Accepting a job offer and handing in your resignation can be a trying time but once you have the conviction of your decision behind you, the outcome can be positive for all concerned. In the past, acceptance of job offers generally hinged on a negotiation over salary. While salary continues to be an important issue, other considerations are now coming into play such as intrinsic reward, non-monetary conditions of employment and the scope for career progression. Ideally, the discussion about the salary and benefits associated with a role should begin at your first point of contact with a recruiter, but in a subtle way. It shouldn’t be treated as an add-on conversation that takes place once an offer has been made. Most job descriptions offer big bands when it comes to salary. Thousands of people often fit into the spectrum offered, all of whom have different skills. Rather than inflate your current salary in the hope of a higher starting salary in your new role, be honest as – if successful – your future employer will see your P45. When dealing directly with companies, on the other hand, it is best to answer a straight question with a straight  answer. It might seem counterintuitive, but today’s market is candidate-driven at a number of levels and it is therefore unlikely that a good candidate will be overlooked in favour of a ‘cheaper’ candidate. To gain an insight into what’s being offered, ask questions. What did your predecessor earn last year? Was the company bonus paid in full? When can you join the company pension scheme? Is there a subsidised canteen? Take all these points into consideration and also, consider the cost of your commute as this will add up on an annual basis. On rare occasions, candidates negotiate on the issue of salary. It is not wrong to do so, but you must be prepared to pass on the opportunity solely on the basis of salary. Playing hardball at this late stage can generate an element of ill-feeling, particularly if the recruiter or hiring manager has been open from the outset in terms of the remuneration package on offer, so consider this move carefully. Expectation management In accountancy, it is not unusual for two separate roles with the same title, such as financial controller, to offer vastly different salaries. A financial controller in a small firm might be offered a salary of €60,000 while a financial controller in a multinational company might be offered €250,000. Context is vital here, and you shouldn’t expect to double or treble your salary simply because your job title is the same. Salary surveys, while useful if taken in context, can also lead to an expectation gap in terms of real salaries in the marketplace. Rather than rely on headlines, look to the detail – regional, sectoral and experience-based breakdowns, for example – to assess the salary average that applies to a person of your background and experience. One of the few times you can legitimately expect to experience large jumps in salary, however, is in your post-qualification  phase. Two or three calculated moves in the three years or so post-qualification can lead to a significant shift in base pay and all newly-qualified accountants should seek to capitalise on this opportunity. Look for an earning curve and learning curve balance at all times. Submitting your resignation If you are good at your job, you should expect an attempt by your current employer to change your mind. While you may be tempted to hear her or his counter-offer and ponder it overnight, you should only hand in your notice if you are convinced that the move is right for your career. In that context, there is nothing to be gained by either party in prolonging the resignation process. Assuming you are leaving for the right reasons, and have the conviction of your decision behind you, manage the conversation and politely decline any offer of negotiation. Above all, keep it positive and show gratitude for the opportunity given to you. Move quickly from handing in your resignation to focusing on how you and your employer can work together to make the exit process as smooth as possible in the best interest of the team and overall business. If this process is handled properly you will maintain your professional relationship with your boss. The exit interview Exit interviews provide an opportunity for an organisation to learn more about how they might attract and retain talent into the future. While it might be tempting to finally recount your gripes with the organisation or your boss and colleagues, consider how this negative approach might be perceived. There is little to be gained for the exiting candidate in the process so, rather than run the risk of burning bridges, keep the tone of the interview broadly positive. Neutralise any negative comments and provide feedback in a constructive manner. Above all, avoid naming names unless you are doing so in a positive capacity. Finally… Work hard to the bitter end and make your time at the company stand out. It’s easy to destroy years of hard work in a matter of weeks, but all employees should aim to walk out with their heads held high. That way, you will have no issue when it comes to requesting a reference ahead of your next career move. For more career advice and information, download your copy of Career Guide 2016 today.

