BENCHMARK STATEMENTS for HIGHER DIPLOMA in BUSINESS FINANCE SRI LANKA QUALIFICATIONS FRAMEWORK AND QUALITY ASSURANCE UNIT HIGHER EDUCATION FOR TWENTY FIRST CENTURY (HETC) PROJECT Ministry of Higher Education
CONTENTS Page Foreword I 1. Introduction 1 1.1 Scope and purposes 1 1.2 The nature and extent of the programme 1 1.3 Scope for employment of qualification holders 3 2 Programme aims 4 3 Subject knowledge and understanding, skills, attitudes and ethics 4 3.1 Subject knowledge and understanding 5 3.2 Skills 6 3.2.1 Generic skills 6 3.2.2 Subject specific skills 7 3.3 Attitudes and ethics 7 4 Teaching and learning strategies 8 5 Assessment methods 9 6 Maintenance of standards 9 7 Levels of achievement 10 7.1 Threshold level 10 7.2 Good level 11
FOREWORD Development of benchmark statements for Higher Diploma programmes was begun in February 2011 as a part of the overall quality assurance framework for the alternative higher education sector. These benchmark statements will support and promote quality and standards of Higher Diploma programmes by; Providing the higher education institutions with a common and explicit reference point for the approval of Higher Diploma programmes in Business Finance; Guiding and promoting development and review of curricula of Higher Diploma programmes in Business Finance; Evolving over time to take account of changes and innovations that reflect the development and new expectations of Higher Diploma programmes in Business Finance; Providing widely recognized statements on what is expected from the qualification holders of Higher Diploma in Business Finance; Providing guidance for examiners and Assisting international comparison and competitiveness of Higher Diploma programmes in Business Finance and the holders of these qualifications. These programme benchmark statements could be useful to all higher education institutions in Sri Lanka that offer Higher Diploma programmes in Business Finance. These benchmark statements are intended to improve the overall quality of the Higher Diploma programmes in Business Finance, in order to meet the dynamic and demanding expectations of qualification holders, employers and all other stakeholders in the accounting sector. I
1. INTRODUCTION 1.1 Scope and Purposes These benchmark statements describe the nature and characteristics of Higher Diploma programmes in Business Finance. They also represent general expectations about standards for the award of this Higher Diploma qualification in terms of the attributes and capabilities of qualification holders. These benchmark statements could be used for a variety of purposes. Primarily, they are an important external source of reference for higher education institutions (HEIs) when new Higher Diploma programmes in Business Finance are designed and developed. They provide general guidance for articulating the learning outcomes associated with the programme but do not specify a detailed curriculum in the discipline. These benchmark statements also provide support to HEIs in internal quality assurance. They enable the review of the achievement of learning outcomes specified for the Higher Diploma programmes in Business Finance and their evaluation against agreed general expectations and standards. These benchmark statements also allow flexibility and innovation in the design of new Higher Diploma programmes in Business Finance and can stimulate academic discussion and debate upon the contents of new and existing programmes within an agreed overall framework. Their use in programme design, delivery and review within HEIs is supportive of institutional responsibility for maintaining standards and quality. These benchmark statements may also be useful to prospective students and employers, who seek information about the nature and standards of the Higher Diploma programmes in Business Finance. 1.2 Nature and extent of the programme The purposes of Higher Diploma programmes in Business Finance are threefold: Study of organizations involved in Business and Finance, their management and the changing external environment in which they operate; Preparation and development of students for a career in Business Finance; Enhancement of lifelong learning skills and personal development to contribute to society at large; Programme Benchmark Statement Higher Diploma in Business Finance 1
Business and Finance organizations include a wide range of different types including public, private and not profit, with a wide range of sizes and structures. External environment of financial and business organizations encompasses many factors including economic, environmental, ethical, legal, political, sociological and technological factors together with their effects at regional, national and international levels on the strategies, behavior, financial management and sustainability of organizations. Preparation and development for a career in business finance means the development of a range of specific business knowledge and skills, together with self-awareness and personal development appropriate to careers in business with the potential for junior level management positions and employability in general. This includes inculcating positive attitudes towards change and enterprise, so as to reflect the dynamism and vibrancy of the business environment. A range of transferable and intellectual skills which are required for a career in Business Finance should also be developed in the qualification holders. Not