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If X+Y=10 and X+X=7 calculate the number of female accountants

05 May 2015

Women in accounting - top exam results, but still on the trial balance

From what was a male dominated profession there is no doubt, females are making quite a bit of a stir entering accountancy. This year women have scored the highest exam results in the latest ACA Professional Level exams that has resulted in an all women prize list of top scorers.

So not only are women proving themselves academically fit for purpose they are also not afraid to enter a profession once regarded as boys’ school territory.

But this is the start of the story and not the end so there has to be a big ‘but’ somewhere and here it comes:

Although women can prove themselves in the exam room they are yet to be given equal opportunity in the boardroom; even more surprising is that in some parts of the world women now represent the clear majority of accountants. Regions such as Asia Pacific; Singapore and the Philippines have some of the highest female accountant populations in the world estimated to be up to 75%, with the American labour bureau reporting female numerical dominance in accounting and tax positions.
 
There’s more of the ‘but’; in the UK a recent survey by ICAEW and Stott & May shows women earning on average 37% less than men explaining the gender pay gap partly due to seniority of role, sector bias and job type where pay is typically less.

So here’s the rub in the ‘but’; there are now more women entering into the profession, they represent majorities in some regions of the world, they excel in exams, yet they hold more junior positions, working in sectors that are not so highly paid that offer part time working, and they make slow progress when it comes to the boardroom, a natural path for accountants to take; women are struggling to reach 25% in the ftse 100 companies and only 18% in the top 250. 

On the worst interpretation; the data conspires a theory of discriminatory practice in accounting, the science has little form of testable explanations and the maths simply doesn’t make sense. On the best, it is a decision that women make to be more flexible to their life’s needs, with their choices favouring more worthy and satisfying sectors to work in.

Whatever the cause and we must remind ourselves that equal opportunity and diversity isn’t just about women; it follows along the dimensions of race, ethnicity, gender, sexual orientation, socio-economic status, age, physical abilities, religious beliefs, political beliefs, or any other ideologies. It celebrates differences and balances opinion and decision. Global companies thrive on it.

However the effect of the appalling statistics on women in accounting is not, in the long term, good for commerce and business, and organisations must consider the consequences of continued male dominance at the top in accounting; lest we forget how far women have come in the last century.

For more information on accountancy jobs email

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Whistleblowers in the NHS who expose the truth

25 March 2015

Great leadership and management skills within the NHS cannot exist devoid of compassion.

Just shy of 100 years ago you could have been shot for treason for telling the truth regardless of whether the truth was a justified ‘truth’ or not.

Everyone’s truth is different and so ‘truth’ as a yardstick is not necessarily an exact gauge on whether telling it is for good or for bad. Yet there have been recent instances where telling a perceived truth, perceived by the individual that is, or ‘whistleblowing’ has led to justice being done.

So when is it right to whistleblow and is the government’s crusade in favour of whistleblowing a knee jerk, politically populist, reaction to investigative journalism.

It is worth noting that NHS managers in general are highly trained individuals in public sector management. They are trained in management strategy where a lot of current practice evolves around strategic tools, theories, targets and measurement charts.

The NHS buzz phrases are; ‘patient first’, ‘waiting unacceptable’, ‘waste reduction’, ‘cost minimisation’ and ‘end to end process’.  Lean charts and critical success factors measure better value, value being determined by the customer (the patient is now the customer), and process should be consistent around a ‘core value stream’ that leaders must be able to quantify.

All this is fine but it will never change the culture of the NHS into an organisation with an overriding social mission that drives every NHS worker regardless of what they do or what level they work at. And the root cause of whistleblowing is about the lack of that social responsibility somewhere in the system.

NHS managers have dual roles in much greater quantities than managers in other sectors need to have.. They require skills in persuasion, negotiation and influence to achieve a balance in the ‘NHS the business’ role and ‘NHS the carer’ role.

The NHS business manager will use strategic management tools and techniques, and the lean six sigma strategies to plan, measure and manage what is a complex operation yet this cannot be done in isolation of the NHS ‘care manager’; two egg twins that share the womb but with different genes and different personas. Lean six sigma theories have their place and may have worked for Toyota and a plethora of other business types but the product of the NHS is distinctly different and a great deal less predictable than a car production line.

