The Nigerian Accountant 2018
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Contents JULY/SEPTEMBER, 2018 Vol. 51, No.3 4 TECHNOLOGY Fourth Industrial Revolution: Will Accountancy Survive * the Rise of Artificial Intelligence? 6 DEVELOPMENT Resource Roundup: Implementation Support for Small- * and Medium-Sized Practices 12 INVESTITURE I Will Live and Lead by ICAN Values, Defend its Ideals The Nigerian * Irrespective of Challenges — Jaiyeola ACCOUNTANT (ISSN: 0048 – 0371) 14 NEWS/EVENTS is published quarterly by * ICAN, Eminent Nigerians THE INSTITUTE OF CHARTERED Celebrate the Doyen of ACCOUNTANTS OF NIGERIA Accountancy, Mr. Akintola HEAD OFFICE: Williams @ 99 Plot 16, Idowu Taylor Street, Victoria Island, Lagos. P.O. Box 1580, Lagos. 30 GOVERNANCE Telephone: 09053847510, Power of Appropriation, 09053847511 * E-mail: [email protected] Budget Padding and Its Website: www.icanig.org Economic Implications ANNEXE OFFICE: 82, Murtala Mohammed Way, 46 CONFERENCE Ebute Metta, Lagos. 3rd ICAN Canada Conference: Stakeholders Discuss Telephone: 09053847513 * Technological Changes in Accounting Profession 13th Eastern Zonal Conference: ICAN Calls for * The views expressed by correspondents or * contributors in this journal are not necessarily Diversification to Achieve Accelerated Development those of the Institute. By making submissions to The Nigerian Accountant, the contributors undertake that the contributions are original 50 COVER INTERVIEW and have not been accepted or submitted Nigeria Should Reduce elsewhere for publication. * Cost of Governance * The Institute reserves the right to refuse, and Invest More in cancel, amend or suspend an advertisement Infrastructural or insertion and no liability can be accepted Facilities for loss arising from non-publication or late publication of any advertisement or insertion. All articles are subject to editing. 60 HEALTH * Dangerous Killers * © No part of this publication may be and Most Common reproduced without the prior written permission of the publisher. Diseases in Africa THE NIGERIAN ACCOUNTANT 1 July/September, 2018 THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA (Established by Act of Parliament No.15 of 1965) Vision Officers & Council Members Statement 2018–2019 To be a leading global President professional body. Razak JAIYEOLA (Alhaji), BSc, ACFE, CRISC, FCA Vice President Mission Nnamdi Anthony OKWUADIGBO (Mazi), BSc, FCA Statement 1st Deputy Vice President To produce Onome Joy ADEWUYI, BSc, MSc, FCIB, FCA world-class chartered 2nd Deputy Vice President accountants, regulate and Comfort Olujumoke EYITAYO, mni, CFA, FCA continually enhance their Immediate Past President ethical standards and Isma’ila Muhammadu ZAKARI (Mallam), mni, BSc, FBR, FCA technical competence in Honorary Treasurer the public interest. Oyemolu Olugbenga AKINSULIRE (Chief), MSc, MBA, FNIM, FCA Members ICAN Centre: Plot 12, Kofo Kasumu Street, Oluwatobi Ayodele ABIOLA, HND, BSc, FCA Amuwo Odofin, Lagos. Solomon Oluwole ADELEKE (Deacon), FCA Titilola Ariyike Nurat AKIBAYO (Alhaja), MBA, FCIT, FCA ICAN LIAISON OFFICES Davidson Chizuoke Stephen ALARIBE (Chief), MA, CFA, MNIM, FCA Chibuzor Noel ANYANECHI, BSc, MBA, FCA Abuja Liaison Office: Deji AWOBOTU (Dr.), M.IoD, FCA Akintola Williams House Felicia Aina BAMGBOSE, FCA Plot 2048, Michael Okpara Way, Adaku Chilaka CHIDUME-OKORO (HRM), BSc, MSc, FCA Zone 7, Wuse District, Abuja. Samson Adewale DISU (Rev.), MSc, FCA Tel: 09 – 8722302, 07034520270 Jude Sunday EGBO, HND, MBA, FCA E-mail: [email protected] Omehe Gaddafi Peter EHKORAGBON, HND, FCA [email protected] Tijjani Musa ISA (Mallam), BSc, M.IoD, FCA Contact Person: Ahmed Modu KUMSHE, PhD, FCA Mr. Yusuf Adamu Nasiru MUHAMMADU, BSc, MSc, FCIT, FCA Godwin OBAJE (Navy Capt.), FCA Kaduna Liaison Office: 3, Kanta Road, Ali Turaki House, Kaduna. Olutola OGUNDIPE, B.Eng, FCA Tel: 08036788275 Monica Ngozi OKONKWO, MSc, ACIB, FCA E-mail: [email protected] Innocent OKWUOSA, MSc, ACIB, FCA Contact Person: Jamiu Adeyemi OLAKISAN, HND, BSc, ACS, FCA Mrs. A.A. Adegoke Tajudeen Adewale OLAYINKA, BSc, MBF, FCA Etofolam Felix OSUJI (Dr.), mni, MSc, FCTI, FCA Kano Liaison Office: Hilda Ofure OZOH, MBA, FCA Murtala Mohammed Library Complex Queensley Sofuratu SEGHOSIME, mni, MBA, FCA Ahmadu Bello Way, Haruna Nma YAHAYA (Alhaji), BSc, MBA, ANIM, FCA P.O. Box 11283, Kano. Tel: 08035900399 Registrar/Chief Executive Email: [email protected] John Irabor EVBODAGHE, MBA, FCA [email protected] Contact Person: Joint Auditors Mr. A.H. Umaru PriceWaterhouseCoopers (Chartered Accountants) UHY Maaji & Co. (Chartered Accountants) THE NIGERIAN ACCOUNTANT 2 July/September, 2018 From The Editor EDITORIAL BOARD he 54th President of the Institute, Alhaji Razak Jaiyeola, BSc, ACFE, CRISC, FCA, did not set out to become a Chairman Chartered