1B o t s w a n a I n s t i t u t e o f A c c o u n t a n t s , Vo l u m e 6 , 2 0 0 9

B o t s w a n a I n s t i t u t e o f A c c o u n t a n t s

BIA EVENTS

Volume 6 August 2009

“The reason Africa is troubled is because our MOST EDUCATED & INTELLIGENT lack moral fibre” Honourable Ntuane, guest speaker at the BIA Dinner Dance told delegates

The

LEAKY BUCKET Syndrome Part 3

TTTTTTTTTTTTTTTTTTTL

“““““““““““tttt

2009 ANNUAL DINNER DANCE

2009 STAKEHOLDERS’ COCKTAIL

Cautionary announcementsBY BOTSWANALISTED COMPANIES in the wake of the global economic crisis

CCCCCCCCCCCCCCCCCCB

BIA ElectsNEW COUNCIL

At AGM

NORTHERN FOOTBALL TOURNAMENT

B o t s w a n a I n s t i t u t e o f A c c o u n t a n t s

Contents

@2009 BIA NEWS IS PUBLISHED ON BEHALF OF THE BOTSWANA INSTITUTE OF ACCOUNTANTS. NO PART OF THIS WORK MAY BE USED IN ANY FORM OR BY ANY MEANS GRAPHICAL, ELECTRONICALLY, MECHANICALLY INCLUDING PHOTOCOPYING, RECORDING, TAPING, INFORMATION STORAGE OR RETRIEVAL SYSTEM-WITHOUT PERMISSION FROM THE INSTITUTE EXCEPT IN ACCORDANCE WITH THE ACCOUNTANTS ACT OR LAWS OF BOTSWANA.

PRESIDENT’S COLUMNPresident’s Remarks ...................................2

LEAD STORYBIA Elects its council for 2009/10 ....................12

BIA NEWSFrancistown Offi ce Report. .......................................9

BIA EVENTSBIA Stakeholders’ Cocktail 2009...............................4

AGM in pictures ........................................................5

BIA Annual dinner dance 2009...........................14 -15

BRAINTEASER & HUMOURSUDOKU game........................................................18

The brick.................................................................19

The little boy...........................................................19

BIA SPORTINGBIA hosts Northern Football Tournament................20

ECONOMIC MATTERSCautionary Announcements...............................10 - 11

The Leaky Bucket Syndrome Part 3.........................16

ACADEMIC MATTERSThe AAT qualifi cation explained...............................6

AUDIT MATTERSDocumenting the Auditor’s exercise of judgment.....8

BIA addressPlot 50676, Block B, Second Floor. Fairgrounds Office Park. Private Bag 0021, Gaborone, BotswanaTel: (0267)3972992, Fax: (0267)3972982Website: www.bia.org.bw

Magazine

B o t s w a n a I n s t i t u t e o f A c c o u n t a n t s , Vo l u m e 5 , 2 0 0 9

2 B o t s w a n a I n s t i t u t e o f A c c o u n t a n t s , Vo l u m e 6 , 2 0 0 92

Message from President

When I thought about what to say in this, the first Newsletter to be published under my presidency, I concluded that the message that I delivered at the

Stakeholders Cocktail would be appropriate here as well. So I have taken the liberty to reproduce the speech.

Thinking about the recent change in administration here in this country, and in recognition of the use of letters of the alphabet to describe the way we want to operate, I have come up with the four “E’s” to describe how we would wish to be seen. We should be Enterprising, Efficient, Effective and last but not least, Elegant

I would like to thank Priya Iyer for all the work she did during her term as President – to the extent that the “hot seat” of the Presidency is in fact comfortably warm – something very valuable at this time of year being winter!! I see much of my role over the next two years as implementing and rolling out many of the initiatives that have been started off. I would like to take this opportunity to educate and inform our stakeholders as to our strategy, and how we, as a profession, see ourselves interacting with the rest of the economy.

In terms of our plans for the next year or so, these will include:· Pushing for promulgation of the Financial Reporting Act. This new piece of legislation which will replace our archaic Accountants Act was due to be placed before Parliament in the current session. However due to various delays, and the pressure of other matters before Parliament, it looks as though we will have to wait until next year.· Implementation of BIA strategy (see below);· Development of a new home for the Institute which has been made possible following a very generous contribution by Government of P5m.

Last year the Institute, for the very first time, formally went through a strategic planning process. The outcome was our strategy for the 2009-2011 calendar years. Through this process we came up with our vision:

To be the premier professional body in Botswana and be a benchmark internationally And our core purpose is: To promote public confidence in the accounting profession and enhance compliance with international standards

This vision and purpose highlight the fact that we are committed to ensuring that our profession in Botswana is comparable to the best internationally. We have already gained recognition at IFAC level for being amongst the first countries to have our action plans (prepared following our ROSC review) published on the IFAC website. One of the primary objectives over the next two years is to ensure that our strategy is implemented.

In order to deliver on the strategy, we need to focus on the following key areas:1. The capacity of the Institute to be able to deliver the required services to both members and stakeholders and ensure compliance with the Statements of Member Obligations (SMO’s) of IFAC. In this regard we are thankful to the World Bank who have agreed to sponsor a twinning arrangement with an established Institute over a two year period. This sponsorship is for P3.5m and will go a long way in helping us address this area. 2. The capacity of the profession as a whole in Botswana. We currently have an estimated 250 professionally qualified Batswana accountants. We need to develop ways of addressing

the shortfall between what the economy needs and what is available.3. Financial sustainability – we need to ensure that the Institute is financially sustainable into the future given the increased capacity that we must build.4. Membership quality – this is both at a general member level where we need to address concerns raised about the quality of professional accountants, as well as at an audit practitioner level where we need to ensure that audits carried out in Botswana meet the required international standards.5. Image – it is critical that the profession develops a positive image with Government and the general public, and raise awareness as to the role we need to play in the economic development of Botswana.

We currently, and will continue to, face challenges in achieving our goals. The main challenge at present of course is the implications that the current global economic crisis will have on our profession. The knee-jerk reaction (as has been the norm in recent years following the various financial scandals) will be to increase regulation of the financial markets, and oversight of our profession. Care is however required that we do not over-burden small and medium sized businesses which can only flourish in an environment of flexibility and limited bureaucracy, whilst achieving accurate and consistent financial reporting.

I would like to thank you all for your support for the Institute, particularly, members of the various Institute committees who give freely of their time to contribute to our profession. Last, but not least, I would like to thank Duncan Majinda, the CEO and the Institute Secretariat for being efficient and effective – perhaps a bit of work is required to become elegant!!

