CGMA COMPETENCY FRAMEWORK TECHNICAL SKILLS TECHNICAL SKILLS

FOUNDATIONAL: This requires a basic understanding of the business structures, operations and financial performance, and includes responsibility for implementing and achieving results through own actions rather than through others.

INTERMEDIATE: This requires a moderate understanding of overall business operations and measurements, including responsibility for monitoring the implementation of strategy. This has limited or informal responsibility for colleagues and/or needs to consider broader approaches or consequences.

ADVANCED: This requires strong understanding of the organisation’s environment, current strategic position and direction with strong analytical skills and the ability to advise on strategic options for the business. This includes formal responsibility for colleagues and their actions; and that their decisions have a wider impact.

EXPERT: This requires expert knowledge to develop strategic vision and provide unique insight to the overall direction and success of the organisation. This has formal responsibility for business areas and his/her actions and decisions have a high-level strategic impact.

FINANCIAL ACCOUNTING AND REPORTING 4 TECHNICAL SKILLS

COST ACCOUNTING AND MANAGEMENT 7 BUSINESS SKILLS BUSINESS PLANNING 9

MANAGEMENT REPORTING AND ANALYSIS 11 PEOPLE SKILLS

CORPORATE FINANCE AND TREASURY MANAGEMENT 16 LEADERSHIP SKILLS

RISK MANAGEMENT AND INTERNAL CONTROL 21

ACCOUNTING INFORMATION SYSTEMS 26 ETHICS, INTEGRITY AND PROFESSIONALISM

TAX STRATEGY, PLANNING AND COMPLIANCE 29

CGMA COMPETENCY FRAMEWORK TECHNICAL SKILLS 3 FINANCIAL ACCOUNTING AND REPORTING PROFESSIONAL ACCOUNTING STANDARDS

This ensures that the organisation conducts operations and fulfils its statutory and regulatory obligations according to professional accounting standards (domestic and/or international as applicable per business model).

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFINITIOADVANCEDN DEFINITIONEXPERT

• Demonstrate awareness and • Review the accuracy and • Demonstrate advanced level • Oversee accounting standards knowledge of the professional legitimacy of recorded financial understanding of accounting selected and implemented by the accounting standards transactions and related reports s t a n d a r d s o r g a n i s a t i o n • Apply those principles to • Assist in developing and • Develop, manage and execute • Identify potential issues associated accurately record financial implementing new accounting plans for implementation of new or with proposed accounting and transactions and maintain and reporting pronouncements updated accounting and reporting reporting rules appropriate supporting and determine the resulting impact pronouncements documentation • Recommend appropriate • Identify potential issues associated accounting and reporting with unusual or complex treatment for certain transactions transactions, review and approve the appropriate treatment

TECHNICAL SKILLS FINANCIAL ACCOUNTING AND REPORTING 4 FINANCIAL ACCOUNTING AND REPORTING TRANSACTIONAL ACCOUNTING AND CLOSING PROCESSES

This is the process of recording, adjusting and reconciling financial transactions and events according to professional accounting standards.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Perform all activities within the • Oversee the receivables process; • Resolve exceptional situations in • Design receivables and payables receivables process; calculate identify ways to mitigate debt the receivables process, calculate processes and relevant strategies non-complex provisions using related risks; calculate the impact complex provisions; advise on according to best practices appropriate methods; identify risks of debtors on financial ratios; debtor risk mitigation methods • Produce guidelines and policy for of bad debts calculate non-routine provisions • Manage centralised, complex accounting operations; formulate • Perform all activities within the • Oversee the payables process; accounts payable processes; risk mitigation strategies for bad payables process calculate the impact of creditors on advise on implications of debts financial ratios creditor profile on the business • Perform month end close activities • Provide advice on process performance as well as alternative and provide accurate and timely • Oversee all month-end close improvement, governance and processes related to payables financial submissions processes and activities exceptional situations • Simplify, improve and harmonise • Reconcile sub-ledgers to general • Reconcile complex accounts • Strategically lead implementation existing and complex processes ledger and perform other related involving inconsistent data from of the design and function of the and systems for account account reconciliations; evaluate non-integrated systems organisation’s chart of accounts reconciliations and month-end accounts for legitimacy and according to best practice • Define new general ledger closing balance substantiation accounts and ensure proper • Design processes and relevant • Define and design effective charts • Understand the different maintenance of the organisation’s strategies according to best of accounts components and chart of accounts practice and produce corporate interdependencies of the • Ensure effective accounting guidelines on provisions organisation’s chart of accounts processes and implement changes consistent with best practices

