Strategy and governance

Treasury basics for an overseas expansion

Understanding regulatory requirements and standard operating procedures in international locations is essential for domestic corporations expanding into overseas markets. The following tips, compiled by Wells Fargo’s international banking division, can help companies establish an effective global treasury policy: Consult with key advisers early. Draft the overall scope and plan for

PCAOB adopts rules on communication between audit committees, external auditors

A new auditing standard approved unanimously Wednesday by the PCAOB is designed to encourage two-way, effective communication between external auditors and audit committees during public company audits. With the aim of improving audit quality, the PCAOB approved Auditing Standard (AS) No. 16, Communications With Audit Committees, and amendments to other

Protect “crown jewels” by integrating risk management into strategy

In an environment where risks are growing—and growing in complexity—few companies are fully considering risk in their business strategies. The percentage of companies adopting enterprisewide risk oversight has almost tripled in three years but remains small; implementation has yet to take place in more than three out of four organizations,

PCAOB gives audit committees guidance on inspections of audit firms

In an effort to help audit committees make informed decisions, the PCAOB on Wednesday released a 26-page report describing how its inspections of audit firms work and how to gather information from audit firms about those inspections. PCAOB inspection reports are partly public and partly private. In the release, Information

Updated COSO framework will help audit committees comply with SOX

The compliance revolution after the passage of the Sarbanes-Oxley Act of 2002 (SOX) was accomplished in large part with the help of the internal control framework of the Committee of Sponsoring Organizations of the Treadway Commission (COSO). COSO’s framework became part of a worldwide movement to enhance periodic accounting and

Corporate governance best practices 10 years after SOX

You could hardly go to a Washington hearing related to an accounting or auditing issue this spring without someone singing the praises of the Sarbanes-Oxley Act of 2002 (SOX). At a House subcommittee meeting on accounting and auditing oversight, House Financial Services Committee Chairman Spencer Bachus, R-Ala., said SOX has

CFO round table: Managing uncertainty

Three CFOs from three very different industries offer insight into the fickle global marketplace—and how their roles are changing because of it.

A strategic approach to IT budgeting

Organizations of all types struggle with information technology (IT) budgeting. This often happens because the IT team doesn’t understand the budgeting process and the finance team doesn’t understand IT. CPAs, whether in public practice, business and industry, the not-for-profit sector or government, can remedy this disconnect by changing their organization’s

Helping CEOs connect the dots

The business world is experiencing an extraordinarily challenging period. The multiple pressures exerted on executives in terms of global competition, increasing regulation, climate change and growing expectations from consumers has resulted in a call for a new business paradigm. At the end of last year, the AICPA joined forces with

CEOs seeking value in human dimension of business

The human dimensions of business – areas such as talent development, intellectual property and relationships with suppliers and customers – will be the primary focus of top executives during the next 18 to 24 months. And one of their first challenges will be determining the value of these factors to

CGMA launch focuses on nonfinancial value, long-term business strategies

A panel of executives meeting in the finance capitals of New York City and London discussed new research Tuesday on the importance of the human dimension and nonfinancial value in long-term business strategies. The event, hosted by the AICPA and the Chartered Institute of Management Accountants (CIMA), was part of

PCAOB Reproposes Standard on Communications with Audit Committees

The PCAOB on Tuesday reproposed for comment an audit standard, Communications with Audit Committees, and related amendments to PCAOB standards. Initially, the standard was proposed on March 29, 2010. According to a PCAOB news release, the reproposed standard is designed to align communications requirements with performance demands in other PCAOB

AICPA Letter to PCAOB Raises Concerns About Mandatory Audit Firm Rotation

The AICPA recommended that the PCAOB refrain from imposing mandatory audit firm rotation. AICPA Chairman Greg Anton, and President and CEO Barry Melancon signed a comment letter sent by email Wednesday to the PCAOB stating that mandatory audit firm rotation is costly and has the potential to hinder audit quality

Act Public Before Going Public

After several years of increasing numbers of U.S. companies making initial public stock offerings, starting in late summer 2011, some companies postponed going public as economic and market conditions grew turbulent and uncertain. But even a holding pattern might have some advantages if companies use that time to better prepare

Planning for Uncertainty

With national debt crises in both Europe and the United States, a shaky recovery from the deepest recession since World War II and volatile currency markets, it’s not surprising that recent research conducted by the Beyond Budgeting Round Table found that more than two-thirds of corporate budgets are irrelevant before

Lessons on Managing Risk in Emerging Markets

In recent years, as economies in developed countries have slipped and stagnated, a number of U.S. and other companies have sought to fuel growth by investing in emerging markets. There are many benefits to employing such a strategy: By and large, developing countries promise access to new, untapped markets; rising

Courting Venture Capital

Whether you’re in the C-suite or playing a supporting role, the skills you’ve honed as a CPA can help you land that venture capital or private equity investment that either keeps your company afloat or contributes capital for necessary growth. One of the most important ways venture capitalists and other

Business Basics in China

With U.S.-China trade at record highs and China as the world’s second largest economy, the JofA asked Timothy J. Hilligoss, CPA, MST, partner in charge of Asia for Southfield, Mich.-based firm Clayton & McKervey PC, to share some basics on what U.S. companies face when investing in Chinese ventures. LEGAL/REGULATORY

Scenario Planning: Navigating Through Today's Uncertain World

Imagine you are sitting at your desk in September 2007. The Dow is close to 13,900; U.S. unemployment is 4.5%; and oil is $45 a barrel. You are in the middle of developing your organization’s plans and budgets for 2008. How likely is it that the assumptions in your 2008

Survey: Large Companies Heavily Engaged in Sustainability Strategies

More than three-fourths of large companies surveyed have a formal sustainability strategy compared to a third of smaller companies, according to findings released Thursday by the AICPA, the Chartered Institute of Management Accountants (CIMA) and the Canadian Institute of Chartered Accountants (CICA). On a comparative basis, 88% of CIMA respondents

SPONSORED REPORT

6 key areas of change for accountants and auditors

New accounting standards on revenue recognition, leases, and credit losses present implementation challenges. This independently-written report identifies the hurdles that accounting professionals face and provides tips for overcoming the challenges.

PODCAST

How tax reform will impact individual taxpayers

Amy Wang, a CPA who is a senior technical manager for tax advocacy at the AICPA, answers to some of the most common questions on how the new tax reform law will impact individual taxpayers.