every qualification holder will engage in a business finance career. Therefore, lifelong learning skills have also to be developed in a qualification holder. While there is a clear expectation that all Higher Diploma programmes in Business Finance should cater to fulfil the above three purposes, the actual balance will vary among higher education institutions and may also reflect the requirements for recognition by professional bodies. The particular balance should be explicable and demonstrable in the specified learning outcomes. As per the Sri Lanka Qualifications Framework Higher Diploma programmes is Business Finance should consist of a notional learning effort equivalent to a minimum of 60 Carnegie credits and may not exceed 90 Carnegie credits. The minimum number of credits per course module/course unit should be 1. The number of credits per course unit should be indicated by integers. One Carnegie credit is equivalent to 15 hours of lectures or 30-45 hours of laboratory work or 45 hours of field work or minimum of 90 hours of industrial training. Programme Benchmark Statement Higher Diploma in Business Finance 2
For every one hour of lectures, a student is expected to carry out at least 2 additional hours of independent learning. For every 2 hours of laboratory work, a student is expected to carry out at least 1 additional hour of independent studies. Therefore, for 1 credit in lectures, laboratory work, and field work the minimum number of notional learning hours is 45-50 which also includes the time allocated for assessments. For industrial training, minimum of 90 notional learning hours including time allocated for assessments are equivalent to 1 credit. The full time equivalent of learning effort for a Higher Diploma programme in Business Finance is a minimum of 2300 learning hours excluding the time allocated for industrial training. However, this should not exceed 3450 learning hours excluding the time allocated for industrial training. The programme should also consist of several liberal education modules which may contribute to 10-15% of the programme. In addition, these programmes should contain course modules to develop communication skills and interpersonal skills which are essential for producing qualification holders who are employable in the global knowledge economy. 1.3 Scope of Employment of qualification holders The qualification holders can be employed in various sectors both in Sri Lanka and overseas as middle level finance and business managers. Main employment sectors include the following. State and private sector secondary and tertiary level schools teaching finance and business related subjects. State and private sector organizations dealing with finance and business State and private banks Government Ministries dealing with subjects of finance and business, taxation auditing, import and export Small and medium scale enterprises Colombo Stock Exchange Private sector financial institutions, e.g. leasing companies, insurance companies Programme Benchmark Statement Higher Diploma in Business Finance 3
Auditor General s Department Inland Revenue Department Non Governmental Organizations (NGOs); In addition, the qualifications holders can be self-employed too. 2. PROGRAMME AIMS Aims of the Higher Diploma programmes in Business Finance are as follows; a) To produce knowledgeable, well accomplished, skilled and contended qualification holders who are competent in different areas of business and finance and capable of achieving excellence, right thinking, creativity and innovation and also with appropriate entrepreneurial ability of national and international relevance. b) To develop in students a range of transferable skills that will be useful in employment and everyday life. c) To provide students with analytical skills and an ability to develop simple frameworks for studying the real world. d) To provide training within an intellectual, physical and social environment to achieve excellence. 3. SUBJECT KNOWLEDGE, UNDERSTRANDING, SKILLS, ETHICS AND ATTITUDES Financial management of an organization encompasses a variety of processes, procedures and practices dealing with finances and business. It includes theories, models, frameworks, tasks and roles of financial management together with rational analysis and other processes of decision making within an organization and in relation to its external environment. The knowledge on interrelationships between organizations and their external environments is very important in the overall learning experience, and such knowledge should be demonstrated by the qualification holders. Programme Benchmark Statement Higher Diploma in Business Finance 4
