ACCA Paper F1 Accountant in business

Course slides

For computer- based
and paper-based
exams to June 2008
Slide 2
Syllabus
A
Business organisational structure,
governance and management
B
Key environmental influences and
constraints on business and accounting
C History and role of accounting in business
D
Specific functions of accounting and internal
financial control
E
Leading and managing individuals and
teams
F
Recruiting and developing effective
employees
Slide 3
Examiner & format of the exam
Examiner: Bob Souster
Format of the Exam Marks
1 mark
question
10 questions 10
2 mark
questions
40 questions 80
Total 90
Two hour exam 50% pass mark
Slide 4
The BPP Learning Media classroom slides

What do these slides cover?
A selection of key areas of the syllabus
Using the slides
Use the slides as a point of reference
Add detail by talking around the slides (eg using
material from the corresponding Study Text chapter)
Consider adding slides yourself to suit your course
Recommend students attempt appropriate questions
from the Practice & Revision Kit

Chapter 1
Business
organisation and
structure
Study Text Chapter 1
Slide 6
Organisations
An organisation is a social arrangement which pursues
collective goals, which controls its own performance and
which has a boundary separating it from its environment
Slide 7
Organisation structures
Entrepreneurial
Functional
Matrix
Divisional
Slide 8
Organisational departments and functions
Purchasing
Production
Service operations
Marketing
Administration
HR
Finance
Research and development
Slide 9
Committees
Purpose
Types
Disadvantages
Slide 10
Question practice end of Chapter 1
Set 1
You should now be able to attempt the following question sets
from the BPP Learning Media Practice and Revision Kit.
Set 19
You should now be able to attempt the following questions from
BPP Learning Media i-Pass.
Test 1: Business organisation and
structure
Chapter 2
Information technology
and systems
Study Text Chapter 2
Slide 12
Information
What is information?
ACCURATE
Slide 13
Information systems




Tactical


Operational
Strategic
Slide 14
Question practice end of Chapter 2
Set 2
You should now be able to attempt the following question sets
from the BPP Learning Media Practice and Revision Kit
Set 20
Test 2: Organisational culture and
systems
You should now be able to attempt the following question sets
from the BPP Learning Media Practice and Revision Kit.
You should now be able to attempt the following questions from
BPP Learning Media i-Pass.
Chapter 3
Influences on
organisational culture
Study Text Chapter 3
Slide 16
Culture
What is
culture?
Slide 17
National cultures
The Hofstede model
National culture influences how people work and
expect to be managed
Countries differ on the following dimensions
Power distance
Uncertainty avoidance
Individualism-collectivism
Masculinity

Slide 18
Handys Gods of management
Power culture Zeus
Role culture Apollo
Task culture Athena
Person culture - Dionysus
Slide 19
Stakeholders

Internal

Connected

External
Slide 20
Question practice end of Chapter 3
You should now be able to attempt the following question sets
from the BPP Learning Media Practice and Revision Kit.
Set 21 Set 3
Chapter 4

Ethical considerations
Study Text Chapter 4
Slide 22
Management accountability
An organisations managers are collectively
responsible for the conduct of an
organisations affairs
They have a FIDUCIARY responsibility
(duty of faithful service)
Slide 23
Ethics - approaches
Ethics
Consequences Duty
Slide 24
Ethics
Professional ethics
Organisational ethics
Ethics for accountants
Slide 25
Question practice end of Chapter 4
You should now be able to attempt the following question sets
from the BPP Learning Media Practice and Revision Kit.
Set 22 Set 4
Chapter 5
Corporate governance and
social responsibility
Study Text Chapter 5
Slide 27
Corporate governance
Direction and control
Separation of ownership and control
Increasingly high profile
Slide 28
Elements of corporate governance
Board
Non-Executive Directors
Remuneration and Audit Committee
Reporting
Slide 29
Corporate Social Responsibility
Consider interests of different stakeholders
Community and ecological
Slide 30
Question practice end of Chapter 5
You should now be able to attempt the following question sets
from the BPP Learning Media Practice and Revision Kit.
Set 23 Set 5
You should now be able to attempt the following questions from
BPP Learning Media i-Pass.
Test 3: Ethics, governance and CSR
Chapter 6
The macro-economic
environment

