Certified Management Accountant

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The title Certified Management Accountant (CMA) is used by various professional bodies around the world to designate their different professional certifications.

The Certified Management Accountant (CMA) designation of the Society of Management Accountants of Canada, for example, provides a foundation in accounting, management and strategy - using both financial and non-financial information to direct tactical and operational decision-making in industry and government. Subject matter includes strategy, management accounting, corporate finance, operations management, internal control, financial accounting, statistics and economics, with an emphasis on ethics. Other professional bodies will have slightly different content.

Following are the Main Professional Organizations offering different Certified Management Accountant (CMA) or related accreditations globally:

• Institute of Management Accountants (IMA USA) - USA, China, International
• Certified Management Accountants of Canada (CMA Canada) - Canada, Bermuda, Caribbean, International
• Chartered Institute of Management Accountants (CIMA UK, Designation is ACMA or FCMA) - UK, Europe, International
• Institute of Certified Management Accountants (ICMA Australia) - Australia, Asia-Pacific, International
• Institute of Cost Accountants of India (ICAI) - India
• Institute of Cost and Management Accountants of Pakistan (ICMAP) - Pakistan

United States

IMA Certified Management Accountant (CMA) US, China, Int'l program

Certified Management Accountant ("CMA") - IMA's certification for accountants and financial professionals in business.

IMA’s CMA certification tests mastery of advanced accounting and financial management knowledge in four critical areas: financial planning, analysis, control, and decision support.

CMA Exam Structure

Part 1 – Financial Planning, Performance and Control

• Planning, budgeting, and forecasting (30%)
• Performance measurement (25%)
• Cost management (25%)
• Internal Controls (15%)
• Professional Ethics (5%)

Part 2 – Financial Decision Making

• Financial statement analysis (25%)
• Corporate finance (25%)
• Risk management and decision analysis (25%)
• Investment decisions (20%)
• Professional Ethics (5%)

Certified professionals can enjoy greater career opportunities and earning potential than their non-certified counterparts.^[1] Professionals holding the Certified Management Accountant (CMA®) certification reported earning 22 percent more in average salary ($106,713 versus $87,165) and 25 percent more in average total annual compensation ($124,346 versus $99,441) than their noncertified counterparts, according to the June 2010 issue of Strategic Finance magazine.

To date, the Institute of Certified Management Accountants (ICMA), the certification division of IMA, has awarded more than 30,000 CMA certificates in the U.S. and internationally.^[2]

Canada

Certified Management Accountant (CMA) Canada, Bermuda, Caribbean, Int'l program

The Certified Management Accountant (CMA) designation in Canada provides a foundation in accounting, management and strategy; using both financial and non-financial information to direct tactical and operational decision-making in industry and government.

Subject matter includes strategy, management accounting, corporate finance, operations management, internal control, financial accounting, statistics and economics, and an emphasis on ethics.

With 50,000 members around the world, CMA Canada grants a professional designation in strategic management accounting and is responsible for standards-setting, accreditation, and the continuing professional development of Certified Management Accountants (CMAs).^[3]

In May 2011, Canada’s Certified Management Accountants have entered into discussions with Canada’s Chartered Accountants to explore the merits and feasibility of uniting Canadian national and provincial organizations. To bring two organizations together, they are considering the creation of a new designation – the Chartered Professional Accountant or CPA – and a new common qualification program.

CMA Canada is a founding member of the International Federation of Accountants.

United Kingdom & Europe

CIMA Certified Management Accountant (CMA) UK, Europe, Int'l program

The Chartered Institute of Management Accountants (CIMA) is a United Kingdom-based professional body offering training and qualification in management accountancy and related subjects, focused on accounting for business; together with ongoing support for members.

CIMA is one of a number of professional associations for accountants in the UK and Republic of Ireland. Its particular emphasis is on developing the management accounting profession within the UK and worldwide. CIMA is the world’s largest and leading professional body of management accountants, with 172,000 members and students in over 165 countries.^[4]

CIMA was founded in 1919 as "The Institute of Cost and Works Accountants" (ICWA). It specialised in the development of accounting techniques for use in the internal control of manufacturing, service and public sector operations. It developed a position as the leading professional body in the areas of product costing, budgeting, management accounting, investment appraisal and business decision making.

