The Institute was established in 1951 with the name of 'Pakistan Institute of Industrial Accountants (PIIA) and later it was chartered by legislative Assembly of Pakistan vide Cost and Management Accountants Act, 1966. By virtue of the CMA Act, the Institute of Cost and Management Accountants of Pakistan (ICMA Pakistan) has the authority to regulate and promote the profession of Management Accounting in Pakistan and provide education, examine competencies and confer internationally recognized post-graduate professional certification. Mr. Mohammad Shoaib (Late), former Finance Minister of Pakistan, was the Founder President of the Institute.
The Institute is the founder member and affiliate of the following professional accounting bodies at the international and regional levels:
-- International Federation of Accountants (IFAC)
-- Confederation of Asian and Pacific Accountants (CAPA)
-- South Asian Federation of Accountants (SAFA)
After qualifying and fulfilling the prescribed requirement of membership, the Institute awards the designations of Associate Cost and Management Accountant (ACMA) and Fellow Cost and Management Accountant (FCMA).
Presently, Institute has more than 5000 members. These members are serving on senior management positions such as CEOs, CFOs, COOs, CIAs, Company Secretaries, Financial Analysts, Public Practitioners, Management Consultants, etc, hence making significant contributions towards business growth and economic development.
The Institute, currently, has over 15,000 students, more than 200 faculty members, over 260 employees, 07 regional Branch Councils, 11 education campuses in Pakistan and 15 examination centres in Pakistan and overseas.
The Insitute maintains a tradition of excellence by imparting education and conferring certification of high significance to the business world and society. The Institute ensures high standards in the areas of education, examination, memberships, corporate trainings, CPD, research, publications, technical support, public practice, management consultancy, quality assurrance, international affiliations and corporate relations.
The Institute also provides technical and professional support to the government and regulators such as Ministry of Finance, SECP, FBR, SBP etc. in developing economic policies, procedures and standards to ensure a better and conductive business and corporate environment.
Education Education at ICMA Pakistan follows a philosophy which inculcates theoretical concepts along with trusted professional competence. The equal importance is given towards developing communication, presentation and interpersonal skills which are always the prime requirement of the corporate sector. The Institute, currently, has more than 15,000 students across the country and overseas. The curriculum is of international standards and recognized globally. The Institute has a fleet of nationwide over 200 qualified and experienced faculty members. The Higher Education Commission of Pakistan recognizes the ICMA Pakistan qualification equivalent to Master's degree for the purpose of employment and higher education. The Institute offers Ninety (90) percent waiver (terms and conditions apply) of prescribed tuition fee in all subjects to those working-class students who are aspiring to pursue and earn their CMA qualification along with their employment.
Examination The Institute's examination assesses students' competencies with respect to knowledge and skills acquired as per prescribed course outline. The examination system has been carefully developed to meet requirements of International Education Standards (IES) prescribed by International Federation of Accountants (IFAC). Throughout the assessment process, specific measures are taken to make the entire system transparent enough to gain and sustain the confidence of all stakeholders especially that of students in the system. The examinations are held twice a year in February (Spring) and August (Fall). After conclusion of coaching sessions, the students are given sufficient time to prepare for examination.
Membership The students on qualifying examinations and meeting mandatory membership requirements are awarded membership of the Institute which is a professional and legal status to join the fraternity of Institute's members. The membership is a life-long association which tends to continue by paying prescribed annual subscription fee. Currently, the Institute has over 5,000 members in Pakistan and abroad. Out of total members, about 20% of members are serving abroad which shows the contribution of the Institute towards global economic development.