Google interview tips and you get 365,000,000 results. They are, for the most part, vanilla and generic, regularly inaccurate and typically treat the reader as having close to zero common sense. Here we are not going to tell you to “wear an inoffensive tie” or to “be sure to look at the company web page”. You’re smarter than that. We are smarter than that. Here are a few insights, for the interviewer's side of the interview table, which go beyond the mundane and might add a little extra punch to your preparation and delivery: For the interviewer It is getting very, very competitive out there. Remember that the people you are interviewing will likely have other options on the go. Employer brand and an interesting role/culture are all great, but ultimately it is your personal brand that will make the difference. People work with people, not companies. Remember that interviews are not ‘normal’ situations. It is your responsibly to make the person you are meeting feel at ease and to get the most out of your time together. Try using a person’s hobbies or interests as an ice-breaker. Explain the format the interview will take and, while you need to sometimes ask the hard questions, do so in a way that avoids confrontation and allows for the best, most honest response. Try to understand the person and not just the experience. Attitude can’t be taught, technical skills can. Manage expectations about feedback and if you set an expectation (such as “we will be back to you tomorrow”), stick to it. Nothing damages a personal and employer brand more in the interview process than mismatched expectations. If in doubt, it’s better to pleasantly surprise than to marginally disappoint when it comes to setting expectations on turnaround time for feedback or a decision. Don’t leave people behind. After a first interview, it can be very easy to move on with your shortlist and forget about giving feedback to the people that have been unsuccessful. You never know who they know; Ireland is a small place so protect your personal and employer brand by running a tight process. Be in a position to turn around offers and contracts in a timely manner. “Time kills all deals” is a real truth in recruitment. For more career advice and information, download your copy of Career Guide 2016 today.

Barden's Ed Heffernan shares some of his top tips to help you shine at your next interview. Google interview tips and you get 365,000,000 results. They are, for the most part, vanilla and generic, regularly inaccurate and typically treat the reader as having close to zero common sense. Here we are not going to tell you to “wear an inoffensive tie” or to “be sure to look at the company web page”. You’re smarter than that. We are smarter than that. Here are a few insights, which go beyond the mundane and might add a little extra punch to your preparation and delivery: Know what the company does but, most importantly, know why it does what it does. What problem does it solve for its customers? What is its brand message? What does it convey to you and an outside observer? The more you know beyond the job description and ‘vanilla’ company information, the more you will stand out from the crowd. Get detail from your point of contact on context (for example, the percentage split of duties, team structure, systems and organisational structure) and use these insights to ‘dial up’ and ‘dial down’ your relevant experience. Get to the point. When asked “Tell me about yourself?” don’t spend the next 20 minutes talking about what you did on your internship 10 years ago (unless you are a graduate, of course). Do give a little context to your back-story, but keep the real detail for things that will be of interest and relevance to the people you are meeting. While you need to give detail on context, don’t get too granular. Allow the people you are meeting to ask for more detail on the areas that interest them. If there are more than two interviewers, balance your eye contact between both regardless of who asks the question. On eye contact, anything more than 70 per cent is a bit too intense. Try not to stare. Bring as little as possible with you to the interview. Jackets or big bags, for example, can be left at reception if needs be. A firm handshake, eye contact and a smile make for a lasting first impression. In the first couple of minutes, take a little responsibility for carrying the conversation – a few pleasantries about the office or the location can help break the ice and establish rapport. Remember, the people you are meeting are not necessarily professional interviewers and will, most likely, be hoping to make an impression on you. They are not, mostly, there to interrogate you. It is normal to be a little nervous – embrace it. Asking good questions at the end of the meeting is the very best way to engage your audience and get them talking about their company and their role. Be smart and don’t ask the standard or common questions. Instead, try to get under the bonnet of the business and role. Have fun and enjoy the experience. If you get the job, you are going to be spending a lot of time with these people so get to know them a little. Doing so will allow you to make an informed decision. And lastly, never, ever, sit down in reception. If you are standing, you will meet your host as an equal. For more career advice and information, download your copy of Career Guide 2016 today.