It is also my pleasure to introduce to you the members of my team, my fellow Council members for 2009/10:

ElectedVijay Kalyanaraman Vice President and Chair Membership & ExaminationsRosemary D Mogorosi Chair SMME CommitteePriya Iyer Chair Education and Training CommitteeMmatlala Dube Chair Public Relations Committee Rudi Binedell Chair Technical Committee

RepresentativesRobby B Sebopeng Auditor General Emma L Peloetletse Accountant General Brian Dialwa Registered Members Onious Tomango Licenciate MembersCarlos C Chileshe Northern Committee Members

Nigel Dixon-Warren: PRESIDENT

B I A P R E S I D E N T ’ S C O L U M N

The Council of Botswana Institute of Accountants does not necessarily agree with nor guarantee for the accuracy of statements made by contributors or advertisers or accept responsibility for statements that are in this publication.

B o t s w a n a I n s t i t u t e o f A c c o u n t a n t s , Vo l u m e 5 , 2 0 0 9

FROM: TACHIBONA PRIMARY SCHOOL

P BAG T36

TATITOWN

DUKWI

TEL – 2977263

AS I LAY THE OTHER NIGHT I DREAMT,

DREAMT THAT WE ALL BE GLITTERED,

GLITTERED WITH THE WHITE SOILS OF FOREIGN TECHNOLOGY

A DREAM I WISH COULD COME TRUE, COME TRUE ANY MINUTE

CLAY OF FOREIGN TECHNOLOGY

SPEAK OF THE INTERNET, ICT, NEWS, RESEARCH,

ALL IN THE NAME OF THE COMPUTER

TODAY I AM JUBILANT,

JUBILANT BECAUSE OF ACCA

REMEMBER MY DREAM

IT HAS COME TRUE, COME TRUE

THANKS TO ACCA

I AM STEPPING ON THE SOILS OF FOREIGN TECHNOLOGY

I AM SINGING THE SONGS OF PRAISE

PRAISING ACCA, PRAISING THE COMPUTERS,

AS THEY SAY, AN INTERNET IS A HANDY SOURCE OF INFORMATION

FROM TODAY, I WILL BE INFORMED

I WILL PRESS THE BUTTON AND LET THE MOUSE DO ITS TRICKS

LOVE IS A FREE FLOW OF SPIRIT

ACCA IS LIVING PROOF OF THAT

THANK YOU FOR DRIVING THE PILLARS OF VISION 2016

AN EDUCATED AND INFORMED NATION

DID I THANK YOU ACCA?

T-H-A-N-K Y-O-U V-E-R-Y M-U-C-H!!!!!!!!

POEM

THANK YOU ACCA

On the 14 May 2009 the Association of Chartered Certified Accountants (ACCA) Botswana made a social responsibility donation

to Tachibona Primary School in DukwiVillage.

Two computers were handed over to Mrs Enock the School Head of Tachibona Primary School by Ms Tshegofatso Modise, ACCA Botswana

Network Chairman, Mr Michael Makubate, ACCA Botswana NetworkVice Chairman and Ms Bridgid Mukwati ACCA Botswana Office

Administrative Assistant.

The event was attended by the Deputy Permanent Secretary, EDS, Ministry of Education, Dr Mooko who was the Guest Speaker, Senior

Education Secretary Mr Thowe, Kgosi Mosweu, Area Councilor Mr Majaga, School Heads from surrounding schools, teachers, PTA members,

parents and school children.

A poem was presented to ACCA Botswana by Tachibona Primary School children in gratitude for the donation received.

th

SOCIAL RESPONSIBILITY DONATION TO

TACHIBONA PRIMARY SCHOOL

THANK YOU

ACCA

C O V E R S T O R YC O V E R

STAKEHOLDERS’ COCKTAIL1. BIA President Nigel Dixon-Warren addressing guests.

2. Mpho Masuge, Prof Bojosi Otlhogile & Robby Sebopeng sharing a light moment.

3. L - R: Nigel Dixon-Warren, Bakani Ndwapi, Gwen Sabarwal, Freddie Modise, Vijay Kalyanaraman, Priya Iyer &

Onious Tomango.

4. BIA PR Committee members Ajay Bhatnagar & Devaprasad Arrakkal.

5. BIA CEO Duncan Majinda giving welcome remarks.

6. BDC’s HR Director Simon Meti & BOCCIM CEO Maria Machailo - Ellis.

7. L - R: Anthony Devlin, Kutlo Marman, Benedicta Abosi & Ajay Bhatnagar.

8. The guests listening to the proceedings.

9. Priya Iyer chatting with Maria Machailo - Ellis.10. BIA staff from L - R Itumeleng

Selebalakhai, Sarah Kenaape, Mmoshe

Mookodi, Boyce Tlhaloganyang, Oupa

Gaofi se, Mokeresete Kgosimore & Kylie

Kereng.

11. GT’s Girish Ramakrishna & CIMA’s

Moses Sikwila.

12. KPMG’s Benedicta Abosi & Dixon-

Warren.

13. The President chatting with his Vice

Vijay Kalyanaraman & ACCA Botswana

Network Chairperson Tshego Modise.

1

2 3

4 5 6 7

8910

11 12 13

4

B I A S T A K E H O L D E R S ’ C O C K T A I L 2 0 0 9

A G M I N P I C T U R E S

AGM in pictures

1

2

3 4 5 6

7

8

1. BIA CEO Duncan Majinda attentive as always.

2. Council members, L - R: Vijay Kalyanaraman, John Kauya, Carlos Chileshe & Lalith Senaratne.

3. BIA memebers in attendance.

4. Priya Iyer, answering a question.

5. Some of the BIA members.

6. Tabake Kobedi posing a question.

7. BIA members Jay Ramesh & R. P De Silva.

8. L - R Pako Kedisitse, Quena Nkate, Lilly Matenge & Tumi Mbaakanyi.

Buildings are an exception, so are weHousing • Airports • Hospitals • Commercial and Industrial Developments • Office Blocks • Schools • Hotels

Not many products you buy require your participation in their design and manufacture, not even tailor-mades. Buildings are an exception.Your choice of advisers determines whether your participation becomes a nightmare or a rewarding experience - after all you are dealing with your most costly asset.

• Tel 3191111 • Fax 3902358 • Email partner@pegoprojects.com

Many years ago it was apparent that there was a need in Botswana for

a qualification that bridged the gap between leaving school and chartered accountancy. The Association of Accounting Technicians (AAT) Accounting Qualification was launched to bridge that gap, giving students the practical skills they need to work in finance and accountancy. Accounting technicians work in all sectors of the economy. In larger companies, they usually work as part of an accounts team. In a small business, they may be the only person trained to deal with finance matters, like wages and invoices. In either case, typical duties include:

· processing and paying invoices · recording receipts and

payments · preparing and checking ledger balances and other monthly and yearly accounts · completing and submitting tax returns · monitoring company expenses · using computerised accounting systems.

With experience, technicians can take on management responsibilities and more complex tasks, such as:

· drafting financial reports · planning and budget control · assisting qualified accountants with audits.