Study Text Chapter 6
Slide 32
Government policies and obligations
Manage national economy
Spending
Taxation
Borrowing
Slide 33
Policies
Fiscal policy spending and borrowing
Monetary policy money supply
Slide 34
Objectives
National income
Economic growth
Business cycle
Inflation
Unemployment
Balance of payments
Slide 35
Question practice end of Chapter 6
You should now be able to attempt the following question sets
from the BPP Learning Media Practice and Revision Kit.
Set 24 Set 6
Chapter 7
The business
environment
Study Text Chapter 7
Slide 37
Environment
Outside the organisation
Outside managements control
Influences organisation
Slide 38
PEST
Political environment
Economic environment
Social environment
Technological environment
Slide 39
Competitive forces
Porters 5 forces model
Helps organisations to understand the
competitive forces in the environment
Competitive advantage
Slide 40
Porters value chain
Slide 41
Question practice end of Chapter 7
You should now be able to attempt the following question sets
from the BPP Learning Media Practice and Revision Kit.
Set 25
You should now be able to attempt the following questions from
BPP Learning Media i-Pass.
Test 4: Environmental factors
Set 7
Chapter 8
The role of accounting
Study Text Chapter 8
Slide 43
Accounting
Purpose of accounting information
Nature, principles and scope of accounting
Regulatory system
Control over business transactions
Manual and computerised systems
Databases and spreadsheets
Slide 44
Financial and management accounting
Financial accounting
Reporting the results and financial position
of a business, which must then be audited
Reporting to EXTERNAL parties
Management accounting
Analysing data to provide information as a
basis for managerial action
Reporting to INTERNAL parties
Slide 45
Question practice end of Chapter 8
You should now be able to attempt the following question sets
from the BPP Learning Media Practice and Revision Kit.
Set 26
You should now be able to attempt the following questions from
BPP Learning Media i-Pass.
Test 5: History/role of accounting
Set 8
Chapter 9
Control, security and
audit
Study Text Chapter 9
Slide 47
Internal controls
An organisation must develop clear
internal controls which are understood by
staff
Framework for controls
- control environment
- control processes

Slide 48
Audit
Audit
Internal External
Slide 49
Types of controls
Controls can be classified as:
Security
Integrity
Contingency
Slide 50
Question practice end of Chapter 9
You should now be able to attempt the following question sets
from the BPP Learning Media Practice and Revision Kit.
Set 27 Set 9
Chapter 10
Identifying and
preventing fraud
Study Text Chapter 10
Slide 52
Potential for fraud
Prerequisites
Dishonesty
Motivation
Opportunity
Slide 53
Implications of fraud
Financial
Performance
Misrepresentation
Incorrect decisions
Reputation
Slide 54
Detecting and preventing fraud
Control systems
Ethics
Training

Slide 55
Responsibility
Directors controls and information
External auditors audit procedures
Slide 56
Question practice end of Chapter 10
You should now be able to attempt the following question sets
from the BPP Learning Media Practice and Revision Kit.
Set 28
You should now be able to attempt the following questions from
BPP Learning Media i-Pass.
Test 6: Accounting functions and
controls
Set 10
Chapter 11
Leading and managing
people
Study Text Chapter 11
Slide 58
The purpose and process of management
What is management?
getting things done through other people
What is an organisation?
a social arrangement for the controlled
performance of collective goals

by Rosemary Stewart

Slide 59
Trait theory
Key traits
Intelligence, initiative, self-assured,
helicopter factor
Criticisms
Too many, ill-defined, subjective,
simplistic, inappropriate
Slide 60
Henri Fayol - The Functions of Management
Five functions P, O treble C
P Planning
O Organising
C Commanding
C Coordinating
C Controlling
Slide 61
Taylor scientific management
Principles
1. Science of work
2. Applied to job design
3. Financial reward
4. Co-operation
Slide 62
Taylor - scientific management
Benefits
Productivity
Wage allocation based on output
Workforce care programmes
But
Dehumanises work

Slide 63
Human relations school
Hawthorne Studies Mayo (1880-1949)
more to motivation than pay
people like groups
groups influence behaviour