Great leadership and management skills within the NHS cannot exist devoid of compassion. Managers must have the emotional connection that stops them in their tracks if the ‘production line’ simply does not meet the social mission, no matter how challenging to change. They must not allow themselves to be anesthetised from the practices of others or from mandates coming down through a series of hierarchies. 

On balance no one can deny that whistleblowing has led to much progress.  Exactly what that progress is, in this context, is open for debate but the overriding social mission of the NHS must make it clear to leadership that doing their job is about taking social accountability as much as it is about crafting the core value stream, and that social accountability must be the main thread that runs through each and every one of their actions and decisions that they make. This is not rocket science or car aerodynamics.

Truth though has context too and the Doctor who was sacked by the mental health trust for raising concerns with her employer and the care worker who pushed the alarm about mistreatment both clearly spoke out against a deep belief that the system was not right.

But why did they have to whistleblow? - Because no-one was listening and the culture of fear stopped others from changing the system, or there was no system in place that allowed a voice to be heard and investigated. Of course trying to control whistleblowing is tantamount to ‘gagging’ but somehow the NHS must  have a robust process in place where front line staff in health and care roles are heard and taken seriously without fearing for their jobs and it’s only the managers who can do this.

At Morgan Hunt we strive to seek out candidates who can demonstrate leadership with a mission consistent with NHS values because we know that the future of the NHS is in the hands of the people that our clients employ. We’re all ‘customers’ of the NHS and if there is one thing that almost everyone agrees upon and that is we all want our NHS.

For more information on healthcare management jobs email

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Death of the tax return: what this means for accountants

23 March 2015

Real time online accounting may not be the sweetie of choice for small businesses but overall for accountants its good news.

Under the plans for online self-assessment and payment accountants are likely to be busier than ever.

Although the detail has yet to be worked out, effectively people who work for themselves and small business owners are likely to be filing income returns and paying their income tax throughout the year. This will inevitably mean more work for accountants as they keep their clients’ compliant.

The chancellor’s announcement was wrapped in candy floss yet for many this may not be the sweetie of choice. Submitting accounts via desktop, smartphone or tablet may seem highly edible but sceptics doubt that dates will be random or that there will be a choice over when tax should be paid.

The upside of course is that instalments can be spread throughout the year, easing the burden of the year end lump sum but small businesses will need to keep their books balanced real time too and this may take up more accountant time adding to costs for the small business owner.

Of course the real treat will be consumed by the Chancellor of the Exchequer who will get tax money into the coffers much earlier. Tax collections could feasibly be as prompt as PAYE, but this class of taxpayer does not have the administration to do themselves.

In digesting the news there’s been a mixed reaction which has fuelled discussions around HMRC’s track record of large scale IT projects, which real time online assessment will need; historical performance on over-runs and over budget projects, HMRC’s ability to gear up for year round support, particularly when all incomes will need to be declared in a timely way; the sceptics are out front viewing the introduction as overly ambitious.

The current online assessment has not been without its faults. Certain types of income still need to be filed in hard copy or use companies that have invested in expensive software to submit the return. In theory the concept should make tax reporting simpler but at the moment the devil is in the detail and this may not be the ribbon wrapped chocolate box that the chancellor promises to tax payers.

Is this good news for accountants? Yes of course. They will be in more demand as the small business accountant will need to be retained throughout the year. And for the economy? Having tax collected earlier is always good for the treasury. Less wiggle room for tax avoidance? Probably as most accountants are keen to see these gaps closed with the damned if you do and damned if you don’t approach of the past few years.

For more information on finance jobs email

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How to get your message across in meetings

19 March 2015

"Getting your message across is all important for your career" -
8 tips on how to do this when everyone else is talking


Meetings come in many forms and guises; there are those which are formal, incredibly well organised, everyone knows their place and is given floor-time equally or proportionately and then there are the more informal, disorganised meetings which appear to be more like free-for-alls.

Whichever of these you attend you know that in order for your career to progress you need to participate. After all it's a dog-eat-dog world and if you sit on the side lines like a wall flower you're not going to notch-up any brownie points. In fact non-participation is often viewed as a failing, a weakness, a chink in your armour.

So how do you make your voice heard when everyone else is talking? Here are 8 tips to help you get your message across.