Since its launch in Botswana, the AAT’s Accounting Qualification

has made a big difference to the people who have taken it. Kebareng Makone MAAT is one such person. Now a full member of the AAT, she is a Fixed Assets Accountant with Botswana Post Office, supervising four members of staff. ‘I started at Botswana Post as a Customer Service Assistant – and I have passed through several stages since then,’ she says. ‘It is marketable – if people have the AAT it is easier for them to get a job. I got promoted because of my AAT qualification.’

For more information about the AAT qualification and what it can do for you, visit www.aat.org.uk/join

THE AAT QUALIFICATION EXPLAINEDA C A D E M I C M A T T E R S : A A T Q U A L I F I C A T I O N

······

·······

·······

·····

········

········

······· ·········

·········

Some business have nightmares.

Others guarantee their credit with BECI

Are you

responsible for

your company’s

bad debts?

What BECI really offers is a good night’s sleep. The reassurance of knowing that delayed payment or bad debts

will no longer be a threat to your business. To find out how easy it is to eliminate bad debt from your books, call us.

Your survival could depend on it.

UNIT 6, PLOT 115, KGALE MEWS,

TEL: +267 3188015 EMAIL: beci@beci.co.bw OR VISIT WWW.BECI.CO.BW

Gaborone International Finance Park

TThe Oxford dictionary de-fines ‘Judgment’ as the ability to make considered decisions or form sensible

opinion. Life is about making deci-sions and each decision has con-sequences. How do people make decision? Circumstances deter-mine how decisions are made. On one extreme is a situation where there are rules and procedures defining the decision making proc-ess. On the other extreme is a situ-ation where there are no rules, pro-cedures or enough information for one to make a decision. Under the latter circumstances, judgment is used when making decisions.

Most of the decisions we make in our daily lives involve exercise of judgment. For instance, in our kitchens we use judgment to de-cide how much salt to add to our food! The same is true with audi-tors. They use judgment when deciding the size of the sample to audit; selecting risky audit areas; deciding whether or not manage-ment disclosures are adequate; deciding whether or not to produce a qualified audit opinion, etc. Un-fortunately, matters involving ex-ercise of judgment are subjective and open to challenge by people who may disagree with the judg-ment. Auditors and accountants alike are not exempted from these challenges. So, how can auditors or accountants minimize the risks arising from these challenges? The answer is documentation!

ISA 200, states that ‘The auditor shall exercise professional judg-ment in planning and performing an audit of financial statements’ If auditors use ‘judgment’ when making decisions on material is-sues then, ISA 230, requires them to document how they exercised

that judgment.

This article is designed to explain how an auditor can document his exercise of professional judgment as required by ISA 230. Audit doc-umentation can assist the auditor in situations where his judgment is questioned by relevant authorities.

I will, therefore, explain how a model by the American Account-ing Association (AAA-Model) can be used to document the auditor’s exercise of professional judgment. Although this model is meant to document ‘exercise of judgment’ in ethical decision making proc-esses, I believe it can be applied to all situations which require exer-cise of judgment. I will use a small case study to illus-trate how the American Accounting Association model can be used in practice.

CASE ILLUSTRATIONOkavango enterprise is a manufac-turing company with annual turno-ver of P3 billion. The auditors of the company discovered that dur-ing the last 12 months, the com-pany had lost 40% of its key staff members. They also noted that the company had lost 2 of its 5 key customers. These customers ac-counted for 49% of the company’s annual turnover. Exercising their judgment, the auditors decided not to communicate the matter to those charged with governance or shareholders. The question is: how can the auditor document his exer-cise of professional judgment?

To document his exercise of judg-ment, the auditor must undergo a six step process comprising six questions.

STEP 1

What are the facts of the case?

This question requires the auditor to describe in detail, the issues requiring exercise of judgment which he discovered at Okavango enterprise. In this case, the issues are the loss of key staff members and key customers by his client. The purpose of this stage is to document the situation and cir-cumstances which existed at the time when the auditor exercised his judgment. This is important be-cause auditors may be required to explain their decisions a few years after conducting an audit.

STEP 2

What are the Norms, Values, Legal, and Regulatory issues related to the case?Here the auditor has to explain any significant ethical, technical, legal or regulatory issues which are rel-evant to the case described in Step 1. For instance, the auditor must consider whether there any ac-countings or audit standards appli-cable to the case. These must be described in detail at this stage.

This stage is important because by explaining significant matters of ethical, legal, or regulatory nature, the auditor is telling the world that ‘these are the issues I considered before exercising my professional judgment’

STEP 3

What are the alternative courses of action?Having considered all the technical and professional issues (from Step 2), the auditor exercise his profes-sional judgment and make a deci-sion. It is at his stage that the audi-tor explains all his decision options un-ambiguously. Using the case illustration above, here are some of the options open to the auditor.

By Elliot Luka, FCCA, MBA

Continued on pg 11

8 B o t s w a n a I n s t i t u t e o f A c c o u n t a n t s , Vo l u m e 6 , 2 0 0 9

A U D I T M A T T E R S : D O C U M E N T I N G T H E A U D I T O R ’ S E X E R C I S E O F J U D G M E N T

Interior DecorFurniture - Lightfittings - Decorations

Comfort. Style. Luxury.Retail outlet for furniture, lighting accessories forResidential - Commercial ( ie hotels and restaurants.) - Outdoor furniture - Of ce furnitureTlokweng Road before Senn Foods. Cell: 72172091 / 71464466

The satellite office was of-ficially launched during the Stakeholders Cocktail on

the 11th of September 2008 and came into full operation in Janu-ary 2009. The main objective of opening an office in Francistown was to bring the BIA services closer to the northern members and students. In this context northern membership embraces a geographical area from Maha-lapye up to Maun and Kasane.

The office is comprised of two members of staff, Mrs. Pinkie Modisa being the head, and Miss Gaositwe Boileng who is the of-fice assistant.

Our Services: Receive application forms

for processing of BIA member-ship for the renewals and new applications Receive CPD return forms Enhance awareness to members of the public regarding BIA membership and its services to existing and aspiring mem-bers Ensure smooth coordina-tion and marketing of seminars in the northern region Provide pre-enrolment services to potential students to assist them to identify their suit-ability into the accounting profes-sion Assist with students reg-istration, entries for examination, annual subscription fee for ACCA, CIMA, AAT, CAT and CIS

Focal point for queries about ACCA, CIMA, AAT, CAT, CIS and BIA membership

Forthcoming Events: Career video “The mak-ing of an Accountant” workshop on September 12, 2009 Stakeholders’ Cocktail: Date to be confirmed

Please do not hesitate to contact Pinkie Modisa at, Tswelelopele House, NDB Building, 1st Floor, Plot 21572 Francistown Tel: 2418280Fax: 2418263P O Box 301764MetsefFrancistown

atellite office was oatellite office was o processing of BIA membeprocessing of BIA membebe Focal point for queries

