On 2 June 2017, The South African Independent Regulatory Board for Auditors (IRBA) issued a Rule prescribing that auditors of public interest entities (PIEs) must comply with Mandatory Audit Firm Rotation (MAFR) with effect from 1 April 2023. The New Rule stipulates that auditors can now only serve for a maximum of 10 years, after which they have to rotate off the client for a cooling off period of 5 years, before being eligible to be appointed as the auditor of the client again. Needless to say, this has caused quite a furore in the accounting community especially with the Big 4 firms as they have serviced some clients for uninterrupted periods, in some instances exceeding a 100 years. The MAFR stands to disrupt these long-standing relationships. Before we introspect the merits of MAFR in the South African context, it is important to get some background on the origins of MAFR. The global financial crisis brought to the fore questions surrounding the scope and quality of external audit, market concentration and auditor independence. The crisis reopened concerns about auditor tenure and its consequences for auditor independence and audit quality. More specifically, regulators expressed concerns that the desire to retain clients and the familiarity created between auditors and management might over time impair auditor independence, which in turn could adversely affect audit quality. This resulted in a global debate on how best to address the issue. After a series of deliberations, discussions and inputs from industry and the accounting fraternity, there was no clear consensus on the way forward. The two most notable regulators in the world, namely the European Commission and the regulator in the United States, embarked on very different paths in their quest to achieve auditor independence. The EU, after having implemented partner rotation in 2006, decided in 2014 to adopt MAFR at 10 to 24 year intervals, depending on certain criteria. The US implemented . . .
Uitenhage, Eastern Cape, South Africa, 22 June 2017: Mpho Nemukula realized from a very young age that she wanted to be a farmer. Entering the male-dominated agricultural industry was no easy feat, but her love of and passion for farming has contributed to her success as a poultry farm manager. Nemukula, 34, who works as an Area Manager for Sovereign Foods (JSE: Sov Food), in Uitenhage, Eastern Cape, said that despite the many challenges facing the youth of today, from being victims of crime, unemployment, substance abuse and peer pressure, they should find something that they love and go after their dreams. Nemukula, like many other South Africans, will take time today to honour the deaths of the Soweto schoolchildren of 1976 that changed the course of South Africa’s history. “Youth day is very important for me. I appreciate the lives that were lost in order for me to get a quality education and to be where I am today. I shall forever be grateful and salute this day,” she said. Her messages of inspiration to the youth are to “be true to yourself, what you think is what you become, and lastly don’t try to fit in, but try to be unique.” Nemukula was born in Nzhelele Village in Limpopo Province. With three brothers, she admits to growing up as a tomboy. “Having grown up with my three brothers I realised very early in life that gender shouldn’t matter and that I can do anything that I love doing. In high school I learned about agriculture and decided to get involved in this male-dominated industry.” She started working as a trainee student at Sovereign Foods 10 years ago. From there she became a farm supervisor. Thereafter she was promoted to a successful farm manager. This was followed with another promotion to a senior farm manager. Today she is an area manager responsible for the management of three farms and over 140 000 broiler breeder chickens. “Sovereign Foods helped to further my education by investing in my enrolment in a Management . . .
The concept of leadership is becoming increasingly ambiguous. In fact, results of the World Economic Forum’s recent Survey on the Global Agenda showed that 86% of respondents believe the world faces a leadership crisis. In South Africa, one only needs to scan news media to notice the impact of this crisis on the lives of ordinary citizens. With many South African leaders accused of corruption, bribery, and a range of unscrupulous practices, questions surrounding what it means to be a leader in the 21st century continue to be raised. This is especially the case when managers and leader demonstrate a decided lack of commitment towards moral and ethical awareness to lead teams and organisations into the future. In particular, questions around conscious and conversational forms of leadership have emerged as important. Consciousness opens doors to ethical leadership There is an increasing body of evidence which suggests that higher levels of consciousness are needed to ensure the sustainability of all life forms. Conscious leadership employs inspiration, evocations of greatness, mutual trust and truth-telling, and empowers leaders to have strong levels of trust in themselves and in their followers. The incorporation of the idea of consciousness into leadership practices not only helps to add an ethical base to leadership endeavours, but also promotes forward-thinking, sustainability-focused business practices. Conscious leadership promotes long-term thinking focused on the greater good, rather than on short-term benefits. This type of leadership thinking opens greater opportunities for the creation of social justice, promotes a respect for the natural environmental and ensures that leaders make decisions aligned with their commitments to a strong sense of moral and ethical awareness. Conversations encourage ethical and collective leadership Honest, ethical and authentic conversations between leaders and their executives, managers and . . .
