100 Drivers of Change: Shaping the Landscape for Business and Professional Accountants Over the Next Decade

1. 100 Drivers of Change: Shaping the Landscape for Business and Professional Accountants Over the Next Decade Professor Venansius Baryamureeba, PhD Vice Chancellor, Uganda Technology and Management University www.utamu.ac.ug; barya@utamu.ac.ug Presented at ACCA Inaugural Finance Professionals’ Forum, at The Hub, At the Oasis Mall, 5.30pm- 09.00pm, 12th April, 2013

2. Important factors shaping the next decade 100 drivers of change grouped into 8 separate categories: • Economy • Politics and Law • Society • Business • Science and Technology • Environment, Energy and Resources • Practice of Accounting • Accounting Profession

3. 9 Critical Issues for Economy, Business & Accountancy Profession • Economic context • Challenges for business • Business strategies and priorities • Accountancy’s public image • Accountancy’s positioning in business • Measurement and reporting • Accountancy practices • Skills, training and development • Science and technology applications

4. Economic Context • Societal expectations • Rethinking the growth paradigm • Reworking financial systems and governance • Revisiting the currency debate • Drivers of future growth

5. Challenges for Business • Situational awareness • Stewardship • Talent

6. Business Strategies and Priorities • Mindset • Markets • Models

7. Accountancy’s Public Image • Public trust • Recruitment brand

8. Accountancy’s Positioning in Business • Enhanced strategic responsibility • Broadening of audit and compliance • Assessment of total sustainability

9. Measurement and Reporting • What gets reported • How reporting is done

10. Accountancy Practices • Regulations, standards and systems • The accountancy services sector

11. Skills, Training and Development • A new learning agenda • Transforming education delivery

12. Science and Technology (S&T) Applications/ Impact of S&T • Increasing spread and ease of internet access • Big data and the digitisation of work • Increased use of augmented and virtual reality • New industries and production models • Advances in robotics • Advances in brain science • Advances in genetic science

13. Forces shaping the business environment and driving change in the accountancy profession

14. 10 strategic imperatives for business and the accountancy profession

15. Scenario's for the future of the accountant’s role

16. Future Skills every accountant must have • Mathematical skills • Technology/ ICT skills • Analytical, creative, Critical & Strategic Thinking skills • Negotiation skills • Planning skills—financial planning, procurement planning, audit plans, risk management planning, etc. • Budgeting/ budget performance –> strategic planning skills • Understanding, innovation, communication, commercial awareness, enthusiasm, entrepreneurship

17. Factors of Production

18. Some Factors Leading to Business Uncertainty in Uganda • Human Resources • Land question • Unpredictable Bank Loan Interest Rates • Corruption especially during the tendering process & contract execution • Trust and Ethics • Thin line Between Politics and Business • Unpredictable regional and global markets • Lack of Subsidies in some Sectors e.g. Agricultural sector • Lack of appropriate banks for the different economic sectors

19. Economic Structure • Economic structure is a term that describes the changing balance of output, trade, incomes and employment drawn from different economic sectors • ranging from primary (farming, fishing, mining etc) to secondary (manufacturing and construction industries) to tertiary and quaternary sectors (tourism, banking, software industries).  • Changes in economic structure are a natural feature of economic life but they bring challenges in terms of reallocating factors of production. • For example, a shift in production and jobs in one sector can lead to problems of structural unemployment.

20. Income and Wealth Distribution • Income per capita inequality • Income distribution • Income distribution is extremely important for development, since it influences the cohesion ofsociety, determines the extent of poverty for any given average per capita income and thepoverty-reducing effects of growth, and even affects people’s health. • The distribution of wealth is a comparison of the wealth of various members or groups in a society. It differs from the distribution of income in that it looks at the distribution of ownership of the assets in a society, rather than the current income of members of that society

21. Other Issues to Ponder • Uganda’s GDP in 1986 c.f. the GDP in 2012 in US$ - using the global reserve currency • Population growth impact on the economy • Foreign Direct Investments VS Local Investments • Per capita income of Ugandans excluding outliers • Impact of oil revenue on human development • Sate of Education today compared to 1962? • State of health services today compared to 1962? • Impact of abolition of graduated taxes and free education on alcohol consumption in UG • Is level of alcohol consumption an indicator of development / economic growth? • Are Ugandans today richer than they were in1962?

22. TILL WE MEET AGAIN I THANK YOU