FRANCISTOWN OFFICE REPORTp

hip ppl

rm

emA mA m eers

on e n

ervssisbiliton

tratnnuIMA

r pr phon

wee

eee

wkso

m

oohhe oon nnd uu-oof

wwn ees eesrrs

exxt ees aa-

wwo kiie sss oof-

mms

sshaap ffo mmBBIBBIttobbe ttiotth sseaasaabssio istaanCCI

ofof-oof ffoffobouS a

orth

g og on S

ate

eankousot

el: 2ax: O etsan

e

tnnem

a

t

goA

eeeeww

rrnrrn

ttonngnngeesmm-

aa-in

nntttoiit-ss-

gg-nn,AA,

aabCCI

FFo ingingoon DDa

PPlePPiHHoPPloTTeFFaPP MMeFFr

ereer-eer-

B I A F R A N C I S T O W N S A T E L L I T E O F F I C E

’’

10 B o t s w a n a I n s t i t u t e o f A c c o u n t a n t s , Vo l u m e 6 , 2 0 0 9

C A U T I O N A R Y A N N O U N C E M E N T S : T H E G L O B A L E C O N O M I C C R I S I S

By Innocent Munjanja

INTRODUC-TIONThe current global eco-nomic crisis has seen many compa-nies experiencing significant losses and at worst facing liquidation. Listed companies have an obligation to communicate effec-tively with their shareholders on any critical information that is price sensitive. The aim of this article is to discuss the Botswana Stock Exchange (BSE) Listing Require-ments and other related international best practices and guidance on cautionary an-nouncements.

WHAT CONSTITUTES A CAUTION-ARY ANNOUNCEMENT?A cautionary announcement is a publica-tion by a company of material price sensi-tive information describing all the available detail about the subject of the cautionary announcement and, as the name sug-gests, should also contain a warning to shareholders that they should consult their professional advisors before dealing in se-curities of the company until the full details regarding such information have been dis-closed [BSE Listing Requirements 11.36]. The necessity for cautionary announce-ments is now discussed.

THE NECESSITY OF CAUTIONARY ANNOUNCEMENTSThe main reason for cautionary announce-ments is to avoid market abuse through use of insider information by a few people who may be able to access the information before the rest of the market does. Market abuse is generally defined in schedule 2 of the UK’s Financial Services and Markets Act 2000 (Market abuse) Regulations 2005 as an insider dealing on the basis of inside information (directly or indirectly through information supplied to a third party other than in the course of employment, profes-sion or duties). Examples of market abuse include exiting the market before a com-pany reports significant losses which will push the share price down or entering the market before an entity reports significant profits which will push the share price up. In both cases, the investor who has access to insider information has an unfair advantage over other investors and hence can beat the market and avoid losses or make huge profits.

As a result, the main aim of a cautionary

announcement is to publicise any material price sensitive information to all sharehold-ers and eliminate the opportunity to cash in on such information by a privileged few.

THE MEANING OF INSIDE INFOR-MATION AND MATERIAL PRICE SENSITIVE INFORMATIONAs has already been noted, cautionary announcements are dominated by the concepts of inside information and mate-rial /significant price sensitive information. Therefore, these two concepts need elabo-ration.

In the UK, inside information is defined by Section 118C of the Financial Services and Markets Act 2000 as information of a pre-cise nature which-(a) is not generally available(b) relates, directly or indirectly, to one or more of the qualifying investments [shares] or to one or more of the qualifying investments [shares] and(c) would, if generally available, be likely to have a significant effect on the price of the qualifying investments [shares]or on the price of the related investments [shares].

Inside information is information that is not generally available. In other words, it is infor-mation available to only a few people most likely the key employees of a company. The average investor will not have access to such information.

The other issue is what information is likely to have a material or significant effect on the price of a company’s shares? Typically, this information is what a reasonable investor would consider relevant to making invest-ment decisions. According to an Article by Wilson Thorburn on a similar discussion, guidance issued by the UK’s Financial Serv-ices Authority notes that information affect-ing the assets and liabilities of the company, the performance, or the expectation of the performance, of the company ‘s business, the financial condition of the company, the course of the company business, major new developments in the business of the company, information previously disclosed to the market is likely to be considered rel-evant to a reasonable investor’s investment decision:

The New York Stock Exchange (NYSE) Listed Company Manual sites the following examples as material information requiring immediate release through a cautionary: annual and quarterly earnings, dividend an-nouncements, mergers, acquisitions, share

splits, major management changes, major new products, contract awards, expansion plans and emphasizes that unfavourable news should be reported as promptly and candidly as favourable news [S202.06].

In Botswana, Section 3.3 of the BSE Listing Requirements places a general obligation on companies to announce through the BSE and press;

(a) circumstances or events that have or are likely to have a material effect on the finan-cial results, the financial position or cash flow of these issuers and/or information necessary to enable holders of the issuer's listed securities and the public to avoid the creation of a false market in its listed securi-ties; and

(b) any new developments in its sphere of activity which are not public knowledge and which may by virtue of the effect of those developments on its assets and liabilities or financial position or on the general course of business, lead to material movements in the price of its securities."

Of importance in the requirement above is the meaning of “material” effect. Material is defined in the BSE Listing Requirements as "information which if omitted or under-stated, could influence the economic deci-sion of users and includes a change in or constituent of a particular factor which may be regarded in the circumstances as be-ing material and which, as a rule of thumb, would probably exceed 10 %." The section though places it upon management’s dis-cretion to assess what is material. The 10% guidance is critical especially in the current global economic crisis where companies are struggling in terms of profitability and maintaining healthy liquidity and net asset positions.

The emphasis also noted from the article by Wilson Thorburn is that the entity’s directors should seek external advice when in doubt as to what material price sensitive informa-tion is. The entity should give consideration to the fact that the market should be given the opportunity to assess the information for itself rather than the directors mak-ing the decision for the market. The same guidance is noted in section 4.5 of the BSE guidelines which advises that “where ap-propriate, companies should involve their advisors in determining whether informa-tion is potentially price sensitive and ensure they are obliged to keep that information confidential”.Time period within which to make a cau-