Accountant initially. He actually had a BSc. Etofolam F. OSUJI (Dr.), mni, FCA T degree in Chemistry from the University of Ife (now Obafemi Awolowo University) Ile-Ife, Osun State in 1974. Deputy Chairmen After his mandatory National Youth Service Corps (NYSC), he got a job in the food and drugs administration department Ahmed Modu KUMSHE (Dr.), FCA under the federal ministry of health, but he wasn’t too satisfied Frederick OGUNJUBOUN, FCA with what he was doing then. So he kept looking for better opportunities. As he was looking for vacancies in the newspapers, Members he discovered that most of the vacancies he came across were for Accountants, and the position goes with good salary, official Okechukwu ADAWAISI, ACA car and other emoluments. Mojisola ADEWOYIN (Mrs.), ACA He began to think of how to change his career to Accounting. Aisha Uwani ALIYU (Mrs.), ACA Without wasting time, he enrolled and passed all the successive Asukwo Joseph ITA, ACA stages of the ICAN examinations in record time. During his professional examination days, he won a prize in Auditing at Emmanuel NWOKEDIUKO, ACA intermediate level and First Merit Position prize at the final Augustine OJEH, ACA level in 1980 when he qualified. Efe OVRAWAH (Ms.), ACA He started his Accounting career in 1977 at Coopers and Lybrand, an international accounting firm (Now Oyefemi Oyelami OYETUNJI, FCA PriceWaterhouseCoopers). To date, he has a total of 38 Mariam Abosede TIAMIYU (Mrs.), ACA years’ experience spanning all areas of Accounting, Financial Bichi Sule UMAR, FCA Information Technology Consulting, Information Systems Auditing, IFRS/IPSAS Training, Consulting and Implementations, Taxation, Secretarial, Insolvency and Management Practice. Alhaji Jaiyeola is also very passionate about information Editor technology. He is a member of the Information Systems Bunmi OWOLABI Audit and Control Association (ISACA), Institute of Software Practitioners of Nigeria (ISPON), Association of Certified Fraud Deputy Editor Examiners (ACFE) and Certified in Risk and Information System Dayo KOWE Control (CRISC). In his interview with The Nigerian Accountant team comprising of Bunmi Owolabi (Editor) and Muyiwa Dare Assistant Editor (Assistant Editor), the 54th ICAN President was firm and explicit Muyiwa DARE in his answers to the questions, supporting his claims with facts and figures on any issue raised. Manager, Adverts He spoke extensively on national issues, especially about Nkem JACOB what ICAN is doing to support government’s anti-corruption crusade and how to improve the nation’s economy. He spoke on the “ICAN Accountability Index” embarked upon by the Institute Correspondence should be addressed to:- to assess the performances of all the three tiers of government and make their financial statements public for the sake of Corporate Communications and transparency and integrity. Marketing Directorate You will also read in this edition some interesting articles THE INSTITUTE OF CHARTERED such as: Power of Appropriation, Budget Padding and Its ACCOUNTANTS OF NIGERIA Economic Implications; Resource Roundup: Implementation Plot 16, Professional Centre Layout, Support for Small and Medium-Sized Practices, etc. Idowu Taylor Street, Victoria Island. Under the health column, there was extensive report on P.O. Box 1580, Lagos. Dangerous Killers and Most Common Diseases in Africa. Tel: 09053847510, 09053847511 Your comments on the various articles, news and other E-mail: [email protected] items published in this edition are welcome. Please write to: ICAN Website: www.icanig.org [email protected] or [email protected] THE NIGERIAN ACCOUNTANT 3 July/September, 2018 Technology Fourth Industrial Revolution: Will Accountancy Survive the Rise of Artificial Intelligence? By EMMA SMITH Will the increasing prominence of machine learning and artificial intelligence in the accountancy industry threaten the survival of the profession? peaking to the BBC this week, chief economist at the training was necessary to ensure workers could leverage Bank of England Andy Haldane said that disruption new job opportunities as they became available in the era of Scaused by the Fourth Industrial Revolution would be “on artificial intelligence. a much greater scale” than that experienced during the First The accountancy industry is one sector primed to capitalise Industrial Revolution in the Victorian period. Advising that on the rise of artificial intelligence and machine learning. The the UK required a skills revolution to counteract individuals sector has already embraced automation, with intelligent becoming “technologically unemployed”, Haldane said that software removing the traditional compliance aspect of the THE NIGERIAN ACCOUNTANT 4 July/September, 2018 Technology accountant role. And, as the government’s Making Tax