TECHNICAL SKILLS FINANCIAL ACCOUNTING AND REPORTING 5 FINANCIAL ACCOUNTING AND REPORTING FINANCIAL REPORTING AND COMPLIANCE

This is the process of creating internal and external financial reports for both individual entities or groups using appropriate accounting and/or regulatory requirements.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Understand and describe the main • Prepare financial statements and • Ensure integrity, accuracy • Advise on the ethical selection and elements of financial statements reports and ensure accuracy, and completeness of financial adaption of relevant accounting and reports completeness, and compliance statements; discuss the need policies and estimates with reporting requirements for and nature of appropriate • Understand general compliance • Ensure full organisational disclosures requirements and provide accurate • Identify potential compliance compliance and timely financial submissions issues and recommend solutions to • Implement efficient process upper management; ensure timely changes consistent with best completion of financial reporting practices; create a corporate requirements culture of compliance and shared accountability

TECHNICAL SKILLS FINANCIAL ACCOUNTING AND REPORTING 6 COST ACCOUNTING AND MANAGEMENT COST ACCOUNTING

This is the process of recording costs with associated drivers in the production, analysis and use of information for decision-making in the organisation.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Understand and apply basic • Break down key business • Implement and apply advanced • Advise on the role of sustainability concepts of cost accounting to processes, allocate costs and costing techniques and discern and environmental cost accounting support entities’ operational and income on an agreed standardised whether costing techniques and its contribution to improved financial requirements basis and identify performance used by the organisation are environmental, social and financial issues a p p ro p ria t e business performance • Demonstrate knowledge to effectively identify and update • Apply various costing methods • Advise on role and classification • Approve offering on new products product costs as necessary such as standard, marginal and of quality costing, including and services and advise on absorption methods and explain prevention, appraisal and internal/ alternative pricing strategies with corresponding advantages and external failure costs fi n a n c i a l c o n s e q u e n c e s disadvantages • Recommend on the creation of • Interpret material, labour, new and select products and variable/fixed overhead and services with corresponding selling associated variances price with impact on the business

TECHNICAL SKILLS COST ACCOUNTING AND MANAGEMENT 7 COST ACCOUNTING AND MANAGEMENT COST MANAGEMENT

This is the process of analysing, planning and managing costs (including product pricing and supply chain analysis) to support implementation of organisational strategies.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Demonstrate basic understanding • Apply various techniques such as • Manage cost challenge processes • Advise on strategic cost of techniques used to analyse and target costing, value analysis, life and work closely with the business transformation including cutting manage costs cycle and discuss implications to ensure key performance waste while maintaining or indicators are measuring the right enhancing value creation • Prepare analysis and reports that metrics enable the business management • Lead business on strategy, design to effectively challenge costs and • Discuss and recommend transfer and implementation of work inform decision-making pricing systems and evaluate effect of transfer prices • Participate in waste elimination efforts with the business to • Provide leadership and coaching understand key drivers and cost to team members on cost control reduction opportunities and reporting issues