By Botswana listed companies in the wake of the global economic crisis

t e o f A c c

litlits,w p

ans ws ndindi

Botequ co

SE a

) cirely tal rew ocested eatis; a

) antivit

hicheveloancbus

e pr

ime mefine

"inatedon onst

e reg mouldougetiouidaobae staintositio

e elsoouldto

n isthe

e or itsg thuidauideopr

dvison isey anfid

me

corrl

RC

ahtob

bnr

nn

bhen

nooh

ehhtsb

orcnhshjhee

e

Snnr

aa

obal ecrialriaal dd-in

R-CE

aary hhe tee-on. boo-

bby nnd ree-

tto nts nng

bbe hhe es]nts

not oor-oost hhe tto

eely hhe hhis toor sst-bby

on, rrv-cct-nny, hhe sss, hhe joor hhe eed eel-

ent

EE) nng nng rry:

ann-arre

sspnnepplanneccacca

In RReoonBBS

((a)liikecciaflownneliistccreties

((b)aacwwhddefinaoof the

OOf theddeaas sstassioccobbeinngwwothoccregguggloaaremmappo

TThWWisshaas tioto theforinnggguggupproaadtiotheccoTTim

obal ecCAUTIONARY ANNOUNCEMENTS

S t a k e h o l d e r s C o c k t a i l 2 0 0 8 - B I A S O C I A L E V E N T SC A U T I O N A R Y A N N O U N C E M E N T S : T H E G L O B A L E C O N O M I C C R I S I S C O N T I N U E D

tionary announcement and follow up an-nouncementsThe BSE Listing Requirements section 3.9 requires an issuer to “publish by way of cau-tionary announcement… as soon as possi-ble after it is in possession of any material price sensitive information if at any time the necessary degree of confidentiality of such information cannot be maintained or if the company suspects that the confidentiality has or may have been breached”

Section 11.37 of the BSE’s Listing Require-ments requires a company to make progress reports in the form of further cautionary an-nouncements every 21 days thereafter until the full details are announced. The same section also has provision for withdrawal of earlier cautionary announcements.

In comparison, the Johannesburg Securi-ties Exchange (JSE) Section 11.41 requires that after an issuer has issued a cautionary announcement, it must issue a progress report by way of a further cautionary an-nouncement at least every six weeks there-after until full details on the subject of the cautionary announcement have been an-nounced.

DUTY TO MAKE A CAUTIONARY ANNOUNCEMENT Section 3.5 of the BSE listing rules requires a cautionary announcement to be made on

L O B A L

condition that :· the degree of confidentiality can-not be maintained· such information may or has been leaked to the market

Section 3.5 of the BSE guidelines note that if the material price sensitive information does not relate to negotiations with third parties, no cautionary is required provided the information can be restricted to the company’s directors, certain key employ-ees and company advisors and through a written agreement, these commit to observ-ing the confidentiality of the information and not to trade in the company’s shares before the information is public. On the other hand, a cautionary is required if the information extends beyond the directors, certain key employees and company advisors or a suspicion that the information has or may be leaked. The BSE Listing Requirements however caution that the more people who are exposed to the information, the greater the risk of leakage. Management have to make a judgment call.

EXCEPTION TO PUBLISHING A CAU-TIONARY ANNOUNCEMENT IN BOT-SWANAAn exception to making a cautionary an-nouncement is contained in Section 3.10 of the BSE Listing Requirements if the direc-tors consider that the public disclosure of

11B o t s w a n a I n s t i t u t e o f A c c o u n t a n t s , Vo l u m e 6 , 2 0 0 9

Continued from pg 8

Option 1- Disclose the client’s loss of key staff and customers to those charged with governance or share-holders.

Option 2- Do not disclose the loss of key staff and customers to those charged with governance nor share-holders.One of these options will be the audi-tor’s final decision- (Stage 6)

STEP 4What is the best course of action which is ethically sound and consistent with the ethical, professional, legal, techni-cal and regulatory issues identified in Step 2, above?

Having identified the options in Step 3, the auditor goes on to select the option(s) which is consistent with the legal, professional, ethical, and reg-ulatory principles described in Step 2. In our example above, this could be Option 1. An explanation may be needed to justify the option chosen in relation to the professional, techni-cal, regulatory or legal issues men-

tioned in Step 2.

STEP 5What are the consequences for each of the possible courses of actions?

This stage is perhaps the most im-portant. It is at this stage where the auditor evaluates all the options identified and described in stage 3. When evaluating the options, the au-ditors not only consider technical or legal issues, but also economic fac-tors relating to the client’s case.

By evaluating the consequences of each possible course of action, the auditor is doing two things: First, he is making a justification (i.e. explain-ing the rationale behind his judg-ment) for the decision option he has chosen. Secondly, the auditor is tell-ing the world that “…I considered and weighed all the options before making this decision”.

STEP 6What is the decision?Finally, it at this stage the auditor

mentions his course of action. The course of action must be stated as clearly as possible and must relate to any of the options mentioned in Stage 3.

For instance, using the case exam-ple above, the auditor’s decision could be:-

OPTION 1- Disclose the information to those charged with governance and shareholders. No further expla-nation is necessary as this may have already been done in Step 5 and possibly Step 2.

Elliot Luka, FCCA, MBA, ACPA (Bots). Elliot is a course Manager at Botswana A c c o u n t a n c y College. His re-search interest is in Forensic Accounting. His e-mail address is: elliotl@bac.ac.bw

such information may prejudice the Com-pany’s legitimate interests. The exception should however be granted by the Listing Committee of the BSE.

SUMMARYThe New York Stock Exchange Listing Man-ual (S 202.01) recommends companies to maintain a sound corporate disclosure pol-icy on disclosing and reporting material in-formation and urges management to make it a practice to discuss proposed transac-tions with their exchange representatives on a confidential basis. Management are also urged to seek external advice when in doubt.

DISCLAIMERWhilst every care has been taken to ensure accuracy of the information in this docu-ment, it should not be relied upon as a sub-stitute for detailed professional advice or as the basis of business decisions. We do not accept any responsibility whatsoever for any loss resulting from use of the informa-tion contained therein.

ABOUT THE AUTHORInnocent Munjanja is an Audit Manager at Ernst & Young Certified Public Accountants in Botswana

This article was originally published in the Sunday Standard of 21 June 2009

BOTSWANA INSTIelects its Council

The Botswana Institute o f Accountants , the professional regula tory body of accountants in

Botswana, held its Annual General Meeting on the afternoon of Thursday, 23 April, 2009 at the Gaborone International Convention Centre, (G.I.C.C). The meeting saw the election of a new Council which will lead the Institute for the next term until the next elections in 2010.

The culmination of the AGM was the annual dinner dance in the

evening. This saw the convergence of accountants and other academics, among them the guest speaker and renowned Member of Parliament Honorable Botsalo Ntuane.

Giving a keynote address, Honorable Ntuane emphasized that good citizenship can win the ght against poverty, underdevelopment and lead the African continent to prosperity and social justice. His remarks drew inspiration from one Tidjane Thiam, an Ivorian national who rose to head a FTSE 100 Company, making him the first indigenous African to assume the post, having also worked for other international renowned companies.

Tidjane Thiam had previously worked as a CEO of an infrastructural development company reporting directly to the president, stated Hon. Ntuane, and when he was elevated to minister he grappled with the decision to join government as the president was known to lock up his political opponents.

Things took a nasty turn when political strife prevailed in the 90s with the military seizing power, jailing members of the ousted government, including Tidjane Thiam. According to Hon. Ntuane, owing to his special

skills, Thiam woffered the positin the junta.

