Tag: KPMG

  • We groom our graduates to be employable – DVC, Babcock University

    We groom our graduates to be employable – DVC, Babcock University

    Undoubtedly one of the frontline private universities in Nigeria, Babcock University, Ilisan, Ogun State, through its operations and forays into ICT revolution and students’ mentorship has remained unrelenting in its drive towards excellence. In this interview with Emorinken Moses, its Deputy Vice Chancellor and College of Health and Medical Sciences provost, Prof. Iheanyi Chukwu Okoro beams more light on the institutions activities, achievements and products.

    Babcock University is one of the few private universities with impressive stories to tell; can you give us a sneak peek into your activities so far?

    Well, as we speak, students have started their exams, one of the things we have going for us is stability. By the grace of God, we have not missed a single day since 1999. And one of the factors responsible for this is the online revolution going on in the institution. Some of our courses are now taken online. Before now, marking, collation, and grading of the scores of students after an examination was an arduous task. You typically would find a lecturer having to mark and grade close to 500 students. However, some of our in-house ingenious staff in the ICT unit developed a software, which is now being used for exams. It was tried last year, and within 30 minutes the exams were concluded and the results came out swiftly.

    This reduced the burden of collation of results for the lecturers. All they now have to do is input the data (scores) and the computer software automatically does the calculations and collation of results instantly.

    Secondly, as a school, we place a premium on the behaviour of our students. We believe that education is more than imbuing academic knowledge to students, but also in the inculcation of ethical and scrupulous behaviours. We train their hearts and make sure that they behave well.

    We have a way of monitoring their behaviour through a tool called the Behavioural Index. We monitor them in their hostels, chapel, class rooms etc. If a student has any infraction or misconduct, he or she is ‘demerited’. Every student has a 60 demerit point; so as a student keeps misbehaving, his or her score reduces. It is like withdrawing from ones account. When you are zero, you go on suspension, and this affects your ‘citizenship grading’. Even if you have a first class, with a zero point of behaviour, you are not graduating because this affects your citizenship rating.

    This form of assessment has also gone online. There is a central coordinating office called the BUMU office (Babcock University Merit Unit). The unit coordinates all the grades from the various points online, and they issue out the grades to the students at the end of a session.

    Can you tell us about the ‘total classroom revolution’ project?

    The Total Classroom Revolution is simply leveraging technology in the deployment of learning and the learning environment. Currently, every classroom in the school has a projector and smart boards. You can also find radio towers at strategic positions within the campus. We intend to have a cloud all over the compound, so that students can access their lectures anywhere they are within the campus. Lecturers can upload courses, and students can refer back to it by downloading it.

    All these congenial educational facilities are powered by electricity. Therefore, the school is investing heavily on a power project called Babcock Power Project, which will supply uninterrupted power round the clock. At first, we wanted to opt for a gas-powered turbine, but because of the huge cost of maintenance, we settled for a power generator that runs for 80,000 hours non-stop…on gas. By implication, it means it can run for 9 years at a stretch.

    Due to the current economic recession in the country, the project has however been stalled a bit; but, with the Naira slowly gaining stature, we hope to push the project further.

    Aside the generating power generator, there are some diesel-powered generators on ground as standby – they can run for 30 hours non-stop.

    All of these efforts are geared towards creating a congenial academic environment for the students and members of staff.

    You have spoken on the importance of behavioural competence of the students; however, focusing on the society as a whole, do you think the Nigerian youths have the right values to lead going into the future?

    To be frank with you, I don’t think we are giving our younger ones good examples. There is a saying where I am from that – ‘When a mother goat is eating the yam, the kid is also looking at the mouth of the mother goat.’ The snake can only give birth to long things like itself. This is the situation of the country now. Until we have a total revolution in the attitudes of minds and behaviours among the older generation (my generation), the concept of examples and mentorship for the younger ones will be a white elephant expenditure. The blame should not always point to the direction of the younger ones. You cannot give what you don’t have. It is my belief that when you have a delinquent child, there are at least two delinquent adults that are propelling such a child. Take for instance examination malpractice; some parents arrange for special centres for their wards; the individual running this centre is a delinquent adult, the parent seeking his or her service is a delinquent adult. Their unethical attitudes can only produce a delinquent child. These acts continue even when the child reaches an institution of higher learning; the child now believes that this is the ideal way to carry on in life. He doesn’t do anything straight anymore because he believes he has to cheat to get things done. However, if the child requests for a special centre and is rebuked instantly by the parent, this leaves an indelible impression on the child.