TECHNICAL SKILLS COST ACCOUNTING AND MANAGEMENT 8 BUSINESS PLANNING PLANNING, FORECASTING AND BUDGETING

This is the process of evaluating and quantifying a strategically aligned plan, for a defined period of time, which may includeplanned sales volumes and revenues, resource quantities, costs and expenses, assets, liabilities and cash flows as well as non-financial metrics.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Contribute to business planning, • Lead planning processes, including • Translate business strategy into • Provide critical inputs to the budgeting and expenditure setting targets, communicating financial targets and tactical business planning and expenditure forecasting processes assumptions, coordinating plans and support execution in a forecasting processes; innovate budget preparation, challenging controlled risk and reward-based to enhance the business impact • Apply basic modelling, forecasting submissions and seeking synergies manner of target setting, planning and and planning techniques to upon consolidation b u d g e t i n g develop cost forecasts with cost • Interpret and make effective drivers identified and explained • Provide the business with management decisions using • Set and define the framework relevant financial support to benchmarking, trends, and for organisation goals and enable effective planning while other planning and forecasting objectives; lead organisation-wide applying moderate budgeting and methods; develop and implement strategy, planning, design and forecasting techniques improvements to the planning implementation work processes • Provide reasoned advice • Provide unique insight and on modelling, planning and • Establish and ensure effective strategic advice on trends, forecasting with reference to cost, and consistent modelling, planning industry, market factors, customer time and quality which might and forecasting processes across behaviour and other cost drivers include an understanding of business unit(s) and identify and affecting the organisation some aspects of the organisation implement best practices in these strategic direction p r o c e s s e s

TECHNICAL SKILLS BUSINESS PLANNING 9 BUSINESS PLANNING CAPITAL EXPENDITURE AND INVESTMENT EVALUATION

This is the process of assessing investments based on alignment with strategy, affordability, acceptable returns and prioritisation of options.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Apply investment appraisal • Communicate and apply • Evaluate and appraise large • Approve investment proposals techniques to investment appraisals investment decision making criteria and complex investments, capital • Anticipate future needs of the expenditures and financing • Perform post-investment reviews organisation including portfolio projects actions • Review investment appraisals and provide guidance and recommendations

TECHNICAL SKILLS BUSINESS PLANNING 10 MANAGEMENT REPORTING AND ANALYSIS FINANCIAL ANALYSIS

This is the process of analysing the financial statements and data to provide insights about the financial performance and position of the organisation over time and in comparison with others.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Use financial ratio analysis • Apply common quantitative • Review outputs of financial and • Interpret and translate financial toevaluate the organisation’s techniques such as discounted cash flow analyses to develop statements to drive strategic and performance, its financial state, cash flow (DCF) and value at risk views and guide management; successful business decisions and the effectiveness of its use (VAR) to model the economic, resolve significant reporting growth; provide guidance to the of working capital and its fiscal and accounting impact of variances or recommend corrective business using best practice in creditworthiness typical commercial activities or actions where needed cash flow analysis standard financial structures and • Apply discounted cash flow (DCF) • Approve and present financial • Communicate financial results to instruments techniques to evaluate commercial statements and analysis to chief executive officer, board of and financial decisions; determine • Provide analysis to support executive management and directors and external stakeholders and challenge the assumptions that decision-making, including provide recommendations for • Assess cutting-edge developments drive commercial decisions presenting economic outcomes, improvements in quantitative analysis and identifying the key value drivers, • Prepare profit and loss, economic • Design reporting and monitoring incorporate relevant developments benefits, sensitivities and risks, value added and cash flow analysis regimes to track performance into the organisation’s accounting and fiscal implications to enable decision-making; evaluate against corporate objectives methodologies changes in account balances and • Prepare and analyse problems • Apply sophisticated quantitative • Set standards for business analysis identify items requiring escalation using sensitivity analysis and analysis to identify the business, to support strategic direction and other techniques; review commercial and financial impact comparison; develop and implement variance analyses and account on the organisation of different finance solutions to complex and reconciliations, and identify courses of action; advise on high value commercial decisions significant items requiring actions or options to improve the including all aspects of non-technical the attention of higher-level modelled outcome risk and business delivery management

TECHNICAL SKILLS MANAGEMENT REPORTING AND ANALYSIS 11 MANAGEMENT REPORTING AND ANALYSIS MANAGEMENT REPORTING

This is the process of delivering, discussing and reporting on the organisation’s operations and financial conditions (including quality and sustainability reporting, customer profitability).

