dubai times...october 2013 - july 2014 8 aug 14 13 aug 14 30 aug 14 29 sep 14 bowling event...

Dear Professional Colleagues,

Since assuming office, we have strived towards empowering our members and providing them with a platform to sharpen their skill sets so that they can continue to make a positive contribution to this complex and volatile business world.

On account of the hard work and efforts of our Past Chairmen and the members of their various committees, our Chapter has grown in both in size and the content of the programs that it organizes. This has undoubtedly placed a great responsibility on us to serve the 2,000 plus members and to uphold the golden traditions of this Chapter which is the largest overseas Chapter of ICAI.

While this edition of the Newsletter provides you with a glimpse of the various activities organized by us in the areas of professional development, corporate social responsibility, social and sports activities, it also includes articles that have been contributed by members on topics of current interest. I thank the above members and those in the our current management committee who have contributed to the release of this publication.

We also look forward to receiving your suggestions and ideas and we are certain that with our joint efforts, we can ensure that the vision of ICAI to be the world's leading accounting body and regulator that has professionals of high caliber and competence is soon fulfilled.

Best wishes,

CA Nandakumar AChairman, ICAI UAE (Dubai) Chapter

Chairman’s Message

CA Nandakumar A

DUBAI TIMESTHE ICAIDUBAI TIMESTHE ICAITHE ICAITHE ICAITHE ICAITHE ICAITHE ICAIIssue No. 5, Quarter 3, 2014 (for private cirulation only)October 2013 - July 2014

8 Aug 14

13 Aug 14

30 Aug 14

29 Sep 14

Bowling Event

Enterprise Risk

Management and the

Emerging Cyber

Security Challenge

Full Day Master Class

on "Investment

Strategies and

E�cient Ownership

Structures"

32nd Annual General

Meeting

Mr. R Vittal, Director of

Pristine Consulting Private

Ltd, India and International

Vice President and Director

on Global Board of ISACA,

IL, USA

Mr. Sudarshan Malpani,

Managing Director, Bank J.

Safra Sarasin, DIFC,

Mr. Saikat Kumar,

Executive Director, Al

Masah Capital Limited, and

Ms. Geetha Balvannanathan

Prodhom

TechnicalSeminars

Topic Speaker

Forthcoming Events

Aug 2014 to Sep 2014

DUBAI TIMESTHE ICAIDUBAI TIMESTHE ICAITHE ICAITHE ICAITHE ICAITHE ICAITHE ICAI

Chairman: CA Nandakumar A

Vice Chairman: CA Raju Menon

Secretary: CA Pankaj Mundra

Treasurer: CA Sangeetha Nahar

Executive Members:

CA Prabhdeep Singh Baweja

CA Nimesh Lokhandwala

CA Naveen Sharma

CA Anish Mehta

CA Uma Srinivasan

(Left to Right: CA Anish Mehta, CA Nimesh Lokhandwala, CA Pankaj Mundra, CA Nandakumar A, CA Raju Menon,CA Sangeetha Nahar, CA Uma Srinivasan, CA Naveen Sharma, CA Prabhdeep Singh Baweja)

At the annual general meeting of the UAE - Dubai Chapter of The Institute of Chartered Accountants of India held on 30th September 2013, the following were elected as members of the new Managing Committee:

Managing Committee of ICAI UAE (Dubai) Chapter2013 - 2014

The Dubai and Abu Dhabi Chapters of The Institute of Chartered Accountants of India (ICAI) jointly won the "Best ICAI Overseas Chapter 2013" Award for the excellent work undertaken by them in the areas of professional development, community services, membership and student services and their contribution to the growth of the accounting profession in the UAE.

The above prestigious award was given at the 64th Annual Function of ICAI held at New Delhi on Tuesday, 11 February 2014 at which the Honorable Union Minister for Communications & Information Technology, Mr. Kapil Sibal & the Honorable Union Minister of Minority Affairs, CA K. Rahman Khan were the Chief Guest and Guest of Honour & where more than 1,000 members from ICAI across India attended.