    My appeal goes to my generation to consider posterity before engaging in acts of malfeasance, corruption, and other related delinquent behaviours.

    This current administration has a mantra – the change begins with me! But it should go beyond rhetorics and advertisement.

    In Babcock, our motto is ‘building leadership through Christian education’. We intend to produce servant-leaders. We continually resound into the consciousness of our students that leadership is about service – it is not what you get from the position, but what you give into that position.

    Here, we have the Babcock University Students Association (BUSA), which is not a student government but an association. We train them on the values that make a complete leader, and the need to be a worthy example. Another important thing about the behaviour of students in Babcock is their responsibility to the environment. If you go round, you will not see a single piece of paper on the ground. When you come to such an environment, you will definitely look stupid to begin to drop wastes on the ground. Our students are well dressed. It is leadership by example – from the management, members of staff, and down to the students.

    Last week, the students had a seminar tagged ‘experience’, which saw the likes of Femi Falana (SAN), Charles Okafor etc. They were on ground to encourage and inspire the graduating students on succeeding. They shared personal experiences about how they became successful in their fields and careers. Also, they enlightened the students about some of the pitfalls they should avoid on their journey to the top.

    There is this assumption that a lot of Nigerian graduates are unemployable. What is your take on this? What is Babcock doing to produce ‘employable’ graduates?

    What makes us stand out is the process of producing our graduates. Regardless of the unemployment in the country, one fact remains that people are consistently being employed. For instance, KPMG, a foremost auditing firm has seen the quality of our students in accounting, and have given us 300 slots for internship every year. From those 300, they will select those that will eventually be employed. Other organisations like ICAN, ACCA, CIMA etc., are partnering with us in Accounting. In computer, the computer professional registration body in Nigeria has named Babcock a centre for excellence in training because they have seen our products. It is the same for other programmes. Also, we have been the overall best in the Nigerian Law School for two years now. That speaks volumes about the quality of our products.

    Students evaluate the lecturers – contents, methods etc., while the lecturers in turn evaluate the students. If a student fails to meet up with 75% of attendance, he or she has failed automatically – it is called “Failure due to absence” (FA).

    When students are graduating they go through a finishing school to prepare them for the labour market. Issues on how to sit at an interview, how to write a CV etc., are considered. The highlight of the programme is usually a job fair where organisations come and interview students live, and possibly recruit them on the spot.

    Finally, we have a centre for entrepreneurial studies that teaches the students all kinds of arts and craft – theory and practical.

    My worry about ‘unemployability’ also bothers on the incessant strikes that used to be preponderant in federal and state-owned schools, which is reducing gradually. This usually affects the quality of content that the lectures give as a result of rushing to meet up with the semester.

    What is the state of Babcock’s Cardiac Centre?

    We have partnered with Tristate Cardiovascular Associates from Delaware in the U.S. It is a team of experts that brings together solution to heart diseases through the collective competence of top intervention cardiologists, cardiothoracic surgeons and radiologists.

    We have developed a state-of-the-art cardiac centre, which is currently the only permanently run cardiac centre in the country today. Other centres may occasional invite surgeons from abroad to come and perform one or two heart surgeries and then go back to their country. However, our surgeons are permanently resident in the institution. The centre, which started in October 2015 have performed almost a hundred heart surgeries, and still counting.

    We are partnering with NNPC, LAFARGE, Primary Health Administrations in the country, and non-governmental organisations (NGO). They refer cases to us.

    Many universities have come to us for academic partnership; amongst them are Caleb University, Adeleke University etc.

    Our medical students go to India for their housemanship for two months each. This is because of the quality of field experience they can get from India because of its seasoned medical department.

    Our computer students also go to Poland for computer training and exposure. In fact, some students also earn an additional degree during their educational stay in Poland.

    We also partner with Birmingham University. Our International and Diplomacy students go there for two years and get their law degrees and come back. These are a few of the kinds of academic partnerships that we are involved in.

    Tell us about the awards Babcock has won in recent times.

    We have received awards from the World Branding Forum in the education segment. We got the award in 2015 and 2016 concurrently. We also received a solid 18-carat gold award plaque, based on the fact that no organisation had ever won the award back-to-back since inception.

    For two to three years now, we have won the best university in Africa award, given by the Association of African Students. We were nominated by the National Association of Nigerian Students (NANS). The interesting thing is that Babcock is not part of NANS, however, their interactions with our students and the qualitative feedbacks they get informed their decision to recommend our institution for the award.

    Also, in the Nigerian Private Universities Debate (NIPUD), our students have consistently emerged tops in the last four years. We encourage our students to be the best they can be.