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Extract and deliver straightforward • Deliver quality management • Assess, generate and implement • Develop new strategies, processes management information reports information ideas to optimise identification and systems that provide top and delivery of management quartile management information • Prepare and provide accurate • Develop business unit reporting information to multi-functional to businesses in terms of quality and timely financial data, where systems for management, project teams information and low cost/high appropriate, for inclusion in the or performance reporting and value solutions financial control process implement processes to deliver • Lead the development of management information functional reporting systems, • Set the standard for corporate according to the reporting cycle for management, project or management reporting and performance reporting specified information systems to support their implementation • Challenge and make fundamental changes to address root causes • Identify and implement best of management information and practice management reporting reporting quality/correctness issues across the organisation and wider industry; provide strategic insight on the content of reports

TECHNICAL SKILLS MANAGEMENT REPORTING AND ANALYSIS 12 MANAGEMENT REPORTING AND ANALYSIS PERFORMANCE MANAGEMENT

This is the process of measuring and monitoring performance to ensure organisational and personal goals are consistently met.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Interpret and provide basic • Create proposals for new • Own, select and use financial and • Develop, establish and analysis of management transactions or ways of doing non-financial key performance continuously improve the information and link to business business based upon a sound indicators in business appraisal; performance management unit strategy and operational business understanding interpret trends from financial framework and appraisal performance reports, extrapolate and evaluate methodology • Set-up, prepare and lead risk in complex scenarios • Analyse business results, identify appraisals that enable effective • Advise the business at executive learning points and help to monitoring as well as improvement • Interpret and analyse management level on effective performance communicate them through the of business performance information, in the context of the management organisation external environment and business • Assist line management in preparing • Advise on the optimal use of objectives, to advise decision-makers • Distinguish between internal action plans for identified areas financial resources such as and external factors that have of improvement; own and drive • Identify and manage non-technical working capital, credit and risk an impact on performance and the use of key performance risk arising during the delivery of management analyse market and competitor indicators and accurate, timely products or services in the pursuit • Advise business decision-makers in behaviour and forward-looking management of business opportunities selecting appropriate financial and information • Evaluate the impact that key operational indicators portfolio decisions will have on costs and other key performance indicators and integrate impacts in on-going performance management and appraisal

TECHNICAL SKILLS MANAGEMENT REPORTING AND ANALYSIS 13 MANAGEMENT REPORTING AND ANALYSIS VARIANCE ANALYSIS

This is the process of using analytics to identify variances and root causes and prepare creative solutions.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Review management reports, • Interpret financial reports and • Provide advice and guidance • Provide strategic insight on the including identification and accounts, identify and evaluate on the content of business content of business reports awareness of the key causes of risks and opportunities, supervise performance reports and the business variances while applying appropriate causes of variances mitigation where necessary • Design reporting structures • Interpret the content of and assess achievement against management reports and identify corporate goals and objectives key causes of business variances

TECHNICAL SKILLS MANAGEMENT REPORTING AND ANALYSIS 14 MANAGEMENT REPORTING AND ANALYSIS BENCHMARKING

This is the process of comparing organisational procedures and performance to other organisation and industry best practices.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Demonstrate basic understanding • Benchmark business performance • Assess competitor’s future trends • Lead benchmarking or process in distinguishing between internal internally and externally; and strategies from benchmark improvement initiatives to improve and external factors that impact on deliver benchmark management data and identify key opportunities controls, make processes more performance information to specific needs to and threats for the organisation’s efficient or effective and/or reduce allow decision-making that pushes own business cycle time performance boundaries

