulder as wellas technical advice. You need to understandwhat it is they’re trying to achieve in their lifeand business. It changes as people get older:you’ll go through that journey with them.I lost my job in 2004 and was out of workfor 12 months. I was shocked that I was in myearly 50s and on the scrapheap. That’s whenI came up with the idea for my business. Itwas timely because the age discriminationact was coming in. I advertise the jobs, dothe shortlists, introduce the clients to thecandidates and hopefully they get hired. I’veplaced over 300 now, from the age of 21 to78 and everything in between, so it’s no longerabout the age. It’s about finding people withthe right experience for the role, it doesn’tmatter how old or young you are.When I got into accountancy it wasalways seen as a job for life. I don’t thinkthat’s the case any more. But it is aqualification for life.If you’re buildinga clientrelationship thereneeds to be arapport. Theyneed to trust you,to respect youIt’s about findingpeople with theright experiencefor the role, itdoesn’t matterhow old oryoung you arePHOTOGRAPHY BY: STEPHEN BURKE34 APRIL 2013 VITAL

Delivering resultsICAEW Link & Retake CoursesReed Business School is a small and established training provider offeringPearson e-assessments on-site and consistently producing and publishingexcellent examination results (see below for the most recent results).We also provide optional residential facilities enabling students to focuson their studies and share experiences with fellow students.Advanced Stage July Dedicated Retake course• Advanced Case Study - tutor marked scripts and 1:1 reviewswith the tutor• Business Reporting and Business Change - Questions markedand reviewed by tutors• Contact us now for details on our Advanced July retakecourses on 01608 674224Recent Exam Results(First time students)RBSpass rate %National passrate %ProfessionalFinancial Accounting 89 84 +6StageApplication LevelFinancial Accounting Top Up 100 89 +12December 2012 Audit & Assurance 85 81 +5Financial Reporting 86 85 +1Taxation 97 87 +11Business Strategy 92 88 +5Financial Management 85 81 +5Advanced Stage Business Reporting 100 82 +22November 2012 Business Change 100 83 +20Case Study 80 79 +1TI & Case Study 81 66 +23Difference%Results are based on students attending full link courses and sitting the exam for the first time“An exceptional BusinessSchool with highlymotivated and skilled staff.The Advanced coursewas a very high standard.An overall great 3 yearexperience”(ICAEW Advanced Stage)Richard Drewitt“Couldn’t have wished fora better environment tostudy in. The support overthe last 3 years has beenwonderful. Thanks”(ICAEW Advanced Stage)Dan BedfordAll profits are covenanted up toReed Educational Trust Limitedwhich is a registered charity.Reg. No. 328347Reed Business SchoolThe Manor, Little Compton,Nr Moreton-in-Marsh, Glos GL56 ORZTel 01608 674224 Email rbs.reed@reed.co.ukWeb www.reedbusinessschool.co.uk

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