    Do you think that government is doing enough to encourage private tertiary institutions? Also, what can government do to encourage private tertiary institutions?

    I do not think the government is doing much to encourage private institutions because they see it as business. They only monitor and accredit them through their agencies to ensure that the schools meets up with the minimum standard, however, that is where it stops. The federal government finances government-owned universities using TETFund. Initially, private institutions have always been weary of receiving such funds because as the saying goes – he that pays the piper dictates the tune. But with the biting economic situations in the country, private institutions have started to bite their words arguing that even if the institutions are privately owned, it produces graduates for the nation at large; therefore, it should at least be encouraged with palliative and government largess like the TETFund. It is a cry of desperation because many universities are finding it difficult to cope. We implore government to give us grant in aid. By grant in aid, we mean government provides some level of financial support, monitor its usage, but do not interfere with running the school.

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  • KPMG to audit Arik Air

    KPMG to audit Arik Air

    The new management of Arik Air has appointed KPMG to undertake a forensic and diagnostic audit of the finances of the airline to ascertain the true status of its finances.

    The Asset Management Corporation of Nigeria (AMCON)  in a statement, said the review will among other objectives cover the position of assets and liabilities, their utilisation; recording and utilisation of loans, propriety of third party transactions; fraud controls over Procure to Pay (‘PtP’), agents and business partners .

    The statement added that the audit will also cover financial reporting and the airline’s financial position as at January 31 this year. The report is expected to be delivered within 12 weeks.

  • KPMG names Citi Most Customer Focused Bank

    KPMG names Citi Most Customer Focused Bank

    Citi has retained its position as the Most Customer Focused Bank in the wholesale banking category, the  KPMG 2016 Banking Industry Customer Satisfaction survey (BICSS) has shown.

    The survey stated that the quality of banking experience remains the reason customers chose to bank with Citi. The KPMG BICSS was first launched in 2007 to heighten the consciousness of service delivery among Nigerian banks.

    This year, KPMG expanded the scope of the survey to 29 locations across the country covering over 28,000 customers across segments. Customer selection in the wholesale banking segment was driven by a need to ensure inclusion of companies in each major business sector. The survey was based on five factors – Convenience; Product/Service; Executional Excellence; Value for Money and Customer Care.

    CEO for Citi Nigeria, Akin Dawodu, said “We are very proud to be recognised, again, as the most customer-centric bank [in Nigeria]. We are constantly looking at ways to improve services for our customers and make their lives easier. Great customer service can set us apart from our competitors and it has been, and will continue to be, one of our top priorities.”

    Total Nigeria also worked with Citi to develop the Electronic Bill Payment Product (E-Billspay) solution, and won the prestigious Adam Smith Best Treasury solution in Africa award with the E-Bills Pay solution.

  • KPMG names Zenith Most Customer-Focused Bank

    KPMG names Zenith Most Customer-Focused Bank

    Zenith Bank Plc has been rated Nigeria’s most customer-focused bank by the leading Advisory and Consultancy firm, KPMG.

    In the 2016 edition of the annual banking industry Customer Satisfaction Survey recently released, Zenith topped other Nigerian banks in the Customer Satisfaction Index (CSI) with a total of 74.6 points to clinch the prime position in the retail banking category; thereby re-enacting the feat it achieved in 2013 and 2014. Guaranty Trust Bank came second with 74.1 points closely followed by Diamond Bank and Stanbic IBTC with 73.5 and 73.1 points respectively.

    The survey, launched in 2007, draws responses from customers across the retail, SME and corporate banking segments on customer preferences, levels of satisfaction and expectations from their banks.

    Zenith Bank has featured prominently in the survey since it was launched 10 years ago, according to organisers; “to heighten consciousness of service delivery among Nigerian Banks”.

    In 2014, the bank cleared all the three categories: Retail, SMS and Corporate Banking; having similarly won two of the three categories, but SME the previous year.

    The Customer Satisfaction Index (CSI) measures customer satisfaction with banks, and are ranked based on the perceived level of satisfaction derived by customers surveyed from the different categories.

  • Regulatory changes transforming Africa’s insurance sector, says KPMG

    Regulatory changes transforming Africa’s insurance sector, says KPMG

    Following KPMG’s South African Insurance Survey 2015, there are serious indications to suggest that the insurance industry in Africa are being transformed.

    The survey says, some of the changes in South Africa’s insurance sector have been as a result of regulatory and accounting changes.

