A CMA or a Cost and Management Accountant is responsible for the
allocation, management and regulation of funds in a business; any business. A
Cost and Management Accountant is someone who performs these duties. A job as a
CMA is a rewarding and a highly paid as well as respectable one. There are a
number of reasons why you should pursue a career in CMA, but the most important
reason is that you should really want to; otherwise you won’t be able to work
towards it or enjoy it. So, if you’re serious and dedicated towards your goal,
let’s look at these reasons in detail.
Do you have a knack for accounting and finance, and an
ever-growing love for business and numbers? Then, perhaps, CMA is the way to go
for you.
Also, there is no shortage of jobs or career options for the CMA
professional, and neither is there a lack of industries. Nearly every industry
needs a CMA. Cost Accountants are always in high demand in the Public and
Private sectors, Banking and Finance, Developmental Agencies, Education and
Research, you name it! Some common job titles for CMA professionals include:
·
Finance Manager
·
Financial Analyst
·
Financial Controller
·
Chief Financial Officer
(CFO)
·
Certified Management
Accountant
·
Finance Director
·
Senior Financial Analyst
·
Chairman
·
Managing Director
·
Chief Executive Officer
These are only a few among the many job avenues you can seek
employment in, as far as the private sector goes. In the government sector, you
can be working in the all-India cadre - ICoAS which is the Indian Cost Accounts
service and is as prestigious as the civil service posts of IAS, IPS and IFS. And
if that’s not your cup of tea, you can always teach CMA by gaining the
necessary academic qualifications.
The first step to pursue a fruitful career in these domains above is to register for the CMA course at the Institute of Cost Accountants of India or ICMAI, for short.
The Institute of Cost Accountants of India
What is the ICMAI?
If you aim to become a CMA, you will need to become a
member of the ICMAI, the Institute of Cost Accountants of
India.
The Institute of Cost Accountants of India was previously known
as The Institute of Cost and Works Accountants of India (ICWAI). The ICMAI
was first established in 1944. The end of the Second World War saw the start of
a new Industrial Revolution to resurrect everything that it had taken away.
Colonization was on its way out and new governments were being formed and the
need for cost accounting was growing rapidly.
And so, in 1959, the Institute was re-established under the Cost
and Works Accountants Act. This act declared the institute, a statutory
professional body (the only licensing body in India operating exclusively in
this field) for the regulation of the profession of Cost and Management
Accountancy. Since then, ICMAI has been responsible greatly for the changing
and improving industrial and economic landscape of India.
·
Making Cost and
Management Accountancy a helpful tool in all economic activities
·
Implementing scientific
methods in Cost and Management Accountancy
·
Staying up-to-date with
all the changing trends in the field, and Economics as a whole
·
Operating ethically and
condemning unethical practices in the profession
·
To hold conferences on
new and interesting professional subjects that might add value to the existing
Cost and Accounting subjects
That concludes this admittedly very brief overview of the
Institute. Now, let us get a big picture overview of the CMA Course.
The CMA Course has two components: practical training and a
theoretical (examination) component. The theoretical component involves passing
the following three exams:
·
CMA Foundation
·
CMA Intermediate
·
CMA Final
In addition, aspirants will need to undergo the following
training during the course:
·
3 days “Communication
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.
·
15 days Modular Training
after passing Final course and before campus placement
·
Practical training
Now, there are two routes to enter the course: through CMA
Foundation or Direct Entry if you fulfil certain requirements. The chart below
gives you a comprehensive overview of the entire CMA course. Bear in mind that
you can qualify for exemptions each step of the way! We'll go into that later.
We will talk about what these training requirements are all
about later in detail.
The CMA exams are held twice a year, once in June and once in
December. Registration to the course is open throughout the year; however if
you want to appear for the June examination, the last date to register (for any
of the three levels) is 31st January for the June attempt, and 31st July
for the December attempt.
