SYDNEY – DAY ONEWRAP UP

Monday 19th October, 2015

Gladys Berejiklian MPNSW Treasurer and Minister for Industrial Relations

Building our future – priorities for 2015-16

Key Points to remember:About the session:

Hear a landmark speech from theHon. Gladys Berejiklian MP - Thefirst female Treasurer in NSWhistory.

The Treasurer will discuss theGovernment’s economic andfinancial priorities for 2015–16and the way forward for theState’s infrastructure investment.

The state of NSW has the strongest budget and economy in the nation.This is due to the fiscal discipline the state government has put in place.

2015-16 NSW budget highlights:

- Strong financial and economic management with budget in surplus and aTriple-A rating- Building infrastructure- Supporting jobs - create 150,000 in four years- Delivering more services in health and education

2015-16 revenue totals $72.1 billion. Main sources of revenue in NSW:40% from Federal Government35% through state stamp duties28% through state payroll tax

Now:Jobs growing, unemployment rate is below the national average, businessconfidence is up, housing approvals at high levels and retail trade growthis above the national average.

Alex Malley FCPAChief Executive, CPA Australia

The future of the profession

In a rapidly changing world, the need forinnovative strategies is essential for theaccounting profession to maintain itsleadership relevance. And if the accountingprofession is to stay relevant, CPA Australiamust also.

Through pioneering thinking, CPA Australiahas revolutionised its reputation, influenceand relevance within the broader community,while maintaining its traditional values.

Creating a dialogue based on trust betweenCPA Australia and tomorrow’s leaders is notonly helping to future-proof the organisation,but also the profession as a whole.

In this keynote session, Alex Malley willprovide his outlook on the profession and thecritical leadership role CPA Australia and itsmembers will continue to play.

Key Points to remember:About the session:Vision: to be the best member services organisation in theworld.

The approach: Global Governance - how it can grow anddevelop across borders. Regulation - strong relationshipwith ASIC Technology and the empowerment of theindividual content and knowledge-sharing.

Financial services:Accountants used to own this space. Now, the market iscrowded. This is a threat but more so an opportunity.Accountants can reclaim this sector again, and memberscan come with CPA Australia on this journey via CPAAustralia Advice.

CPA Australia's approach:• Work in the public interest as well as on behalf of

members.• Widening the audience to create interest in the CPA

Australia designation and brand.• Personalisation of the brand.• Four words: disruption, integration, communication and

entertainment.

Jim Mitchell Chief Financial Officer, Sydney Water

The formula to business partnering –telling the story behind the numbers

Key Points to remember:About the session:

How much value does yourfinance team add to yourbusiness managers? Jim discussedthe endeavour Sydney Waterundertook to measure the valuethat finance added to partnersacross the business-value chain.

This session focused on theimportant role finance plays indelivering the right messages andinformation across all businessunits.

Sydney Water undertook a transformation project tomeasure the value that finance adds to partnersacross the business-value chain.

Key learning included:

1. Get the foundations right - people andrelationships

2. Establish a clear purpose for value-addingactivity

3. Take an 'outward-in' approach to determiningwhat is valued

4. Focus on the wildly important shared goals anddeliver on key outcomes

5. Recognise and celebrate success!

Alistar BrownChief Financial Officer, Save The Children

Mergers – building your impact as a NFP

Description:

Australia’s NFP sector becoming increasingly overcrowded, mergers willbecome more and more critical for the ongoing success of the sector.

Having recently been involved in the successful merger of Save theChildren and Good Beginnings, Alistair provided some first-handobservations on the role of a CFO in facilitating a merger in the sector.

About the session:

Len Jui and Jessie Wong CPALen Jui is Partner and Head of Public Policy and Regulation, KPMG China and

Jessie Wong CPA is Director in Public Policy and Regulatory Affairs, Quality Control and Risk Management, KPMG China

Corporate governance in Asia

An overview of the state of corporategovernance in enterprises in Asia andrecent relevant market and regulatorydevelopments. This session put thespotlight on corporate governancethemes such as boards’ and auditcommittees’ accountability,composition and responsibilities, andinteractions with the external auditor,shareholders and investors.

Presenters shared insights from recentstudies and surveys.

Key Points to remember:

Jessie Wong:• The Singapore government has used

corporate governance to brand themselvesglobally

• There has to be a market event in Asia totrigger a corporate governance change inAsian countries

• Japan enforces 100 per cent of its corporategovernance requirements

Len Jui:• Different cultures, operating environments,

ownership structures, points of view,regulatory regimes, business practice,results - all effect corporate governance

• Myanmar, Brunei and Laos do not havecorporate governance codes

About the session:

John Carlin (Author and journalist) and Quentin Hull (Sports Broadcaster)

Extended Session: DRIVEN

Key Points to remember:About the session:

What makes a champion? Whatdoes it take to be the best in theworld at your sport?

John Carlin knows three of thebiggest names in global sport –Rafael Nadal, Oscar Pistorius andLionel Messi. He has spent timewith them, spoken to thoseclosest to them, and written best-selling biographies on two of

them.

He was interviewed by an ABCJournalist on what drives thesepeople.