ICAI Award Announcement

Summary of Events - October 2013 to July 2014

Sr. No Type of Event CPE CreditHours

Number ofEvents

Technical Events

CSR Events

Sports Events

Social Events

15

3

1

2

21

52

0

0

0

52

1

2

3

4

Total


List of Activities - October 2013 to July 2014

Sr. No Date Event Details CPECredit

Technical Seminars

1 30 Oct 13

2 9 Nov 13

Topic Speaker

Anti Money Laundering, Counter Terrorism Financing, Sanctions - A Regulator's Perspective

Mr. Matt Gamble, Director, Head of Anti-MoneyLaundering Supervision, Dubai Financial Services Authority

2

Workshop on Derivatives- Futures and Options

Mr. Simarjeet Baweja, Head of Academy, Dubai Gold and Commodities Exchange andMr. Nirav Barfiwala, Head of Trading, Surveillance and Risk Management, Dubai Gold and Commodities Exchange

6

3 16 Nov 13

Global Economic Outlook 2014

India at a Tipping Point

Mr. Timothy Fox, Group Head of Research & Chief Economist, Emirates NBD

Ms. Meera H Sanyal, Chairperson, India Services & Foundation, Royal Bank of Scotland

2

4 4 Dec 13

Technical Update on the Significant Recent Changes to IFRS

Technical Update on Exposure Drafts onLeases and Revenue

CA Abbas Ali Mirza, Partner, Deloitte, UAE

Mr. Kurt Ramin, Consultant and Former Partner, PwC, New York

2

5 7 Dec 13

Workshop on IFRSConsolidated Financial Statements (IFRS 10), Joint Arrangements (IFRS 11), Disclosure of Interests in Other Entities (IFRS 12), Separate Financial Statements (IAS 27 - Revised) and Investments in Joint Venture and Associates (IAS 28-Revised)

CA Abbas Ali Mirza, Partner, Deloitte, UAE

6

Financial Instruments (IFRS 9) and FinancialInstruments: Recognition & Measurements (IAS 39)

Mr. Zulfiqar Unar, FCCA, Senior Manager, PwC, Dubai




Technical Seminars

6 8 Jan 14

7 22 Feb 14

Topic Speaker

Recent Changes in Direct Tax in India affecting Real Estate Transactions, with reference to NR and FEMA Regulations

CA R. Bupathy, Past President, The Institute of Chartered Accountants of India

2

Service Leadership Workshop

Ron Kaufman, Globally Renowned Educator, Motivator, Author and Speaker

3

8 1 Mar 14 Workshop on ACL Data Analytics, Governance, Risk Management, and Compliance (GRC) Software

CA Smriti Chandrasekar, ACL Master Trainer and ACL Certified Data Analyst (ACDA) and Ms. Nikita Issac, ACL Support Trainer and Coordinator, Foresight Technology, Dubai

6

9 12 Mar 14

10 15 Apr 14

Islamic Finance in the Modern World - Role in Infrastructure Development, Capital Markets and Trade Finance

G. Rama Krishnan, CEO & Managing Director of Pinnacle Knowledge Group and Former Executive Vice President of Sharjah Islamic Bank

India: Recent Tax Reform Processes with Emphasis on International Taxation

Cloud Computing and Opportunities for Accountants

Indian Companies Act 2013 - Key Analysis and Highlights

Diversity and Challenges to Achieving Success

Dr. Parthasarathi Shome Advisor to Finance Minister & Head - Tax Administration Reform Commission, India

CA A. Rafeq, Managing Director, Wincer Infotech Limited, India

CA P.R. Ramesh, Chairman, Deloitte Haskins & Sells, India

Ms. Roopa Venkatesh, Managing Director, T8 Software Services Private Limited, India

2

11 2 May 14

1 May 14

Business Intelligence & MIS on Mobile Services

CA Babu Jayendran, SAP GRC Consulting Director at JK Techno-soft, Bangalore

Challenges to a Smooth Take off - A Case Study

Mr. Adel Ali, Group CEO, Air Arabia, UAE

2

3

6

Annual International Conference 2014 - "Change.... Challenge..... Opportunity"




Technical Seminars

12 7 Jun 14

13 14 Jun 14

Topic Speaker

Workshop on Trade Finance

Mr. Nam Sahasra, CFO & Director FalCap Ltd and Country Manager Falcon Group, DIFC, Dubai and Mr. Krishna Kumar Duraiswamy, Head of Trade Finance- Abu Dhabi Commercial Bank (ADCB), UAE