ICMAI offers potential students the entire package from
beginning to end to kick-start a career in CMA. As mentioned, the three levels
of the course are CMA Foundation, CMA Intermediate and CMA Final.
We will look at each one in detail, and walk you through the
registration and admission process, as well as a brief overview of the syllabus.
The CMA Foundation Exam
·
Have passed your 10th standard
exam (or its equivalent recognized by the Board of Education).
·
Have cleared your 10+2
exam (or its equivalent from a recognized Board of Education by the Central
Government).
You can apply for the exam in two ways. By registering:
If you wish to register offline, you can purchase a prospectus
priced at Rs 250, with the application form enclosed along with the course fee
of Rs. 4000.
With your form, you must make sure you have attested* copies of
your:
1.
Matriculation
Certificate
2.
10+2 Mark sheet
3.
Degree
You will also need 3 passport-size photographs.
*Attestations are valid only if they are made by a member of The
Institute of Cost Accountants of India /The Institute of Chartered Accountants
of India/ The Institute of Company Secretaries of India / Parliament/State
Legislative Assembly, a Gazetted Officer or Principal of a recognized college.
You can send your form along with the mandatory documents to
your respective Regional Councils/Chapters.
In order to register online, you will require soft copies of the
following:
1.
Passport-size photo
(colour) in JPG/JPEG format
2.
Age Proof Certificate
(PDF format) with size not exceeding 300 KB
3.
Copy of your signature
in JPG/JPEG format
4.
Your degrees and
certificates with file size of each not exceeding 300 KB
You need to upload all the documents and pay a CMA Foundation
Registration fee online through Debit/Credit card, Internet Banking/Pay Fee
Module of IDBI.
After this transaction is successful, you will receive a ‘welcome’
message. All your information will be sent to the Directorate of Studies
for verification of your documents. Once this is done, your Registration is
almost complete. On verification of your documents, you will be able to
download your Admit Card and Registration Letter. Once your registration is
complete, your study material will be dispatched.
Now, note that once you register, your registration period will
be valid for up to 3 years from the time of registration.
The Syllabus of the CMA Foundation Course consists of 4 papers
·
Paper 1: Fundamentals of
Economics and Management
·
Paper 2: Fundamentals of
Accounting
·
Paper 3: Fundamentals of
Laws and Ethics
·
Paper 4: Fundamentals of
Business Mathematics & Statistics
Each paper is of three hours' duration and the exams are
conducted offline. They are descriptive papers in nature. Now, let's look at
the passing requirements.
You can appear for the CMA Foundation Exam as many times as you
want. But you’ll have to appear for all papers at the same time.
You’ll need to fulfil the following two conditions:
1.
Obtain at least 40% in
all papers; and
2.
At least 50% in total
That is, at least 40 in each paper, and a total of 200 when you
add up all your marks obtained!
You can get paper-wise exemptions in case you are unable to
clear the exam. If you secure 60% or more in any paper or papers, you shall be
exempted in that paper(s) from appearing in the immediately successive three terms of
examination. After that, your exemption becomes invalid and you'll have to
appear for that paper again.
Additionally, you can get qualification-based paper-wise
exemptions if you fall among the following categories of students:
·
Reciprocal Exemption
between ICAI-CMA and ACCA-UK Members as per MoU.
·
Clarification on
Conversion to Syllabus 2016 and Corresponding exemptions
·
Clarification for
qualification based subject exemptions granted under syllabus 2012, opting for
syllabus 2016
·
Exemptions for
Engineering Graduates/Engineers pursuing CMA course under syllabus, 2016.
Exemptions for qualified LLBs pursuing CMA course under syllabus, 2016.
The CMA Intermediate Exam
1.
Passed your Senior
Secondary School Examination (10+2) from a government-recognized Board of
Education AND
2.
Passed the Foundation
Course of the Institute of Cost Accountants of India (ICMAI) OR
3.