Michael Kavanagh considers the key elements of IAASA’s latest Observations document, which focuses on financial reporting in a recovery. The Irish Auditing and Accounting Supervisory Authority (IAASA), Ireland’s accounting enforcer, has published its annual Observations document highlighting key topics to be considered by those preparing, approving and auditing 2015 financial statements. The document aims to facilitate the preparation of high-quality financial reports by offering comments on selected financial reporting issues to coincide with the preparation of 2015 financial statements. IAASA’s remit extends to Irish companies trading on the regulated markets of European stock exchanges. However, the Observations document should be of interest to a wider range of companies when preparing their 2015 year-end financial statements. Furthermore, while preparers of financial statements are the primary audience for IAASA’s Observations document, it also helps users of financial statements understand the significant judgements made by directors in preparing such reports and highlights matters they, as users, should be aware of and focus on when reviewing financial statements. Some aspects of the document may also be of interest to media commentators – especially the section on alternative performance measures. These alternative measures, as the name suggests, are not governed by accounting standards and tend to be reported by journalists when analysing the financial reports of companies listed on the stock exchange. Changing climate All external indicators suggest that the domestic economy is in recovery mode and the challenges faced by many entities are abating. Previous Observations documents reflected the then economic climate and focused on what could be best described as accounting for a downturn. The focus of this year’s document is that of financial reporting in a recovery and many of the items highlighted reflect issues relevant to this new economic environment. It is certainly a challenging time for those involved in the financial reporting preparation process with a plethora of new accounting standards for those preparing IFRS financial statements and a completely new set of accounting standards for those preparing local GAAP financial reports. Companies Act 2014 also came into force during 2015 and is the most significant change to domestic company legislation in a number of decades. The following is an outline of the key topics covered within the Obervations document. Business combinations and fair value accounting A key indicator of the economic recovery is the level of acquisition and merger activity reported or planned in the near future. IFRS 3 Business Combinations is the financial reporting standard applicable when an acquirer obtains control of a business as a result of an acquisition. IAASA undertook a desktop survey of the 2013 and 2014 annual financial reports of 27 Irish equity issuers to assess the quantum of business acquisition activity and the document outlines the results of that survey. It is noteworthy that €1.8 billion was spent on acquisitions in 2014 and €14 billion of cumulative goodwill was recognised on equity issuers’ balance sheets, which equates to 59 per cent of the total equity of those entities. Given the large percentage of equity issuers’ assets that is made up of goodwill and intangible assets acquired, IAASA has examined – and will continue to examine – the accounting for such transactions. As the scale of business combinations increases, it is expected that IAASA will examine in more detail issuers’ recognition (or non-recognition) and measurement of intangible assets and, as a consequence, the amount of goodwill and intangibles recognised in financial statements. Value-in-use calculations of cash generating units Messages on the recognition, measurement and disclosure of the value-in-use (VIU) calculation of cash generating units (CGUs) contained in IAASA’s 2013 and 2014 Observations documents continue to be of relevance to issuers in preparing future financial statements. The 2015 Observations document outlines some additional matters in relation to the discount rate that should be applied and disclosures required in instances where a reasonably possible change in a key assumption would cause the carrying amount to exceed its recoverable amount. The consolidation suite of standards For most Irish issuers using IFRS, their 2014 annual financial statements were the first where the application of the new Consolidation Suite of Standards (IFRS 10, 11 and 12) was required. While it is too early to draw definitive conclusions on the quality of issuers’ application of those new standards, IAASA conducted a preliminary desktop survey of a small sample of issuers to establish the level of compliance and the document outlines the results. Directors and audit committees should ensure they carefully evaluate the accounting treatment adopted for these transactions, disclose the key judgements made and provide the new disclosure requirements introduced by IFRS 10, 11 and 12 in a meaningful way and tailored to the issuer and its particular circumstances. Deferred tax assets Certain companies that have incurred significant losses in recent years have recognised material amounts of deferred tax assets on their balance sheets. The relevant financial reporting standard, IAS 12 Income Taxes, requires the recognition of such assets to the extent that it is probable that future taxable