6

Business Etiquette Program for Women Members and Spouse of Male Members

Mrs. Nour Khouri Roumieh, Founder of Finishing Touch FZ LLC

14 17 Jun 14

Insurance Claims with Emphasis on Business Interruption Aspects - a Consultant's Perspective

2 1 Jul 14 Planting of Trees at Indian High School, Dubai

1 14 Mar 14 Annual Family Social Get Together

2 2 May 14 Bollywood Event - Shankar MahadevanLive in Concert

1 20 Dec 13 Indoor Cricket Tournament

3 Jul 14 Free Food Kit Distribution at Iftar labour camp during Ramadan (29 days)

Mr. Ian Peters, Risk Consulting Leader & Claims Practice Leader, Marsh Risk Consulting, Dubai

2

15 14 Jul 14 Indian Union Budget 2014

1 17 Jan 14 Blood Donation Camp

CA T. N. Manoharan, Past President of ICAI and Padma Shri Awardee

2

Truth About Lying CA Adil Buhariwalla, Vice President Internal Audit, Emirates Group, Dubai

CSR Events

Sports Events

Social Events


Handling the Opportunitiesin Indian StockMarket AmidChallengesMost of the Indian investors, our chartered accountant fraternity included, have a mixed bag of stories to tell about investing in stock market. While many have success stories to tell where they have been rewarded for the extra risk they have taken in stock market, some investors do panic when there is temporary decline in capital or get worried about lack of periodical income which some of the investment alternatives offer. Intelligent investing can pay off in the long run. Investing is undertaken to meet a long term objective and hence patience is the friend of long term investing. What is long term? John Maynard Keynes has famously remarked “In the long run, we are all dead.” What is long term differs from investor to investor. Whilst some investors consider two years as long term, there are others who may believe five years is long term.

Irrespective of your investing horizon, the regular income opportunities exist in the stock market. We are not speaking about dividend income. Of course, dividend income results in periodical cash inflows, yet the sophisticated stock markets like in India, now-a-days, provide other ways of ensuring periodical cash inflow on the stock portfolios held by an investor. Indian stock market, like any other stock market in sophisticated economies, reacts to various external stimuli whether economic, political and macro factors. Individual companies are impacted by sectoral or company specific factors. Amid such challenges, the opportunities in Indian stock market are increasing. More and more foreign institutional investors are entering into Indian markets and making ever increasing investments.

Changing Your Investment Style

Buy and hold investment is one of the most advised strategies in the stock market. Warren Buffet and Rakesh Jhunjhunwala (who is a chartered accountant) have built fortunes on this strategy. However, the difference is that they are full time investment professionals while most of the retail investors take the investing in stock market as a part-time activity. In such cases, protection of the downside of the portfolio while earning more income on the portfolio other than dividend income or capital gains is always a welcome. Of course, such opportunities do exist in the Indian stock market – although many investors are not aware of them. However, in order to take advantage of such

opportunities, the investors must understand the dynamics of stock market derivatives, especially stock options.

Options offered by Stock Options

Stock Options have been around for more than 40 years although it was introduced into Indian Stock market during early 21st century. The stock options are now starting to get the attention they deserve in India. Many investors have confusion about options, believing them to be too sophisticated or too difficult to understand. However, being the renowned number crunchers with focus on analysis, a chartered accountant can easily master the stock options in no time. The stock options offer several advantages. They offer ways to enter stock market positions that are far too less risky than equities. They have the potential to deliver much higher returns compared to traditional stock investments. They offer a wide range of strategic alternatives to manage risks and earn income.

The task at hand

One of the best ways to move away from traditional 'buy and hold' investment strategy is to initiate a covered call position with an underlying stock. It is simple yet effective way of making periodical income from stock market. In fact, covered call is popular among investment profession-als. Most of the hedge funds, professional investors and fund managers use this strategy quite often. Some of the mutual funds also use this simple strategy to improve the returns. A covered call is inherently a hedged and un-leveraged position. In this strategy, the stocks available in your portfolio generate income as you sell a call option on that stock. Alternatively, you may purchase the stock with a simultaneous sale of a call on that stock. The call is “covered” because the potential obligation on the stock is covered by the stock held in the portfolio.