Author: Professor Rashied Small, Education, Training and Membership Executive, South African Institute of Professional Accountants (SAIPA) The local accountancy industry has gained 271 new professional accountants, following the South African Institute of Professional Accountants’ (SAIPA’s) professional evaluation (PE) exam that was written in May by 363 qualifying candidates, of which 235 or almost 65% were black. Out of the black candidates, 163 passed, which equates to just over 69%. This translates to a 75% overall pass rate, this year the focus shifted to assessing the competence and business knowledge rather than the technical knowledge. Three of the national top ten candidates were participants in SAIPA’s competency-based training programme called Project Achiever, while seven were SAIPA trainees: Smith Cheryl Midrand Pieterse Crushaan Cape Town Joubert Janus Pretoria Bear Gerda Leone Midrand Govender Minolen Midrand Afonso Hilda Midrand Peens Sannelie North West Treiber Bianca Cape Town Khan Khatija Durban De Bod Verna Cape Town The quality and competence of the candidates should be revered, as they demonstrated the ability of providing simple, but technically sound solutions for integrated and complex business scenarios. Congratulations to the successful candidates, and for those who did not, I want to emphasise that the lessons you have learnt form part of the road to success. Transformation Project Achiever is considered to be at the root of the increase in the pass rate of the professional evaluation exam. Geared towards advancing transformation in the professional accounting industry, the programme is a joint initiative by SAIPA and the Finance and Accounting Services Sector Education and Training Authority (Fasset). The programme yield four candidates in the top 10 for the May 2017 exam, including the 2nd best candidates To date, four groups have attended the Project Achiever program, totaling 577 . . .
On Tuesday 27 June, CFOs, academic leaders and executives, including auditor-general, Kimi Makwetu, and CEO of SA Institute for Business Accountants (and IAFEI Area President for Africa), Nicolaas van Wyk, will gather under one roof to discuss issues surrounding the Municipal Finance Management Act (MFMA) 2015-16. In addition to a detailed assessment of the municipal audit outcomes, ethical issues pertaining to accountability in SAs democracy, and the responsibility of academic institutions to curate local government outcomes, will be placed under the microscope. Backed by a panel of select CFOs and academic leaders (including UNISA vice chancellor, Prof Mandla Makhanya), circumstances that currently impact the growth of a just and economically strong SA (aptly a month away from commemorating one of the country’s most iconic politicians and freedom leaders on Mandela Day - 18 July), will be brought into focus. Coordinated by UNISA, in partnership with the AGSA and SAIBA, next week’s discussion will carry considerable merit for public deliberation. MFMA Public Lecture Details: Date: Tuesday 27 June Time: 17h30 for 18h00 Venue: Sasol Auditorium 1, UNISA Graduate School of Business Leadership, c/o Janadel and Alexandra Avenues, Midrand Cost: free Bookings are limited. Please RSVP by Monday 26 June to email@example.com or 011 652 0343. CLICK HERE to submit your press release to MyPR.co.za. . . .
KOHLER®, one of the world’s largest bathroom specialists, seamlessly fuses innovation and technology with their latest Mica Vessel range which is slim, sleek, and ultra-contemporary. Deemed as an absolute showstopper, the Kohler Mica Round or Square Vessel has the thinnest edge Kohler has ever produced in a basin. The elegant Mica Vessels emphasise Kohler’s refined sense of innovation and embodies true minimalism, becoming a quintessential centrepiece of modern and contemporary style. This piece draws its popularity thanks to its durability, made of Supramic® material for a longer lifespan and which is 1.5 times harder than standard basins, plus the DFI stain-resistant surface coating makes it easier to clean. The Kohler Mica Vessel Features: Kohler’s thinnest edge in design, at only 6mm, demonstrating true innovation in bathroom product development. Crafted with Supramic® material for durability and extended lifespan. Sealed with an invisible patented DFI coating for stain resistance, and effortless cleaning. Available in two shapes: Round with a diameter of 410 mm and Square with a diameter of 393 mm Designs specifically created for leading edge contemporary bathrooms. "Mica embodies minimalism in design - obsessive reduction and refinement, absolute attention to detail to achieve a delicate precision with the fine edge and feel of bone china. This demanded innovation in materials, manufacturing and design. The result: a ceramic that is not just thin but also 1.5 times harder than normal. Mica is beautifully simple - which like all great minimalist design makes it timeless and universal" shares Mark Bickerstaffe, Director New Product Development – Kohler EMEA and Asia-Pacific. Since 1873, Kohler has been leading the way in style, innovation and providing exceptional products and services. Kohler has firmly established itself as a global leader in bathroom and kitchen products – providing total design solutions that strike a perfect . . .
In South Africa, approximately half of the population is under the age of 25. Due to the size and buying potential of the youth market, the segment is of great significance to brands planning to stimulate new demand and reach and engage with a highly diversified collective of young sub-cultures. Miguel Correia of The Zinto Marketing Group comments, “Research conducted by our team of field marketers indicates that South Africa’s youth want authentic, meaningful experiences and interact with real people in their homes and communities. For this reason, youth marketing has become more about engagement and dialogue and less about pushing product information and talking at them. We realised this trend and adapted our approach and marketing efforts to keep pace with youth culture through active and dynamic engagement and carefully constructed, interactive promotional drives.” Brand activation can be used to create new approaches and unexpected, chance encounters between brands and young consumers. An experiential showcase gives youngsters the opportunity to interact with (and be part of) the consumer journey. Correira highlights trends for marketers to consider when targeting the youth market in South Africa: Participatory culture The evolution of consumer to creators and disseminators of information means the youth view themselves as extensions of important and popular brands and that they have played a role in creating connections and forming perceptions of well-known brands. The interaction is personal, and rather than imposing product information on them, they expect brands to facilitate authentic connections and real experiences. Truth seekers Real relationships are important to the youth and brands’ consumer promises must be perceived as open, honest and transparent. With an abundance of brands, communication and touchpoints competing for their attention, the youth is growing increasingly sceptical of advertising and media messages and marketers’ . . .