    It added that the sector remains concerned about gross domestic product (GDP) growth and high unemployment. Raimund Snyders, Mutual & Federal’s chief executive officer told CNBC Africa that South Africa’s insurance industry was under pressure just like the rest of the economy.

    “The insurance industry in a developed insurance market grows with the economy and it is unlikely that one will see the sector growing outside of the growth trend of the economy,” Snyders told CNBC Africa.

    He added that, when the economy is under pressure one way of remaining afloat is staying closer to the customers and being efficient.

    The report also says the global risk landscape was marred by political conflict in both emerging and developed markets. It adds that this had its own upside challenges.

    “Investing in these markets or other developing markets can offer great opportunities if you are able to effectively manage your exposure to the prevailing political risks,” said the report.

    Political risks prevalent in emerging economies presented opportunities for actors in this space.

    ”The underwriting of political risk insurance, locally and internationally, is a dynamic and growing business.

    ‘’ The challenges faced by business today are fundamentally different to those 20-30 years ago. Current worldwide events highlight the growing need for political risk insurance globally,” added the report

  • KPMG urges tax relief for SMEs

    KPMG urges tax relief for SMEs

    Granting tax relief to new businesses will improve the economy, the Associate Director, Tax, Regulatory, & People Services, KPMG,Mrs Ehile Adetola Aibangbee, has said.

    Mrs Aibangbee said more new businesses could be helped to  get off the ground through pioneer tax status  boosting  growth and transforming  the economy.

    Mrs Aibangbee said  more startups could flourish while more entrepreneurs take advantage of the pioneer status incentive which enables a company to make reasonable levels of profit within its formative years or initial period of expansion.

    Earlier,while addressing  Fate Foundation’s  Alumni Knowledge Building Session in Lagos, she  said there are many  incentives available to encourage investment that small businesses were not taking advantage of, adding that the government has done a lot to  support the growth of the small and medium enterprises (SMEs) sector through tax incentives.

    She, however, noted that the need to harmonise taxes between the states and local government councils to prevent multi taxations citing examples such as land use taxes collected by both the state and local government councils.

    She said enforcement and compliance by all the levels of government agencies would make the harmonisation structure beneficial to the economy.

    According to her, the government faces major constraints in its efforts to enhance revenue collection as a large number of SMEs are not paying their taxes.

    She said SMEs that are registered are  finding  it very difficult to fulfil tax obligations due to the complexity of the regulations.

    Mrs Aibangbee warned small business owners to expect new taxes as a way to raise money to implement the budget.

    Apart from the personal income, sales taxes, company income taxes,she said government was going to introduce mansion and road taxes.

    She reiterated that the government is going to rely heavily on the tax sector for its revenue.

  • KPMG predicts slow economic growth in 2016

    KPMG predicts slow economic growth in 2016

    Chief Financial Officers (CFOs) of companies across the various sectors in Nigeria, have envisaged low growth in the nation’s economic activities this year, a survey conducted by KPMG Professional Services, has shown.

    Speaking in Lagos over the weekend, KPMG Nigeria’s Partner and Head of Audit Division, Tola Adeyemi, said the survey sought to feel the pulse of the Nigerian CFOs on the outlook for their businesses and their opinion on the definition of the ideal finance functions and how it can be attained.

    He said the survey covered June and December 2015 and targeted big companies and CFOs.

    It said 25 per cent of the respondents were from energy & natural resources sector, 10 per cent from technology, media and telecommunications, 30 per cent from the financial services industry, 32 per cent from consumer and industrial market and three per cent from infrastructure, government and health care.

    The CFOs expressed less confidence in growth of the economy in 2016 when compared to 2015.

    Fifty per cent of the survey reported that they are less confident, or believe that things will be the same in terms of growth they will experience in 2016 compared to 2015.

    They said the general macro economic environment, regulation, inefficient exchange rate are the factors adversely affecting business activities. The CFOs were concerned about the direction of exchange rate and what impact it would have on their businesses.

    They urged government to provide support through good infrastructure, efficient security, exchange rate stability and taxation.

  • Nigeria faces low economic growth prospect, says KPMG

    Nigeria’s economy faces low economic growth prospect, a survey by KPMG has shown.

    According to the report, a group of Chief Financial Officers were interviewed in a survey by the consulting firm.

    The CFOs are worried about business risks, as well as the economic slowdown and the falling oil price.

    Its Partner and Head, Audit Services, Mr Tola Adeyemi, said the CFOs were the least optimistic about growth, The other concerns are uniting leaders, increasing taxation and regularities complexities. And the continued slowdown in the economy, according to them has heightened fears that a key engine of growth is stalling. There are also worries about the impact of falling oil revenues on the overall economy.