profits will be available against which the unused tax losses may be recovered. Notwithstanding the economic recovery, it is still relevant to draw attention to the onus on entities (by paragraph 56 of IAS 12 Income Taxes) to reduce the carrying amount of a deferred tax asset to the extent that it is no longer probable that there will be sufficient taxable profits to allow all or part of that deferred tax asset to be utilised. IAASA continues to engage extensively with issuers on this topic given that some entities – mainly financial institutions – have relied on forecasts of taxable profits over a very prolonged period of time to support the recognition of significant amounts of deferred tax asset. Clearly the longer the forecast period necessary to recover the deferred tax asset is less likely to be in the category of ‘convincing other evidence’ as required by paragraph 35 of IAS 12.As well as continuing to engage with issuers, IAASA has met the International Accounting Standards Board (IASB) and European Securities and Markets Authority (ESMA) to discuss the matter. Such engagement is continuing. Alternative performance measures Alternative performance measures (APMs) are best described as financial measures of financial performance, financial position, or cash flows other than a financial measure defined or specified in accounting standards. Common APMs presented by Irish equity issuers include operating profit, underlying earnings, adjusted earnings per share, free cash flow and constant currency performance measures. IAASA continued to engage with issuers throughout 2015 on their use of APMs to ensure they were appropriate and relevant. Various undertakings have been obtained for improvements in future financial reports. While some issuers adhere to a high standard in reporting APMs, it is unacceptable that others flatter their results by excluding certain items from performance measures. ESMA published its Guidelines on Alternative Performance Measures in 2015, which are applicable from July 2016.The ESMA’s APM guidelines are consistent with the findings and recommendations contained in IAASA’s surveys on the use of APMs by Irish equity issuers, the results of which have been published in two papers available on IAASA’s website. The coming into force of the ESMA APM guidelines will give added impetus to IAASA’s activity in this area. Judgements, assumptions, and auditors’ risks of material misstatements IAS 1 Presentation of Financial Statements requires an entity to disclose the judgements – except those involving estimations – that management has made in the process of applying the entity’s accounting policies and have the most significant effect on the amounts recognised in the financial statements. During 2015, IAASA undertook a desktop survey of 20 equity issuers’ disclosures of assumptions and judgements together with a survey of the risks of material misstatement identified by equity issuers’ auditors. While the principal findings of the survey are included in the Observations document, the more common critical accounting judgments identified by directors were specific aspects of: Taxation: identified in 75 per cent of the selected financial statements; Retirement benefit obligations: identified in 60 per cent of the selected financial statements; Goodwill impairment: identified in 55 per cent of the selected financial statements; and Provisions: identified in 40 per cent of the selected financial statements. IAASA notes with interest that a number of topics identified by directors as critical accounting judgements, together with the assessed risks of material misstatements identified by the independent auditors, had already been identified by IAASA in its annual Observations documents from 2008 to 2014. Such topics have been raised with individual issuers though IAASA’s enforcement activity and include, in some instances, undertakings which had been obtained. Messages for financial institutions The Observations document also outlines some specific messages for financial institutions regarding the accounting aspects of the: Current impairment provisioning regime and the need for changes in impairment charges to be directionally consistent with observable data (IAS 39); Impact of the new standard dealing with impairment provisioning and the need for proper disclosure of this impact as soon as the information is available (IFRS 9); Deposit guarantee schemes; and Work being undertaken in conjunction with our European colleagues. Avoiding boilerplate and excessive disclosures There is much commentary about the usefulness of financial reports and the volume of information contained therein. While various initiatives by standard setters and fellow accounting enforcers are ongoing in this regard, it is IAASA’s view – as articulated in previous publications – that the current financial reporting standards are, in many instances, robust enough to deal with this issue. IAASA has in the past enforced where it felt disclosures were too boilerplate, not issuer-specific and provided limited, if any, decision-useful information to users. The document outlines IAASA’s previous messages in this regard in addition to relevant extracts from IFRS, which have been used by IAASA as part of its enforcement activities in the past. IAASA’s Observations on Selected Financial Reporting Issues –Years Ending On or After 31st December 2015 can be downloaded here. Michael Kavanagh is Head of Financial Reporting Supervision at IAASA.