Graduated in any
discipline other than Fine Arts from a recognized board of education OR
4.
Passed the Foundation
(Entry Level) Part I Examination of CAT of the Institute/Foundation (Entry
Level) Part I Examination and Competency Level Part II Examination of CAT of
the Institute OR
5.
Passed Foundation of
ICSI / Intermediate of ICAI
The registration procedure remains the same for the Intermediate
Course as well. However, there are additional documents that you might require,
depending on which enrolment category you fall under:
PROVISIONAL (For candidates who are yet to complete
Graduation/Equivalent) – The minimum documents required for this are:
·
Passport Photo
·
Signature Copy
·
Age Proof
·
10th Pass Mark sheet
·
12th Pass Mark sheet
·
Graduation (1st &
2nd year / 1st to 5th semester) Mark sheet
·
Graduation (3rd year /
6th semester) Admit Card
REGULAR (For candidates who have Graduated/Equivalent)
–
·
Passport Photo
·
Signature Copy
·
Age Proof
·
10th Pass Mark sheet.
·
12th Pass Mark sheet.
·
Graduation (1st to 3rd
year / 1st to 6th semester) Mark sheets
Any ONE of the following qualified Mark sheets
i) CAT-CMA
ii) CMA Foundation
iii) CS Foundation
iv) IPCC-CA Inter
REGULAR (For
Engineering Graduates) - This includes those candidates
who have completed 2nd year/ IV semester / Equivalent or Graduate Engineers
(qualified Engineering Final Examination):
·
Passport Photo
·
Specimen Signature
·
Age Proof
·
10th Pass Mark sheet
·
12th Pass Mark sheet
·
2nd year or 4th semester
Mark Sheet or equivalent Mark Sheet (for Engineering students) or Engineering
Completion Certificate
With these documents in place, you should sign up and register
for the CMA Intermediate exam. Also, just as in the case of the CMA Foundation
exam, you'll need to sign up for either oral or postal coaching from ICMAI.
Note that your registration remains valid for up to 7 years from the date of
registration. If you fail to complete the CMA Intermediate course during this
period, you can apply for renewal of registration also known as De Novo
registration. You can find the application form on the ICMAI
student website under online value added services as shown
below:
Papers of the CMA Intermediate Exam
The CMA Intermediate Exam consists of 2 groups of 4 papers each. Each
paper is worth 100 marks and is of 3 hours duration. It is a pen and paper
exam. You can choose to appear for one or both groups. But when registering,
you will have to register for both groups. The papers are numbered from 5 to 12
as a continuation of the numbering scheme from CMA Foundation where the papers
are numbered from 1 to 4. The groups of papers are as follows:
Group – 1
Paper 5: Financial Accounting
Paper 6: Laws & Ethics
Paper 7: Direct Taxation
Paper 8: Cost Accounting
Group – 2
Paper 9: Operations Management & Strategic Management
Paper 10: Cost & Management Accounting and Financial
Management
Paper 11: Indirect Taxation
Paper 12: Company Accounts & Audit
To understand the passing requirements, you should be aware that
you can choose to appear for one or both groups of papers.
If you appear for a single group, the passing requirements are
as follows:
1.
you obtain a minimum of
40% marks in each paper of the group and
2.
you obtain a minimum of
50% marks in the aggregate of all papers of the group taken together.
If you choose to appear for both groups, the passing
requirements are:
1.
you meet the minimum
requirements to clear a group individually or
2.
you obtain a minimum of
40% marks in each paper of both the groups, and a minimum of 50% marks in the
aggregate of all papers of both groups taken together.
It is a fairly common question for students as to which option
they should choose. In our opinion, it is best to appear for both groups if you
have studied well. This is because, as you can see above, the passing
requirements are less stringent.
