Adapt + Thrive: 2020 Association Integrated Report
The 2020 Association Integrated Report, available at aicpa-cima.com, describes the organisation's top ten achievements for the year and how its resources are used to create value. Included in the top ten are its global advocacy for COVID-19 relief and economic recovery, and expansion of access to professional qualification exams and support for career progression. Additionally, there was roll-out of a new pathway to the CGMA designation — the CGMA Finance Leadership Program (FLP).
The report also sets out the Association's strategic initiatives and highlights how its work supports eight of the UN Sustainable Development Goals (SDGs) in particular.
CIMA Emerging Leaders Competition: Winners announced
The CIMA Emerging Leaders Competition 2021 took place in Russia via videoconferencing in May, organised by HSE University. Out of 38 teams from seven universities that applied, six teams went through to the final round.
The winners were:
- Count&Win from Southern Federal University in Rostov-on-Don, Russia.
- MiM team from HSE University in Moscow.
- iRiski team from HSE University in Moscow.
Members of the winning teams gain the opportunity for free tuition and exams in the CIMA Certificate in Business Accounting programme (Cert.BA) and to fast-track their application for a three-month internship with Unilever in Russia, which also supported the competition.
Additionally, in Russia, the Association has partnered with HSE University to deliver a two-year programme — Master of Business Analytics — taught in English online on Coursera.
Engage Europe Finance Awards 2021
At a virtual ceremony in May, Nick Jackson, FCMA, CGMA, now CIMA Immediate Past President, announced the winners of the Engage Europe Finance Awards 2021.
Jackson said: "These members, students, and partners go above and beyond to champion responsible finance, enhance individuals' careers, and keep management accountants at the forefront of business and finance."
The winners were:
- Student of the Year: Khalid Ali, CIMA Advanced Diploma in Management Accounting, senior financial project coordinator, Ramboll UK.
- Tutor of the Year: Jamie Bacon, ACMA, CGMA, senior tutor and cohort team leader, BPP Professional Education.
- Finance Business Leader of the Year: Richard O'Donnell, FCMA, CGMA, financial controller, Dunelm Optical.
- Responsible Finance Team of the Year: Evergreen Garden Care.
- Finance Transformation Project of the Year: Restructuring Programme — "Turning a Negative Into Positive", Rolls-Royce.
There were two additional awards:
- Student of the Year commendee: Major Sean Sapsford, finance and human resources officer, British Army.
- Tutor of the Year commendee: Renata Korshykova, Ph.D., associate professor, Kyiv National Economic University.
Further details are available at aicpa-cimaengage.com.
Institute awards silver medals
Two awards of the Institute silver medal were announced at CIMA's Annual General Meeting in June, with presentations being made in September.
Elaine Richardson, FCMA, CGMA, has been awarded the silver medal for her leadership and contribution to promoting CIMA and management accounting worldwide.
Throughout her public-sector career and time as a CIMA member, she has held many Institute roles including as a Council member and Benevolent Fund chair.
She is currently a trustee for several charities, and her work with them includes developing strategies and initiatives, and moving them towards digitalisation and smarter ways of working.
Trevor Hassall, FCMA, CGMA, has been awarded the silver medal for his contribution to advocating for CIMA and management accounting in the educational sector.
Previously, Hassall was leader of the Accounting and Business Education research group at Sheffield Hallam University in the UK and is now Emeritus Professor of Accounting Education at the university. Both his teaching and research have been recognised by national awards.
Hassall's CIMA roles included serving on Council and being Lifelong Learning Committee vice-chair and Sheffield branch president.
Association leaders speak at Poland events
Andrew Harding, FCMA, CGMA, chief executive—Management Accounting at the Association of International Certified Professional Accountants, spoke on "How the New Regulatory Environment Will Impact Financial Business Models" at the Association of Business Service Leaders' (ABSL's) mid-June FDI Forum that took place in Warsaw.
ABSL represents more than 200 companies in Poland's business services sector.
Harding, who pre-recorded his presentation for the "Talent Boosting Investments" event, said: "[COVID-19] was a big reset for the world. Poland needs to seize the opportunity by differentiating itself through its talent, developing finance skills for the future, and building its reputation for excellence."
AICPA & CIMA were the gold partner for the event, which had guests from global businesses and national authorities, and international experts. Poland's prime minister, Mateusz Morawiecki, also attended.
The Association's Tom Hood, CPA/CITP, CGMA, executive vice-president—Business Growth & Engagement, spoke at EY's Financial Controlling Transformation 2021 forum also in June in Warsaw.
Hood's session, "The Future of Work — Financial Controlling in the Next Normal. Now", covered financial controlling's latest trends and the opportunities for controllers to shift from being "scorekeeper" to a value-added business partner.
Hood said: "[Trends] which were happening before the pandemic accelerated during the pandemic, like e-commerce or digital tools. Because of that we can say that 2020 was the new 2025."
