Training Courses : Accountants : ACCA

Training Courses
Governance and Risk in an Ethical Framework

Code: ACCA.P1A
Type: Accounting Instructor-led Courses
Category: ACCA
Accountants should have the relevant knowledge, skills to exercise professional judgement in carrying out their role. They need to understand how their role relates to governance, how to exercise internal control, compliance and the assessment and management of risk within an organization.

Duration: 42
Location: EDITC & MMC Conference Center, 16 Imvrou Street, 1055 Nicosia
Language: English or Greek


A. Governance and responsibility

  • Scope of governance
  • Meaning of corporate governance
  • Issues raised by the development of the joint stock company
  • Purposes and objectives of corporate governance in the public and private sectors
  • Context of corporate governance in the public and private sectors
  • Major areas of organizational life affected by issues in corporate governance
  • Public , private and non-governmental organisations sectors with regard to the issues raised by governance
  • Roles, Interests and claims of the  internal parties involved in corporate governance
  • Roles, Interests and claims of, the external parties involved in corporate governance
  • Role and influence of institutional investors in corporate governance systems and structures

2. Agency relationships and theories

  • Agency theory
  • Key concepts in agency theory
  • Nature of the principal-agent relationship in the context of the corporate governance
  • Nature of agency accountability in agency relationships
  • Other theories used to explain aspects of the agency relationship

3. The board of directors

  • Role and responsibilities of board of directors
  • Cases for and against , unitary and two-tier board structures
  • Characteristics, board composition and types of, directors
  • Purposes, roles and responsibilities of non  executive  directors
  • General principles of legal and regulatory frameworks within which directors operate on corporate boards
  • Roles of chief executive officer and company chairman
  • Importance and execution of, induction and continuing professional development of directors on board of directors
  • Frameworks for assessing the performance of boards and individual directors (including NEDs) on boards
  • Meaning of diversity and issues of diversity on boards of directors

4. Board committees

  • Importance , roles and accountabilities of board  committees in corporate governance
  • Role and purpose of the committees in effective corporate governance

5. Directors remuneration

  • General principles of remuneration
  • Effect of various components of remuneration packages on directors’ behavior
  • Legal, ethical, competitive and regulatory issued associated with directors; remuneration.

6. Different approaches to corporate governance

  • Essentials of ”rules” and “principles” based approaches to corporate governance
  • Different models of business ownership that influence different government regimes
  • Reasons behind the development and use of codes of practice in corporate governance
  • Development of corporate governance codes in principles-based jurisdictions
  • Sarbanes-Oxley Act (2002) as an example of a rules-based approach to corporate governance
  • Objectives, content and limitations of, corporate governance codes intended to apply to multiple national jurisdictions

7. Corporate governance and corporate social responsibility

  • Social responsibility in the context of corporate governance
  • Concept of stakeholder power and interest using the Mendelow model
  • Issues of “ownership” “property” and the responsibilities of ownership in the context of shareholding
  • Concept of the organization as a corporate citizen of society with rights and responsibilities

8. Governance: reporting and disclosure

  • General principles of disclosure and communication with shareholders
  • Best practice: corporate governance disclosure requirements
  • Mandatory and voluntary disclosure of corporate information in the normal reporting cycle
  • Nature of a, and reasons and motivations for, voluntary disclosure in principles-base reporting environment
  • Purposes of the annual general meeting and extraordinary general meetings for information exchange between board and shareholders

9. Public sector governance

  • Public sector, private sector, charitable status and non governmental forms of organization
  • Different types of public sector organizations at subnational, national and supranational level
  • Strategic objectives, leadership and governance arrangements specific to public sector organisations
  • Nature of democratic control, political influence and policy implementation in public sector organisations
  • Public sector organisations to meet  the economy effectiveness, efficiency criteria and promote public value

B. Internal control and review

1. Management control systems in corporate governance

  • Internal management control
  • Importance of internal control and risk management in corporate governance
  • Objectives of internal control systems and ways to help prevent fraud and error
  • Corporate governance and executive management roles in risk management
  • Importance of the elements or components of internal control systems

2. Internal control, audit and compliance in corporate governance

  • Function and importance of internal audit
  • Importance of, auditor independence in all client-auditor situations
  • Nature and sources of risks to, auditor independence
  • Importance of compliance and the role of internal audit function in internal control
  • Work of the internal audit committee in overseeing the internal audit function
  • Importance and characteristics of, the audit committee’s relationships with external auditors

3. Internal control and reporting

  • Need to report on internal controls to shareholders
  • Content of a report on internal control and audit
  • Ways internal controls underpin and provide information for accurate financial reporting

4. Management information in audit and internal control

  • Need for adequate information flows to management for the purposed of the management of internal control and risk
  • Qualities and characteristics of information required in internal control and risk management and monitoring

C. Identifying and assessing risk

1. Risk and the risk management process

  • Risk in the context of corporate governance
  • Management responsibilities in risk management
  • Dynamic nature of risk assessment
  • Importance and nature of management responses to changing risk assessments
  • Risk appetite and ways this affects risk policy

2. Categories of risk

  • Strategic and Operational risks
  • Sources and impacts of common business risks
  • Nature and importance of business and financial risks

3. Identification, assessment and measurement of risk

  • Impact upon the stakeholders  invlolved in business risk
  • Concepts of assessing the severity and probability of risk events
  • Framework for board level consideration of risk
  • Process of, and importance of, externally reporting on internal control and risk
  • Sources and importance of accurate information  for risk management
  • ALARP principle in risk assessment ways this relate to severity and probability
  • Difficulties of risk perception including the concepts of objective and subjective risk perception
  • Concepts of related and correlated risk factors

D. Controlling risk

1. Targeting and monitoring risk

  • Role of a risk manager in identifying and monitoring task
  • Role of risk committee in identifying and monitoring risk
  • Role of internal or external risk auditing in monitoring risk

2. Methods of controlling and reducing risk   

  • Importance of risk awareness at all levels in an organization
  • Concept of embedding risk in an organization’s systems and procedures
  • Concept of embedding risk  in an organizations’ culture and values
  • Concepts of spreading and diversifying risk
  • Way business organist ions use policies and techniques to mitigate various types of business and financial risks

3. Risk avoidance, retention and modeling

  • Importance of risk transference, avoidance, reduction and acceptance
  • Different attitudes to risk and how these can affect strategy
  • Necessity of incurring risk as part of a competitively managing a business organization
  • Attitudes towards risk and the ways in which risk varies in relation to size, structure and development of an organization

Who Should Attend
  • Managers
  • Senior Economic Staff
  • Approved or Trained Accountants
  • Auditors
  • Experienced Personnel Conrol and Accounting Officer


On successful completion of this course, participants should be able to:

  • Define governance and explain its function in the effective management and control of organizations and of the resources for which  they are accountable
  • Evaluate the Professional Accountant’s role in internal control, review and compliance
  • Explain the role of the accountant in identifying and assessing risk
  • Explain and evaluate the role of the accountant  in controlling and mitigating risk

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