    The CFO, he noted, observed that the threats they face are becoming more complex with exchange rate instability and the state of infrastructure.

    One issue also identified is lack of balance in the economy. As a result, the rewards of a growing economy are not shared equally, leaving some sectors feeling markedly stronger than the others.

    The business suggested growth levels across most sectors slowed considerably.

    With the budget presentation, however, Adeyemi said the economy appears to be on path to a period of sustained good health if the government improved on infrastructure.

  • Curb illicit financial flows, KPMG urges Fed Govt

    Curb illicit financial flows, KPMG urges Fed Govt

    partner with KPMG, Mr. Ayo Salami, has advised the Federal Government to stop illict financial flows into the country, adding that it hurts the economy.

    He spoke with The Nation on the sideline of a workshop organised by the Industrial Group of Lagos Chamber of Commerce and Industry (LCCI) in Lagos.

    He said illicit financial flows and unbridled importation stifle economic growth.

    According to him, unscrupulous people import all manner of things under that guise, at the detriment of local industries. He however, argued that the blanket ban on key raw materials for the manufacturing sector is a minus to the growth of the sector and job creation in general.

    The KPMG boss stressed the need to encourage local production and exportation of locally produced goods to earn foreign exchange (forex). This, he said, will make up for the shortfall experienced by manufacturers.

    Salami urged the government to stop the importation of palm oil, regretting that what used to be a cash cow for the country is now imported with the scarce forex in the kitty of the Central Bank of Nigeria (CBN).

    On the CBN’s forex restriction, Salami said government should have first addressed the structural weaknesses and inadequate public utilities/infrastructure that hamper the nation’s business environment.

    One of these structural weaknesses, according to him, is the absence of tight border controls to curtail smuggling of products into the country. “It is important to curb the smuggling of these identified goods into the country to promote their local production,” he said.

    Salami expressed regrets that many companies are relocating to neigbouring African countries as a result of government policies, which are hurting.

    “The forex policy needs to be revisited to douse the tension over possible job loss. Massive job cut looms in the manufacturing sector; customs revenue is depleting; the construction sector is in a dire strait. It is therefore, imperative for the government to do the needful by reviewing the policy,” he said.

    In the short term, he advised manufacturers to engage extensively with the CBN to postpone the policy and allow for the clearance of backlogs and orders already placed for raw materials, goods and services.

    He further called for collaboration with local producers to exhaust all local supply channels, besides engaging the CBN for exemption to finance importation of inputs with no local substitute or where local capacity is inadequate.

    In the medium term, he asked for the provision of update on shortfalls from local supply channels compared to demand to make way for importation. He argued that the blanket ban on raw materials in the medium term will not augur well for the economy.

  • Storm: U.K. insurers may face $2.2b claims, says KPMG

    Storm: U.K. insurers may face $2.2b claims, says KPMG

    United Kingdom (UK) insurers may face claims totalling 1.5 billion pounds ($2.2 billion) from businesses and homeowners for damage caused by two storms in December, last year, according to consultant KPMG LLP.

    Bloomberg reported that heavy rain and flooding is estimated to have caused a loss of 5.8 billion pounds to the economy, quoting the London-based consulting company. Storm Eva and Storm Desmond have damaged homes and disrupted business activities across northern England, Wales, Scotland and Ireland.

    “In 2007, when a similar pattern of flooding hit, total insured claims were 3.2 billion pounds. However, we consider that the actual financial impact far exceeded this,” Justin Balcombe, KPMG’s U.K. head of general insurance management consulting, said in the statement.

    “We are assessing this month’s events through a number of economic lenses, resulting in an initial total cost estimate of 5 billion pounds to 5.8 billion pounds.”

    PricewaterhouseCoopers LLP estimated economic losses of as much as 1.3 billion pounds, with the insurance industry bearing up to 1 billion, according to a December 27 report published on the consultant’s website.

    “If rain continues to fall in large quantities, and the areas with warnings in place do indeed flood significantly, it could well be that the total economic losses could breach 1.5 billion pounds with an additional significant increase in insurer losses from our initial estimate,” Mohammad Khan, general insurance leader at PwC, said in the report.

    Storm Frank is due to hit the west of the U.K. from with strong winds and heavy rain, the Daily Telegraph reported. Widespread gusts of up to 65 m.p.h. are expected, with exposed areas — particularly in northwest Scotland and later Shetland —likely to endure fierce gales up to 80 m.p.h., the paper said.