Paper-Wise Exemptions
In addition to this, you can get paper-wise exemptions in case
you are unable to clear one or more groups of the exam. If you secure 60% or
more in any paper or papers, you shall be exempted in that paper(s) from
appearing in the immediately successive three terms of
examination. Also, qualification based exemptions are available and outlined on the
ICMAI website.
The last step to become a successful CMA, as far as academics go
is the CMA Final Course and in order to be eligible:
·
You should have passed
the Intermediate course of ICMAI and enrolled for the CMA Final Course
·
You should have
completed a mandatory 7 day Industry Oriented Training Programme (IOTP)
·
You should have
registered for the 3 year Practical Training component of the course
and have completed at least 6 months of this training
The documents you require for your registration are:
·
Passport Photo
·
Your Signature Specimen
·
Age Proof (Aadhaar card,
Birth Certificate, Voter ID)
·
10th Pass Mark sheet
·
12th Pass Mark sheet
·
CMA Intermediate Pass
(both Group-I & Group-II) Mark sheet/Certificate
The registration process is exactly the same as in the case for
the CMA Intermediate exam. We won't go into much detail here.
Papers of the CMA Final Exam
The CMA Final Exam consists of 2 groups of 4 papers
each. Each paper is worth 100 marks and is of 3 hours duration. It is a
pen and paper exam. You can choose to appear for one or both groups. But when
registering, you will have to register for both groups. The papers are numbered
from 13 to 20 as a continuation of the numbering scheme from CMA Intermediate
where the papers are numbered from 5 to 12. The groups of papers are numbered 3
and 4 for much the same reason:
Group 3 -
·
Paper 13: Corporate Laws
and Compliance
·
Paper 14: Advanced
Financial Management
·
Paper 15: Strategic Cost
Management – Decision Making
·
Paper 16: Direct Tax
Laws and International Taxation
Group 4 -
·
Paper 17: Corporate
Financial Reporting
·
Paper 18: Indirect Tax
Laws and Practice
·
Paper 19: Cost and
Management Audit
·
Paper 20: Strategic
Performance Management and Business Valuation
CMA Final Exam Passing Requirements
To understand the passing requirements, you should be aware that
you can choose to appear for one or both groups of papers.
If you appear for a single group, the passing requirements are as
follows:
1.
you obtain a minimum of
40% marks in each paper of the group and
2.
you obtain a minimum of
50% marks in the aggregate of all papers of the group taken together.
If you choose to appear for both groups, the passing
requirements are:
1.
you meet the minimum
requirements to clear a group individually or
2.
you obtain a minimum of
40% marks in each paper of both the groups, and a minimum of 50% marks in the
aggregate of all papers of both groups taken together.
It is a fairly common question for students as to which option
they should choose. In our opinion, it is best to appear for both groups if you
have studied well. This is because, as you can see above, the passing
requirements are less stringent.
In addition to this, you can get paper-wise exemptions in case
you are unable to clear one or more groups of the exam. If you secure 60% or
more in any paper or papers, you shall be exempted in that paper(s) from
appearing in the immediately successive three terms of
examination. Also, qualification based exemptions are available and outlined on the
CMA website.
During your CMA Intermediate and Final courses, you will also be
required to take different training sessions online in Computers, Soft Skills,
and Practical Training among other things. These are mandatory unless you
qualify for exemptions based on your past experience and qualifications.
For the CMA Intermediate Course, the training is as follows:
·
Computer Training
(100 hours): Here, the
objective is for you to gain proficiency in the operation of
software commonly used in Management Accounting fields.
·
Communication and
Soft Skills Training (3 days): Here
you are to develop the necessary communication and soft skills needed to
function as a Professional
During the CMA Final Course, the training is as follows:
·
Compulsory
Industry Oriented Training Programme (IOTP) – 7 Days: Here, the objective is for you to get "training on
compliance requirements and their preparation under various statutes"
·
Practical
Training (minimum 15 months before appearing for CMA Final; total of 3 years): Here
you develop the skills needed "to apply the theoretical knowledge of
cost and management accounting to practical situations in different
professional fields"
After clearing all the exams, and completing the training
outlined above, you'll need to complete a 15 day Modular Training.
