Impact of Employee Retention Essay Example for Free

Impact of Employee Retention Essay Griffeth Hom (2001) have argued that employee turnover is assuming crisis proportions for many employers who struggle to retain people in the tightest labour market. Griffeth Hom (2001, Pg 1) 52% of companies report that their turnover is increasing and quit rates are running high of 1.1% a month.† Turnover can be a real problem in many organisations. Companies spend a great deal of time and money recruiting and training employees and the cost of replacing staff members lost through turnover are great. The monetary cost of replacing one employee is generally estimated to range from 50 percent to 200 percent of the annual salary for the position, and may even be higher in very specialized fields. Furthermore, poor employee retention can have a negative impact on workplace productivity, job satisfaction, and also on the overall morale of the organisation. It is proven that a high turnover percentage can cost employers a great deal of financial distress. Depending on the size of the company, to many employers it can make the difference in staying or going out of business. Phillips (2003,Pg 4) noted that, â€Å"of late employee retention has captured the attention of the business, financial, and executive community as a critically important strategic issue that can have a dramatic effect on productivity and profits.† Cascio, 2000 and Johnson,1995 cited in Griffeth Hom, Retaining Valued Employees (2001), are of the opinion that, human resources professionals and researchers project that the cost of one turnover incidence ranges from between 93% to 200% of a leavers salary, depending on his or her skill and level of job responsibility. Labour turnover has a negative impact on the organizations. Although every manager and team member is aware of problems associated with high turnover, a review of its foremost consequences puts employee retention in the appropriate perspective. Patricia (2002, pg 4, 5) noted that â€Å"employee turnover has a serious impact on organisations. Firstly high financial costs, which is both in terms of direct and indirect costs and the performance of companies has been inhibited in many ways by high turnover rates. Sometimes the costs alone causes turnover to become a critical strategic issue. Secondly, in terms of survival as an issue, where in a tight labour market in which the company depends on having employees with critical skills, recruiting and retaining the appropriate talent can determine the success or failure of the organisation. Thirdly in terms of productivity loses and workflow interruptions , where an employee who quits abruptly not only leaves a productivity gap but also causes problems for others on the same team and within the same flow of work. Fourthly in terms of loss of know-how especially with regards to knowledge industry, where a departing employee may have the critical knowledge and skills needed for working with specific software. This can be a negative impact at least in the short run. Fifthly, turnover can have a serious impact on the image of the organisations.† Patricia (2002) also noted that some of the other impacts of turnover on organisations may be with regards to loss of business opportunities, administrative problems, disruption of social and communication networks, and job satisfaction of remaining employees. Patricia (2002) noted that it is important to remember that turnover can have a negative impact on the individual, particularly if an employee is leaving because of problems that could have been prevented. Furthermore, Patricia (2002) noted that a voluntary turnover because of problems that could have been avoided creates a variety of consequences such as loss of employee benefits or job seniority, financial difficulties, loss of social network, relocation costs, wasted efforts and uncompleted projects, and even more in terms of career problems. Branham (2005) noted that employees quit because of the disengagement process and deliberation process. Branham (2005) also noted that there are 7 reasons as to why employees leave organisations. They are as follows: 1. The job or the workplace was not expected. 2. The mismatch between job and person. 3. Very little coaching and feedback. 4. Few growth and advancement opportunities. 5. Feeling devalued and unrecognised. 6. Stress from overwork and work-life imbalance. 7. Loss of trust and confidence in senior leaders. There is no set level of employee turnover that determines at what point turnover starts to have a negative impact on an organisations performance. Everything depends on the type of labour markets in which you compete. Where it is relatively easy to find and train new employees quickly and at relatively little cost (that is where the labour market is loose), it is possible to sustain high quality levels of service provision despite having a high turnover rate. By contrast, where skills are relatively scarce, where recruitment is costly or where it takes several weeks to fill a vacancy, turnover is likely to be problematic for the organisation. This is especially true of situations in which you are losing staff to direct competitors or where customers have developed relationships with individual employees. Some employee turnover positively benefits organisations. This happens when a poor performer is replaced by a more productive employee, and can happen when a senior retirement allows the promotion or acquisition of welcome fresh blood. The more valuable the employees in question the more damaging the resignation, particularly when they move on to work for competitors. Moderate levels of staff turnover can also help to reduce staff costs in organisations where business levels are unpredictable month on month. When business is slack it is straightforward to hold off filling recently created vacancies for some weeks. Staw (1980 cited in Griffeth and Hom (2002), argues that turnover is not always bad. For instance, vacating employees or employees who quit can increase promotional opportunities for other employees or can infuse new ideas and technologies when new employees replace those who left. Dalton, Krackhardt and Porter (1981cited in Griffeth and Hom (2002), are of the opinion that certain kinds of jobs exits or quits among marginal perfor mers are even desirable. Abelson Bay singer (1994, cited in Griffeth and Hom (2002) that a certain quit rate might be tolerated as a cost of doing business in a particular industry. Stephen Taylor (2002, Pg 15) noted that for many HR specialists, rising staff turnover is seen as being an important organisational problem. It follows that improving retention rates should be high on the management agenda, and it is proper for resources to be devoted to achieving this aim. However a certain amount of turnover is actively welcomed by many managers. â€Å"Nonetheless, Griffeth Hom (2001) have noticed that organisational-level research and corporate studies report that high exit rates generally worsen organisational effectiveness. Though there are diverse opinions from various authors, and taking the above argument into consideration, it is clear that employees play a fundamental role in the success of any organisation and therefore by retaining talented or rather key employees is a very important task that the managers should undertake. Phillips Connell (2002) noted that, some organisations do a superb job of managing retention, whereas others fail miserably. The issues are not always externally driven but often lie within the organisation.

Gifted Students In The Kingdom Of Saudi Arabia Education Essay

Gifted Students In The Kingdom Of Saudi Arabia Education Essay Introduction Making proper stipulation for gifted students is significant for the development and growth of ones society. They are considered as valuable future resources. In the year 1998, the interest in supporting gifted children in the Kingdom of Saudi Arabia grew. They have established programmes in which they were able to identify gifted children. The General Administration for Gifted Students (GAGS) was established in Saudi Arabias Ministry of Education in the year 2000. (Bondagjy, 2000). There has been not enough research and development in the field of introduction of gifted children in Saudi Arabia. According to Al-Ghamdi, 2007, there are very few programmes for gifted students in the Kingdom of Saudi Arabia that was run by the Ministry of Education. The programmes that do exist are new and in need of evaluation and further development in order to provide maximum benefit for gifted students. The Saudi Arabian government believe that the gifts and talents of the young people in the country are nurtured. At the present time, in Saudi Arabia, gifted students who have special characteristics or abilities qualify for provision at the highest levels of services. Since 1999, the Ministry of Education in the Kingdom of Saudi Arabia has demonstrated a strong interest in its gifted students by putting in place programmes that are developed specifically for these students; however, these programmes are rare and new. Therefore I feel it is necessary to carry out an in-depth study of the present state of gifted education, find out what is available and identify the strengths and weaknesses of what is being offered. Objectives of the study From the outset, it is acknowledged that the concept of giftedness and its identification is highly complex. As Gubbins (2002) points out, people all over the world are still asking questions about how we assess and nurture peoples abilities. Whilst there are centres around the world focusing on research and development on gifted education, there are also experts (Borland, 2005) who question the whole concept of identification of gifted students and recommend that what is needed is gifted education without labelling a group as gifted. Borland, however, states that there is agreement amongst experts that high achieving or high-ability students are among those who are the most ill-served when curriculum and instruction are not differentiated.This study aims to make a contribution to the on-going debate in aspects of gifted education. It also hopes to add to the research literature by studying the nature of gifted education in Saudi Arabia, which has a different cultural social and educ ational background to many other countries where gifted programmes exist. More specifically, the aims of this study are: to explore the effectiveness and any possible weaknesses of gifted programmes in Saudi Arabia, by seeking the perspectives of all parties involved; to draw conclusions about the Saudi programmes and make recommendations based on the data collected; to make suggestions based on what is known about gifted programmes in other countries. As previously stated, the study also aims to provide an overview of international literature on gifted education by reviewing gifted education programmes and the range of methods used in other countries. The research questions Based on the aims articulated in the previous section, the following specific research questions have been formulated: How does the Ministry of Education in Saudi Arabia define gifted students? How does the Ministry identify and support gifted students? What is the nature of programmes for