Of late there has been an obvious and increasing awareness amongst the business entrepreneurs of the vital role played by cost and management accounting services in the business organizations in achieving their business objectives. This has augmented the demand for cost and management accounting services in all the sectors of economy. No wonder many members of the Institute today hold top management positions such as Managing Director, Finance Director, Financial Controller, Chief Accountant, Cost Controller, Marketing Manager, Chief Internal Auditor, CEO, CFO etc. There is no doubt an ambitious Cost and Management Accountant could easily scale the topmost rung of his/her career ladder in a short span of time.
ICAI is the only recognised statutory professional organisation and licensing body in India specialising exclusively in Cost and Management Accountancy (CMA). Knowledge Age Academy of Research & Education – KARE is an Approved CMA Support Centre selected by ICAI.
More About ICAI
The Institute was established by a special act of Parliament, namely, the Cost and Works Accountants Act, 1959 as a statutory professional body for the regulation of the profession of cost and management accountancy.
The Institute of Cost and Works Accountants of India is the only recognised statutory professional organisation and licensing body in India specialising exclusively in Cost and Management Accountancy (CMA).
A Cost Accountant is a person who performs services involving the costing or pricing of goods and services, besides the preparation, verification or certification of cost accounting and related statements.
"The Institute of Cost Accountants of India would be the preferred source of resources and professionals for the financial leadership of enterprises globally."
"The Cost and Management Accountant professionals would ethically drive enterprises globally by creating value to stakeholders in the socio-economic context through competencies drawn from the integration of strategy, management and accounting." Objectives of the Institute
• To develop CMA function as a powerful tool of management control in all spheres of economic activities.
• To promote and develop the adoption of scientific methods in cost and management accountancy.
• To develop the professional body of CMA’s and equip them fully to discharge their functions and fulfil the objectives of the Institute
• To keep abreast of the latest developments in the cost and management accounting principles and practices, and to incorporate such changes as essential for sustained vitality of the industry
• To exercise supervisory role on the fresh entrants to the profession and ensure strict adherence to the best ethical standards of the profession.
• To organise seminars and conferences on subjects of professional interest in different parts of the country for cross-fertilisation of ideas for professional growth.
CAREER CHART FOR COST ACCOUNTANTS
• Higher Secondary (class 10+2) Passed Candidates
• The Foundation Examination (6 months)
• Intermediate Course (18 months minimum)
• [Direct admission for graduates (any discipline)]
• After passing the Intermediate Examination
Final Course (18 months minimum)
• Final Examination
• Final Exam Passed Candidates with 3 years Practical Experience Designated Cost Accountants (Members of the Institute)
Criterion for Passing
A candidate shall be declared to have passed in a group of an examination, if he secures minimum 40% marks in each paper of the group and an aggregate of 50% of total marks of non-exempted papers of that group. The trainings required for CMA Course
The students are required to undergo the following trainings :
I. “Communications and Soft Skills” for Intermediate students
II. Compulsory Computer Training for Intermediate students for
III. 7 days “Industry oriented Training Programme” after enrolling for Final course.
IV. Modular training after passing Final course
V. Practical training, as provided in regulations.
CMAs in Employment:
Enhanced awareness of the importance of the services done by CMAs in the strategic Planning of an enterprise, has accentuated the demand for cost and management accounting services in all the sectors of economy. Top management positions, viz., Managing Director, Finance Director, Financial Controller, Chief Accountant, Cost Controller, Marketing Manager, Chief Internal Auditor, CEO, CFO, etc., are held by CMAs.
In one’s own business, a CMA can play the role of both a Manager and an Accountant to control and flourish his/her business. There is little wonder when a CMA climbs to the highest rung of career ladder in a short span of his professional life.
Cost and Management Accountants in Government Department :
Realising the importance of the profession of the Cost and Management Accountancy in the economic development of the nation, the Central Government has constituted an all-India cadre known as Indian Cost Accounts Service (ICAS) at par with other Class-I services such as IAS, IFS etc. to advise the government in cost pricing and in framing the appropriate fiscal and tax policies.
Cost and Management Accountants in Practice:
• Maintenance of Cost record under Cost Accounting Records Rules U/s 209(1) (d) of Companies Act, 1956 in specified Industries;
• Cost Audit under section 233B of Companies Act, 1956.
• Valuation Audit under section 14A & 14AA of Central Excise Act,1944
• Special Audit under Customs Act, 1962
• Audit under VAT Acts of various States.