Membership Designation
The membership status is of following two levels:
-- ACMA (Associate Cost and Management Accountant)
To become an Associate member, a qualified student has to complete following requirements:
-- Pass all courses of studies and training modules
-- Industry experience of 3 years
-- Earn at least 20 CPD hours
-- FCMA (Fellow Cost and Management Accountant)
To become a Fellow member, an Associate member has to fulfill following requirements:
-- Post-Associate ship Industry experience of 5 years at senior management level
-- Earn at least 20 CPD hours
Continuing Professional Development To keep members and students in particular and other professionals in general, the Institute as part of Continuing Professional Development (CPD) regularly organizes nationwide trainings, seminars, workshops and conferences. The CPD activity helps in the capacity building and is essential for a professional to remain updated with the changes taking place in the profession. At an average, in a year, more than 2,000 CPD hours are conducted at the Institute nationwide.
Webinars The Institute has Webinar Technology to facilitate its members in particular especially those living overseas and far flung areas and other professionals in general.
Directors' Training Programme The Securities and Exchange Commission of Pakistan (SECP) approved Directors' Training Programme (DTP) of the Institute. This is an opportunity for top management executives which includes Board Members, CEOs, CFOs, COOs, Directors, etc to learn and bring them at par to best and latest management practices and also to fulfill the requirement set under Code of Corporate Governance by SECP. The Institute, on successful completion, confers the status of "Certified Director" to participants of Directors' Training Program. Till date the Institute has organized 13 DTPs and 120 "Certified Directors" have successfully completed the programme from ICMA Pakistan.
Diploma in IAS | IFRS In order to develop experts in the application of financial reporting standards in compliance to internationally accepted accounting framework, the Institute is conducting Diploma in IAS / IFRS. The program has been developed to enhance knowledge of IAS / IFRS and to provide swift and proficient solution to Finance and Accounting professionals. Due to IAS / IFRS international acceptance in over 115 countries, the program is highly demanded among the professionals.
Research & Publications The research brings innovation and aligns current practices to meet the changing and challenging requirements of the society. The research and development function of the Institute conducts studies on the areas of national and international importance and those which are of professional significance for members in particular and others in general. The Institute's research deliberations provide useful insights on the economy and guidelines for the profession. It also helps in addressing existing problems and providing amicable solutions for industry specific issues. The research includes articles and write-up, analysis, policy recommendations to government, comparative studies, synopsis, reports, interpretations, handbook, etc.
The research and development task of the Institute is amicably responding to unprecedented innovations taking place in the profession to benefit members, students, other professionals and industry. It is also benefitting organizations by way of enhancing their productivity, upholding the confidence of investors and stakeholders, ensuring maximum profitability and long-term sustainability.
The 'Management Accountant' is the official flagship Journal of the Institute. Other periodical publications are e-Newsletter, Pre- budget proposals and post-budget commentary.
Technical Support The Institute is continuously updates its members and industry through a regular Technical Updates in the areas of (i) Updation in IAS, IFRS and ISA; (ii) Amendments in Tax and Corporate Laws; and (iii) Economy and Business News. The Institute, being a sole professional body to regulate the profession of Cost and Management Accounting, is the authority to develop cost accounting standards and guidelines. The Institute also develops cost accounting guidelines for the industry so as to provide them tools and techniques to improve production and cost effectiveness. The Institute provides technical support to Securities and Exchange Commission of Pakistan (SECP) in the issuance of Cost Accounting Record Orders (CAROs) for the industry.
Public Practice A member willing to do practice may after fulfilling the requirement, receive Certificate of Practice. The certificate is a license for members to do public practice and management consulting functions. Under the license, a member may act as liquidator, trustee, executor, administrator, arbitrator, receiver, adviser or as representative for costing, financial, company law and taxation matters or may take up an appointment that may be made by Federal Government or Provincial Government or a Court of Law or any other authority established under law, or may act as the secretary of a company in professional capacity.
Today, Management Accounting firms are providing excellent professional services to manufacturing, services and financial sectors. The public practice function of the Institute is supported by over 100 firms which are holding license to undertake national and international consulting assignments.