Slide 64
Style theories
Drucker
Management has 3 functions
Managing a business
Managing managers
Managing workers and work
Broken down further into 5 categories


Slide 65
Ashbridge Management College model
Four types of leadership style
Tells
Sells
Consults
Joins
Slide 66
Blake and Moutons managerial grid
Two basic criteria for leadership
1. Concern for task
2. Concern for people
Slide 67
Contingency theories
Fiedler
Adair
Bennis
Heifety
Slide 68
John Adair
Effective leadership must meet the needs of
three groups
Task
Group
Individual
Slide 69
Bennis
Manager Leader
Innovates
People
Long term
Systems
Control
Administrates
Slide 70
Question practice end of Chapter 11
You should now be able to attempt the following question sets
from the BPP Learning Media Practice and Revision Kit.
Set 29
You should now be able to attempt the following questions from
BPP Learning Media i-Pass.
Test 7: Leadership, management and
supervision
Set 11
Chapter 12
Individuals, groups
and teams
Study Text Chapter 12
Slide 72
Groups
What is a group?
any collection of people who perceive
themselves to be a group
Handy
An organisation is a group
Slide 73
Team Roles
Dr Meredith Belbin
9 different roles in teams
Can double-up using primary
and secondary roles
Distinction between team and
functional roles
Slide 74
Team Roles - Belbin
Co-ordinator
Completer
Finisher
Shaper
Plant
Monitor-evaluator
Resource
Investigator
Implementer
Team
worker
Task
Ideas
People
Specialist
Slide 75
Tuckman Stages of team development
1. Forming
2. Storming
3. Norming
4. Performing
5. Dorming
6. Mourning/adjourning
Slide 76
Question practice end of Chapter 12
You should now be able to attempt the following question sets
from the BPP Learning Media Practice and Revision Kit.
Set 30 Set 12
Chapter 13
Motivating individuals
and groups
Study Text Chapter 13
Slide 78
Motivation
What is motivation?
The urge to take action to achieve or avoid
something.

Managers need to understand what motivates
individuals in order to urge them to fulfil the
organisations objectives.
Slide 79
Motivation
Content Theory - What motivates employees to
perform to the best of their abilities?
Process Theory - How can managers get the
most out of their staff?

Slide 80
Maslows Hierarchy of Needs
Self-
actualisation
Esteem needs
Social needs
Safety needs
Physiological needs
Slide 81
Hierarchy of needs - limitations
Behaviour responds to different needs
Individuals
Deferred gratification
Altruistic behaviour
Western cultural values
Slide 82
Herzberg
Focus on hygiene factors to avoid
dissatisfaction
Jobs should be redesigned to provide
motivators
Slide 83
Vroom Expectancy theory

Valence x Expectancy = Force

Suggests that people will only put effort into
something if they care about an outcome
and think it can be achieved.
Slide 84
McGregor Theory X and Theory Y
The assumptions of managers affect how they
tried to manage and motivate people

McGregor presented two opposing
assumptions
Theory X
Theory Y
Slide 85
Pay as a motivator
How pay is determined
What do we want from pay?
Performance related pay
Group rewards
Slide 86
Question practice end of Chapter 13
You should now be able to attempt the following question sets
from the BPP Learning Media Practice and Revision Kit.
Set 31
You should now be able to attempt the following questions from
BPP Learning Media i-Pass.
Test 8: Groups, teams and motivation
Set 13
Chapter 14
Personal effectiveness
and communication
Study Text Chapter 14
Slide 88
Personal development plans
Action plan for individuals
Performance
Skills
Career development
Interests
Slide 89
Time management
Set goals which are SMART
Action plans
Prioritise results and tasks
Sequence tasks

Slide 90
Role of information technology
Recent developments in IT have had a
massive impact on the way we work
New communication channels
Office automation
Home working
Slide 91
Coaching, mentoring and counselling
Coach experienced employee
Mentor long-term relationship
Counsellor guidance

Aim is to increase productivity and efficiency
Slide 92
Communication in the workplace
Communication is required for planning,
coordination and control