John Carlin says many sports people are driven tosuccess by their own insecurities.

Tennis champion Raphael Nadal grew up in a culture ofhigh achievement in Spain.He is driven by his ferocious competitiveness but he isalso extremely obedient.

Oscar Pistorius is a man of absolute extremes. He wasan idol for so many people after he won gold at theOlympics but things quickly changed. He is driven by adesperate need to prove a point, and a need to impresshis mum.

Lionel Messi is magnificently uncomplicated. He's notdriven by resentment or insecurity.

Professor Paddy Miller (Spain)Professor Management, IESE Business School, Barcelona. Co-author of Innovation as Usual, published by Harvard Review Press

Extended Session: The innovation architect

Description: Key Points to remember:

Most organisations approach innovation as if it were a sideline activity.

Innovation expert Professor Paddy Miller recommends that leaders at all levelsbecome "Innovation Architects," creating an ecosystem in which people engagein key innovation behaviours as part of their daily work.

For Paddy, this is how you turn team members into innovators.

About the session:

Josie ThomsonResilience and Change Expert, Mindset

Building resilience and how to cope with constant change

Seizing The Leadership Opportunity:

Building public-sector organisations tocope with constant change is not achallenge ... it’s an opportunity.

How can you seize this opportunitywhile still delivering on your day-to-day priorities? It’s about developingeffective leadership or "organisationalfitness".

Overall Result: Thriving in a constantlyshifting environment becomes anorganisational fitness and not just anisolated cultural challenge

About the session:

• Our brain is on the lookout forthreats. Safety is first, happiness issecond

• You need to focus on "what youwant" not “what you don't want”

• Stress can be good and bad for you.Too much stress causes distress

• Avoid - expression and suppression

• Do - label emotions, look at thingspositively, distance yourself initiallythen come back to the problem

Key Points to remember:

Dr Robert KayCo-Founder and Executive Director Incept Labs

Paradoxes of governance

Dr Robert Kay is a Co-Founder andExecutive Director of Incept Labs. He isalso an Adjunct Professor atMacquarie University.His career has continuously movedbetween industry and academia. Hewas formerly the Head of StrategicInnovation at Westpac BankingCorporation, a Senior Lecturer inInformation Systems andOrganisational Development at theUniversity of Techology, Sydney, and aResearch Analyst at Bovis Lend Lease.Over the last couple of years Roberthas been commissioned to undertakemultiple studies of senior leaders. Intoday’s session Dr Robert Kay spokeabout the paradoxes of governance.

Key Points to remember:

• Uncertainty is at the heart ofgovernance

• The cycles of governance:reorganisation, conservation -release – exploitation

• Trust is a fundamental part ofgovernance. It is created by patternsof prediction, is very fragile and canbe easily lost

• Governance is not about finding theright thing to do - it's about stoppingthe wrong

About the session:

Dr Eva TsahuriduPolicy Adviser Professional Standards and Governance, CPA Australia

Creating an ethical culture: Why and how

Key Points to remember:

Len Jui (Partner and Head of Public Policy and Regulation, KPMG China), Merran Kelsall(Chairman Auditing and Assurance Standards Board), & Jessie Wong CPA (facilitator – Director in Public Policy and Regulatory Affairs, KPMG China)

Panel discussion: Audit reporting shift – preparing for the future

About the session:

The decades long pass or failmodel of listed-company auditorreporting is set to changesignificantly, with the informationnow being expressed through anew “key audit matters” sectiondesigned to reduce the ubiquitousexpectations gap, while enhancingthe relevance of the auditprofession.

This panel aimed to explore thenew requirements, the challengesthey bring, and how to approachthem in practice.

Here are the key features of the new and revisedAuditor Reporting Standards:

• Audit opinion - required to be presented first• Key audit matters - required new section for listed

entities• Going concern - additional focus• Other information - new section• Auditor responsibilities for the audit; explicit

statement - independence and ethicalrequirements; engagement partner name (listedentities)

New and revised Auditor Reporting Standards areeffective for periods ending on or after 15 December2016

John Carlin (Spain – Author and journalist) and Professor Paddy Miller (Spain – Professor of Management, IESE Business School, Barcelona)

Business lunch 3: Mandela – leadership genius

This presentation is based on John Carlin’sbook Playing the Enemy – Nelson Mandela andthe game that changed a nation, which wasmade into the box office hit movie "Invictus"about the 1995 Rugby World Cup and howNelson Mandela used that event to unite acountry.Carlin and Miller retrace the decision of NelsonMandela to join forces with the South Africannational rugby team to heal the wounds of thepast and usher in a new democratic era thatbrought together a nation on the brink of racialcivil war.

They also demonstrate how Mandela’s strategicvision, people skills, powers of persuasion andtalent for negotiation offer light and inspirationto all leaders in all walks of life.This highly visual and entertaining leadershippresentation uses rare archival footage, uniquephotographs and interviews in a most powerfuland entertaining way.

Key Points to remember:

Nelson Mandela’s legacy lies in the lessons about leadership he left for all ofus.

His Leadership lessons include :• Deal with your enemies: – sometimes these are people and factions in

your own camp.