gifted students in the Ministry of Education in the Kingdom of Saudi Arabia? How effective are these programmes in terms of making provision in terms of the educational methods and resources for gifted students? In 1969 the Saudi cabinet first recognized the necessity of identifying gifted students -Nafea et all (1992), but no actual steps had been taken for action. Between the years 1990 and 1996, King Abdul Azizs City of Science and Technology, with collaboration from the Ministry of Education and the General Presidency for Girls Education, produced a project for extensive national research. The project titled: identification and care for Gifted Students (Bondagjy, 2000) and consisted of three main aims: To design a programme for identification of gifted students. To design enrichment programme models for mathematics and science curriculum. To enlighten Saudi society about the importance of the identification of gifted pupils and provision for their educational needs. Regarding identification of gifted students, the project employs seven methods, which are: Teachers nomination High academic achievement High achievement in science High achievement in mathematics. IQ test Torrance test for creativity thinking Wechsler IQ test. In 1998, a project (identify and car programme for gifted students) designed for identifying gifted students in the kingdom of Saudi Arabia was implemented by the Ministry of Education (Alwasruh, 2005). This programme consists of four units: Identification of gifted students. Care and enrichment programmes for gifted students. Training, planning and organization. Finance and administration services. This project was a very significant one in that it would serve the purpose of identifying and supporting gifted children of the kingdom. Therefore, it represents a landmark in the history of gifted education in Saudi Arabia. It provided the Ministry of Education with the opportunity to start special programmes for gifted students. Gifted Students Care Centres in Saudi Arabia: The gifted students Care Centres are establishments charged with the task of offering educational, social and psychological care for gifted students. Such centres are supervised by the General Administration for Gifted Students. The administration body which controls each of these centres includes a Centre Director, assistants, teachers, behavioural specialists, laboratory technicians, learning sources specialists and general support technicians. The Kingdom of Saudi Arabia, at the time of writing this thesis, has 31 Care Centres for boys and 20 for girls (MOE, web, 2007). Care Programmes for Gifted Students in the Schools of the Kingdom of Saudi Arabia The General Administration for Gifted Students emphasises that all students should be provided with equal opportunities, so that their abilities may be identified and their gifts and talents developed. In order to achieve this goal, the General Administration for Gifted Students provides a programme to train teachers so as to achieve this purpose. The teachers duties include the introduction of a complete gifted programme prepared by the General Administration for Gifted Students. These programmes start at the beginning of every school term. Among the responsibilities of the teacher is the use of modern methods which help to improve students skills of leadership, social and scientific research skills, as well as improving the parents knowledge about the importance of provision for gifted students. The duties of teachers also include the liaison between the various Care Centres of Gifted Students. The number of schools that have had benefited from this programme, between the years 2002 and 2004 was 264 boys schools and 97 girls schools (Alwasruh, 2005). Support for Gifted Education The Foundation provides funds and support to students in the six main centres for gifted education of the Ministry of Education of Saudi Arabia. These centres are located in Riyadh, Jeddah, Taif, Madinah, Dammam, and Al-Hassa. They work on identifying gifted children and providing them with enriched educational activity. They also assist in the teaching of the whole community about the nature of giftedness and about the role that talents and talented people will play in the future of the Kingdom of Saudi Arabia. Additionally, the Foundation is committed to providing training for all those who interact with the gifted children (KACFG, web, 2007). The KACFG is the first and the biggest foundation to support the education of the gifted and talented in the Saudi Arabia, as it supplies programmes and support with substantial funding. Literature Review This chapter provides a pervasive review of literature relevant to the identification of and provision for gifted students. The contents of this review constitute the basis for the empirical work and the subsequent analysis. It starts with an examination of a range of definitions and conceptions of giftedness. Theories and research relating to various aspects of gifted education are reviewed, accompanied by a critical analysis of various points of view on the complex and contested conceptions of giftedness which provide a theoretical framework for this study. In this section literature on methods of identification of gifted students is reviewed, which will be followed by a review literature on aspects of provision of educational opportunities that will extend and/or enrich the learning of the gifted students. It could be argued that using accurate methods of identification is critical in determining the nature of provision. For example, Gubbins (1995) believes that identifying gifted and talented students is not just about answering the question, who are they? but it must also address the question, how do we find them? and what do we do when we find them? The process of identification may differ from one programme to another. In some programmes, the only means used for identification is the use of standardized tests. In others, the standardized test is only one of the factors in the identification process and in addition to test scores, nominations and recommendations of teachers, parents, staff, and even self-nomination are used (Blackshear 1979; Denton and Postlehwaite, 1984; LPS 1995). ( check spelling of of Post..) Bondagjy (2000) believes that a single test to determine general ability may not be sufficient and that subject specific tests may need to be used: Standardized tests of intelligence offer a good base for staff to identify potential capability, including that of some pupils whose performance is otherwise undistinguished as poor. In a few schools the tests are used in isolation without reference to individual aptitudes in specific areas of the curriculum, either as a short cut for selecting pupils for special enrichment courses, or for determining the composition of teaching groups of. This is less useful than if combined with a subject-specific test. (Bondagjy, 2000, p.20) Standardised tests are used widely by the supporters of the theories of a one-dimensional view of ability, which go back to the first theories of intelligence, such as Spearmans theory ( date) mentioned in the previous section, which has been received with enthusiasm and also with scepticism and rejection. The arguments against this single-dimension view of ability (based on general intelligence that consists of areas that are highly correlated with each other and that are mainly intellectual and tested using IQ tests) led to the creation of multi-dimensional theories of ability, such as that of Renzulli, (1978) Gardner (1983,1993), Sternberg (2000) and others. The multi-faceted theories of giftedness are viewed by many to be more appropriate to define and identify high ability. These authors along with Mihaly Csikszentmihalyi, ( date ) and Benjamin Bloom (1985) have all made compelling arguments for a much broader conception of giftedness. Chongde Tsingan, (2003) describes the cont ribution to the more liberal conceptions of giftedness as: Many western theories of intelligence focus on its physiological or cognitive components. However, Howard Gardners theory of multiple intelligences (1983, 1993), Robert Sternbergs triarchic theory of intelligence (1985) and Stephen Cecis bioecological theory of intelligence (1996) are much broader in scope. They combine and extend aspects of the biological, hierarchical and contextual views of intelligence which include interactions between mental processes, contextual influences and multiple abilities. (p.) The following section provides greater detail of the specific models of identification of giftedness and associated views on high ability, which have informed the nature of data collection in the present study. Saudi Arabia has conducted research to find out the best approach to gifted education, but of course for females who are severely restricted in the subjects they are allowed to study, these moves are somewhat academic. An interesting survey of computer use in Arabic countries was made by a Jordanian, Subhi (1997). He recommended that gifted pupils records should be computerised for easier monitoring of their progress, and he has designed a programme to help this. The problem, he found though, is that although there are computers in Jordanian schools, there are very few of them and the teachers do not generally know how to use them. It looks as though most, if not all, Arab countries are willing to recognise and help the gifted, and several have made forays into out-of-school activities, but the overall outcome is still difficult to define. Some authors (such as Sternberg et al., 1986, Ziegler and Heller, 2000) believe that a consensus is yet to be reached on what is meant by the term (gifted), and yet multiple efforts have been made to establish criteria for this, which include components such as motivation, creativity, task commitment, and problem solving. However, personal talent is described by Renzulli (1999a, p.4) as exceptional ability to select and achieve difficult goals that fit ones interests, abilities and social contexts. In his view, personal talent is a capability developed in the field of self-management that is concentrated by the individual in the direction of selected outcomes that contain well-being, happiness, personal relationships, hobbies as well as career achievements. He proposes that personal talent can be referred to as a range where those in the centre of this continuum can be explained as personally competent, while those at the high end of the range can be categorized as personally talente d. On the other hand, Masten et al. (2002) argue that resilient individuals learn how to overcome obstacles in order to achieve their anticipated goals, and that this can be described as personal talent. Also, Bland et al. (1994) refer to specific characteristics of resilience as an indicator of exceptional abilities and talent regarding children from poor backgrounds. In this regard, Marker et al. (1996) propose that numerous of the principles of distinguishing curriculum for gifted and talented learners support the development of personal talent. They refer to learning environments that foster independence, flexibility and high mobility as being potentially more promising for fostering personal talents than the more traditional teacher-centred classrooms that