Johannesburg, Gauteng, 20 June 2017 – Servest is Africa’s leading Integrated Facilities Management Company specialising in facilities management, delivering services to exacting standards whilst using the integrated services model to maximise efficiency, minimising disruptions and reducing costs. Servest welcomes Xolani Zuma as its new Managing Director to lead Integrated Solutions in South Africa and Africa. Xolani brings extensive knowledge of the Facilities Management Industry and will help expand Servest’s presence in this advancing market. “Xolani is joining the Servest South Africa team during an exciting time of business growth, his experience will continue to lead the business towards reaching its goals.” said Steve Wallbanks - Group CEO of Servest South Africa The 38 year-old has more than a decade of experience in the facilities management space, he most recently served as the Regional Head (Vice President) of the Corporate Real Estate Solutions Division of Barclays Africa\Absa, responsible for the Western Region footprint. He has also led and enhanced operations in organisations like Shell South Africa, Metropolitan Health and The Freedom Park in Pretoria to name a few. Xolani’s diligent work in an industry that is not more than 15 years old in South Africa has gotten him much notice and he has recently been appointed to serve on the South African Facilities Management Association (SAFMA) as Director and Board Member. “I am excited to be joining the team and feel honoured to be granted an opportunity to soar this proven brand in this evolving market. I am passionate about Facilities Management and believe that Servest is well positioned to be a market leader in Integrated Facilities Management, my task is going to be ensuring that we deliver results, add value and contribute to the Servest Group goals” Says Xolani Zuma. CLICK HERE to submit your press release to MyPR.co.za. . . .
Ambition is the first step towards a brighter future, both for South Africa’s youth and the economy to which they will ultimately contribute. Without a meaningful plan of action towards reaching these ambitions, they are in danger of remaining unfulfilled dreams. This Youth Month, one company is reaching out to the youth with advice and bursaries to help them build their careers to meet and exceed their aspirations. “Young South Africans, in particular those who have post-school education, often cherish the belief that they are destined for success. While self-belief and ambition are important aspects of preparing for the future, career success requires planning and effort to make these dreams a reality,” says Nomfundo Mcilongo, Rand Mutual’s (RMA) general manager of sales and marketing. “We want to help South Africa’s youth to develop their understanding of what they have to offer prospective employers and market themselves accordingly. We are hosting a Career Day in Sandton, Johannesburg, where we will assist youth to answer the question ‘How do I build my career?’ with the intention of helping young people to reach their potential – which will ultimately benefit South Africa’s economic development in the years to come,” she explains. RMA’s free Career Day workshop will be held on Saturday, 24 June, at the Hilton Hotel, 138 Rivonia Road, Sandton. Only 50 delegates can be accommodated and, as applicants will be selected on a first-come, first-served basis, young people are encouraged to RSVP as soon as possible by following the link on the company Facebook page and completing the online form ( http://bit.ly/2tjuu44 ). The cut off date for applications is 20 June 2017. To qualify, applicants must be between the ages of 19 and 25. Areas covered in the workshop will include what companies are looking for when employing staff, how to craft a curriculum vitae that stands out from the rest and even how to build a professional brand. Thereafter, delegates will . . .
“Renewing the presence of the South African National Pavilion at the DRC Mining Week positions South African companies as leading players in the mining and power sectors and will allow them to enhance their presence in the region, and for new companies to increase the South African foothold in the DRC.” This is according to Eric Bruggeman, CEO of the South African Capital Equipment Export Council (SACEEC), that is bringing a strong delegation of South African suppliers to the DRC Mining Week conference and exhibition, that is taking place in Lubumbashi, in the hub of the mining province of Katanga, from 23-24 June. The SACEEC is a public/private partnership between the capital equipment industry and the South African Department of Trade and Industry (the dti) and currently services more than 140 member companies in manufacturing and allied services, representing a major proportion of the capital equipment industry in South Africa. According to Mr Bruggeman: “the DRC is potentially one of the richest mining countries in Africa. The country was the world’s fourth largest producer of industrial diamonds during the 1980s, and diamonds continue to dominate exports, accounting for nearly half of exports.” He continues: “trade relations between South Africa and the DRC are showing positive growth from a relatively low base, with bilateral trade being heavily skewed in South Africa’s favour due to limited productive capacity on the part of the DRC’s economy. In response to the extended period of globalisation, the focus has now swung to localisation and South Africa and South African companies are looking at ways to provide long-term and meaning partnerships with companies within the DRC.” He says Lubumbashi, where the DRC Mining Week is taking place, “is the second largest city in the DRC and sets the stage for a business-to-business forum of facilitated sessions and meetings with key stakeholders. The SACEEC will also be looking at establishing a business . . .