“Always a cohe declined and lhe rebuilt his carsector”, Ntuane according to Ntuof how everyocapacity to bewithout compromand moral value

“I have chounsung man aour evening brepresents hopeTidjane Thiam iwhich young Atheir aspirations

Honourable Nthe African continsheep in the worldtoo often, our mintelligent lack mhave compromisand principle in advancement an

“The reasontroubled is beccreated enoughlaw-abiding and people to tip the good and the pos

Emma Peloetletse - Ex officioAccountant General

Rudi Binedell - Elected Member

Duncan Majinda - CEO and Council Secretary Mmatlala DVijay Kalynaraman - Vice President

Dingaan Mabophiwa - Ex-officioAuditor General Alternate

Nigel Dixon-Warren - President

C O V E R S T O R Y

TUTE OF ACCOUNTANTSfor 2009/10 at AGM

s released and n of chief of staff

mitted democrat, for France where r in the corporate

mphasized. This, e, was illustrative

has an innate ome achievers ing core beliefs

n this hitherto the theme for

ause to me he or our continent. he compass by ans should set

Ntuane added.ane stressed that t remains a black f nations because st educated and ral bre as they ethical conduct rsuit of personal accumulation.ur continent is se we have not hically inclined, ic minded young ale in favor of the ve”, Hon. Ntuane

pointed out. He said the challenges facing young educated people of the African continent are to use their privilege for the betterment of their countries and for the upliftment of the life conditions of their fellow citizens.

Young people must reject the notion that the rest of the world operates according to a different set of rules to which Africans are not entitled, Hon Ntuane added.

Hon. Ntuane emphasized that his belief is that human rights, civil liberties, rule of law, democracy, accountability, equal opportunity and free enterprise society are indivisible and non-negotiable universal values to which everyone is entitled to, Africa included.

For her part, the out-going President Mrs. Priya Iyer thanked the Botswana Government for acceding to their request to give the Institute a P5 million grant to have its own building. This, she added, in spite of the global nancial crisis, illustrates the appreciation by government of the role played by the accounting profession.

Mrs. Iyer further revealed that the World Bank has also granted the Institute P3.5 million to assist

in strengthening the institutional capacity. This is testimony to the fact that the Institute is on the right track, she stated.

“The actions of the International Federation of Accountants(IFAC) make me believe we have done the right things because it chose Botswana as one of the six, alongside Argentina, China, Czech Republic, Kenya and Romania to have their action plans publicly released in the IFAC website as role models for other member bodies to emulate’, she concluded.

Brian Dialwa - Registered Member Representative

Rosemary Mogorosi - Elected Membere - Treasurer Priya Iyer - Elected Member

Onious Tomango - Licentiate Member Representative

Robby Sebopeng - Ex-Officio Auditor General Carlos Chileshe - Northern Representative

14 B o t s w a n a I n s t i t u t e o f A c c o u n t a n t s , Vo l u m e 6 , 2 0 0 9B o t s w a n a I n s t i t u t e o f A c c o u n t a n t s , Vo l u m e 6 , 2 0 0 914

B I A A N N U A L D I N N E R D A N C E 2 0 0 9

Guests being ushered into the venue Aerial view of the venue Rudi Binedell, Rosemary Mogorosi, Vijay Kalyanaraman,

Nigel Dixon - Warren & Mmatlala Dube

Guests among them BIA Council members Lalith Senaratne, Tshego Modise & Rosemary Mogorosi, Dignitaries listening to the proceedings.

Guest speaker Hon. Botsalo Ntuane dining

with outgoing BIA president Priya Iyer.Guest speaker Hon. Botsalo Ntuane being led

to his seat by outgoing BIA pres Priya Iyer.

Hon. Botsalo Ntuane chatting with BIA CEO

Duncan Majinda

Vijay Kalyanaraman, Ravi Iyer, Prof Bojosi Otlhogile, Hon. Ntuane, Nigel Dixon-Warren, Priya Iyer,

Duncan Majinda & Mike Lesolle giving a standing ovation to the new council.

Mr Butler Phirie proposing a

toast to the new council.

MC & Executive Director, BAC

Mike Lesolle

15B o t s w a n a I n s t i t u t e o f A c c o u n t a n t s , Vo l u m e 6 , 2 0 0 9

B o t s w a n a I n s t i t u t e o f A c c o u n t a n t s

B o t s w a n a I n s t i t u t e o f A c c o u n t a n t s , Vo l u m e 6 , 2 0 0 9 15

The KPMG table

The glamorous building with the equally glamorous dignitaries.

The BIA President Nigel Dixon-

Warren addressing delegates.

The Guest Speaker & the MC:

Hon. Ntuane & Mr Lesolle.

The BIA Secretariat with outgoing President Priya Iyer.

Raffle draw: Kgomotso Gaothuse watches as Priya Iyer reaches for a

lucky winner.

Council members Duncan Majinda, Joseph Lukoma and John Kauya

about to toast the new council.

Dance time: Guests showcasing their skills on the dancefloor.

B I A A N N U A L D I N N E R D A N C E 2 0 0 9

WHY BOTHER ABOUT A CUSTOMER IN SUCH A CRISIS?

There has been a broad-spectrum of responses from economists, accountants,

government and the media on the impact of the global financial crisis on business. The responses have largely been a wholesale solution to the crisis and have been evidenced by such activities as arbitrary budget cuts, retrenchments, cancellation of development projects.etc. Whereas, the focus for management has been - to ensure survival in the short term ‘life floater’ approach, management must be careful not to let the short-term fixes hamper recovery and business sustainability in the long term.

CUSTOMER SERVICE STRATEGY IN A CRISIS

During this financial crisis not only business but customer confidence has also been greatly eroded resulting in customers becoming more frugal but still turning attention to value purchases. It should be realised that customer value is not solely about price or service or product it includes customer service which is essentially the “clothes” that dress the product or service.

At this critical time, the management must think of their customers as long term assets. It should always be kept in mind that it is much easier to retain established customers than it is to recruit new ones. Customers should be made to feel better at the end of each interaction than they felt at the beginning. It is easy to take care of customers when things are going well; it is when things become challenging that difficulties may arise.

The customer service strategy in this crisis will demand a dedication to believing in the customer as more than a sales target. It involves being driven by them and their needs, delivering beyond expectations each and every day, being prepared to go an extra mile and engaging emotionally with

the customers. It requires a willingness to become engaged in a profitable relationship. That is what service is, a relationship – and good service is a good relationship that turns your customers into an unpaid sales-force.

Keeping customers in the ‘bucket’ is the greatest achievement that any customer service strategy should aim for this will guarantee survival in this crisis now and in the future.

MANAGING THE CUSTOMER FOR CASHFLOWS

Customer focussed strategies aim to sustain the cashflow stream from existing customers and reduce market churn. Hence, customer focussed organisations expect their current customers to provide a consistent revenue stream with minimum additional marketing effort. Customer retention generates customer value by holding on to profitable customers rather than merely replacing them with new ones. Therefore any customer acquisition strategy should be coupled with carefully designed strategies to retain profitable customers and keep them happy. One of the outstanding benefits of customer retention is greater predictability of your cashflows and the ability to gather invaluable information about the customers’ changing needs in this crisis.

