MIA launches competency framework for finance function

June 13, 2019

KUALA LUMPUR – MIA launched the ‘Competency Framework for Finance Functions in Public Interest Entities (PIEs)’ today at the MIA CFO Conference 2019.

Hailed as a game changer for the professional development and education of chief financial officers (CFOs) in Malaysia, the Competency Framework for Finance Functions in PIEs is designed by the MIA as guidance for CFOs in a very challenging world.  

This Framework is a timely initiative to deliver the relevant training and education to CFOs and finance professionals to equip them for the diverse roles that they play in today’s dynamic business landscape, and to prepare them for finance function and business transformation, much of which is digitally driven.

The Framework is guided by research from the International Federation of Accountants (IFAC) which is a key advocate for CFO and finance function transformation and other data and credible sources of knowledge.

According to IFAC, a professional CFO should be able to:

• One, be an effective organisational leader in addition to being a key member of senior management;
• Two, balance the responsibilities of stewardship with business partnership;
• Three, act as the integrator and navigator for the organisation;
• Four, be an effective leader of the finance and accounting function; and
• Five, bring professional qualities to the role and the organisation.

“Today’s CFOs face many expectations. They must be leaders and business partners in ensuring sustainable growth and business model, as well as stewards responsible for financial management, regulatory compliance and lately digital transformation.

“Equally important is for CFOs to demonstrate strong ethics to build public and stakeholder trust, and we have embedded values into the Framework.

“As CFOs are usually professional accountants in business, it is natural for MIA to take the lead on initiatives to upskill the CFO and drive finance function transformation,” said MIA President Encik Salihin Abang in his welcoming remarks.

The Framework complements MIA’s other strategic initiatives to upskill CFOs and finance professionals to achieve finance function transformation to better support business and organisations.

MIA’s specially designed initiatives for CFOs include:

i)  the recently launched CFO Circle,
ii) the Competency Framework for CFOs in PIEs launched in 2018,
iii) the upcoming CFO Roundtable Report 2019 based on the MIA-ACCA Business Economic Outlook
iv) and other specific training programmes, lectures, workshops and events for CFOs, including today’s CFO Conference.

Officiating the conference, chairman of Bursa Malaysia, Datuk Shireen Ann Zaharah Muhiudeen lauded MIA’s efforts and support in upskilling CFOs and the finance function.

“We need to have competent CFOs in corporate organisations especially in public listed companies and public interest entities, if we are to enhance the Malaysian capital market on par with other jurisdictions in a highly competitive global landscape,” she said.

She congratulated MIA on the launch of the Competency Framework for Finance Functions in PIEs, which supports Bursa and MIA’s collaborative efforts to advance the Malaysian capital market.

“The Framework will complement MIA’s ongoing efforts to inculcate high quality financial reporting in line with global standards and best practices in upholding governance and ethics,” said her further.

Datuk Shireen also thanked MIA for its advocacy of integrated reporting and called for greater adoption of.

“All CFOs of PLCs and PIEs should adopt Integrated Reporting standards.

“Transparent reporting can provide the basis as an attractive investment destination that is committed to engaging transparently with investors and stakeholders to promote economic, environmental and social sustainability. 

“This in turn can build investor and public trust,” she said. -Bernama

Leave a Reply

Your email address will not be published. Required fields are marked *