concentrate on lectures with academic content. However, some researchers regret the fact that research on giftedness has been somewhat biased, having mainly concentrated on IQ-related abilities that address academic skills, and b y-passing or simply ignoring other basic skills such as vocational skills (Bals, 1999), practical intelligence in everyday life (Sternberg, 2000), and, most importantly, social skills (Persson, 1997). Motivation is another issue that has been the focus of research with regard to gifted children. According to Sternberg (2000), some theories depict motivation as an assisting internal factor in the expansion of giftedness. One of these theories is Gages dynamic theory of giftedness which depicts motivation, volition and self-management as interpersonal catalysts that help convert gifts into talents. However, these theories have failed to provide guidance in assisting youths of high ability to develop motivation. For this reason, some researchers (for example, Colangelo et al. 2000; Alrasheed, 2001) believe that talented students should be identified and given tasks at a higher level than the normal school curriculum. Renzulli (1999b) is of the opinion that gifted students should be pro ducers of knowledge rather than mere consumers of existing information. He believes that specific programmes and services for the talented and gifted are the only solution to allow them to live up to their potential. This idea is further supported by Reis et al (1995) who argues that it is not fair to make a gifted child sit in a classroom where learning something new will not happen until the second half of the year. Historical review of school counselling in the KSA Initially, in 1981, the Ministry of Education established the General Directorate of Guidance and Counselling. Since that time, guidance and counselling has become formalized and recognized as a profession, and counsellors have been appointed to deal with psychological, social, educational, and vocational problems and deliver protective counselling (Ministry of Education KSA, 1999). It should be mentioned here that the model for and practice of guidance and counselling in SaudiArabian schools was derived from western sources, mainly the United States. More than two decades have passed since the guidance and counselling programme was established in Saudi schools. Its development has progressed at a slow rate and, currently, it faces various problems. The major difficulty relates to the definition of the role and function of the school counsellor (Al-Gamdi, 1999) which is unclear to principals, teachers, parents, students and school counsellors themselves. Due to this problem, counsell ors have found themselves overly involved in paperwork and administrative tasks and duties not related to school counselling. Additionally, counsellors often complain about lack of support and cooperation from others involved in the counselling service, especially parents (Al-rebdi, 2000). In this situation, if school counsellors in Saudi Arabia are to provide better services for students, their role must be clearly defined. It is also necessary for those involved in counselling to have a clear view of what counsellors should and should not do. Added to this, counsellors must choose carefully how they spend their time and energy. As the role and functions of the school counsellors become clearer, they should be able to respond better to the needs of their students. Furthermore, in 1981, following decree number 216/k issued by the Ministry of Education, the Social Educational Administration was replaced by the Student Guidance and Counselling Service, and guidance and counselling in Saudi schools became formalised. That same year, the name was changed again to the General Administration for Guidance and Counselling (Ministry of Education, 1999). The responsibilities of this administration are as follows: 1- To plan, prepare and develop the programme and services of guidance and counselling. 2- To provide professional staff who are capable of delivering such services to all students at various stages of education. 3- To provide students with the appropriate care applicable to their ages and their psychological, educational and social needs. 4- To assist students to develop their capabilities, potentialities and talents, to allow them to face their problems and to help them feel comfortable with themselves and with the community in which they live. 5- To attain a high standard of mental health in a way that reflects the targets and goals sought by educational guidance in general (Ministry of Education, 1999). Saleh (1987) pointed out that, due to the immediate need for professionals to monitor and guide the counselling service in schools, the Ministry of Education sought personnel from among the existing social education supervisors to act as the supervisors; counselling and guidance programmes in addition to carrying out their normal duties. The Ministry of Education also sought personnel from within the existing teaching force, provided they had the relevant experience, to work temporarily as counsellors in schools. To meet the need for school counsellors in all schools, the General Administration for Guidance and Counselling allowed those with a Bachelors degree in psychology, social work or sociology to perform the role of the school counsellor until enough trained professional counsellors could be provided. In order to meet the need for trained full-time counsellors to work in schools, universities in Saudi Arabia were requested to offer guidance and counselling programmes at masters level. Statistical information for the year 2000 shows that there were 229 counselling supervisors and 3381 school counsellors overall (Ministry of Education, 2000). By 2003, the number of counsellors had increased rapidly toabout 4000(Al-Rebdi, 2004). The Ministry of Education (1999) defined the term counselling as the interactive process though which the counsellor assists the student to understand himself and recognise his capabilities and potentialities and gives him a more enlightened approach to his problems and how to face them. Counsellors also help students to enhance their responsible behaviour and to show conformity with their community. Counselling gifted students Landau (1990) noted that gifted students might become isolated and alienated. Moreover, Rogers (1983) pointed out that in an egalitarian system children not only lack the opportunity for confirmation and social acceptance, but they also often lack the freedom to learn. The need for confirmation and emotional support is well known in the literature which focuses on giftedness and talent (Csikszentmilalyi et al., 1993; Kelley, 1999; Stednitz, 1995). Donna (1999) suggests that teachers and counsellors need to encourage minority students to consider a teaching career in general and gifted student education in particular. Ford (1995) however, believes that from an historical point of view, the counselling of gifted students has not been an important part of educational and counselling discourse. He points out that misconceptions and stereotypes of gifted students as being immune to social, emotional, and academic problems have contributed to the lack of counselling for these students, and in cases where counselling is available it is only limited to academic, assessment and placement issues. According to Ford, the fact that more children are entering school with serious personal and academic problems should entail an expansion in the responsibilities and roles of counsellors to meet the needs of all children who seek guidance and assistance. But nonetheless according to Alrasheed, (2001) the limited availability of counselling services has failed to meet the enormous need for counselling services and research regarding gifted individuals. In this respect he endeavoured to provide counsellors, classroom teachers and educationalists as well as parents with advice regarding the understanding of the academic and social needs of gifted and talented students. Persson (2005) considers mentorship as a possible solution to aid the immediate psychological and intellectual needs of gifted individuals, particularly received mentorship. According to Person, mentorship could be direct or indirect by cooperating with the student to find a mentor of his choice, given the fact that not a ll gifted students would be likely to choose their counsellors to be their mentors. Person expresses the conviction that mentorship is the only viable counselling solution in an egalitarian context, which lacks recognition and particular provision for gifted individuals. Ford (1995) outlines the goal of counselling as that of promoting healthy self-concepts and ensuring psychological growth. Bearing that in mind, counsellors must have an awareness and understanding of the many issues that hinder gifted students and affect their psychological, social and emotional well-being. He recognises the role of counsellors in ensuring that such students remain in gifted programmes once identified and placed. Finally the concept of counselling needs to be defined within a context where it is not a task assigned merely to a particular group. Instead, as Brown et al. (1992) suggest the task has expanded from an initial concern with educational and vocational guidance to the remediation and prevention of personal, interpersonal, vocational and educational concerns. Consequently, according to Persson (2005), the aim of the intervention is for the individual to gain an understanding of self and context, in which case individual differences become a sensitive and even problematic issue, particularly in cases where gifted individuals are involved. Research Problem There have been few programmes for gifted students offered in the Kingdom of Saudi Arabia. Even though there has been programmes existing, it is new and is for further evaluation to be able to develop it more for the students. It has been believed that if there has been more developed programmes for gifted children then they will be more enhanced and so, benefiting the country. The Kingdom of Saudi Arabia have put up programmes for gifted students but is new and rare. There has been studies regarding the support of the authorities in the schools on how to support gifted students. The research questions Based on the aims articulated in the previous section, the following specific research questions have been formulated: How does the Ministry of Education in Saudi Arabia support gifted students? Does the authorities in the schools help in the development of the programmes? How do we determine the effectiveness of the programmes with the school counsellor, principal, and teachers help? Sub-questions Two sub-questions will also be explored: Do the teacher, student counsellor and principal who work with gifted students have special qualifications? What is the level and nature of the response of gifted students to these programmes? Research Design The design of the study is intended to determine: first, the relationship of the roles of student counsellor, teachers, and principals to the performance of the gifted students; second, the effectiveness of the programmes in developing the capacity of the gifted students. Instrumentation and Data Collection The researchers visited