• Certification of Cost of Production for Captive Consumption for the purpose of Excise Duty assessment.
• Certification under EXIM Policy; Certification of Consumption for Import Application.
• Tax Consultancy; Project Management Consultant.
• Surveyor and Loss Assessor under Insurance Act, 1938.
• Recovery consultant in Banking Sector.
• Business Valuation; Financial Services: Advisor to an Issue.
• Trustee, Executor, Administrator, Arbitrator, Receiver, Appraiser, Valuer.
• Taking up appointment that may be made by the Central or State Government, Court of Law, Labour Tribunals or any other statutory bodies, regulatory bodies etc.
1. What is the job of Cost accountant?
It is one of the most essential management services. With increase in competition and consequent economic pressures, cost and management accountancy has become an inevitable wing of business management. Collection, assimilation, collation and analysis of financial information from all areas of an organisation are the functions of a cost accountant. An organisation’s success or failure is dependent on the quality of this information made available to the management. This is where a cost accountants role is of vital importance to the company. It is his primary job to ensure that managerial decisions are well within the cost prescriptions. The cost accountant is expected to give a prognosis for projects to be undertaken based on past and present financial performances. In order to do this a cost accountant needs to take into account factors like cost of raw materials, labour, transport, overheads and the like. Knowledge of these costs will help the cost accountant prepare budgets for the operation that is planned. In a word the Cost Accountant can facilitate strategic decisions in respect of diverse economic activities of an organization where he/she is employed as an employee or deployed as consultant.
2. What is the nature of job of a cost accountant?
A cost accountant’s responsibilities include: designing and implementing effective management information and control systems, planning costing systems and methods, inventory control incorporating mathematical models, investment analysis, project management, internal audit, cost audit, diagnosis in the case of sick industries, fund management, pricing planning, interpreting information and data related to business activities and translating them in such a way as to guide the core management into taking the right decisions.
3. What are the qualities essential in a cost accountant?
As for personal traits, the first requirement is that one needs to be a natural numerate. Of course, academic abilities too top the list alongside. Other equally important requirements are good communicate skills (both written and spoken), keen business sense and negotiation skills. The job calls for a high sense of motivation, concentration and determination.
4. What does the future hold?
• Once a candidate has passed the examination, there are several options in front of him.
• He can either serve in an industry or opt for government service.
• There is umpteen number of chances in the banking and insurance sectors. There is always the option of practising as a consultant.
5. Does the Institute provide Placement Assistance?
The Institute and its Regional Councils and Chapters offer placement service to members and students.
• Campus interviews are arranged for the students by regions and chapters from time to time.
• Placement assistance provided online on the Institute’s website: www.icmai.in.
6. Where are the examination centre of ICAI ?
The ICAI has its examination centres located in various cities all over India, and two overseas centers at Dubai and Muscat.
7. What is the pay package offered to fresh Cost and Management Accountants by reputed companies ?
In recent campus placements, the meritorious fresh Cost and Management Accountants were picked up by recruiters and reputed companies at a minimum of Rs. 6.5 lacs p.a.
8. What are the career prospects for Cost and Management Accountants either in employment or in practice?
There is a sustained demand for qualified, trained and experienced CMAs for both areas - employment and practice.
9. What is the scope for further Academic pursuits?
1. A member of ICAI can get enrolled as a member of IMA USA.
2. Recognised by the Academic Councils of many Universities in India for the purpose of admission of the Ph.D. courses in Commerce.
10. What is the standard of pass ?
A candidate shall be declared to have passed in a group of an examination, if he secures minimum 40% marks in each paper of the group and an aggregate of 50% of total marks of non-exempted papers of that group.
11. What are the trainings required to be undertaken by the students pursuing CMA course?
The students are required to undergo the following trainings:
• “Communications and Soft Skills” for Intermediate students
• Compulsory Computer Training for Intermediate students for 100 hours.
• 7 days “Industry oriented Training Programme” after enrolling for Final course.
• Modular training after passing Final course
• Practical training, as provided in regulations.
|DISLM 1||Basic English and Life skills||25||75||100|
|DISLM 2||Principles of Managements||25||75||100|
|DISLM 3||Logistics Management||25||75||100|
|DISLM 4||Warehousing & Inventory Management||25||75||100|
|DISLM 5||Supply Chain Management||25||75||100|