Melanie Sheppard, Financial Director at Pfizer Healthcare Ireland, speaks to Stephen Tormey about career progression, gender inequality and the broader benefits of the Chartered Accountant training. Since joining Ernst & Young as a trainee auditor in 1991, Melanie Sheppard has climbed the corporate ladder with a steady determination. The Chartered Accountant is now Finance Director at Pfizer Healthcare Ireland and was recently voted one of Ireland’s 25 most powerful women in business by the Women’s Executive Network, but her career path wasn’t always linear. From sideways moves with associated salary cuts to job interviews in airport terminals, there are aspects of Melanie’s career that could only be described as unconventional. However, the Dundrum native has made her mark on several businesses in several industries over her 24-year career. Career path Melanie, who is a Fellow of Chartered Accountants Ireland, completed a BSc in Management at Trinity College Dublin before entering the working world with Ernst & Young. While the majority of her career has been spent in the realm of industry, she credits her audit training with much of her success. “Audit gives you a feel for different cultures in different companies,” she said. “You also had to engage with the different partners, the clients and the various members of their teams to get what you needed to complete the job while being respectful so it was a great way to learn how to interact with people.” After almost five years working with a range of clients including the K Club, Coca Cola and UNIFI, Melanie left the world of practice for an internal audit role with Sony in London. For her, it was a logical next step that allowed her to broaden her horizons beyond audit. 18 months later, she had moved to Aspect Telecommunications where she was responsible for statutory reporting and compliance for eight European entities within the group. While Melanie’s career was blossoming in London, the lure of a move home began to grow. “I remember coming home for weekends and seeing all the job ads in The Irish Times,” she said. “I felt that, if I didn’t come home at that stage, I could miss the opportunity. So it was timing more than anything else – plus, the lease was up on the house where I was staying.” Melanie duly sent her CV to a number of firms in Dublin but one company in particular caught her attention. “I met Nicky Sheridan, who was setting up Oracle’s shared services centre in East Point, in Terminal 1 at Heathrow and I really loved his personality,” she said. “And he liked the fact that I was managing the reporting for eight countries out of a base in Stockley Park so it was a natural fit.” Melanie later joined Oracle as employee number 19 and a member of the management team. She played a key role in growing the business, which is still in operation, into one that managed back office finance functions for 43 subsidiaries and handled $3.8 billion in revenue. “It was hard work but it was a young workforce, so everybody was at that energised stage and it was an infectious place to be.” While Melanie was very passionate about Oracle, she reached a point where she knew every aspect of the business. “The challenge then for me was to find somewhere that was going to give me that energy, so I moved sideways from Oracle as a senior manager to Pfizer as a senior manager – and I took a salary cut to do it,” she said. “I was getting in at ground level and I really loved that the last time. When I joined, there were around 20 of us and we were setting up Pfizer’s shared services centre using the Oracle platform so it was like destiny.” Words of advice After growing the shared services team to 103 employees managing reporting for 214 legal entities, Melanie joined the business proper as Finance Director where she is now a member of Pfizer’s country management team and board of directors. While much of her career success has been down to her own hard work and instinct, she has worked with a total of 21 bosses from 17 countries – just two of which were female. This breadth of experience has taught key many key business lessons throughout her career. When it comes to driving performance, Melanie believes that trust is the key ingredient for success. “I don’t like being micro-managed and I don’t like to micromanage,” she said. “Managers should be like the stabilisiers on a bicycle – you will support your team and won’t let them fall, but the onus is on them to come to you if there’s a problem.” She also believes strongly in the art of listening when managing up. Her advice is to let people finish the asking of their question before providing an answer and where you don’t have the answer, say so but be sure to get back to the manager in question. “Don’t just kick to touch and run out the door thinking you got away with it,” she said. On the issue of gender equality, however, Melanie is “torn” as to the best way forward. “I hear so much about quotas and I get torn because I would be concerned if I thought I was only somewhere because I was filling a quota,” she said. “I want to feel that I’m where I am because of what I do and how I do it.” While Melanie is keen to see the gender imbalance improved through diversity initiatives within Irish businesses, she credits the growth of women’s networking events as a positive step on the road to equality. “They have grown without negativity, which is fantastic,” she said. “And sometimes men would like to be in those networking events, but we have to make sure that we don’t exclude people because we won’t solve the diversity issue without men being involved.” A marathon effort Throughout her career, Melanie has demonstrated a determined streak that has helped her achieve her goals. While she describes herself as “a hard worker”, her determination is also apparent outside the office. “A friend once read an article that said everyone has a marathon in them before saying ‘everyone except you’, so I did one,” she said. While golf is Melanie’s hobby of choice, she trained diligently for the 2008 Edinburgh Marathon spurred on by the suggestion that it was out of her range. “There was a challenge, and I loved the sense of discipline in the training and actually running the marathon,” she said. Despite finding herself in tears at the start line, Melanie completed the marathon and has since taken part in triathalons, adventure races, long-distance cycles and other marathons. The discipline involved in training for such events, according to Melanie, is similar to the discipline instilled in Chartered Accountants through their training – something that has stood her in good stead in various aspects of life. “Chartered accountancy is a phenomenal brand but sometimes we undersell ourselves,” she said. “It’s important for people to see it as a really great starting point that can take you anywhere. And if I look within my own teams, I’ve hired lots of Chartered Accountants because they have a disciplined way of approaching problems and eating the animal bite by bite. They never give up.”