TECHNICAL SKILLS MANAGEMENT REPORTING AND ANALYSIS 15 CORPORATE FINANCE AND TREASURY MANAGEMENT CASH MANAGEMENT

This is the process of determining how to balance the organisation’s cash needs; it aims to optimise cash balances, while managing customer, supplier and investor needs to determine the optimal financing of working capital.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Identify funding needs, assess • Negotiate, implement and provide • Design, negotiate, implement • Identify and exploit technology credit rating using standard credit ongoing first line support of and execute cash management and market trends to define future models and implement standard alternative cash management solutions to complex or unusual best practice in cash management corporate funding solutions where solutions available in the market business requirements s o l u t i o n s t o m e e t b u s i n e s s n e e d s appropriate • Complete corporate reporting • Manage standard cash • Execute standard cash for foreign currency cash flows; management solutions contracts; management solutions e x e c u t e a f o r w a r d c o n t r a c t monitor corporate reporting on foreign currency cash flows

TECHNICAL SKILLS CORPORATE FINANCE AND TREASURY MANAGEMENT 16 CORPORATE FINANCE AND TREASURY MANAGEMENT MERGERS AND ACQUISITIONS

This is the process of consolidating with and acquiring other organisations.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Perform limited analysis of • Assess the attractiveness of • Analyse and communicate the • Act as finance lead for the most mergers, acquisitions and mergers, acquisitions and impact of mergers, acquisitions significant and complex mergers, divestitures prospects divestitures versus organic growth and divestitures on business acquisitions and divestitures options for the organisation strategy and portfolio management transactions • Participate in due diligence and compare to organic growth assignments • Provide independent perspective • Assess cutting edge developments options and analysis of valuation, deal in mergers, acquisitions and economics, deal structure, • Act as finance lead for major divestitures policies and counterparty motivations and multi-disciplinary mergers, processes and incorporate overall financial and structural acquisitions and divestitures relevant developments into the aspects of mergers, acquisitions transactions and lead post organisation’s strategy and divestitures transactions implementation reviews of the selected business transactions • Manage the due diligence process, including interactions with the deal negotiating team, from scope definition to interpretation of findings

TECHNICAL SKILLS CORPORATE FINANCE AND TREASURY MANAGEMENT 17 CORPORATE FINANCE AND TREASURY MANAGEMENT TREASURY POLICIES AND TREASURY RISK MANAGEMENT

This is the process of implementing policies, evaluating and managing risks associated with the organisation’s investment, funding activities, collections and disbursements.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Review and understand basic • Analyse the corporate treasury • Advise business units in the • Lead and provide strategic corporate treasury policies policies pertaining to areas of implementation, execution and oversight on the implementation pertaining to your business unit; the business analysis of corporate treasury and execution of corporate able to implement standard policies; assess key operational treasury policies for the • Evaluate common treasury treasury risk management solutions treasury risks, design and organisation exposures and financial where appropriate implement risk-based mitigation instruments, including the financial • Establish and lead culture of • Assess credit risk of counterparties mathematics underpinning their • Negotiate, implement and provide risk management by providing using credit models; develop pricing on-going first-line support to executive oversight in policies, basic short and medium term alternative or non-standard risk practices and reporting cash flow forecasts and advise on management solutions where appropriate actions appropriate

TECHNICAL SKILLS CORPORATE FINANCE AND TREASURY MANAGEMENT 18 CORPORATE FINANCE AND TREASURY MANAGEMENT BUSINESS VALUATION

This is the process of estimating the economic value of a business unit or an organisation.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Model a basic valuation of a firm • Able to analyse, interpret and • Display solid knowledge in • Exhibit experience and advanced display knowledge within a analysing and interpreting analytical ability to strategically process of due diligence valuation decisions determine effectiveness and appropriateness of valuation decisions