Communication
Instructions
Information
Ideas
Plans
Monitoring Rules
Structures
Slide 93
Communication
Communication within the organisation can
be:
Vertical
Horizontal
Diagonal
Formal/informal
Slide 94
The communication process
Coded
message
Information,
ideas, attitudes
Desired action
SENDER
Decoded
message
Medium
Channel
Noise
Understanding of
message and
meaning and/or
action required
RECEIVER
Feedback
Distortion Distortion
Slide 95
Communication

Improving
communication

Barriers to
communication
Slide 96
Leavitt
Patterns of communication
1. Y
2. Wheel
3. Circle
4. Chain


Slide 97
Question practice end of Chapter 14
You should now be able to attempt the following question sets
from the BPP Learning Media Practice and Revision Kit.
Set 32
You should now be able to attempt the following questions from
BPP Learning Media i-Pass.
Test 9: Personal effectiveness and
communication
Set 14

Chapter 15
Recruitment and
selection
Study Text Chapter 15
Slide 99
Recruitment and selection
Human resources are a scarce resource and
are critical to organisational strategy
Organisations must
Define requirements
Attract applicants
Select

Slide 100
Job analysis
Collecting, analysing, setting out content of
jobs
Job description content of job
Person specification role-specific
attributes

Slide 101
Advertising vacancies
Advertise vacancies to try to attract applicants
to bit the person specification
Describe job
Provide information
Interest suitable applicants
Slide 102
Selection
A systematic approach to selection should be
employed

Appropriate selection methods should be
used, bearing in mind they have differing
predictive validity
Slide 103
Selection methods
Interviews
Selection tests
References
Work sampling
Group selection methods
Slide 104
Interviews
Most frequently used technique but poor at
predicting how candidates will perform
They must be well structured and conducted
by suitably skilled interviewers
Slide 105
Selection testing
Applicants undergo formal tests to identify
competence and attributes
Psychometric tests personality
Proficiency intelligence, aptitude
Slide 106
Question practice end of Chapter 15
You should now be able to attempt the following question sets
from the BPP Learning Media Practice and Revision Kit.
Set 33 Set 15

Chapter 16
Diversity and equal
opportunities
Study Text Chapter 16
Slide 108
Discrimination at work
Equal opportunities is an approach to the
management of people
Means that sources of talent are not
excluded
Offence to discriminate (e g sex, race, age)
Relates to all aspects of employment
Slide 109
Introduction to legislation
Equal pay for work of equal value
Equal opportunity - several acts to protect
main areas of potential discrimination
Positive discrimination - not permitted
(except in training)
Slide 110
Practical implications
Equal opportunities policy
Needs support from top management
Code of Practice
Publicise, implement and monitor
Positive action initiatives
Slide 111
Diversity
What is diversity?
ensuring that the composition of the
workforce reflects the population as a whole

A diverse organisation will better understand
and meet the needs of customers
Slide 112
Question practice end of Chapter 16
You should now be able to attempt the following question sets
from the BPP Learning Media Practice and Revision Kit.
Set 34
You should now be able to attempt the following questions from
BPP Learning Media i-Pass.
Test 10: Recruitment and selection
Set 16

Chapter 17
Training and
development
Study Text Chapter 17
Slide 114
The learning process
How do people learn?
Behaviourist psychology
Cognitive approach
Slide 115
Honey and Mumford
Theorists understand
Reflectors observe and consider
Activists hands-on
Pragmatists - practical
Slide 116
Developing and training
Training competence
Development growth
Education knowledge acquired gradually
Slide 117
Question practice end of Chapter 17
You should now be able to attempt the following question sets
from the BPP Learning Media Practice and Revision Kit.
Set 35 Set 17

Chapter 18
Performance appraisal
Study Text Chapter 18
Slide 119
Performance appraisal
Improve organisational performance
Develop individuals
Importance of appraisals
Slide 120
Appraisal systems
Three review elements
Reward
Performance
Potential
Slide 121
Question practice end of Chapter 18
You should now be able to attempt the following question sets
from the BPP Learning Media Practice and Revision Kit.
Set 36
You should now be able to attempt the following questions from
BPP Learning Media i-Pass.
Test 11: Training, development and
appraisal
Set 18