Quality Assurance The Institute has a proper quality Control system in place that encompasses policies, procedures and periodic reviews of the work of CMA Firms engaged in public practice. The objective is to ensure that practicing members and firms are engaged in audit and other practices are in line with the relevant rules, regulations and professional standards. The well defined Quality Assurance Review Framework helps firms in maintaining set benchmarks and to keep them updated with the changes taking place in the profession to provide state-of-the-art services to the clients. Through Quality Assurance, practicing firms are not only meeting customers' expectations but also complying global standards followed by practicing firms all over the world.
Corporate Relations The Corporate Relations function of the Institute assists students in their career development. It creates training and internship opportunities for students and helps in bringing awareness about the role of profession of management accounting in the industry. Keeping in view that corporate sector is ultimate beneficiary of Management Accountants; the Corporate Relations function invites dignitaries from the corporate sector and takes various steps to strengthen relationship with corporate sector.
The fast changing business world expects professionals having competence to make organizations sustainable in terms of growth and profitability. The increasing emphasize on optimum utilization of resources, value-addition, innovation, systems, procedures, internal controls, customer satisfaction and other such factors set the direction for organization's successful sailing in competitive environment. The corporate sector, striving for business growth, profitability and sustainability, is facing numerous challenges for which competent professionals are required with comprehensive knowledge and competency in financial and non-financial areas. Management Accounting is the practical science of value creation to achieve efficiency and the corporate entities expect the Management Accountants to play a vital role in formulation and effective implementation of corporate strategy and to ensure optimum utilization of resources to remain competitive in terms of price and quality for cross-border trade.
Expertise of Management Accountants
Management Accountants are professionals who have comprehensive knowledge and skills in areas of accounting, finance, management, leadership, laws and ethics with the competency to develop business plans, devise financial strategies, ensure implementation, set-up effective controls and make tactical decisions for the growth and sustainability of the organizations. Management Accountants study a curriculum which is developed in accordance with international standards and undergo a well defined training process that helps them become sound professionals having business acumen and leadership skills.
Accounting & Finance
-- Designing and Implementation of Management Information System
-- Managing Financial Operations and Reporting in accordance with IAS & IFRS
-- Financial Planning and Budgeting Performing Financial and Non-Financial Analysis
-- Pricing and Cost Management Managing Banking Affairs and Treasury Management
-- Asset Management and Ensuring Insurance of Resources
-- Analyzing Investment and Portfolio Management
-- Designing Internal Control Systems
-- Performing Audit Function and Risk Management
Management & Leadership
-- Devising Standards, Policies and Procedures
-- Managing Enterprise Affairs
-- Organizational Development, Business Planning, Analysis and Decision Making
-- Bringing value-addition, Innovations and Creative Solutions
-- Supply Chain Management
-- Ensuring Resource Optimization
-- Communication and Negotiation
-- Project Management
-- Understanding about Global Economic Challenges and Competition
Laws & Ethics
-- Managing Corporate Affairs
-- Handling Tax Matters
-- Compliance of Business and Industrial Laws
-- Ensuring Implementation of Professional Code of Ethics
-- Representation on behalf of the organizations on legal matters
Role of Management Accountants in Corporate Sector
Today, the Management Accountants, being key member of top management and decision making team, help organizations to take appropriate decisions for the business prosperity and growth. Being member of the senior management team, they successfully render the following services:
-- Member of the top management team to select the right courses of action at the right time;
-- Ensuring optimum utilization of available resources;
-- Planning and control of business operation;
-- Developing an effective Management Information System (MIS);
-- Analyzing investment and preparation of feasibility and project reports;
-- Carrying out cost reviews;
-- Conducting performance evaluation;
-- Diagnosing industrial sickness and suggesting remedial measures;
-- Providing assistance in tax and other legal matters;
-- Developing standard and actual costing systems;
-- Analyzing overall business and operational data and recommending corrective measures;
-- Suggesting alternatives to improve productivity by identifying areas of wastages, leakages and inefficiencies or invisible losses;
-- Contributing to Total Quality Management (TQM);
-- Assisting in decision-making process at all levels of management;