TECHNICAL SKILLS CORPORATE FINANCE AND TREASURY MANAGEMENT 19 CORPORATE FINANCE AND TREASURY MANAGEMENT CORPORATE FUNDING

This is the process of acquiring or raising funds to carry out organisational goals and objectives.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Understand basic corporate • Support funding arrangements and • Apply corporate finance and • Oversee banking relationships and funding arrangements coordinate debt ratings process funding techniques from first maintain external communication principles to complex and unusual with rating agencies and situations investment banks • Negotiate funding arrangements • Evaluate and recommend optimal including corporate credit facilities, capital structure; develop and public and private financing challenge shareholder models and arrangements and minimise total link to economic models cost of funds

TECHNICAL SKILLS CORPORATE FINANCE AND TREASURY MANAGEMENT 20 RISK MANAGEMENT AND INTERNAL CONTROL RISK MANAGEMENT POLICIES AND PROCEDURES

This is the process of understanding and applying organisational policies/procedures to manage and control both financial and non financial risks to which the organisation might be exposed.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Obtain basic understanding of the • Apply relevant risk regulations, • Develop innovative approaches to • Drive integration and application of the organisation’s policies and procedures to managing significant business risks standardisation of risk risk management policies non-complex business issues effectively and efficiently management processes across t h e o r g a n i s a t i o n • Lead implementation, execution and monitoring activities • Advise on the application of the organisation’s risk management • Advise on best solutions and policies, industry best practices foresee the impact of changes and construct organisation in regulations, policies and guidelines procedures for non-complex and increasingly complex business • Analyse trends in risk management issues and internal control, evaluate implications, define and implement organisation-wide response

TECHNICAL SKILLS RISK MANAGEMENT AND INTERNAL CONTROL 21 RISK MANAGEMENT AND INTERNAL CONTROL RISK IDENTIFICATION AND ASSESSMENT

This is the process of detecting and evaluating risk factors that could adversely affect the implementation of the organisation’s strategy.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Demonstrate basic understanding • Participate in risk assessment and • Diagnose significant, unusual • Advise on applicable aspects of of the entity’s risk components and identification efforts and emerging risks to which the risk identification and assessment organisational controls business is exposed • Identify and assess the impact and likelihood of risks to achieving business objectives; monitor changes in risk environment

TECHNICAL SKILLS RISK MANAGEMENT AND INTERNAL CONTROL 22 RISK MANAGEMENT AND INTERNAL CONTROL RISK RESPONSE AND REPORTING

This is the process of developing and implementing procedures to mitigate identified risks or exposure to risk, and disclosing risk information to both internal and external stakeholders.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Understand effective controls or • Monitor the effectiveness of actions • Develop and implement • Develop innovative and strategic mitigation options to manage taken to manage identified risks appropriate risk mitigation for approaches to managing specific risks and refer to experts and intervene as appropriate significant and unusual risks to significant business risks across where appropriate which the business is exposed the organisation • Understand and be able to explain the purpose of risk mitigation • Provide advice on business • Interpret risk reporting and make measures continuity management effective decisions based on mechanisms, define appropriate high-level understanding and • Understand, develop and prepare risk responses for reasonably expertise risk reporting foreseeable emergency scenarios and events • Design and implement risk reporting systems and communicate to executive management risk processes and results including recommendations for improvement