In October 1944 the Institute of Cost and Works Accountants organisation in Ireland was formed.

The institute changed its name from ICWA to the Institute of Cost and Management Accountants (ICMA) in 1972 and subsequently to the Chartered Institute of Management Accountants (CIMA) in 1986, after the granting of a Royal Charter. A global Accounting qualification based in the UK, which is particularly active in Commonwealth countries. Its membership has grown from 15,000 in 1970 to 79,757 members and 92,909 students in 2009.

The CIMA is a founding member of the International Federation of Accountants.

Australia

ICMA Certified Management Accountant (CMA) Australia, Asia-Pacific, Int'l program

India

Cost and Management Accountant is the CMA designation granted by the Institute of Cost & Works Accountants of India (ICWAI).

The Institute of Cost & Works Accountants of India is the only recognised statutory professional organisation and licensing body in India specialising exclusively in Cost and Management Accountancy.[1]

ICWAI is a member of the International Federation of Accountants.

Pakistan

The Institute of Cost and Management Accountants of Pakistan was established in 1951 and was granted statutory status under the Cost and Management Accountants Act, 1966 for the regulation of the profession of Cost and Management Accounting. ICMAP is the sole provider of cost and management accounting education, training and professional certification in Pakistan. The institute has earned reputation both nationally and internationally for its high standard in imparting education and testing. The Institute has been meeting an important national human resource need through a steady flow of professional management accountants to occupy leading positions in the corporate world.

ICMAP has over 5000 members, who hold senior positions in trade, commerce, industry and government in Pakistan and abroad. The number of active registered students is around 15000, which makes ICMAP one of the largest professional institutions in Pakistan.

International Association

The Institute is member of the following international accounting bodies:

• International Federation of Accountants
• International Accounting Standards Board
• Confederation of Asian and Pacific Accountants (CAPA)
• South Asian Federation of Accountants (SAFA)

Through participation in the activities of these bodies, the Institute plays a role in the development of management accounting profession both at domestic and international level.

Sri Lanka

The Society of Certified Management Accountants of Sri Lanka was set up with the technical support of CMA ( Canada ), and Financial Sponsorship of the Canadian International Development Agency (CIDA). Approval was granted by the Ministry of Trade in the year 1999 to set up the Society of Certified Management Accountants of Sri Lanka and this was by Gazette Notification

Incorporation

The Institute of Certified Management Accountants of Sri Lanka was incorporated by Parliament Act No. 23 of 2009 under the Ministry of Trade Marketing Development Co-operatives & Consumer Services on the initiative of the Minister Hon. Bandula Gunawardhana.

CMA admitted to Membership of International Federation of Accountants (IFAC)

CMA was admitted to Associate Membership of IFAC at the 2010 IFAC Council Meeting held during the World Congress of Accountants 2010 in Kuala Lumpur, Malaysia. IFAC is the World Accountancy Body consisting of 125 countries and 164 member bodies with a total membership of more than 2.5 million accountants in public practice, education, government service, industry and commerce.

Opportunity to obtain a University Degree

The CMA has signed an MOU with the Open University of Sri Lanka for students who complete the intermediate exam to register for the Bachelor In Management Sciences (BMS) degree program. This will provide a Bachelors Degree for CMA students in addition to their Professional qualification.

Notes

1. ^ Business Wire, June 29, 2009, http://www.businesswire.com/news/home/20090629005978/en, Retrieved 2010-08-25
2. ^ "CMA - About the CMA". www.imanet.org. 2010-10-26. http://www.imanet.org/cma_certification/about_the_cma.aspx. Retrieved 2010-10-26. 
3. ^ "CMA Canada". www.cma-canada.org. 2010-10-26. http://www.cma-canada.org/. Retrieved 2010-10-26. 
4. ^ http://www.cimaglobal.com/About-us/