OFFERING EXCELLENT CUSTOMER SERVICE HAS A

THREEFOLD EFFECT IN THIS CRISIS:

· The existing satisfied customers are turned into a strong marketing team that do marketing for your organisation without increasing your marketing budget.· An organisation is largely assured of a consistent inflow of cash from a loyal customer base.· After the crisis, the customers will still be there as partners in good and bad times. The strength of your customer base will greatly determine the recovery period after the crisis.However, to derive benefits from

excellent customer service, it is imperative that management looks after the people who provide service and retain the best talent.

KEEP YOUR KEY EMPLOYEES IN A CRISIS

To meet these levels of customer expectations you need employees on the front line who are wired to find the right words and right tone for each specific customer. Management needs to select and retain employees who have the talent to listen and to teach, and then must focus them towards simple emotional outcomes like partnership and advice. This is hard but if you can do it successfully, it is difficult for your competitors to steal or copy- core competence.

The frontline employees must therefore be well trained about the company’s products and services; they must clearly know who to refer technical questions to and must be empowered to make certain decisions. They should be empathetic listeners but full of life. They control the experience of the customer.

An essential part of keeping the drops in the bucket is getting the employees to see that the future wealth of the organisation must come from extracting value from customers than from products. They need to realise that the product life cycle is limited because its advantages are short-lived. More and better products and services – however good or innovative – cannot in themselves give an organisation a competitive edge, because competitors will always copy them and even have better/cheaper ones to sell.

This crisis challenges management to have a paradigm shift from ‘this is the way things are done here’ and this requires training. Unfortunately, this is an area that has suffered greatly as management does not see the need to train employees and prepare them for new challenges confronting the business. The training should focus on

T H E L E A K Y B U C K E T S Y N D R O M E P A R T 3

16 B o t s w a n a I n s t i t u t e o f A c c o u n t a n t s , Vo l u m e 6 , 2 0 0 9

e cue cube

atioelalarerelagosto

eepthestor thsis

MMAN

ustosu

istinurnganstoven

ddittenty hothe

ew quth tainem enefedi

bilitybouthis

OCCU

THTHR

Te tuat dtho

udgA

a yal

All sd bstoe reowe

IS

aaotths

av

eg

an

ur

e

ncngu

hoe

a

enea

u

h

en

h

aenet

w

SS?

add-addomm ts, tshhe ssisvve tto

eed geet

oof as, nn - iffe

ust rmm sss

nnlycce nng galuue

haatouut ees

allyoor

entnngepptain tto

uld oof hhe oof

eell;nng

histto aan een nng ery trra itth

hetthetoo rrelaa aaaa aaccu

KKeiss ccuforccri

M

CCuto eexcchoorgccurrevaadrretbbyrratnneaacwwitrretthebbeppreaabaabinn t

CT

· aarethawwitbbu· oof looy· wwilaanccutheHHo

lcelperer d re

EEE

mpece frht ecise

ve d t

mplrtnt ifficupy-

e frw

oduearlestmaem

ey sto

eops

mploealtm

an alis

miteort-d

novor

cauem es

is ha

e wquir

aranatra nsin

t e o f A c c

ssb

oe

enih

R

iokeeeu

muei

me

enthod

AIS

eaon

e

eo

on

o

ssssssbbleis,is

ouuree.

eet’nnyimhhis

RR

imomketeedententum

meeruueersitth

meereedtto

eepnngteerhheoondds

AA ISS

ersamoonnng

eeda

ersood

ouurnne

omm

eexcimmpaafteaan

KE

TTo eexpthheriigsspetoo hhavaanssimppabbuddiffcco

TThebbe pproccleqqutoo mbbe TTheccus

AAnddroeemwwefrrothhareealimsshoaaninnnaan bbethheoon

TThtoo thhereeqaan mmatoo foorbbu

do leave with them. This is not the time to let go of the key employees.

CONCLUSIONThis surely is a crisis that surpasses any other since the great depression of 1929. Survival is possible only by going back to the fundamentals of business and financials. The fact of the matter is that managing the working capital has become ever more important. This management is not dependent on having a healthy liquidity ratio; it is about ensuring a consistent stream of cash inflows from a loyal base of satisfied customers. Cash is more than ever the lifeblood of business survival. Therefore, hold on to your customers, and look after the key employees who look after the customers’ needs and provide exceptional service to ensure your business survival in these turbulent times.

SourcesVandermerwe S. (2004)- Breaking Through, Implementing Customer Focus in Enterprises. Palgrave Macmillan.Swartzlander A. (2004) –Service Internal & External Customers- Pearson Education,Inc

skills needed to deal with the recession and this will pay dividends as the world emerges from the downturn.

ACCORDING TO THE MERCER REPORT 2012:

“We acknowledge that attraction of new staff may not be a high priority for many employers in the current economic environment. However, in times of economic turmoil, the issue of talent management can become more critical than ever.Employers should reshape their workforce now to cope with the demands of tomorrow. It is important to identify what skills your organisation will need; what skills are in short supply…”

A company’s reputation is often inexplicably wrapped up in the relationships between the employees and the customers they serve. Employees normally have detailed information about customers’ individual needs. Research shows that there is a high correlation between employees and business performance thus when key employees leave, many customers

Upper Saddle river New Jersey)The Mercer Report 2012J.A. Quelch & K. E. Jocz (March 2009) – How To Market in a Downturn – Harvard Business ReviewD. Rhodes & D. Stelter (February 2009) – Seize Advantage in a Downturn – Harvard Business ReviewBendapudi and Leone, 2001 – Harvard Business Review – 2001M. Buckingham &C. Coffman (2001) – First Break all the Rules

Author: J.M. Pongaponga (FCCA,FCPA Bots, MBA) – Managing Consultant, Celavie Business Consultancy

Continued from page 17

T H E L E A K Y B U C K E T S Y N D R O M E P A R T 3 C O N T I N U E D

18

B R A I N T E A S E R : S U D O K U

AAT APPROVED ASSESSMENT

CENTRES IN BOTSWANA

GABORONE

Botswana Accountancy CollegePrivate Bag 00319GaboroneT: +267 3953062Centre code: 000503

Damelin BotswanaPO Box 80348GaboroneT: +267 3190811Centre code: 0010220

Decatic Commercial SchoolPrivate Bag 00286African MallGaboroneT: +267 3906496Centre code: 001944

Gaborone Academy of EducationPO Box 601016 G/WestKopanyo House AnnexPlot 5131 Station AreaOpposite Min of AgricultureGaboroneT: +267 3167046Centre code: 0010042

Gaborone Institute of Professional StudiesPlot 685 and 689 Botswana Road, Main MallPO Box 1299, GaboroneT: +267 3906444Centre code: 000614