TECHNICAL SKILLS RISK MANAGEMENT AND INTERNAL CONTROL 23 RISK MANAGEMENT AND INTERNAL CONTROL INTERNAL CONTROL

This is the process of implementing a control framework to ensure the integrity of operations, financial and accounting practices.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Understand internal control • Assist in the development and • Act as a custodian and maintain • Define fit-for-purpose control framework and the type of risks to implementation of governance the integrity and consistency of frameworks and ensure mitigate frameworks and fit-for-purpose business governance and control implementation and full financial controls frameworks compliance of control policies • Identify, interpret and apply control across the organisation guidelines and requirements on • Establish processes to monitor • Significantly improve and monitor specific governance issues compliance and effectiveness risk-based system of financial • Evaluate the implications of of financial controls in line with control; develop solutions for the changes in regulations and best • Actively promote the application the organisation’s methodology; effectiveness of existing controls practices related to governance of risk management and risk-based identify, develop and implement to manage the business risks and financial controls; approach to internal control process improvements where drive implementation of • Manage, remediate and enforce • Operate financial controls, specific needed organisation-wide responses compliance procedures; define user access and/or data integrity • Implement data integrity and user and implement end-to-end user • Create risk-based governance controls; perform regular reviews access controls to mitigate risks access management processes frameworks to handle complex of segregation of duties conflicts associated with specific processes and standards, covering role and unusual business activities and design, access provisioning, issues • Assess potential impact of monitoring and remediation segregation of duties conflicts; • Lead benchmarking or process identify and implement • Drive the standardisation and improvement initiatives to improve remediation and/or compensating integration of risk-based user controls controls access management processes by making optimal use of system controls and available IT solutions

TECHNICAL SKILLS RISK MANAGEMENT AND INTERNAL CONTROL 24 RISK MANAGEMENT AND INTERNAL CONTROL INTERNAL AUDIT

This is the process of examining, analysing and providing an independent and objective opinion on the effectiveness of an organisation’s operations.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Execute audits to provide • Prepare the audit work program • Ensure proposed audit work • Identify and oversee best practices independent and objective for each audit; develop efficient programs focus on the material and drive innovative and strategic assurance, including preparing and effective assurance activities risks for the area under audit changes to audit practices audit draft reports and parts and is compliant with all relevant • Review assurance plans and audit of the audit work program by internal and external standards programs to ensure appropriate applying corporate internal audit coverage • Address significant, complex and methodology non-routine problems with respect • Maintain manual of authorities for to the audit plan and advise specific areas; manage specific others on how to perform audit assurance activities in support of assessments management’s self-assessment; identify required resources to complete an individual audit

TECHNICAL SKILLS RISK MANAGEMENT AND INTERNAL CONTROL 25 ACCOUNTING INFORMATION SYSTEMS INFORMATION SYSTEMS ENVIRONMENT

This is the process of creating an IT environment and understanding the interrelationships between the various components and systems, including the workflow of data through the systems.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Obtain working knowledge of the • Monitor the applications and • Proactively share knowledge • Develop and communicate organisation’s information systems effectiveness of the organisation’s across the business to streamline strategic vision regarding the environment (hardware, software information systems systems finance systems and supporting and networks) technology

TECHNICAL SKILLS ACCOUNTING INFORMATION SYSTEMS 26 ACCOUNTING INFORMATION SYSTEMS ACCOUNTING APPLICATIONS

This is the process of defining and structuring the accounting systems in compliance with policies and guidelines.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Demonstrate understanding of • Develop and maintain computer • Secure in-depth understanding • Ensure that accounting information the accounting systems and their literacy on applications critical to of functionality (i.e., knows what systems employ most appropriate functionality the effectiveness and efficiency of the right answer is and how data technology internal accounting processes and should flow) procedures

TECHNICAL SKILLS ACCOUNTING INFORMATION SYSTEMS 27 ACCOUNTING INFORMATION SYSTEMS TECHNOLOGY DEVELOPMENTS AND IT SOLUTIONS

This is the process of adopting and integrating new and improved technology solutions to support the organisational objectives.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Understand applicability of new • Monitor recent technology • Lead implementation of technology • Develop organisation-wide and improved IT developments and developments and recommend upgrades/enhancements approach and best practices on solutions implementation where practical the adaption of new technologies • Analyse external IT developments and solutions • Display ability to identify potential • Champion productive technology for data integrity and access upgrades, enhancements, new solutions to meet business needs control management • Lead and direct the definition and products and their effects development of new IT solutions • Participate in the functional • Recommend new systems to to improve the efficiency of the development and specifications of automate existing processes and system of financial control new IT solutions in the accounting ways to re-engineer business area process to effectively use new • Partner with IT to ensure that the technology organisation has the appropriate resources to implement new technology

