Page 1 Emerging Issues and Outreach Working Group Gary Hannaford, Working Group Chair IESBA Meeting September 16-18, 2013 Sydney, Australia

Page 2 June 2013 IESBA Meeting Support for Working Group (WG) to explore processes re: ‒ Emerging Issues ‒ Outreach WG Terms of Reference agreed Background

Page 3 Matters that constitute emerging issues: ‒ “Any national or international development identified outside of the Board’s strategic planning process that is related to, or has a connection with, the Board’s remit and may: a)Have a potential impact on the Board’s strategy and work plan; b)Require Board action or otherwise lead the Board to take specific action, such as leading or participating in a debate at the international level; or c)Otherwise merit Board attention. Identification and Filtering Emerging Issues

Page 4 Need for a systematic approach to screen appropriate information sources Screening effort to leverage support of Board members and TAs Three buckets proposed for filtering: a)For Board consideration b)For Board noting c)Other matters Identification and Filtering Emerging Issues

Page 5 Expectation of at least some emerging issues each quarter Present issues at alternate Board meetings in open session Involvement of CAG ‒ Synchronize timing of Board and CAG consideration ‒ Discuss CAG involvement March 2014 CAG Meeting Board and CAG Consideration Emerging Issues

Page 6 Outcomes will vary with nature and importance of matters considered Effectiveness of process ‒ Biennial review by Board ‒ Not responsibility of working group ‒ No definitive measures Outcomes and Effectiveness Emerging Issues

Page 7 Certain positive outcomes may indicate a degree of effectiveness e.g. ‒ Specific board initiated actions ‒ Positive feedback from stakeholders Certain outcomes may indicate a lack of effectiveness e.g. ‒ no emerging issues identified in any given year ‒ matters missed that ultimately prove to be significant emerging issues Outcomes and Effectiveness Emerging Issues

Page 8 No need for an overly formalized process Focus on identified key stakeholders Ensure geographically balanced coverage All board members and TAs encouraged to be proactive on outreach Identification Outreach

Page 9 Confirmed outreach activities: ‒ Meetings with regulatory stakeholders ‒ Attendance at regional conferences ‒ Meetings with key stakeholder groups – e.g. NSS ‒ Identify forums and media through IFAC Comms ‒ Identify contacts at Board Leadership level ‒ Board / Technical advisors proactively identify in jurisdictions ‒ Leverage relationship with CAG Identification Outreach

Page 10 Staff-developed slides and speaking notes Will help with consistency of messaging Media strategy being developed by IFAC Comms dept Standing WG to provide high level input in development of media strategy, then keep monitoring role Support Staff and Media Strategy Outreach

Page 11 Difficult to identify definitive measures of success But potential indications of effectiveness: ‒ Increased linkage between outreach activities and new projects / initiatives ‒ Increased media exposure ‒ Press enquiries relating to emerging issues ‒ Increased international adoption of Code Effectiveness Outreach

Page 12 Staff Resource light approach: ‒ Two members of staff, each allocating 10-15% Meetings Standing WG expected to meet quarterly via teleconference Resources

Page 13 Dec 2013 IESBA Meeting ‒ Final process recommendations to IESBA ‒ Presentation of draft ToR for Standing WG April 2014 onwards – Implementation Timeline