 

Grab air space when you can

Air space, or floor-time, is the crux of the matter. When everyone is talking over each other this chaos may seem impenetrable; as soon as there's a lapse in the conversation, no matter how small, grab the air space. Stand up if necessary so that everyone knows you've got the floor.

 

Use body language

Use positive body language to show that you have something to say. Shy away or stare out of the window and you'll be ignored. Look at the speaker, raise your eyebrows if you don't agree or are surprised at what they're saying, they might then ask for your thoughts giving you the opportunity to have your say.

 

Make a statement

Sometimes being tactful isn't the way to go. Making a bold statement such as “I've got a very different opinion on that” in a very loud voice may just silence your colleagues for that split second you need to grab the air space.

 

Pump up the volume

In disorganised, rowdy meetings it's acceptable for you to pump up the volume as much as the next person, within reason, just as long as conversations don't end up as shouting matches. Raise your voice in a polite, but authoritative manner; showing your assertiveness may gain you recognition as having good leadership skills.

 

Be succinct

Once you've got your air space and the floor-time be succinct; get your point or message across as quickly as you can, because someone else could interrupt and start talking across you within a very short space of time.

 

Start a side conversation

Often disorganised meetings have a tendency to break into sub groups. Take the lead and begin a side conversation with others who look as if they're being left out of the main discussion. Again this will show good leadership skills, it will also show that you have good awareness and social skills. However, make sure that the conversation you start is in-keeping with the topic of the meeting.

 

Use good social skills and assist others

You can also use your good social skills to assist others who appear to be struggling with the chaos. Say in a loud voice “what are your thoughts on that?” to encourage them to join in. You do need to be tactful when assisting others as you may be seen as interfering or playing mother-hen to those who would rather do things their own way and in their own time.

 

Repetition, repetition, repetition

You could try the age old trick of repetition. By repeating your opening statement over and over again until you're heard or taken notice of may seem a little out-dated but sometimes the oldest tricks actually work.

The next time you're in a meeting and it feels like you're trying to cross a busy motorway at commuter time just to get your voice heard, don't stand startled by the headlights like a rabbit, judge when the time is right, put your best foot forward and go for it.

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Cause or career in fundraising?

04 February 2015

Cause or career – Morgan Hunt gets behind the careers of fundraisers.

 

Is cause or career the ‘big question’ for fundraisers?

It states the obvious to say that fundraising is a critical role of any charity, yet it is an important fact to state since getting the right kind of person in place with the right kind of experience could be the make or break of the organisation. Many charities rely on the goodwill, values and experiences that lie at the core of their fundraiser; people who have joined them from different backgrounds, who embrace a cause that envelopes their very wellbeing. 

The cause is often greater than the rewards - sometimes almost self-sacrificing. Yet fundraising is a skill like any other; you need to be creative and ‘gutsy’; not afraid to speak your mind, ask for money, tap into funds, a kind of commercial mindset that drives a person forward in our capitalistic society, even if this flies in the face of what a fundraiser is all about.

In Morgan Hunt’s experience many fundraisers do not change their cause for more pay and in a sense this skews the normal characteristics of supply and demand which sets pricing. High demand and low supply drives up cost in the world of business economics and this kind of market ‘disruption’ will impact on what fundraisers are paid and how they are rewarded.
 

So what do fundraisers say?

Morgan Hunt ran a poll to find out if cause or career was a major consideration for fundraisers. Would they move jobs for a different cause in order to further their career? Our poll is by no means statistically valid but gives some insight into the motivations behind being a fundraiser. 

It is worth noting that on speaking to a fundraiser who had a previous life working on London’s Underground, who took up studies that would give him the skills to start a charity with a cause that was close to him; he was clear about his views: “you have to get over the fact that people get paid to do a job, this is my living, but I do something that I enjoy, that is rewarding in many ways that my previous life was not. You cannot run a charity successfully on just volunteers”. This is a clinical response that does not deny the nagging commercial principles that lie beneath it.
 

So would fundraisers move jobs for a different cause in order to further their career? 

Our poll says a fundraiser would swap causes to further their career. No one said that they would swap for more pay.

 

What skills should fundraisers make sure that they have?