Managing a Covered Call Portfolio

A covered call portfolio is no more complicated to manage than a stock portfolio. However it may require a few simple calculations. While selling the call and collecting the premium, you agree to give up the stock at the strike price. For example, if you buy Cipla at Rs 400 and sell Call option at a strike price of Rs.440 for a premium of Rs 10/- you are effectively selling the stock at Rs 450/- (i.e. Rs 440 plus Rs 10/-). Effectively, you are selling the stock at this price. However, the investor shall be happy as it results in good returns!

Let us see an elaborate example.

An investor might buy 1000 shares of Cairn Energy for Rs 300 a share and then sell a call option with a strike price of Rs 340, where the call option is expiring in one month. The premium collected is Rs 15/- per share, thus the portfolio receives Rs 15,000/- of income, representing a 5% return for the one month period. Basically, there are three possible outcomes:

Ciby Joseph FCA


GlobalizingCA Firms

• The stock price remains unchanged at the end of one month: The portfolio's return is 5% per month (because the Rs 15,000 income is retained)• The stock price declines 5%: the portfolio is at no-loss stage because the 5% income return offsets the decline in stock price. Any drop in share price by more than this percentage will result in temporary decline in the investment value assuming the stock selected is fundamentally strong.• The stock price climbs to Rs 340: The return on the stock portfolio is 13.3% plus 5% for the premium income. Thus the total return is 18.3% per month (or Rs 55,000).

• The stock price climbs higher than Rs.340: The portfolio's return remains at 18.3% p.m. As we discussed earlier, when covered call strategy is applied the seller of the call is willing to forego any upward gains beyond the strike price in favour of the buyer of the call.

As evident, the above investment strategy is more dynamic than simple buy and hold. Stock markets are famous for its ups and downs, twists and turns and the beauty of this investment strategy is that it ensures adequate returns on such bumpy rides.

Our Chartered Accountants have world class competency in accountancy profession. CA’s have become a major player in world service sector. However CA firms have certain limitations which one

should look into. A major impediment is probably the size of our firms. More than 70.5% of CA firms are proprietary firms and about 23% of them have 2 to 3 partners. Firms having partners between 4 and 10 are hardly 6% and firms having partners more than 10 are less than 0.5%. Thus we see that large firms constitute a very minuscule percentage of the total firms registered with ICAI.

A number of barriers and limitations plug the growth of small firms into large firms. In the globalized world the demand of service users includes multi locational and integrated “One Stop Shop” services. Most of the clients demand a “Single Window Point” or one firm to handle their all business issues, relating to the various assignments. The clients now expect a quicker and globally accepted solution.

What ICAI is up to?

The ICAI has introduced the concept of Capacity Building which basically includes the following measures: -

a) Networkingb) Merger & Demergerc) Practice in Corporate Form

ICAI has also formed a non-standing committee under the nomenclature “Committee for Capacity Building of CA Firms and Small & Medium Practitioners (CCBCF & SMP)” in this regard.The ICAI & its members can contribute together in building the firms to compete & emerge globally. ICAI needs to -

Reasons for the dominance can be:

• Unwillingness of the sole partner to lose control

• Inability to look beyond the environment

• Lack of collaboration among chartered accountants

• Lack of specialization

• The desire to work independently & take all the profit

> 10 Partners

4 to 10 Partners

2 to 3 Partners

Proprietary

23%

0.5%

70.5%

Composition of CA Firmsin Market in 2012

The views expressed in this article are the personal viewsof the author and not that of the ICAI UAE (Dubai) Chapter.

Rahul Sharma ACA

6%


Remove restrictions on advertising: The Professionals Sector works more by oral referrals than by any standard-ized criterion for grading the professionals. Section 502 of the Code of Conduct of the AICPA states “A member in public practice shall not seek to obtain clients by advertis-ing or other forms of solicitation in a manner that is false, misleading, or deceptive. Solicitation by the use of coercion, over-reaching, or harassing conduct is prohib-ited.” Similar view has also been kept by the CIMA, London & the IESBA of the IFAC. Where there is little professional and legal oversight, unscrupulous practitioners may abuse the right of free speech. However, the remedy is better education, not restrictive legislation against advertising. "Word of mouth" is also advertising of a kind. It is not paid for with money but with services rendered. It is often inaccurate and has greater room for hyperbole. Word of mouth dissemination of information provides the profes-sional with the added loophole that he was misunderstood or he never made such claims. One can drag to court for false advertising in the print media or on the web. However, word of mouth dissemination of exaggerated claims of efficacy cannot be litigated easily.

