Second of three parts
(Background : The Centre for Financial Reporting Reform of the World Bank One will be releasing the “Guide to Implement Competency Based Accounting Education and Certification” by the end of 2018. Included in this publication is an article on the Philippine experience which was written with inputs from former Chairman of the Board of Accountancy Joel Tan-Torres.)
The key stakeholders in redesigning the accountancy curriculum were the Professional Regulatory Board of Accountancy (BOA) and the Commission on Higher Education (CHED).
The BOA is one of the 43 Boards established under the authority of the Professional Regulatory Commission. The is the national government agency mandated to enforce laws regulating the various professions. The Boards govern their respective professions’ practice and ethical standards, and accredit the professional organization representing the professionals.
The BOA consists of a chairman and six members appointed by the President of the Philippines, based on an initial list of five nominees prepared by Philippine Institute of Certified Public Accountants (PICPA), from which the PRC will make three recommendations for appointment.
The CHED was created under the Higher Education Act of 1994, and its responsibilities include setting minimum standards for programs and institutes of higher education, as well as imposing sanctions for poor performance. In addition to regulating higher education, CHED is also responsible for developing policies to support quality improvement in the higher educational system.
As noted in the World Bank’s Report on the Observance of Standards and Codes on Accounting and Auditing for the Republic of the Philippines, published in June 2017, Picpa does not have adequate resources to fully discharge its various roles, let alone commit the resources required to support the overhaul of the qualifications for professional accountants and auditors. Furthermore, it does not have the mandate to administer professional certification examinations, as exam administration is under the purview of the BOA.
While CHED has the mandate and resources to develop and implement revised undergraduate degree programs at Universities, and the BOA has the mandate and resources to adopt a revised curriculum for the subjects covered by the CPA Licensure Examination(s), they will be seeking external support and resources to ensure the reforms are conducted in an effective manner. Volunteering, cooperation, and leveraging resources available through regional and global networks will also be key to the success of this project.
CHED adopted an outcomes-based approach to education and published a handbook on typology, outcomes-based education, and institutional sustainability assessment was published by CHED in 2014.
The Philippine Accountancy Education Framework (PAEF) provides the minimum standards and requirements for the accountancy degree programs that can be offered by the higher education institutions. It encompasses academic degrees, initial and continuing professional development, as well as the professional certifications and qualifications.
The PAEF was revised and became consistent with the latest competency framework for professional accountants issued by the International Federation of Accountants through its International Education Standards (IESs), including IES 2 (Technical Competence), IES 3 (Professional Skills), and IES 4 (Professional values, ethics and attitudes). In other words, it relied on the Learning Outcomes of the IESs to define its competencies, rather than running a full Practice Analysis. The PAEF uses a learner-centered and outcome-based approach that is geared toward addressing the requirements of the profession and users of its services.
To be continued
Alfred Jean-Marie Borgonovo is senior financial management Specialist, Centre for Financial Reporting Reform, World Bank. Alfred is a certified professional accountant and has provided consultancy services to the Board of
Accountancy.
This column accepts contributions from accountants, especially articles that are of interest to the accountancy profession, in particular, and to the business community, in general.
These can be e-mailed to boa.secretariat.@gmail.com