the [Insert name of University Library or City Library] for journals, articles and studies needed for the research paper. The researchers gathered time-series data from different physical training institutions to assure of its validity and consistency. The primary data will be gathered using quantitative method, as this is best useful with questionnaires. The use of quantitative method will be appropriate for the research because the results in the questionnaires consist of numerical information, mostly based from the ratings included in the questions. Quantitative methods are used to provide reference to numeric calculations and are often used with questionnaires that have a specific goal and a target to achieve. This is helpful in the research, and its instigation in the process needs to be further culminated so that the problem is solved with efficiency and precision. In gathering data, the researcher would like to clear certain ethical issues that might hinder the processing of data. First, confidentiality will be kept at all costs. As the main reason why questionnaires will be used in the research is for the respondents to feel secure and to be assured that their answers will not be related to who they are. There may be instances wherein the respondent will divulge information that will be detrimental to the company, or to its competitors, depending on the case. Hence, there is a better chance at more responsive respondents if they can be assured of their confidentiality. Second, the Data Protection Act will be followed at all costs. The compliance with the act will be transparently said to the respondents so that they are further assured that anything they say in response to the questions asked them will only be used for the benefit of the research and not in any other practices. It should also be clear to the researcher that any information regarding the respondents cannot be released to anyone who is not immediately connected with the research unless permission from the subject respondent has been secured beforehand. Third, the research must always bear in mind the objectives of the study and never stray away from them. A researcher who has no definite purpose in doing the research is going nowhere and is exerting effort in a research that is not delimited properly and punctually. The purpose of the research is explicitly stated at the beginning of the research and is implied in every step of the realization of the research so as to not delineate the researcher from his goals. Lastly, the researcher must opt to practice objectivity. As the researcher, he is expected to keep an open-minded approach to the topic, keeping from his mind and personal bias in the subject matter or on the people involved. The reason for doing research is to test existing information, validate, prove or disprove existing ideas, or to test the limits of a certain prospect. Given this simple definition, it is clearly seen that in no form is the personal opinions of the researcher expected to hinder in the subject. Any act that might be biased or subjective will hint of the researchs failure to achieve its goals. Planned Method of Analysis The researchers plan to analyze the different test conducted through constant evaluation of the gifted students and how they perform. There will be a weekly evaluation in terms of how the programmes and the role of the authorities, and the effect of it to their performance. The performance in the field will be evaluated by the gifted students progress and development. Conclusion This study adds to a growing body of literature that reinforces the importance of examining the programmes for gifted students adopted by the Ministry of Education in the Kingdom of Saudi Arabia for further development. There is no, to the researchers knowledge, research that investigates such programmes. This study is identified as being the first study at the level of a doctorate research project which evaluates the gifted programmes in the Ministry of Education from the point of view of the students, the schools and the workers in such programmes. The study further attempts to use the most effective methods of collecting information, which the researcher obtained data in the form of questionnaires, interviews, observation and documentation. The mixed methods employed in the research made it possible to triangulate both qualitative and quantitative research. Further to these methods, the study used the most popular electronic program (SPSS) to gather and analyse the data as well as to design the tables and diagrams. The study focuses on the research questions at every stage of the research, either theoretically or practically. The researcher also oversaw the validity and procedural aspects of the questionnaire through sitting with students and workers when they answered the questions in order to clarify any ambiguity and confusion on their behalf. In general, the results of the study agree with many of the theoretical studies mentioned in chapter two. Finally, this is a serious explorative study, which has

Anorexia Nervosa Essay -- Eating Disorders

Thesis Statement: Anorexia Nervosa effects a person both physically and mentally. Anorexia represents one percent of most prevalent eating disorder diseases. The word anorexia itself means, â€Å" lack of appetite†. Anorexia is an all-encompassing pursuit of thinness. The person effected by Anorexia has an absolute fear of becoming obese (Matthew 4). Approximately one percent of adolescent girls develops Anorexia Nervosa, a dangerous condition in which they can literally starve themselves to death. People who starve intentionally starve themselves suffer from an eating disorder. The disorder, which usually begins in the young people around the time of puberty, involves extreme weight loss. At least fifteen percent below the individuals normal body weight. Many people with the disorder look emaciated, but are convinced they are over weight (Matthew 5). Anorexia Nervosa has three Diagnostic Criteria. One is refusal to maintain body weight at or above normal. The other is, intense fear of becoming fat, even though under average weight. The last one is, Disturbance in the way in which one’s body weight or shape is experienced, undue influence of body weight or shape on self- evaluation, or denial of the seriousness of low body weight (Long 15). Anorexia Nervosa has two specific types, one is Restricting type and the other is Binge-Eating/Purging type. Restricting type during the current episode of Anorexia Nervosa, the person has not regularly engaged in binge- eating or purging behavior. In Binge- Eating /Purging type, during the current episode of Anorexia Nervosa, the person has regularly engaged in binge-eating/purging behavior (Rockwell 10). Anorexia may not be noticed in early stages. The Anorexic usually chooses to wear layered and baggy clothes to hide the â€Å"ugly fat body† .An Anorexic may have ritualistic eating patterns such as cutting food into little tiny pieces and weighing themselves. These can be found in people who are on a healthy diet, but in Anorexics these behaviors are extremely exaggerated. Other warnings are deliberate self-starvation with weight loss, fear of gaining weight, refusal to eat, denial of hunger, constant exercising, sensitivity to cold, absent or irregular periods, loss of scalp perception of being fat when the person is really to this. Some other associated features are depressed mood, somatic sexual dysfunction, and ... ...l with in society. Two developed Anorexia after seeing a â€Å" movie of the week† where the main character was Anorexic. Mike’s ten year old daughter developed Anorexia after seeing â€Å"The Body Trap†, a program on Nickelodeon. These findings seem to exemplify along standing debate, if educational programs prevent eating disorders or contribute to them. This is not a scientific study , just a dad with some very disturbing news: Television programs dealing with Anorexia and / or eating disorder are triggering Anorexia in some of our children (Long 15). Works Cited Cottrell, Randall R. "Anorexia Nervosa." Grolier Wellness Encyclopedia: Weight Control. Ed. Robert E. Kline. Vol. 15. Guilford, CT: Duskin, 1992. 117. Long, Phillip W. "Anorexia Nervosa." Internet Mental Health. Jan. 1997. St. Joseph Medical Center. 19 Aug. 1998 . Matthews, John R. Library in a Book: Eating Disorders. New York: Facts on File Inc. 1991 O’Dwyer, Michael P. Student Eating Disorders : Anorexia Nervosa and Bulimia. Washington, D.C.: National Education Association, 2005. Rockwell, L., Understanding Eating Disorders. Washington, D.C.: Taylor & Francis. 2004

Evaluating Algebra 1 Textbook & Reading Strategies Essay -- Education

Introduction In Yorba Buena high school, English Language Learning (ELL) student face obstacles connecting with the textbooks and comprehending the academic content. Section 10.1 of the Algebra 1 textbook (Larson, Boswell, Kanold & Stiff, 2007) is analyzed for comprehensibility and strategies to support students to connect with the text at intellectual level (Vacca, Vacca & Mraz, 2011). The chapter ten of the textbook will be thought at a tenth grade class during the week of March 11, 2012. Most of the learners in this Algebra 1 class are classified as level three and level four ELL students (California department of Education, 1999) and most of the students speak fluent conversational English. A page from section 10.1 of the Algebra 1 textbook is included (Appendix A, Figure x), page consist of about 250 words and defines five new content specific low frequency vocabulary. Text book Analysis Section 10.1 of the Algebra 1 textbook analysis is performed in the context of a specific classroom, students, reading proficiency, and learning goals. In essence textbook is evaluated from reader’s perspective and the learning of complex and abstract mathematical models. Chapter 10 objective is to develop foundation to graph and solve quadratic equations (Larson, Boswell, Kanold & Stiff, 2007). Applicable California Common Core Content Standards for Mathematics are moderately vigor and requires students to: 1. Complete the square in a quadratic expression to reveal the maximum or minimum value of the function it defines. (Common Core Standard A-SSE-3b) 2. Create equations in two or more variables to represent relationships between quantities; graph equations on coordinate axes with labels and scales (limit to linear and quadratic). (Co... ...(Exhibit C, Figure 3) of Concept Definition (CD), (Vacca, Vacca & Mraz, 2011, p.256). Graphic organizers are effective tool in conjunction with sheltered instructional pedagogy to scaffold ELL students to access grade level content. â€Æ' Works Cited California department of Education. (1999). Retrieved on March 10, 2012 from http://www.cde.ca.gov/be/st/ss/documents/englangdevstnd.pdf California department of Education, K-12 California’s Common Core Content Standards for Mathematics (2010). Retrieved March 10, 2012 from http://www.scoe.net/castandards/agenda/2010/math_ccs_recommendations.pdf Larson, R., Boswell, L., Kanold, T. D., & Stiff, L. (2006). Algebra 1. McDougal Littell/Houghton Mifflin. Vacca, Richard T., Vacca, Jo Anna L., and Mraz, Maryann (2011). Content Area Reading: Literacy and Learning Across the Curriculum(10th Edition). Boston: Pearson.