Promote M&As: In the Corporate world, merger and demerger have become universal practices for securing survival, growth, expansion and globalization of enterprise and achieving multitude objectives. Historically, competi-tion and the demand for worldwide service have largely driven the previous Big 8 firms since 1989 to the current Big 4 firms. So, mergers and acquisitions, when success-ful, can help small and medium CA firms to better compete, stay ahead of the technology curve, attract better quality staff and expand their client base. The merger of San Francisco Bay area based BBR LLP with the Austin based PMB Helin Donovan LLP in the year 2003 has been the third major merger making PMB the second largest accounting firm. "Our secondary goal is to strengthen our existing offices, and we're entering a new area – client accounting services." - says managing partner Tom Wilkinson. He also added that a key element of his firm's due diligence in its mergers is making sure that the potential new partners "are compatible with us and our business."

Brand Building: With the increasing demand, CA's are looked upon as a complete business services provider. In order to meet the sea changes, the ICAI should work upon the brand building of the CA Firms. As mentioned by CA. Sunil Talati, Past President ICAI in an interview in early 2008 to "The Times of India" - “CA firms in India have not invested so much in brand-building and brand recognition, which explains why reputations of Indian CA firms have not been bruited abroad.” Clauses like restriction of firm names, URL of websites, Logos & tagline should be liberal-ized now.

Affiliations to the International Associations/ Federations: Associations are playing an important role in establishing and maintaining the trusted advisor relation-ship by being a conduit to services, experiences and expertise that go beyond any single firm’s capabilities.

Besides, members may contribute by-

Benchmarking the Big 4’s Strategy: According to ICAI regulations framed in 1984, foreign audit firms are not allowed to practice in India. These firms are carrying out their auditing work in India through local CA firms.

Diversity in the Services Offered: The firms should work upon the idea of Single Window Shop where every-thing is readily available.

Improving the Culture & Qualifications sponsored:Work on improving the culture of the firms towards more corporate than traditional. Keeping a familiar and healthy environment improves the efficiency of the employees. The Big 4s currently sponsors the CPA & CISA examinations for its employees, similarly the Indian CA firms should arrange to sponsor the post qualification courses designed by the ICAI.

Strong Ethics, Trust & Mutual Respect: Strong ethics will enforce strong and quality deliverables to the clients, not only domestic but international as well. As said by Price Pritchett - Notice that “I” is at the center of the word Ethical. There is no ‘they’. Achieving the ethics is our individual assignment.

Handling Dynamic Environment: “The best way to predict the future is to create it” – Peter F. Drucker. Employ/ partner with people smarter/ younger than you are and give them freedom. Embrace technology as if there is no tomor-row. Look continuously for upcoming growth areas.

ConclusionThe practitioner has to decide whether to stay in his or her comfort zone and continue to provide the same services — or reposition the firm to offer additional services. This repositioning may involve developing a new niche service or purchasing a boutique firm to obtain the needed expertise, merging with a comparable or larger firm, or even participation in Associations where firms can access members for their industry or practice area experience and expertise, quickly and at reasonable fees. The entire world is waiting for your services – what is that you can provide them? “In USA they think Bangalore is India; No one knew the place 25 years ago. A job is said to be ‘bangalored’ now when it goes out of a country” – Tom Peters. The parent is telling a child in USA- ‘No, you may not outsource your homework to India!’. The two biggest economies of the world are going to be China & India. What if you start a branch in Shanghai? The world will come after you!



In the words of Niccolo Machiavelli, an Italian historian, politician, diplomat and writer - "All courses of action are risky, so prudence is not in avoiding danger (it’s impossible), but calculating risk and acting decisively. Make mistakes of ambition and not mistakes of sloth. Develop the strength to do bold things, not the strength to suffer".

Introduction

In the economic landscape of the 21st century, an organization’s business model is challenged constantly by competitors and events that couldgive rise to substantial risks. Organisations generate revenues by engaging in activities that entail varying degrees of risk. Failure to identify, assessand manage major risks facing the organization’s business model may result in significant loss of stakeholder value. Senior management of organizationsmust therefore design and implement processes and controls to manage effectively any substantial risks confronting the organization.