He added that in a period of rapid change, "the winners are going to be the people who can learn faster than the rate of change and faster than their competition".
Sustainability and ESG briefings
A series of AICPA & CIMA reports available at cgma.org focus on how sustainability, business, and the finance professional's role come together. They include briefings on the major sustainability frameworks and guidance, such as from the Task Force on Climate-Related Financial Disclosures (TCFD), the Global Reporting Initiative (GRI), the Sustainability Accounting Standards Board (SASB), and the International Integrated Reporting Council (IIRC). In addition, briefings cover specific environmental, social, and governance (ESG) issues.
Sri Lanka Young Member Mentoring Programme 2021
CIMA Sri Lanka launched in June its 2021 mentoring programme for young Associate members ages 25—35, aimed at helping them develop their careers through advice and learning from CIMA members who are business leaders based in the country and overseas.
CIMA's country manager for Sri Lanka, Zahara Ansary, FCMA, CGMA, said: "We've assembled a dream team of industry leaders who are ready to provide our young members with practical guidance and insights on their career path. We anticipate this to be of immense benefit for our members, as has been evidenced [by] the feedback received on last year's programme."
Transition away from LIBOR: Are you and your clients ready?
As you may be aware, public authorities globally have announced that the London Interbank Offered Rate (LIBOR), the benchmark for interest rates based on predicted interbank lending, will end in its current form on 31 December 2021 (mid-2023 for US Dollar LIBOR), and the market should move to robust alternative rates. The transition began in 2017, and the deadline is rapidly approaching.
In the UK, the Bank of England and the Financial Conduct Authority (FCA) have been working with lenders, regulators, professional services firms, and trade associations to deliver a smooth transition away from LIBOR. The industry Working Group on Sterling Risk-Free Reference Rates has produced a swath of information for businesses, available at bankofengland.co.uk.
For businesses, the LIBOR transition means two key things: Firstly, there will be no more new loans based on LIBOR, and, secondly, any existing business contracts based on LIBOR that mature after December 2021 should be converted to alternative rates.
For sterling, the new loan transition has been delivered. Since April 2021, banks and lenders have no longer been able to issue loans based on LIBOR, so any new loans will reference a "risk-free rate" or an alternative non-LIBOR rate.
The conversion of existing contracts is happening now, and as the deadline moves closer and banks and lenders increase their communications with affected clients, businesses will need support in understanding the different rates and the impact of a change in rate on their business.
For many, this support will come from their accountants and advisers, who will play a crucial role in guiding clients through this.
As LIBOR is found in commercial loans, leasing and servicing contracts, discount rates used in valuations, and company pension schemes, it is important businesses look at the bigger picture of all borrowing, timings, and requirements and understand if and how this affects them.
Though it is worth checking financial facilities first, LIBOR may also be present in other less obvious areas such as intra-group accounts and commercial contracts such as in late-payment clauses.
UK Finance has published two guides to support you and your clients on the LIBOR transition. These guides will be of use to large, medium, and small businesses and are therefore relevant to members working in business and Members in Practice. They are an introductory guide for SMEs available at ukfinance.org.uk; and a more detailed joint CBI best practice resource available at ukfinance.org.uk. An additional UK Finance LIBOR Transition SME resource available at ukfinance.org.uk answers frequently asked questions and signposts businesses to all the other key information available.
CIMA will notify members about any further guidance from UK Finance.
CPD and the monitoring process
We randomly select members each year to submit their CPD records for review.
How will I know if I have been selected?
Letters or emails are sent to all those randomly selected for CPD monitoring, including both members employed in business and Members in Practice.
You can either submit your CPD record via the Competency and Learning website at competency.cgma.org or you can confirm that you work for an accredited employer.
If you miss the deadline for CPD record submission stated in the letter or email sent to you, you will be deemed noncompliant, which will result in action by CIMA. For more information, visit cimaglobal.com/cpd. If you are retired or not in paid work, please get in touch at firstname.lastname@example.org, as you may not be required to submit a learning record.
How can I prepare?
Keep a record of your CPD — it's good practice and means you'll be ready when randomly selected. Review the CPD requirements set out on the CIMA website. There's also a list of FAQs.
Check whether your employer is accredited. CIMA members working for accredited employers can use their personal development plan as evidence of CPD compliance. A list of accredited employers can be found at cimaglobal.com.
If your employer is accredited, make sure your employment details are up to date in My CIMA so that your place of employment can be verified. If your employer isn't accredited, you will need to submit your CPD record via the Competency and Learning website.
When preparing your My Learning record on the Competency and Learning website, make sure you add all the job roles you have had during the period being monitored.
CPD activities can be formal (eg, a course or conference) or informal (eg, reading articles/journals, giving presentations, or training a colleague).
Further guidance on how to record your CPD is available at cimaglobal.com.
Please get in touch via email@example.com if you have any questions.
Please go to cima.eu.qualtrics.com to give feedback on this article. The closing date is 1 November 2021.