Once that is done, you'll be eligible to become a member of the
ICMAI. You'll be initially admitted as an Associate Member and allowed to use
the title ACMA after your name indicating as such.
After fulfilling other prescribed criteria that can be found on
the Institute's website, you can become a Fellow Member of the ICMAI. Now, you
can use the title FCMA after your name!
If you are to become the best CMA, then you ought to know that
everything is digital in today’s world. You can gain a lot of experience
through additional training programmes and skills during your time training to
be a CMA professional.
ICMAI provides:
·
MoUs: ICMAI has a MoU with IGNOU which offers specialised B.Com and
M.Com programmes for the students of ICMAI. This section also gives you a
detailed fee-structure for the courses if you wish to join.
·
Knowledge
Resources: This tab on the website
is a student’s best friend. It provides all the study material that you could
possibly need during your course-work. Apart from that, it also has exhaustive
knowledge on CMA in the form of presentations, test papers, MCQs, archives and
whatnot.
·
Examination updates: To stay in the loop and up-to-date on news, you can keep an eye
on the ‘Examination’ tab on the website. Here you can find all things
exam-related. From dates to notifications to previous question papers to
suggested answers to results. The list goes on.
Once you’ve crossed this hurdle, there are incredible job
opportunities that await you. ICMAI offers campus
placements for both June and December batches, every year, and has
tie-ups with some of the best recruiters in the country. Popular names include
– Ashok Leyland, Bata, Castrol India Ltd, IDBI Bank, ICICI bank, Tata
Consultancy Services Ltd, among many others.
ICMAI also offers career counselling for both qualified CMAs and
semi-qualified CMAs. They work with the corporate sector to help students
develop the necessary professional skillsets to succeed. You can find out more
about their programme here.
Now we come to some Frequently Asked Questions about the CMA
course.
Yes. It would be a good fallback option in case you are not able
to complete the course.
Is the CMA course difficult?
To complete the CMA course, you need to work hard, be dedicated
and determined. So, in that sense it is "difficult" but the reward at
the end is worth it.
What is the role of a Cost and Management Accountant
(CMA)?
A CMA
or a Cost and Management Accountant is responsible for the allocation,
management and regulation of funds in a business; any business. A Cost and Management
Accountant is someone who performs these duties.
Admission to all 3 courses at ICMAI is open throughout the year.
However, if you wish to apply for the June term, send your applications in
before 31st January and before 31st July for
the December term.
What are the pass marks for the exam?
A student requires a minimum of 40% marks in each paper of the
group and an aggregate of 50% of total marks of non-exempted papers of that
group.
When will I eligible for membership of ICMAI?
You will be eligible to be a member of ICMAI after passing Final
CMA course and completing the Modular Training & Practical Training given.
How much salary can I expect from reputed companies
as a CMA?
As per reports from recent campus placements, a fresher CMA
starts of at 8.8 Lacs p.a.
What is the difference between practice and
employment?
Practice means that you set up your own independent cost
accounting firm or join an existing firm as a partner or staff member.
Employment means working in the industry as an employee.
Can I become a CMA without any additional coaching?
It depends on your own capacity and abilities. But if you are
looking for additional coaching, try signing up for online
video lectures and gain access to material that covers the entire CMA
syllabus.
From where can I do practical training?
You should do your training under (a) a practicing cost
accountant or (b) a firm of cost accountants or (c) an organisation or
institutes approved by the Institute.
Where can I find more information about the CMA
course?
You can find more information about the CMA course by heading on
to the Institute's website !
This is far as we get today about your journey to become a great
CMA. The key is to start small and not be too ambitious. Take small steps to
learn, relearn, revise, practice and excel. Work hard and success will follow!
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