Risk Management - DefinitionRisk Management is a process effected by the entity's board of directors and management designed with a view to identify, analyzeand assess potentialrisk factors / events / situations that could affect the entity and manage risks to be within its risk appetite and, to provide reasonable assurance regarding the achievement of entity objectives.Complexities in businesses and current operating environments demand a more integrated risk management approach. It is no longer sufficient to manage risk at the individual activity level or in functional silos. Organizations are now focusing on a more dynamic and comprehensive approach to dealing with all their risks. Risk management is therefore a continuous, proactive andsystematic process to understand, manage and communicate risk from an organization-wide perspective. It is about making strategic decisions that contribute to the achievement of an organization's overall corporate objectives.

Risk Management Process And ToolsRisk management involves the following steps - 1. Setting objectives2. Identification of risks3. Analysing and assessing identified risks4. Treating / managing risks5. Monitoring and reviewing the risks 6. Communication and reporting to stakeholders

1. Setting objectives -A precondition to effective event identification, risk assessment and risk response is establishment of objectives. Objectives are typically laid out in annual reports, business unit strategic plans, functional unit charters, project/ investment plans. Objectives are aligned with the entity’s risk appetite, which drives risk tolerance levels for the entity. Objectives could be financial, strategic, operational etc, set during the annual planning process and reviewed throughout the year. These objectives cascade through the organisation to individual teams. Withoutclear objectives, it is not possible to identify events that give rise to risks that could impede the accomplishment of a particular objective.

2. Identification of risks -This phase typically involves finding answers to questions like –• What are the risks associated with achieving each of entity’s priorities?• What are the risks of not achieving these priorities?• When, where, why and how are risks likely to occur? • What could materially damage the ability to survive? etc

The following techniques can be employed for identifying risks -

• Brainstorming• Event inventories• Interviews and self-assessment• Process flow analysis • SWOT (Strength Opportunity Weakness Threat) analysis• Facilitated workshops• Risk questionnaires and risk surveys• Checklists

3. Analysing and assessing risks -Risk analysis involves the consideration of the source of risk, the impact and likelihood to estimate the inherent risk without controls in place and also an understanding of the potential risk drivers. It also involves identification of the controls, an estimation of their effectiveness and the resultant level of risk with controls in place. Common risk analysis techniques include Influence diagram and Root cause analysis that are developed using scenario analysis. This can be done byinterviewing process owners and reviewing supporting documentation. Risks should be assessed considering the likelihood and impact of such risks in relation to specific objectives. Risk assessment techniques can either be qualitative or quantita-tive or a combination of both. Qualitative techniques are typically used where risks do notlend themselves to quantifi-cation. Quantitative techniques bring more precision and are used in more complex and sophisticated activities to supplement qualitative techniques.Qualitative techniques can be a simple list of all risks, risk rankings, or risk maps, risk graphs or risk matrices. Quanti-tative methods include probabalistic, non-probabalistic and benchmarking techniques.

RiskManagement...the What,Why & How Swati Bhushan ACA


4. Treating / managing risks -An unacceptable risk requires treatment.Risk response generally includes –

• Avoidance i.e. eliminating a specific threat, usually by eliminating the cause.• Sharing / Transfer i.e. wholly or partly transferring the risk to another party through a contract, insurance etc.• Mitigation / Reduction i.e. reducing the expected impact of a risk event by reducing the probability of occurrence.• Acceptance i.e. accepting the consequences of the risk.

Illustrative Risk responses by Response type

Factors to consider for managing risks include -

• Likelihood of the risk (through preventive maintenance, or quality assurance and management, change in business systems and processes), and• Impact of the event (through contingency planning, minimising exposure to sources of risk etc.)The process of prioritization helps an entity manage those risks that have both a high impact and a high probability of occurrence.At the completion of its risk response actions, management would have a view of individual risks and responses and their alignment with associated tolerances.