Higher Diploma programmes in Business Finance should cover a core curriculum together with other subject areas to ensure that the necessary knowledge and understanding are gained, and necessary skills and attitudes are developed. The Higher Diploma programmes in Business and Finance should provide a broad, analytical and highly integrated study of business and finance. Qualification holders should be able to demonstrate knowledge and understanding of the internal and external environments in which the organizations operate and how their finances are managed. They should also be able to respond to changes and consider the future of the organizations, their internal and external environments and financial management. As per the level descriptors identified in the Sri Lanka Qualifications Framework, the qualification holders should be able to: Analyze and interpret qualitative and quantitative information relevant to business and finance. Develop appropriate arguments and make judgments in accordance with basic theories and concepts of business and finance. Present information and ideas on business and finance efficiently and effectively. Apply knowledge and understanding of concepts and principles of business and finance. Undertake further training and develop new skills within a controlled environment. Acquire competencies that help to assume predetermined responsibilities with respect to business and finance. Demonstrate transferable skills including ICT skills necessary for employment. Exercise personal responsibility and leadership in some tasks in the workplace. Demonstrate positive attitudes and social responsibility. 3.1 Subject knowledge and understanding The qualification holders should be able to demonstrate knowledge and understanding in the following areas: Programme Benchmark Statement Higher Diploma in Business Finance 5
Development and operation of business ventures for resources, goods and services Customer expectations, service and orientation Sources, uses and management of finances Use of accounting and other information systems for managerial applications Management and development of people within business and financial organizations Management of financial resources and operations Development, management and exploitation of information systems and their impact upon organizations dealing with financial and/or business activities. Use of information and communication technology in business finance applications Use of appropriate financial and business policies and strategies within a changing environment to meet stakeholder needs Sustainability, globalization, corporate social responsibility, diversity, business innovation, creativity, enterprise development, knowledge management and risk management in relation to business and finance. 3.2 Skills Higher Diploma programmes in Business Finance should be highly related to practice. Hence there should be a strong emphasis on the development of skills of qualification holders. Qualification holders should be able to demonstrate a range of generic skills and subject specific skills. 3.2.1 Generic Skills The generic skills that the qualification holders should possess include the following: Cognitive skills of critical thinking, analysis and synthesis. These include the ability to make assumptions, evaluate statements in terms of evidence, detect false logic or reasoning, and identify implicit values. Effective oral and written communication skills using a range of media; Effective self-management skills in terms of time planning, behavior, motivation, individual initiative and enterprise; Programme Benchmark Statement Higher Diploma in Business Finance 6
Effective performance within a team including leadership, team building, influencing and management; Interpersonal skills of effective listening, negotiation, persuasion and presentation; Numerical and quantitative skills including data analysis and interpretation; Self reflection and criticality including self awareness, openness and sensitivity to diversity in terms of people, cultures, business and financial issues; Self learning skills to develop a continuing desire for reflective, adaptive and collaborative learning; 3.2.2 Subject Specific Skills The subject specific skills a qualification holder should possess include the ability to gather data on business and financial issues, either individually or as part of a team and analyze them. This requires familiarity with an evaluative approach to a range of data, sources of information and appropriate methodologies in business and finance. Further, the qualification holders should possess the following skills; Ability to gather financial data individually or as a member of a team; Ability to apply ideas and knowledge on business and finance to a range of situations. Problem solving skills using appropriate quantitative and qualitative techniques in business and finance. Ability to create, evaluate and assess a range of options in business and finance; Ability to use business and finance models and phenomena; Effective use of information and communication technology for business and finance applications; Ability to prepare and present business and financial reports. 3.3 Ethics and attitudes Ethical behavior related to professional etiquette such as honesty and integrity, which encompasses the internal aspects, functions and processes of business and financial organizations including their diverse nature, purposes, structures, governance, operations and management, together with individual and corporate behaviors and cultures that exist within Programme Benchmark Statement Higher Diploma in Business Finance 7