The Frying Pan :: essays research papers

  Ã‚  Ã‚  Ã‚  Ã‚  The metaphors that Conrad Hilberry stated in his poem â€Å"The Frying Pan†, expressed some of the feelings that some women encounter throughout their life. In this poem I believe that Hilberry related this poem to a female that was in a relationship with a very controlling guy.   Ã‚  Ã‚  Ã‚  Ã‚  In the first stanza it says â€Å"I am another long-necked girl with the same face.†, a girl that has the same face makes me think of a girl that has no expressions, and hardly ever shows emotion, and this could be because she was controlled by her boyfriend or husband.   Ã‚  Ã‚  Ã‚  Ã‚  Throughout the first stanza it states â€Å"I am emptiness reflected in a looking glass, a head kept by a collar and leash†, the first thing that comes to my mind when I read that is that there is a girl that feels empty inside, and that she is kept on a leash by her significant other. Some examples of this could be that her significant other could have beaten her, or verbally abused her by telling her that should could not do certain things, and that can relate to being on a leash. Also in the first stanza it says â€Å"a round belly with something knocking to get in†, this could refer to her boyfriend or husband. From saying a round belly this might mean that he is over weight, and saying that something is knocking to get in could mean that all he wants to do is to have sexual intercourse with her, as in the â€Å"something knocking† refers to his penis, and â€Å"to get in† could refer to her vagina.   Ã‚  Ã‚  Ã‚  Ã‚  In the Second Stanza when it says to cross the handle and she would become Venus could refer to breaking up with her significant other and having the confidence of being attractive because Venus is the goddess of love.

Ethics Essay Essay

Ethics is a study that deals with whether behavior is morally right or wrong in human life. Ethics further relates to human obligations in society, measurements of fairness and individual virtues. Ethical development is an important societal tool that is based on the basis of understanding and defining cultural morality. There is more than one type of ethics. In this paper, I will briefly describe the differences between three types of ethics: utilitarianism, virtue theory, and deontological ethics. By comparing the similarities and differences among the three types one can begin to develop an overall understanding of the role ethics plays on social responsibility. Also, I will give one of my personal experiences and attempt to explain the relationship between virtue, values, and moral concepts and how they relate to the deontology theory. Utilitarianism ethics are ethics of consequences. They are based on the principle that any action is good as long as it results in providing the greatest good for a majority. This means that the consequences of an action must benefit the greatest number of people involved. â€Å"The best consequences are those in which happiness is maximized†, (Brown, C., 2001). Virtue theory is also known as an ethics of duty or obligation and is sometimes referred to as ethics based on character. By definition, virtues are â€Å"character traits that make up a moral life†, (Manias, Monroe, & Till, 2013). This theory stands on the belief that one should strive to be excellent in everything they do while cultivating desirable moral qualities. Deontology is slightly different from virtue theory. It places an emphasis on duties that follow a set of rules. For this theory, â€Å"an action is right if it is in accordance with a moral rule or principle†, (Brown, C., 2001). Like virtue theory, deontology focuses on what is best for everyone involved. However, deontology leans more upon the reason or principles behind the  course of right action taken. The deontological ethical theory was founded by philosopher Immanuel Kant. Deontology often refers to Kantian ethics. According to Immanual Kant, â€Å"an action is right if it is in accordance with a moral rule of principle†, Brown, C., 2001). There are tangible similarities among all of these three ethical theories. The first similarity would be consequence of action. Consequence is usually not the main focus of an action, yet all three theories expect the outcome of the action to result beneficially. Although the basis of the action varies by principles or virtu es, the action should be condoned by the outcome. Perhaps the best way to explain the differences between deontology, virtue ethics, and utilitarianism is to imagine the following scenario from the perspective of all three theories. Suppose you notice a female driver having car trouble and she is stranded on the side of the freeway. As you get closer you notice she is standing in front of her car with the hood open. She is in tears as she waves the smoke coming from her engine away from her eyes. The woman is obviously in need of assistance. By pulling over to assist her, you would be acting on your moral duty. In virtue theory, this act of kindness would be described as a charitable act of admirable character. In utilitarianism the act of kindness would be beneficial to both parties. The example that I provided was actually from my own experience. I was the driver in need of assistance. Thankfully, what I would call a virtuous man happened to stop and assist me that day. The alternator in my car had gone out and my battery was nearly drained by the time the other driver pulled over to help me. I referred to him as a virtuous man because he did not plan on receiving anything in return and did not particularly benefit from helping me. In summary, virtue theory concentrates on one’s moral ethics without the expectation of a specific consequence or rule. Utilitarianism focuses on beneficial results for all persons involved while emphasizing the greater good. Lastly, deontology focuses on moral duty in adherence to a specific set of rules or moral code. In conclusion, the quality of life in our culture and society depend greatly on ethical development. There are slight differences and similarities between virtue ethics, deontology and utilitarianism. Through life experiences, one can develop their own personal ethical style which will likely fall in line with one of these theories. For one to develop morally ethical behavior they need to have a basic  understanding of right and wrong. References Brown, C. (2001). Trinity.Edu. Retrieved from http://www.trinity.edu/cbrown/intro/ethical_theories.html Manias, N., Monroe, D., & Till, J. E. (2013). Ethics Applied (7th ed.). Boston, MA: Pearson Education, Inc.

Difference Entre Ifrs Us Gaap Swiss Gaap Fer

IFRS US GAAP Swiss GAAP FER Summary of similarities and differences 2007/2008 Edition 1 IFRS – US GAAP – Swiss GAAP FER Summary of similarities and differences 2007/2008 Edition This PricewaterhouseCoopers publication is for those who wish to gain a broad understanding of the key similarities and differences between IFRS, US GAAP and Swiss GAAP FER. No summary publication can do justice to the many differences of detail that exist between IFRS, US GAAP and Swiss GAAP FER. Even if the guidance is similar, there can be differences in the detailed application, which could have a material impact on the financial statements. It needs to be stressed that this brochure deals with the main differences only. Many more pages would be needed to be more comprehensive, but that was not our objective with this publication. This publication focuses on the measurement similarities and differences most commonly found in practice. When applying the individual accounting frameworks, readers should consult all the relevant accounting standards and, where applicable, their national law. Listed companies should also follow relevant securities regulations. IFRS and US GAAP are globally acknowledged accounting standards for which a broad range of theoretical background, interpretations and literature is available. Swiss GAAP FER focuses on accounting for small and medium sized organisations and groups based in Switzerland; if there are questions that are not answered by a respective standard, the general principle of a true and fair view should be applied. This summary is based on IFRS and US GAAP developments up to August 2007 and on Swiss GAAP FER as applicable from January 1, 2007. It does not cover Swiss GAAP FER 14 Consolidated financial statements of insurance companies, Swiss GAAP FER 21 Accounting for charitable, social non-profit organisations and Swiss GAAP FER 26 Accounting of pension plans. We trust you will find this publication useful in helping you identify the key differences between IFRS, US GAAP and Swiss GAAP FER. SUBJECT Accounting framework Historical cost or valuation IFRS US GAAP Swiss GAAP FER Generally uses historical cost, but intangible assets, property, plant and equipment (PPE) and investment property may be revalued to fair value. Derivatives, certain other financial instruments and biological assets are revalued to fair value. Full retrospective application of all IFRS effective at the reporting date for an entity’s first IFRS financial statements, with some optional exemptions and limited mandatory exceptions. Reconciliations of profit or loss in respect of the last period reported under previous GAAP, of equity at the end of that period and of equity at the start of the earliest period presented in comparatives must be included in an entity's first IFRS financial statements. No revaluations except for certain types of financial instrument. Basically, historical cost convention applies. However, for several balance sheet positions Swiss GAAP FER defines deviations from that convention (fair value) or allows choices between two options. First-time adoption requires a presentation of the prior year balance sheet in compliance with Swiss GAAP FER only. First-time adoption of accounting framework First-time adoption of US GAAP requires retrospective application. There is no requirement to present reconciliations of equity or profit or loss on first-time adoption of US GAAP. Financial statements Components of financial statements Two years’ balance sheets, income statements, cash flow statements, changes in equity and accounting policies and notes. Similar to IFRS, except three years required for SEC registrants for all statements except balance sheet. Specific accommodations in certain circumstances for foreign private issuers that may offer relief from the three-year requirement. Entities may present either a classified or non-classified balance sheet. Items on the face of the balance sheet are generally presented in decreasing order of liquidity. SEC registrants should follow SEC regulations. Similar to IFRS. Balance sheet Does not prescribe a particular format. A liquidity presentation of assets and liabilities is used, instead of a current/ non-current presentation, only when a liquidity presentation provides more relevant and reliable information. Certain minimum items are presented on the face of the balance sheet. Does not prescribe a particular format. A current/noncurrent presentation of assets and liabilities is used unless a liquidity presentation provides more relevant and reliable information. Certain minimum items are presented on the face of the balance sheet. A minimum structure is required. Several items have to be disclosed separately on the face of the balance sheet or within the notes. Income statement Present as either a single-step or multiple-step format. Expenditures are presented by function. SEC registrants should follow SEC regulations. A minimum structure is required, either by nature or by function. Several items have to be disclosed separately on the face of the income statement or within the notes. 