Institute of Development ManagementPO Box 1357GaboroneT: +267 3952371

Centre code: 001777

Pathfi nder Business SchoolSuite 32 Embassy ChambersThe Main MallPO Box 501564GaboroneT: +267 3911251Centre code: 0010344

FRANCISTOWN

Botswana Accountancy CollegeFrancistown Campus8th Floor Barclays Plaza

Blue Jacket StreetFrancistownT: +267 2410558Centre code: 002202

Gaborone Institute of Professional StudiesPO Box 30228FrancistownT: +267 2441673Centre code: 0010225

LETLHAKANE

Boteti Brigade Development TrustPO Box 231LetlhakaneT: +267 3190811Centre code: 0010343

LOBATSE

Gaborone Institute of Professional StudiesPlot 115640Near Crescent SchoolPrivate Bag 18LobatseT: +267 3906556Centre code: 002383

RULES Each Sudoku has a unique solution that can be reached logically without guessing. Enter digits from 1 to 9 into the blank spaces. Every row must contain one of each digit. So must every column, as must every 3x3 square.

ANSWER TO LAST ISSUES’ PUZZLE

SUDOKU GAME

7 3 5 6 44 1 3

9 7 61 8 96 8 2 3 9 7

9 4 2 534

4 8 5 2 9

7 2 1 5 8 3 9 4 68 9 6 4 1 7 3 5 23 5 4 9 6 2 7 1 85 3 7 1 2 4 6 8 94 6 9 7 5 8 1 2 32 1 8 3 9 6 5 7 49 4 3 8 7 5 2 6 16 8 5 2 3 1 4 9 71 7 2 6 4 9 8 3 5

For details contact: www.ecsafa.co.za

O N A L I G H T E R N O T E

A young and successful executive was travelling down a neighbourhood

street, going a bit too fast in his new Jaguar. He was watching for kids darting out from between parked cars and slowed down when he thought he saw some-thing. As his car passed, no chil-dren appeared. Instead, a brick smashed into the Jag’s side door! He slammed on the brakes and backed the Jag to the spot where the brick had been thrown.

The angry driver then jumped out of the car, grabbed the nearest kid and pushed him up against a parked car shouting, “What was that all about and who are you? Just what the heck are you do-ing? That’s a new car and that brick you threw is going to cost a lot of money. Why did you do it?” The young boy was apologetic. “Please, mister…please, , I’m sorry but I didn’t know what else

to do,” he pleaded. “I threw the brick because no one else would stop…” With tears dripping down his face and off his chin, the youth pointed to a spot just around a parked car. “It’s my brother,” he said “He rolled off the curb and fell out of his wheelchair and I can’t lift him up.” Now sobbing, the boy asked the stunned exec-utive, “Would you please help me get him back into his wheelchair? He’s hurt and he’s too heavy for me.”

Moved beyond words, the driver tried to swallow the rapidly swell-ing lump in his throat. He hurriedly lifted the handicapped boy back into the wheelchair, then took out a linen handkerchief and dabbed at the fresh scrapes and cuts. A quick look told him everything was going to be okay. “Thank you and may God bless you,” the grateful child told the stranger. Too shook up for words, the man simply

watched the boy push his wheelchair-bound broth-er down the sidewalk toward their home.

It was a long, slow walk back to the Jaguar. The damage was very noticeable, but the driver never bothered to repair the dented side door. He kept the dent there to remind him of this message:

“Don’t go through life so fast that someone has to throw a brick at you to get your attention!”

God whispers in our souls and speaks to our hearts.

Sometimes when we don’t have time to listen, He has to throw a brick at us. It’s our choice to lis-ten or not.

THE BRICK

a little boy wanted to know what it was like to have R1, 000. His mother told him

to pray to God for it. He prayed for two weeks but nothing turned up. Then he decided perhaps he

should write God a letter requesting the R1, 000. When the post office received the let-ter addressed to God, they opened it and decided to

send it to President. The Presi-dent was so impressed, touched and amused that he instructed his secretary to send the little boy R20. He thought this would

appear to be a lot of money to a little boy.

The little boy was delighted with the R20 and sat down to write a thank-you letter, which read as follows; “Dear God: Thank you very much for sending me the money. I noticed that you had to send it through the government. As usual, those thieves deducted R980 for tax.”

19B o t s w a n a I n s t i t u t e o f A c c o u n t a n t s , Vo l u m e 6 , 2 0 0 9

The Botswana Institute of Accountants (BIA) cel-ebrated the Workers Day,

1st May 2009, by hosting a foot-ball tournament in Francistown. The main objective of the tourna-ment was to bring the accounting fraternity together at a social level and to publicize the institution as a way of reinforcing the growth of

the accounting profession in the country.

Addressing the participants the BIA member, Jonathan Msiska from CHARTACC, an audit firm in Francistown highlighted that the event marked a milestone in the existence of BIA in the Northern Region especially that BIA re-cently opened its new offices in

Francistown.

He pointed out that the tournament which involved four teams; Gaborone Institute of Professional Studies, NIIT, BAC (Botswana Accountancy College) and NIIT lecturers which teamed up with account-

ing firms, would not have been possible without BIA playing an active role.

“It cannot go without saying that the recent decision by BIA to open an office in the North has

Botswana Institute of Accountants hosts

made the organizing of such a tournament possible,” he added.

He urged the participants at the event to take such tournaments seriously particularly the mem-bers of the Institute, the student members of the institution and further implored them to work hand in hand in supporting the ef-forts of the Institute. Msiska also

reminded the participants that the tournament also highlighted the fact that accountants also have social lives and further implored the members to come forward with ideas on how the Institute can further improve the social network of its members and the public.

The football tournament was highlighted with re-

markable skills of football espe-cially BAC (Botswana Account-ancy College) which thrashed GIPS 5 – 1 in the preliminary match. NIIT also thwarted ac-counting firms and NIIT Lecturers in the other preliminary match.A professional referee John Pala-lani was later called in to officiate

in the finals which involved BAC and NIIT.

NIIT College won the tro-phy by thwarting BAC 3 to 1. Third prize went to NIIT teachers and accounting firms and GIPS went away with the last prize.

The event was the first of its kind in the Northern Re-gion.

B

Np1tefiw

Titg

he Botswana Institute ofh

FF

HHthinGGPNAate

inbBro

“sda

thhasoimcofuna

T

20 B o t s w a n a I n s t i t u t e o f A c c o u n t a n t s , Vo l u m e 6 , 2 0 0 9

Lets TALK DIGITALFast turn-around•

Print on-demand•

Personalized print•

Unmatched print quality•

Maximum productivity•

PrintCityX Xtra fast, tra quality

Tel: +267 3903451 Fax: +267 390 7566 / 391 4595Plot 5635, Nakedi Road, Broadhurst IndustrialEmail: info@printcity.co.bw