and among organizations and their influence upon the external environment should be essential. Qualification holders should also be able to demonstrate ability to work effectively and efficiently in a pro-active manner with social responsibility. In addition, the qualification holders should adhere to; Ethics of professional conduct in relation to honesty and integrity during examinations/assessments, report writing, take home examinations and plagiarism; Ethics of nature conservation; Ethics associated with new technologies and modern developments, including advertising, use of relevant software etc. 4. TEACHING AND LEARNING STRATEGIES Teaching and learning strategies should explicitly be related to the intended learning outcomes. There should be an integration between theory and practice by a variety of means including, work-based learning, work experience, exposure to business and financial issues through employer based case studies, industrial visits and inputs from visiting/practicing managers. Teaching and learning strategies should motivate the students. These may include the following; Lecturers Tutorials Discussions Seminars Workshops Distance learning methodologies using multiple media including audio visual aids, E-learning, interactive CD-ROMs and web based studies Directed reading Guest lectures by experts from professional organizations and other institutions Programme Benchmark Statement Higher Diploma in Business Finance 8
Group activities Work experience/industrial training Case studies This list is neither prescriptive nor exhaustive. 5. ASSESSMENT METHODS Assessments should be aligned with the teaching and learning strategies and the expected learning outcomes. They should be designed to test subject knowledge and understanding as well as the skills and competencies that are expected of qualification holders. A combination of assessment methods may be used, depending on the attributes to be tested. Wherever possible, students should be given feedback on their performance and attainment. The following assessment methods may be used: Closed book examinations Computer based tests Quizzes Web based assessments Multiple choice questions Project reports Take home assessments Viva-voice examinations Evaluation of case studies Term papers Work experience / industrial training reports This list is neither prescriptive nor exhaustive. Continuous assessments should also be carried out in addition to module end examinations. 6. MAINTENANCE OF STANDARDS Quality of curricula, teaching and learning strategies, assessment methods, skills development and students learning environment should be ensured through mechanisms such as: Regular revision of curricula with the participation of external experts and stakeholders incorporating modern developments in the area of business and finance Programme Benchmark Statement Higher Diploma in Business Finance 9
Programme reviews Peer evaluations and Students feedback Quality of assessments should be ensured through mechanisms such as: Moderation of question papers and Second marking of answer scripts 7. LEVELS OF ACHIEVEMENT The standards of achievement expected of qualification holders of Higher Diploma in Business finance is related to the knowledge gained, and generic and subject specific skills developed. Two levels of achievement have been identified as threshold level and good level. 7.1 Threshold Level: This is the minimum acceptable standard. This level is expected to be achieved by qualification holders who obtain a cumulative Grade Pont Average (GPA) of 2.0 3.0 in the scale of 0.0 4.0. Qualification holders of threshold level should demonstrate: Basic understanding of business finance concepts and principles; Basic knowledge of business finance theory and modeling approaches; Knowledge and understanding of the key areas of business finance, and the relationships among them and their applications; competence in a range of generic and subject-specific skills stated in Section 3.2 of this benchmark statement; Basic understanding of the principles of personal investment; Basic understanding of the economic environment in which the business and financial organizations operate; Ability to interpret straightforward financial data and carry out simple financial analysis; 7.2 Good Level This level describes the standard expected to be achieved by qualification holders who obtain a cumulative GPA of above 3.0 in the scale of 0.0 4.0. Programme Benchmark Statement Higher Diploma in Business Finance 10
Qualification holders of good level should demonstrate: In-depth understanding of the financial needs of business entities; An appreciation of how theory of business and finance is used in practice, In-depth understanding of the working of capital markets, the relationship between risk and return, and the nature and use of financial derivatives; An ability to relate empirical evidence to finance theory in at least one of the main areas of finance with a basic understanding of the significance and limitations of such evidence; Knowledge and understanding of the broad range of areas of business finance and the relationships among them, and their importance in an integrated framework; A command of generic and subject-specific skills stated in Section 3.2 of this benchmark statements including application of knowledge and proficiency in intellectual skills; An ability to self learning using a variety of learning sources. The qualification holders of good level could be distinguished from the threshold category by their enhanced capacity to develop and apply their own perspectives to deal with uncertainty and complexity, explore alternative solutions to problems, demonstrate critical evaluation, and integrate theory and practice in a wide range of situations. Programme Benchmark Statement Higher Diploma in Business Finance 11
WORLD BANK FUNDED HETC PROJECT Quality Assurance Unit for Alternative Higher Education HETC Project No. 65/4, Kirula Road, Colombo 05. Telephone: +94 112369031 Facsimile: +94 112369032 Web: www.hetc.lk/qaacahe/