3 SUBJECT Exceptional (significant) items IFRS Does not use the term but requires separate disclosure of items that are of such size, incidence or nature that separate disclosure is necessary to explain the performance of the entity. Prohibited. US GAAP Similar to IFRS, but individually significant items are presented on the face of the income statement and disclosed in the notes. Swiss GAAP FER Does not use the term exceptional, but significant items are to be disclosed separately. Extraordinary items Defined as being both infrequent and unusual, and are rare. Negative goodwill is presented as an extraordinary item. Total comprehensive income and accumulated other comprehensive income are disclosed, presented either as a separate primary statement or combined with the income statement or with the statement of changes in stockholders’ equity. Similar to IFRS except that US GAAP does not have a SoRIE, and SEC rules permit the statement to be presented either as a primary statement or in the notes. Defined as being extremely rare in the context of the ordinary operations and as being not predictable. Not addressed. Statement of recognised income and expense (SoRIE)/ Other comprehensive income and statement of accumulated other comprehensive income A SoRIE can be presented as a primary statement, in which case a statement of changes in shareholders’ equity is not presented. Alternatively, it may be disclosed separately within the primary statement of changes in shareholders’ equity. Statement shows capital transactions with owners, the movement in accumulated profit and a reconciliation of all other components of equity. The statement is presented as a primary statement except when a SoRIE is presented. In this case, only disclosure in the notes applies. Standard headings but limited guidance on contents. Use direct or indirect method. Statement of changes in shareholders’ (stockholders’) equity Similar to IFRS except SoRIE alternative. Certain minimum disclosures of components of equity and changes in equity. Cash flow statements – format and method Similar headings to IFRS, but more specific guidance for items included in each category. Direct or indirect method used. Similar to IFRS, except that bank overdrafts are excluded. Similar to IFRS, but with more guidance regarding contents and with examples of noncash transactions. Cash includes cash equivalents with maturities of three months or less from the balance sheet date and may include bank overdrafts. Similar to IFRS. Cash flow statements – definition of cash and cash equivalents Cash includes cash equivalents with maturities of three months or less from the date of acquisition and may include bank overdrafts. No exemptions. Cash flow statements – exemptions Changes in accounting policy Limited exemptions for certain investment entities and defined benefit plans. Similar to IFRS. Comparatives and prior year are restated against opening retained earnings, unless specifically exempted. Prior year financial statements have to be restated. The notes need to disclose why the accounting principle has changed, the nature of the change and its financial impact. Prior year financial statements have to be restated. Explanation and quantitative disclosure of the effects of errors within the notes. Correction of errors Comparatives are restated and, if the error occurred before the earliest prior period presented, the opening balances of assets, liabilities and equity for the earliest prior period presented are restated. Similar to IFRS. 4 SUBJECT Changes in accounting estimates IFRS Reported in income statement in the current period and future, if applicable. US GAAP Similar to IFRS. Swiss GAAP FER Changes in accounting estimates are to be reported in the income statement in the current period and future, if applicable, and to be disclosed within the notes. Consolidated financial statements Consolidation model Based on control, which is the power to govern the financial and operating policies. Control is presumed to exist when parent owns, directly or indirectly through subsidiaries, more than one half of an entity’s voting power. Control also exists when the parent owns half or less of the voting power but has legal or contractual rights to control, or de facto control (rare circumstances). The existence of currently exercisable potential voting rights is also taken into consideration. Consolidated where the substance of the relationship indicates control. A bipolar consolidation model is used, which distinguishes between a variable interest model and a voting interest model. The variable interest model is discussed below. Under the voting interest model, control can be direct or indirect and may exist with less than 50% ownership. ‘Effective control’, which is a similar notion to de facto control under IFRS, is very rarely if ever employed in practice. Control rinciple applies. Control is presumed to exist when parent owns, directly or indirectly through subsidiaries, more than one half of an entity’s voting power. Control also exists when the parent owns half or less of the voting power but has legal or contractual rights to control (e. g. shareholder commitment contract, majority in the supervisory body/management body). Special purposes entity (S PE) Variable interest entities (VIEs) are consolidated when the entity has a variable interest that will absorb the majority of the expected losses, receive a majority of the expected returns, or both. A voting interest entity, in which the entity holds a controlling financial interest, is consolidated. If a SPE meets the definition of a qualified SPE (QSPE), the transferor does not consolidate the QSPE. Organisations with a differing business activity are to be considered in the scope of consolidation. This also applies, as a matter of principle, for SPEs. Definition of associate Based on significant influence, which is the power to participate in the financial and operating policy decisions; presumed if 20% or greater interest. Equity method is used. Share of post-tax results is shown. Detailed information on associates’ assets, liabilities, revenue and profit/loss is required. Similar to IFRS, although the term â€Å"equity investment† is used instead of â€Å"associate†. Comparable to IFRS. Voting rights ;= 20% and ; 50% and control cannot be exercised. Presentation of associate results Disclosures about associates Similar to IFRS. Similar to IFRS. Comparable to IFRS. Not addressed. However, significant balance sheet information of non-consolidated organisations has to be disclosed if the value of those investments exceeds 20% of the group’s equity. If associated organisations report goodwill such goodwill will need to be disclosed within the notes. 5 SUBJECT Associate’s accounting policies IFRS Adjustments are made for consolidation purposes to the associate’s policies to conform to those of the investor. Both proportional consolidation and equity method permitted. Consolidated where substance of relationship indicates control (SIC-12 model). Entity’s own shares held by an employee share trust are accounted for as treasury shares. US GAAP No adjustment to accounting policies is required if the associate follows an acceptable alternative US GAAP treatment. Equity method required except in specific circumstances. Similar to IFRS except where specific guidance applies for Employee Stock Ownership Plans (ESOPs) in SOP 93-6. Swiss GAAP FER Similar to IFRS. Presentation of jointly controlled entities (joint ventures) Employee share (stock) trusts Similar to IFRS. Not addressed. Business combinations Types: acquisitions or mergers All business combinations are acquisitions, thus the purchase method is the only method of accounting that is allowed. Assets, liabilities and contingent liabilities of acquired entity are fair valued. If control is obtained in a partial acquisition of a subsidiary, the full fair value of assets, liabilities and contingent liabilities, including portion attributable to the minority (non-controlling) interest, is recorded on the consolidated balance sheet. Goodwill is recognised as the residual between the consideration paid and the percentage of the fair value of the business acquired. Liabilities for restructuring activities are recognised only when acquiree has an existing liability at acquisition date. Liabilities for future losses or other costs expected to be incurred as a result of the business combination cannot be recognised. Purchase method – contingent consideration Included in cost of combination at acquisition date if adjustment is probable and can be measured reliably. Stated at minority’s share of the fair value of acquired identifiable assets, liabilities and contingent liabilities. Similar to IFRS. Not addressed. Purchase method – fair values on acquisition There are specific differences to IFRS. Contingent liabilities of the acquiree are recognised if, by the end of the allocation period: †¢ theirfairvaluecanbe determined, or †¢ theyareprobableandcan be reasonably estimated. Specific rules exist for acquired in-process research and development (generally expensed). Some restructuring liabilities relating solely to the acquired entity may be recognised if specific criteria about restructuring plans are met. Comparable to IFRS. Net assets taken over in an acquisition are to be valued at fair values. Goodwill is recognised as the surplus of acquisition cost over the newly valued net assets and to be capitalised as an intangible asset. Contingent liabilities and restructuring liabilities not specifically addressed. Generally, not recognised until contingency is resolved and the amount is determinable. Stated at minority’s share of pre-acquisition carrying value of net assets. Not addressed. Purchase method – minority interests at acquisition Not addressed, but treatment would need to be disclosed as part of the consolidation principles. 