  • Commercial principles – understanding the difference between a surplus and profit. Low overhead doesn't necessarily mean an organisation is good at its cause, or that its turnover is low and its people productive; or that the group is spending wisely.
  • Creative ideas – how to access funds.
  • Understanding your donors and how to tap into them.

Among others these would be a priority.

At Morgan Hunt our highly specialist fundraising and charities team maintains in-depth knowledge of the sector and how policy and regulatory developments, and change affect the market. We work closely with both clients and candidates to offer a consultative approach in order to expertly match candidates across a broad range of disciplines with their ideal fundraising job. To find out more contact our fundraisers team on 0207 419 8911 or charities@morganhunt.com

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Public sector finance jobs outlook

30 January 2015

Challenging was the word for central and local government finance professionals. In contrast the NHS, education and charity sectors held up well with finance managers, controllers and head of finance roles the most popular in the more buoyant areas within the public sector. Despite a backdrop of more cuts to public sector funding, the outlook for opportunities for finance professionals looks improved.

How does this influence what type of financial leaders charities and public sector bodies are looking for in 2014 and what are the potential challenges facing them?

Charities & Membership Bodies

Charities that relied on local council funding and those that provide disability assistance were squeezed, with some charities merging and 1600 organisations closing down altogether. 

Large charities which relied heavily on donations have struggled over previous years. However, more recently, they have seen an increase in charitable donations in the past 12 months reflecting a more positive mood in the private sector. The result is a more commercial sector increasing headcount in all areas of support staff, in particular, an increase in demand for financial professionals.

Education and training providers

The education sector continues to become more commercial.  As a result, more organisations were dedicating time to finding finance business partners, management accountants and commercial VP’s of finance.  However, attracting candidates from the commercial sector to education remains a challenge from a salary perspective.

We expect the sector will see continued budgetary changes as public sector funding is reduced and replaced by private tuition fees. The rise in student tuition fees and increased competition with international institutions means next year we will see more higher education institutions having to cut cost and merge roles.

Government

Finance professionals in local and central government faced a tough year as the demand for senior part-qualified and newly-qualified accountants decreased substantially. This trend looks set to continue, with only a few areas recruiting finance staff.

Increased public scrutiny in large corporate affairs after the GFC has resulted in regulatory bodies increasing hiring of finance professionals.

Housing

We anticipate a drive in the housing sector to get more value for money. Finance candidates will need to clearly demonstrate this to potential employers. Management accountants will continue to be in constant demand as housing associations aim to keep tight control on budgets and forecasts. Seasonal fluctuations will predictably occur around half and full year-end.

With many housing associations not having extra staffing capacity, this will probably lead to high interim demand.  The G15 and other larger national associations will continue to recruit finance staff at transactional and middle-management level.

NHS

We saw an increase in interim and temporary recruitment within the NHS.  We found that the primary reason for the increase was due to the cuts at management level – an unsurprising development in light of ‘an aim for £15 billion in efficiency savings’.

The subsequent knowledge gaps across NHS Trusts and hospitals have in turn increased demand for interim cover to bridge these gaps. Financial skill sets that were particularly sought after during the last year include financial planning and analysis and financial modelling to accurately monitor long-term costing and expenditure of a ‘moving feast’ in many situations. Candidates with these skills were able to command significant increases in their rates as they were in constant demand and still are today.

Management accountants with pricing and costing experience were also highly sought after as budget management was of particular importance within the NHS. Technical financial accountants were also very much in demand. Furthermore, as the NHS sought to improve efficiencies through improving financial systems, finance professionals with ERP systems experience were also sought after – Oracle the most frequently requested by hiring managers.

As the Clinical Commissioning Groups (CCG’s) and Commissioning Support Units (CSU’s) continue to evolve, finance professionals with specific experience in these areas will be in demand.

2014 looks set to be a busy year for interim and contract recruitment in the NHS.  Cuts to permanent staffing budgets set to continue until at least 2015, will increase the competition for specialist temporary staff with NHS Trust, CSU or CCG experience.

Finally...

Public sector saw some tough times in 2013, with further cuts and a further decline in jobs.  In contrast to this, the NHS, education and the charity sectors have held up better and have seen a demand for finance professionals. however, with these cuts we can expect to see a demand in finance professionals with the capabilities to ensure organisations see ‘bang for buck’ across the board.

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