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Accountants for Business event
Accountants for Business: Golden Age of Profession? - Roundtable in Ukraine
Current economic conditions in Ukraine and around the world have put CFOs in a new, more demanding environment; and the recognition of the role of CFO's in business has increased significantly, with functions such as risk management, strategic planning, internal and external communication becoming more and more important. At the same time, Ukraine must continue reforming its system of accounting and audit.
These were the points discussed during the ACCA (the Association of Chartered Certified Accountants) roundtable "Accountants for Business: the "Golden Age" of the profession?" that took place in Kiev , Ukraine , in advance of the Day of the Accountant in Ukraine .
About the Day of the Accountant:
Ten years ago, on 16 July 1999, the Parliament of Ukraine adopted a new Law on Accounting and Financial Reporting. Five years ago, in 2004, 16 July was officially declared a professional holiday – the Day of the Accountant, by Presidential Decree.
Presenting the results of the recent global ACCA survey "The CFO's New Environment", which polled 450 CFOs around the globe, Natalya Vovchuk , Head of ACCA Ukraine, Baltic and Caucasus States , said:
"Currently, about 83% of CFO's think that their role has become more important, and 70% think that the finance team is getting more boardroom backing than a year ago. About 80% of those polled stated that they are playing a bigger role in risk management, and 72% thought that finance departments are working more closely with business units in strategic planning. We can see, that the role of the professional accountant and the CFO is decisive for business today, for optimisation of expenses and cash flows."
During the discussion, participants pointed out the increased importance of risk management, (and the detrimental impacts of neglecting the role of risk managers, "whistle-blowers" before the financial crisis), the increased involvement of CFOs in business processes and cooperation with business units to optimise expenses and cash flows. The meeting also discussed how the CFO's role has always been important, but that recognition of the role has increased dramatically. Also, the increased demand for professional training and education was pointed out.
Andrei Busuioc , ACCA, Centre for Financial Reporting Reform, presented the last World Bank ROSC (Report on the Observance of Standards and Codes) for Ukraine in Accounting and Audit, highlighting the policy recommendations for Ukrainian decision-makers on the legislative framework for accountancy and audit, increasing institutional capacity, and professional education and development. In particular, Mr. Busuioc said:
"It is important to differentiate requirements for reporting for different groups of companies – depending on the need for financial information and the level of public interest. For PIE's (public interest entities), IFRS reporting is needed; Small and medium sized entities (SMEs) should be required to apply reduced financial reporting by national standards; for micro-entities – only tax compliance. Also, the criterion for each type of company should be clearly delimited. It is important to increase the responsibility of those who prepare financial reports, including measures in case of failure to comply with requirements. Education and the professional development of specialists who prepare financial reporting according to IFRS and national standard, is also very important".
Full text of World Bank Report
Full text of ACCA Report "The CFO's New Environment"
The following ACCA members also participated in the roundtable:
- Andriy Droniuk, CFO of CDMA Ukraine (major telecom company)
- Sergiy Ivanyuta, CFO of AES Ukraine - American energy company, one of major companies in Ukraine 's energy sector / electricity market
- Igor Krykun, CFO of Publicis Groupe Ukraine , biggest advertising holding in Ukraine
- Valeriy Savysko, CEO of Trans Obolon, transport sector
- Andriy Lazorenko, Alfa Bank
- Keith Rye, trainer, Accountancy Tuition Center
- Olena Volska, managing partner of consulting company EBS
- Olena Tokar, Director of Assurance, PWC
- Roman Golovchenko, Ernst&Young
- Oleksandr Shapoval, Business consultant
- Anatoliy Nezgodyuk, Business consultant
Also, there representatives from educational institutions
- Olena Baryshnikova, CEO, Business Educaion Alliance
- Evgen Petsak, Kyiv-Mohyla Business School
- Olena Skichko, Executive Manager of BakerTilly Accounting Services