6 SUBJECT Purchase method – intangible assets with indefinite useful lives and goodwill IFRS Capitalised but not amortised. Goodwill and indefinite-lived intangible assets are tested for impairment at least annually at either the cash-generating unit (CGU) level or groups of CGUs, as applicable. US GAAP Similar to IFRS, although the level of impairment testing and the impairment test itself are different. Swiss GAAP FER Goodwill: Either capitalise and amortise over useful life (normally five years; disclose the goodwill separate in the balance sheet or within the notes) or allocate directly to retained earnings at acquisition date only (in this case separate disclosure within the statement of changes in equity necessary and the effects of a theoretical capitalisation as well as of any impairment and ordinary amortisation have to be presented within the notes). For intangible assets with a useful life that cannot be clearly determined an amortisation period of five years is applied, in justified cases a period of twenty years at the most. Purchase method – negative goodwill The identification and measurement of acquiree’s identifiable assets, liabilities and contingent liabilities are reassessed. Any excess remaining after reassessment is recognised in income statement immediately. Not specifically addressed. Entities elect and consistently apply either purchase or pooling-of-interest accounting for all such transactions. Any remaining excess after reassessment is used to reduce proportionately the fair values assigned to noncurrent assets (with certain exceptions). Any excess is recognised in the income statement immediately as an extraordinary gain. Generally recorded at predecessor cost; the use of predecessor cost or fair value depends on a number of criteria. Not addressed, but treatment would need to be disclosed as part of the consolidation principles. Business combinations involving entities under common control Not addressed. Revenue recognition Revenue recognition Based on several criteria, which require the recognition of revenue when risks and rewards and control have been transferred and the revenue can be measured reliably. Similar to IFRS in principle, although there is extensive detailed guidance for specific types of transactions that may lead to differences in practice. Comparable to IFRS. Income is the inflow of benefits in the reporting period through increase of assets and/or decrease of liabilities that increase shareholders’ equity without receiving an investment from the shareholders. Income is only recognised if the related changes of assets and/or liabilities may be reliably determined. Not addressed. Multiple-element arrangements Revenue recognition criteria are applied to each separately identifiable component of a transaction to reflect the substance of the transaction – e. g. to divide one transaction into the sale of goods and to the subsequent servicing of those goods. No further detailed guidance exists. Arrangements with multiple deliverables are divided into separate units of accounting if deliverables in arrangement meet specified criteria outlined in EITF 00-21. Specific guidance exists for software vendors with multiple-element revenue arrangements. 7 SUBJECT Construction contracts IFRS Accounted for using percentage-of-completion (PoC) method. Completed contract method is prohibited. US GAAP Similar to IFRS; however, completed contract method is permitted in rare circumstances. Swiss GAAP FER Accounted for using the PoC method. Completed contract method required if preconditions for PoC method are not met. Expense recognition Interest expense Recognised on an accruals basis using the effective interest method. Interest incurred on borrowings to construct an asset over a substantial period of time is capitalised as part of the cost of the asset. Employee benefits: pension costs – defined benefit plans Projected unit credit method is used to determine benefit obligation and plan assets are recorded at fair value. Actuarial gains and losses can be deferred. If actuarial gains and losses are recognised immediately, they can be recognised outside the income statement. Similar to IFRS. Not addressed, in practice similar to IFRS. Interest incurred on borrowings to construct tangible fixed assets and inventories including long-term contracts may be capitalised. Swiss GAAP FER make use of the financial statements of the respective pension fund, if any. An organisation has to assess annually whether an economical benefit or economical obligations from a pension plan (and from a patronage fund) exists. Swiss GAAP FER alternatively allow the application of an international accounting standard (e. g. IFRS, US GAAP) in presenting the economical impact of pension obligations; however, entities applying this option only use respective prescriptions for pension obligations. Not addressed. Similar to IFRS with some differences in the detailed application. Similar to IFRS but with several areas of difference in detailed application. Actuarial gains and losses cannot be deferred and are recognised in accumulated other comprehensive income with subsequent amortisation to the income statement. Employee share-based payment transactions Expense for services purchased is recognised based on the fair value of the equity awarded or the liability incurred. Termination benefits arising from redundancies are accounted for similarly to restructuring provisions. Termination indemnity schemes are accounted for based on actuarial present value of benefits. Similar model to IFRS, although many areas of difference exist in application. Termination benefits Four types of termination benefits with three different timing methods for recognition. Termination indemnity schemes are accounted for as pension plans; related liability is calculated as either a vested benefit obligation or according to the actuarial present value of benefits. Termination benefits are accounted for as provisions and do not fall within the scope of Swiss GAAP FER 16 Pension benefit obligations. 8 SUBJECT Assets Acquired intangible assets IFRS US GAAP Swiss GAAP FER Capitalised if recognition criteria are met; amortised over useful life. Intangibles assigned an indefinite useful life are not amortised but reviewed at least annually for impairment. Revaluations are permitted in rare circumstances. Similar to IFRS, except revaluations are not permitted. Capitalised if they yield measurable economic benefits over several years. Amortisation over useful life. If the useful life cannot be clearly determined an amortisation period of five years is applied, in justified cases one of twenty years at the most. For intangible assets related to individuals the useful life may not exceed five years. Capitalisation allowed if recognition criteria are met. Swiss GAAP FER also mention expenses which cannot be capitalised (e. g. asic and applied research, internally generated goodwill). Comparable to IFRS. Internally generated intangible assets Research costs are expensed as incurred. Development costs are capitalised and amortised only when specific criteria are met. Unlike IFRS, both research and development costs are expensed as incurred, with the exception of some software and website development costs that are capitalised. Historical cos t is used; revaluations are not permitted. Property, plant and equipment Historical cost or revalued amounts are used. Regular valuations of entire classes of assets are required when revaluation option is chosen. Non-current assets are classified as held for sale if their carrying amount will be recovered principally through a sale transaction rather than through continuing use. A non-current asset classified as held for sale is measured at the lower of its carrying amount and fair value less costs to sell. Comparative balance sheet is not restated. A lease is a finance lease if substantially all risks and rewards of ownership are transferred. Substance rather than form is important. Amounts due under finance leases are recorded as a receivable. Gross earnings allocated to give constant rate of return based on (pre-tax) net investment method. Impairment is a one-step approach under IFRS and is assessed on the basis of discounted cash flows. If impairment is indicated, assets are written down to higher of fair value less costs to sell and value in use. Reversal of impairment losses is required in certain circumstances, except for goodwill. Non-current assets held for sale or disposal group Similar to IFRS. Not addressed. Practical interpretations comparable to IFRS. Leases – classification Similar to IFRS, but with more extensive form-driven requirements. Comparable to IFRS. Leases – lessor accounting Similar to IFRS, but with specific rules for leveraged leases. Not addressed. Impairment of long-lived assets held for use Impairment is a two-step approach under US GAAP. Firstly, impairment is assessed on the basis of undiscounted cash flows. If less than carrying amount, the impairment loss is measured as the amount by which the carrying amount exceeds fair value. Reversal of losses is prohibited. Similar to IFRS. 9 SUBJECT Investment property IFRS Measured at depreciated cost or fair value, with changes in fair value recognised in the income statement. US GAAP Treated the same as for other properties (depreciated cost). Industry-specific guidance applies to investor entities (for example, investment entities). Swiss GAAP FER Measured at historical cost or market value. Revaluation adjustments on fixed assets kept for investment purposes and recognised at market value must be recognised in the income statement. Comparable to IFRS, except that besides FIFO and weighted average method also LIFO and other methods are allowed to determine cost. Inventories Carried at lower of cost and net realisable value. FIFO or weighted average method is used to determine cost. LIFO prohibited. Reversal is required for subsequent increase in value of previous write-downs. Similar to IFRS; however, use of LIFO is permitted. Reversal of write-down is prohibited. Not specified. Generally historical cost used. Comparable to US GAAP. Biological assets Measured at fair value less estimated point-of-sale costs, with changes in valuation recognised in the income statement. Depends on classification of investment – if held to maturity or loans and receivables, they are carried at amortised cost; otherwise at fair value. Gains/ losses on fair value through profit or loss classification (including trading instruments) are recognised in income statement. Gains and losses on available-for-sale investments, whilst the investments are still held, are recognised in equity. Financial assets are derecognised based on risks and rewards first; control is secondary test. Financial assets – measurement Similar accounting model to IFRS, with some detailed differences in application. Financial assets (â€Å"Finanzanlagen†) are to be recognised at acquisition value. Securities as part of current assets are to be valued at fair value. Receivables are valued at par value. Liabilities are normally recorded at par value. Derivatives have to be valued depending on their classification (trading, hedging or other than trading or hedging). Derecognition of financial assets Significantly different model to IFRS and derecognition is based on control. Requires legal isolation of assets even in bankruptcy. Only derecognition of derivatives addressed. Liabilities Provisions – general Liabilities relating to present obligations from past events recorded if outflow of resources is probable (defined as more likely than not) and can be reliably estimated. Restructuring provisions recognised if detailed formal plan (identifying specified information) announced or implementation effectively begun. Similar to IFRS. However, ‘probable’ is a higher threshold than ‘more likely than not’. Similar to IFRS. Provisions – restructuring Recognition of liability based solely on commitment to plan is prohibited. In order to recognise, restructuring plan has to meet the definition of a liability, including certain criteria regarding likelihood that no changes will be made to plan or that plan will be withdrawn. General recognition criteria apply also for restructuring provisions. Decisions taken may allow recognising provision, also before detailed formal plan is announced. 