TECHNICAL SKILLS ACCOUNTING INFORMATION SYSTEMS 28 TAX STRATEGY, PLANNING AND COMPLIANCE TAXATION LAW

This ensures that the organisation understands and conducts operations based on statutory, regulatory and common-law rules applicable to the organisation and its line of business.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Demonstrate understanding of • Understand and discuss routine • Provide tax advice and creatively • Identify, create solutions for and basic principles and application of tax matters such as income tax, solve technical tax issues that are advise on non-routine tax issues business tax indirect tax, corporate tax within non-routine and/or complex of the highest complexity and clear guidelines importance • Interpret new legislation and • Assess technical tax issues evaluate its implications for the of reasonable complexity organisation, and/or advise (in areas of specialisation) on application of existing legislation to new situations

TECHNICAL SKILLS TAX STRATEGY, PLANNING AND COMPLIANCE 29 TAX STRATEGY, PLANNING AND COMPLIANCE TAX RETURN PREPARATION AND REVIEW

This is the process of reviewing and preparing tax returns in accordance to applicable business taxation law, including income, property, consumption, value added tax.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Prepare basic tax returns in area • Review tax returns to ensure • Approve tax returns to ensure • Evaluate impact of amendments in of specialisation accuracy, completeness, and accuracy, completeness and tax laws compliance with applicable tax statutory compliance; provide codes; propose solutions to certain technical guidance to staff in area business tax matters of expertise

TECHNICAL SKILLS TAX STRATEGY, PLANNING AND COMPLIANCE 30 TAX STRATEGY, PLANNING AND COMPLIANCE TAX ACCOUNTING

This is the process of recording financial records for tax purposes as prescribed by taxation law.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Apply basic tax accounting • Apply corporate and international • Set the organisation tax accounting • Analyse trends in tax accounting principles to appropriately record tax accounting standards to standards and resolve unusual and and ensure that the organisation taxes appropriately report the tax complex tax accounting issues is applying best practice in implications of the organisation’s in accordance with applicable tax accounting principles and transactions accounting standards standards • Identify and implement • Recommend and advise on improvements to tax accounting process improvements to tax and reporting processes within accounting within the tax the tax department; highlight department implications of latest international standards and Generally Accepted Accounting Principles (GAAP) in relation to tax accounting

TECHNICAL SKILLS TAX STRATEGY, PLANNING AND COMPLIANCE 31 TAX STRATEGY, PLANNING AND COMPLIANCE TAX AUDIT

This is the process of examining the organisation tax return and position for compliance.

FOUNDATIONALDEFINITIONDEFINITION INTERMEDIATEDEFINITIONDEFINITION DEFINITIONDEFIADVANCEDNITION DEFINITIONDEFIEXPERTNITION

• Respond to information requests • Propose internal settlements for tax • Recommend and negotiate • Approve settlements of major tax from taxing authorities audits and disputes settlements of major tax audits or audits or disputes disputes from both internal and external perspectives

TECHNICAL SKILLS TAX STRATEGY, PLANNING AND COMPLIANCE 32 TAX STRATEGY, PLANNING AND COMPLIANCE TAX PLANNING

This is the process of analysing the financial situation or plan of the organisation for tax perspective (including international taxation and transfer pricing).

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• Demonstrate basic understanding • Provide tax support from scoping • Manage corporate tax matters • Set tax policies, strategies, of taxation strategies to post-transaction implementation innovatively and strategically; standards and guidelines for the on certain projects recommend and advise on organisation solutions for complex tax projects or deals affecting more than one jurisdiction

TECHNICAL SKILLS TAX STRATEGY, PLANNING AND COMPLIANCE 33