Case Study (Basic)

A. The Case Study Approach The case study approach is based on a vision of a newly qualified accountant as: 1. A rounded business professional capable of contributing real value in business management; 2. A professional accountant with the core values that enable him to act in the public interest as well as the interest of his employer and or client; and Case Study Strategic Financial Management Advanced Taxation Advanced Audit and Assurance Corporate Reporting Corporate Strategic Management and Ethics Performance Management Public Sector Accounting and Finance Financial Reporting Auditing and Assurance Business, Management and Finance Management Information Taxation Financial Accounting Business Law REGULATIONS AND EXAMINATIONS SYLLABUS FOR ICAN 134 3. Someone possessing the competencies that include sound knowledge and higher value technical skills expected of a finance professional. Case Study is an integrated approach to the subject matter bringing together and synthesising streams of knowledge and skills into an assessment approach. This approach embraces competences that are not generally tested in individual examination paper. The case study will present candidates with more information than in a conventional examination question and in an unstructured way that requires a process of familiarisation, analyses and evaluation. It also requires events and issues to be put into context in such a way that judgement would be made and communicated to a third party or a more senior member of staff. Candidates will be required to apply underpinning business and accounting knowledge and skills in the process of creating an output. B. Main competencies The competencies that will be assessed under the Case Study paper include: 1. The core technical knowledge, skills and practical application acquired at the Foundation and Skills levels; 2. The technical, analytical, evaluative and integration skills from the Professional level; and 3. The advisory, judgmental and communication skills acquired through practical work experience. C. Detailed syllabus The case study assesses the capability of a candidate who has covered all other ICAN examination papers to understand issues in a relatively unstructured scenario enabling the production of a professional report based on the use of financial and business knowledge and skills acquired in earlier examination subjects. It requires the use of underpinning tools that support both financial and business analyses. It will consist of a single scenario, comprising pre-seen and unseen. Candidates will receive the pre-seen electronically two (2) weeks before the examination date while the unseen will be given to them on the day of the examination. The scenario is a complete and highly realistic scenario based on a private, public or charitable sector entity or entities in a current business environment that is stated and explained. The scenario is followed by two requirements The candidate will be required to write a report based on a given business scenario from a brief. This will include: 1. Executive summary, introduction, main body, conclusion and recommendation; and 2. Appendices. The assessment will be evidence based on the content of the script submitted by the candidate in an examination that lasts for four (4) hours. The first purpose is to test the REGULATIONS AND EXAMINATIONS SYLLABUS FOR ICAN 135 capability of the candidate to show evidence of his understanding of specified issues in the scenario in an answer that is a written report but that may include the presentation of some financial or non-financial information. The other purpose is to assess the capability of the candidate to produce a professional report dealing with two specific requirements based on a combination of financial and business analyses of the information in the scenario. The report produced may include appendices to show evidence of analyses undertaken. D. Scenario requirements The scenario requirements may involve the following: 1. Informed business judgement; 2. Managerial judgement; 3. Professional scepticism; 4. Professional ethics; 5. Business ethics; 6. Risk assessment; 7. Due diligence; 8. Corporate social responsibility; 9. Governance; 10. Social issues; 11. Efficiency, economy and effectiveness; 12. Managing shareholders’ and other stakeholders’ interest; 13. Globalisation issues; and 14. Business sustainability issues. 15. Application of technology strategies, including: (a) Block Chain; (b) Artificial Intelligence; and (c) Digital Communications. 16. Soft skills, including: (a) Originality and initiative; (b) Creative thinking; (c) Integrated thinking (d) Persuasion and negotiation; (e) Cognitive flexibility; (f) Multiple capitals; (g) Leadership; (h) Emotional intelligence; (i) Social thinking; (j) Project management; and (k) Technology design, strategy and business modelling. REGULATIONS AND EXAMINATIONS SYLLABUS FOR ICAN 136 E. Analytical tools The following strategic management tools will be tested: 1. Strategic tools which include PESTEL, SWOT, Porter’s five forces, Benchmarking, Porter’s value chain analysis, Porter’s generic strategies, Porter’s diamond, Boston consulting group model (BCG), Ansoff’s matrix, gap analysis, business capacity analysis, resource audit, Boston and business process model; 2. Performance management tools such as Critical success factors (CSF), key performance indicators (KPIs), balanced scorecard, value for money, economic value added (EVA); 3. Tools to analyse a basic set of financial statements consisting of statement of profit or loss and other comprehensive income, statement of financial position, statement of cash flows and supporting notes such as trend analysis, ratio analysis and common size analysis; 4. Tools that can be used with management information such as budgets and forecasts; 5. Tools that can be used for management short term decisions such as marginal costing and contribution analysis; 6. Financial engineering assessment tools; 7. Business valuation tools; 8. Analyses and evaluation of key types of business risks and assessment of their implications within a given scenario; 9. Appraisal and evaluation of financial reconstruction proposals in a given scenario; and 10. Advise on investment proposals appropriate to the objectives of a given business organisation. F. Ethical consideration Ethical issues are component of Case Study. They will be assessed in a contextual and broad way using case study examination. Ethics will not be more than 15% of the content. However, candidates will not be asked about ethics directly, they will have to recognise and include ethical matters and concerns in their output as part of the case study. They include professional issues and how businesses are conducted - sustainability, social and environmental impact. Ethics may be seen in the context of regulations, regulatory oversight, professional duties, public interest and reputation. G. Assessment procedure The Case Study requirements are relatively open and there is no single solution or model. However, candidate’s report will be assessed based on the content and in-depth analysis of the scenario. The assessment will be based on the following factors: 1. Use of data and information provided in the case scenario and appendices appropriately; REGULATIONS AND EXAMINATIONS SYLLABUS FOR ICAN 137 2. Use of professional tools and knowledge – those acquired in the other subjects of the examination; 3. Use of analytical skills; 4. Identification of issues and options; 5. Application of professional scepticism and ethical judgement; 6. Evaluation of issues and options; 7. Arriving at appropriate conclusions; and 8. Proposing appropriate recommendations. The candidate’s overall report will be assessed based on the following factors: 1. Inclusion of appropriate appendices; 2. Good structure; and 3. Appropriate style and language