10 SUBJECT Contingencies IFRS Disclose unrecognised possible losses and probable gains. Full provision method is used (some exceptions) driven by balance sheet temporary differences. Deferred tax assets are recognised if recovery is probable (more likely than not). Recognised as deferred income and amortised when there is reasonable assurance that the entity will comply with the conditions attached to them and the grants will be received. Entities may offset capital grants against asset values. Finance leases are recorded as assets and obligations for future rentals. Depreciated over useful life of asset. Rental payments are apportioned to give constant interest rate on outstanding obligation. Operating lease rentals are charged on straight-line basis. Profit arising on sale and finance leaseback is deferred and amortised. If an operating lease arises, profit recognition depends on whether the transaction is at fair value. Substance/linkage of transactions is considered. US GAAP Similar to IFRS. Swiss GAAP FER Contingent liabilities need to be disclosed within the notes. Comparable to IFRS. Deferred tax assets on temporary differences and on tax losses carried forward may only be capitalised if it is probable that they an be realised in the future through sufficient taxable profits. Not addressed. Deferred income taxes – general approach Similar to IFRS but with specific differences in application. Government grants Similar to IFRS, except when conditions are attached to grant. In this case, revenue recognition is delayed until such conditions are met. Long-lived asset contribu tions are recorded as revenue in the period received. Similar to IFRS. Specific rules should be met to record operating or capital lease. Leases – lessee accounting Comparable to IFRS. Leases – lessee accounting: sale and leaseback transactions Timing of profit and loss recognition depends on whether seller relinquishes substantially all or a minor part of the use of the asset. Losses are immediately recognised. Specific strict criteria should be considered if the transaction involves real estate. Application of the US GAAP guidance may result in significant differences to IFRS, for example, certain redeemable instruments are permitted to be classified as â€Å"mezzanine equity† (i. e. outside of permanent equity but also separate from debt). Conventional convertible debt is usually recognised entirely as a liability, unless there is a beneficial conversion feature. For finance leases, profit arising on sale and finance leaseback is deferred and amortised. Losses have to be recognised immediately. Financial liabilities versus equity classification Capital instruments are classified, depending on substance of issuer’s contractual obligations, as either a liability or equity. Mandatorily redeemable preference shares are classified as liabilities. Not addressed. Convertible debt Convertible debt (fixed number of shares for a fixed amount of cash) is accounted for on split basis, with proceeds allocated between equity and debt. Liabilities are derecognised when extinguished. Difference between carrying amount and amount paid is recognised in income statement. Not addressed. Derecognition of financial liabilities Similar to IFRS. Not addressed. 11 SUBJECT Equity instruments Capital instruments – purchase of own shares Derivatives and hedging Derivatives IFRS US GAAP Swiss GAAP FER Show as deduction from equity. Similar to IFRS. Similar to IFRS. Derivatives not qualifying for hedge accounting are measured at fair value with changes in fair value recognised in the income statement. Hedge accounting is permitted provided that certain stringent qualifying criteria are met. Similar to IFRS. However, differences can arise in the detailed application. Derivatives for trading purposes are to be recognised at fair value. For derivatives for hedging purposes, the same valuation principles as for the underlying hedged position can be applied instead of the valuation at fair values. Derivatives held for other motives than hedging or trading are to be valued at fair values or according to the lower of cost or market principle (in all cases consistent criteria for valuation have to be applied). Other accounting and reporting topics Functional currency definition Currency of primary economic environment in which entity operates. If indicators are mixed and functional currency is not obvious, judgement is used to determine functional currency that most faithfully represents economic results of entity’s operations by giving priority to currency that mainly influences sales prices and currency that mainly influences direct costs of providing the goods and services before considering the other factors. When financial statements are presented in a currency other than the functional currency, assets and liabilities are translated at exchange rate at balance sheet date. Income statement items are translated at exchange rate at dates of transactions, or average rates if rates do not fluctuate significantly. Similar to IFRS. Not addressed. Functional currency – determination Similar to IFRS; however, no specific hierarchy of factors to consider. In practice, currency in which cash flows are settled is often key consideration. Not addressed. Presentation currency Similar to IFRS. Financial statements in a foreign currency that are consolidated must be converted to the currency of the consolidated financial statements. Balance sheet items are to be converted at the exchange rates at the balance sheet date (alternatively use of average exchange rate for the last week or for the last month of the business period). Income statement and cash flow statement items may be converted at the exchange rates at the balance sheet date or at an average exchange rate for the period. 12 SUBJECT Earnings per share – diluted IFRS IAS 33 is prescriptive about the procedure and methods used to determine whether potential shares are dilutive. ‘Treasury share’ method is used for share options/ warrants. US GAAP Similar in principle to IFRS, although there are differences in application. Swiss GAAP FER Not addressed. Related-party transactions – definition Determined by level of direct or indirect control, joint control and significant influence of one party over another or common control by another entity. Name of the parent entity is disclosed and, if different, the ultimate controlling party, regardless of whether transactions occur. For related-party transactions, nature of relationship (seven categories), amount of transactions, outstanding balances, terms and types of transactions are disclosed. Disclosure of compensation of key management personnel is required within the financial statements. Applies to public entities and entities that file, or are in the process of filing, financial statements with a regulator for the purposes of issuing any instrument in a public market. Reporting of operating segments is based on those segments reported internally to entity’s chief operating decision-maker for purposes of allocating resources and assessing performance. Disclosures for operating segments are profit or loss, total assets and, if regularly reported internally, liabilities. Other items, such as external revenues, intra-segment revenues, depreciation and amortisation, tax, interest income, interest expense and various material items, are disclosed by segment where such items are included in the segment profit/loss or are reported internally. For geographical areas in which the entity operates, revenues and noncurrent assets are reported. Disclosure of factors used to identify segments and about major customers is required. Similar to IFRS. Comparable to IFRS. Related-party transactions – disclosures Similar to IFRS except that disclosure of compensation of key management personnel is not required within the financial statements. Disclose a description, the volume and other significant conditions of the transaction. The identity of the related party has to be disclosed only if this is necessary for the understanding of the transaction. Related parties with whom no transactions have been carried out during the reporting period do not need to be disclosed. Segment reporting – scope and basis of disclosures Applies to SEC registrants. Basis of reporting is similar to IFRS. Geographic market and business segment information necessary if business sectors differ significantly. Geographical markets may comprise more than one country. Segment reporting – disclosures Similar disclosures to IFRS. Breakdown of net sales from goods and services by geographic and business segments only. 13 SUBJECT Discontinued operations – definition IFRS Operations and cash flows that can be clearly distinguished for financial reporting and represent a separate major line of business or geographical area of operations, or a subsidiary acquired exclusively with a view to resale. At a minimum, a single amount is disclosed on face of income statement, and further analysis disclosed in notes, for current and prior periods. Financial statements are adjusted for subsequent events providing evidence of conditions that existed at the balance sheet date and materially affecting amounts in financial statements (adjusting events). Non-adjusting events are disclosed. Contents are prescribed and basis should be consistent with full-year statements. Frequency of reporting (e. g. quarterly, half-year) is imposed by local regulator or is at discretion of entity. US GAAP Wider definition than IFRS. Component that is clearly distinguishable operationally and for financial reporting can be a reportable segment, operating segment, reporting unit, subsidiary or asset group. Similar to IFRS. Discontinued operations are reported as separate line items on face of income statement before extraordinary items. Similar to IFRS. Swiss GAAP FER Not addressed. Discontinued operations – presentation and main disclosures Not addressed. Post-balance-sheet events Similar to IFRS. Interim financial reporting Similar to IFRS. Additional quarterly reporting requirements apply for SEC registrants (domestic US entities only). Interim reporting requirements for foreign private issuers are based on local law and stock exchange requirements. Preparation of an interim report optional, it might be required by local regulators. Condensed income statement and condensed balance sheet as a minimum. Those must include at least the major captions and subtotals that were reflected in the most recent annual financial statements. Financial information contained in the interim report must be prepared on the basis of the same principles as the annual financial statements. 14 Contact Daniel Suter, Partner, Basel Tel. 058 792 51 00 E-Mail: daniel. [email  protected] pwc. com PricewaterhouseCoopers (www. pwc. com) provides industry-focused assurance, tax & legal and advisory services to build public trust and enhance value for its clients and their stakeholders. 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