• Use the power of symbols: - He transformed symbols of division intoinstruments of reconciliation and nation building.

• To change hearts, win hearts:- this is the most effective and lasting wayto overcome deep seated prejudices and entrenched positions.

• Form Alliances:- sometimes you may have to do this with your enemies orrivals, winning them over to your cause by zeroing in on shared self-interests.

• Negotiate and be inclusive:- Mandela realized that the best way toachieve his strategic vision was not through imposing his will on others,but by persuasion, negotiation and inclusivity. That is ultimately whatwins hearts and minds.

About the session:

Darren Schaeffer FCPAManaging Director, Curijo Pty Ltd

Public sector budgeting

Key Points to remember:About the session:

A former public sectordepartment CFO and nowconsultant, Darren gave hisinsights into the importance ofbudgeting in the public sector.

He outlined the tips and trapsfor finance professionals in thisspace, shared his views on whatmakes for a great budgetoutcome, and spoke about thefuture of budgeting in aconstrained, contestable andcollaborative environment.

Presented by a former departmental CFO, this sessioncovered tips and traps for finance professionals who work inthe public sector budgeting space.

Actions:

1. Make the case2. Know your decision makers and what motivates them3. Know the political change agenda4. Know the frameworks5. Take the language and keep it simple6. Create a trusted, credible loyal and capable team7. Understand what motivates the team and motivate them(including self)8. Get the numbers right and the story to match9. Believe and trust in yourself10. Be internally visible and empathetic

Simon RountreeChief Executive Officer, Camp Quality

Innovative concepts to improve staff wellbeing AND business performance

Description:About the session:

Social impact is often defined as the net effect of an activity on a community,individual or family.

Camp Quality believe that social impact is also about providing tools for their staffthat are positive, meaningful, sustainable and measurable in order to build theiroverall optimism, resilience and well-being.

This session explored how Camp Quality expanded the way their people think inorder to create positive change for the individual, for their family and for thecommunities they live in.

Joycelyn Morton FCPAChairman and Non-Executive Director, Thorn Group Limited

Taking the next step toward directorship

Description:

Contained information for if you’re considering becoming a companydirector.

Joycelyn examined essential aspects of the company director role,including risks and pitfalls for independent directors, the role and itsresponsibilities, and the business and personal benefits that willaccrue.

About the session:

Elizabeth MooreDirector of Research, Insights and Analytics - Telstra

Using data analytics to drive operational excellence

Key Points to remember:

How do you take your data tothe next level?

How do you make sense ofthe data and identify whichdata sets are important, niceto have, irrelevant orconfusing?

How can you add value byderiving valuable insight todrive business performanceand customer experience?

About the session:

• Machine Learning is a range of different techniques thatuse the increased compute capacity in today's machines tofind and model hidden relationships in data

• It allows company's to unleash the value of investmentsbeing made in Big Data platforms

• Machine Learning is 250 per cent better than traditionalstatistical techniques

• Harnessing Machine Learning requires extensive businesschange management

• You need to ensure that the data you are using will resultin an effective outcome or change to justify its use

Jonathan Chapman

“Bored reporting” – an insight into boardand executive report writing

A practical guide to writingreports for the Board and theExecutive, that you can easilyremember and applyimmediately to enhance yourreports.

Whether you are a seasonedreport writer or just starting out,these insights will help you movefrom "the numbers guy" to thestoryteller.

Key Points to remember:About the session:

7 rules to follow to tell a great story in your board report and getnoticed:

Rule 1. Know the audience, know thyself - boards set strategy andmitigate risk. Your report must include this because it's what theyreally want to know.

Rule 2. Get to the point - make the report short (3-5 pages) and tellthem exactly why they're reading it. If it's to make a decision - tellthem.

Rule 3. Are the numbers important? Not as much as telling the story.Outline the business drivers, don't just describe whether numbers aremoving up or down.

Rule 4. Substance over form - use appropriate tone, voice andgrammar. Don't over-capitalise words, don't assume prior knowledgeand don't use abbreviations.

Rule 5. Consistency - one voice - make sure the many contributingvoices sounds like one voice to the reader.

Rule 6. Have a style guide - give it to the contributors to follow. Thereader will instinctively react in a more positive manner if a report isaesthetically pleasing.

Rule 7. Elevator conversation - prepare a one minute summary aboutthe report for when you run into the GM/CEO/Chairman

Silvia DamianoFounder and Chief Executive Office, About My Brain Institute

Ignite 1: Leadership is upside down

Holly RansomChief Executive Officer and Global

Strategist, HRE Global

Ignite 2: How to grab the attention of the generation of short attention spans

Mark McCrindleSocial Researcher

Ignite 3: Bringing research data to life

Key Point to remember:You don't need a title to be aleader

Key Points to remember:• You only have seven seconds

to grab the attention of themillennial generation

• Companies need to get theirattention because millennialsare the largest generation inthe workforce

Key Point to remember:It's a visual world, so the waywe communicate ideas needsto change to what people wantto see

Stay tuned for the Day Two Wrap Up

tomorrow at cpaaustralia.com.au