The interview process, while daunting, is your best opportunity to learn more about an organisation. Interview processes are like snowflakes, no two are the same. Some are structured and formulaic while others are casual and laid-back. In advance of the interview, it is your responsibility to ensure you are equipped with the necessary information such as time, date and location of the interview, the format the interview, who you will meet and so on. A good recruiter or hiring manager will provide you with sufficient information but if it isn’t forthcoming, request it as failure to adequately prepare for an interview could lead to a confidence-shattering experience. Candidates should reserve a block of time to prepare for an interview, and approach it as a form of research project. In understanding the organisation’s activities, competitors and drivers, and the landscape in which it sits, you will be able to respond confidently to the regular question, “Tell us what you know about our company?” A good tip, particularly for accounting graduates, is to review the most recent annual report. If it’s a small or medium-sized business, research the company on www.solocheck.ie or an equivalent website. Both approaches will help you identify the direction of the business and the associated challenges, and whether you want to work with them through that process. What to expect While an alternative interview process is always a possibility, you should expect an overly-formal, difficult interview with structured questions. Be able to answer searching questions about your strengths and weaknesses, or a time when you failed or let your team down. STAR stories are useful in this regard, as they help demonstrate your strengths rather than merely citing them. Candidates should also avoid referring to ‘we’ when talking through their STAR stories. There is an innate tendency to refer to the success of the team rather than the individual, but prospective employers want to hear about your personal contribution to that success. Discussing your own strong performance might feel awkward, but understating your personal achievements could well cost you the job. Body language There’s a lot to remember in an interview, and sometimes it can be a daunting task. Given that the majority of communication is nonverbal, however, it would be advantageous to pay close attention to your body language. This begins before you enter the interview room. Enter the building armed with as little as possible. This will leave you devoid of distraction as you seek to make a strong first impression with a confident smile and firm handshake. Your smile is your best asset, so use it to your advantage. During the interview process, avoid crossing your arms as this could be perceived as a defensive pose. Also, avoid sitting with your body facing the main interviewer as face-to-face positioning can create a sense of confrontation. Instead, sit with your body angled slightly past the interviewer if possible and nod as the interviewer is talking to demonstrate engagement and understanding. If you are offered water, accept it. This routine offering forms part of the reciprocation process, and can help ease everyone into the interview. If you are offered tea, coffee or water, on the other hand, choose the simplest option. Your opportunity The routine invitation to ask questions at the end of the interview is a prime opportunity to demonstrate your understanding of the organisation’s drivers and challenges. The annual report will provide a wealth of discussion points, but don’t be afraid to ask about the organisation’s culture as this will help you better understand the organisation and how you might fit in – if at all. Where possible, spend the last seven or eight minutes encouraging the interviewers to do the talking. People enjoy talking about themselves and their views, and doing so enhances their degree of engagement. Ask questions about their teams or enquire into their views about the future of the organisation. And remember… Accepting an invitation to interview does not necessarily mean that you will accept the position should it be offered to you. An interview is a two-way process that offers the candidate an opportunity to find out more about the role and organisation. If you find that the position isn’t for you following the interview process, that’s a valuable learning and you should communicate that sentiment clearly to the recruiter or hiring manager. For more career advice and information, download your copy of Career Guide 2016 today.