5. Monitoring and reviewing risks -It is important to understand that the concept of risk is dynamic and needs periodic and formal review. Identified risks need to be monitored regularly. Additionally, new risks

Avoidance

• Disposing a business unit, product line

• Deciding not to engage in new initiatives/activities

• that would give rise to new risks

Transfer/ Sharing

• Insuring significant unexpected loss

• Entering into joint venture/partnership

• Hedging risks through capital markets

• Outsourcing business processes

Reduction / Mitigation

• Establishing operational controls

• Establishing effective business processes and operating procedures

• Enhancing management involvement in decision making and monitoring

• Rebalancing portfolio of assets to reduce exposure to certain types of losses

• Reallocating capital among operating units

Acceptance

• Self-insuring against loss

and their impact on the organisation need to be taken into account. The review needs to validate that the risk management process anddocumentation is still valid in the current regulatory environment and industry practices that may have changed in the intervening period.A framework needs to be in place that enables responsible officers to report on the following aspects of risk and its impact on organizations operations -• What are the key risks?• How are they being managed?• Are the treatment strategies effective? If no, what is the alternative course of action?• Are there any new risks and what are the implications for the organisation?

6. Communication and reporting -Clear communication is essential for the risk management process. This includes communication of the objectives, the risk management process and its elements, as well as the findings, acceptable practices and required actions.Risk management is an integral element of organization´s management. However, for its successful adoption it is important that in its initial stages, the reporting on risk management is visible through the framework. The require-ments on the reporting have to be defined and laid down in the form of a management handbook.

ConclusionRisks in the global economy constantly change and evolve; risk management is therefore a never ending journey. It requires strong commitment from the management and an effective process tailored to each organisation's unique culture.In order for risk management to be effective, it is vital that a risk management culture be developed. The risk management culture supports the overall vision, mission and objectives of an organization. Limits and boundaries should be established and acceptable risk practices and outcomes must be effectively communicated.Proper risk management will reduce not only the likelihood of an event occurring, but also reduce the magnitude of its impact.



First Technical Session - 30 Oct 13 Second Technical Session - 16 Nov 13

Third Technical Session - 4 Dec 13 Third Technical Session - 4 Dec 13 Fourth Technical Session - 8 Jan 14

Fifth Technical Session - Service Leadership Workshop by Ron Kaufman - 22 Feb 14 Sixth Technical Session - 12 Mar 14

Second Technical Session - 16 Nov 13

Seventh Technical Session - 15 Apr 14

International Conference - 1 May 14 International Conference - 1 May 14 Eighth Technical session - 14 Jun 14

Ninth Technical Session - 17 Jun 14 Ninth Technical Session - 17 Jun 14 Tenth Technical Session - 14 July 14

Photo Gallery - Technical Seminars


Second Full Day Workshop - 7 Dec 13 Second Full Day Workshop - 7 Dec 13

Third Full Day Workshop - 1 Mar 14 Fourth Full Day Workshop - 7 Jun 14

First Full Day Workshop - 9 Nov 13 First Full Day Workshop - 9 Nov 13

Photo Gallery - One Day Workshops


Meeting with Women and Young CAs1 May 14

Inaugurating Annual InternationalConference - 1 May 14

Addressing Members - 1 May 14

Meeting with Dubai Chamber - 1 May 14 Meeting with Past Chairmen - 1 May 14

Photo Gallery - ICAI President’s Visit

Launching the E-Global Kit - 1 May 14


CA Day - 1 July 14 CA Day - 1 July 14

Iftar Program at Labour Camp - July 14 Iftar Program at Labour Camp - July 14

Blood Donation Camp - 17 Jan 14 Blood Donation Camp - 17 Jan 14

Photo Gallery - CSR Events


Family Social Get Together - 14 Mar 14 Family Social Get Together - 14 Mar 14

Indoor Cricket Tournament - 20 Dec 13 Indoor Cricket Tournament - 20 Dec 13

Photo Gallery - Sports & Social Events

Shankar Mahadevan Live in Concert2 May 14

Shankar Mahadevan Live in Concert2 May 14


Platinum Sponsors

https://icaidubai.org/2014.pdf

ICAI Bhawan, G18-, Block 2B, P.O. Box: 500725,Knowledge Village, Dubai, UAE

Office: +9714 367 2250, Fax : +9714 367 2739Mob: +971 55 368 65 92 (Ms. Bharathi)

Email: [email protected]

The Institute of Chartered Accountants of India UAE (Dubai) Chapter

dubai times...october 2013 - july 2014 8 aug 14 13 aug 14 30 aug 14 29 sep 14 bowling event...

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