Reflection Paper about ACCA and CMA
The ACCA, which stands for the Association of Chartered Certified Accountants, is one of the international bodies for the professional accountants based in the United Kingdom. It was established in the year 1904 by eight individuals. During its initial years, ACCA was known as the London Association of Accountants. Its name changed to ACCA in 1984. The core values of this accounting body have been accountability, integrity, innovation, diversity, and opportunity. Regarding membership, ACCA supports 455,000 students and 178,000 members in 181 countries (ACCA, 2015). Consequently, this demonstrates that ACCA is popular, especially in the Commonwealth nations. A member is required to complete at least five out of the fourteen examinations and has a three years’ experience in an applicable role.
ACCA offers a range of certifications. One of these certifications is the Advanced Diploma in Accounting and Business. ACCA awards this certification to the students who complete Papers F4-F9. For a student to receive this certification, he/she must have a positive result in all F1 to F9 papers. ACCA also awards the Diploma in Accounting and Business to the students who complete F1, F2, and F3 papers. The students are also awarded the Certificate of Achievement when they attain a pass mark of at least eighty-five percent in F1, F2, and F3 papers for either computer based or paper based. The other certification that ACCA awards the students is the Professional Level Certificate. One must first complete all the professional examinations, that is, P1, P2, and P3 as well as any two optional papers, that is, P4, P5, P6, or P7.
ACCA also awards the students an Introductory Certificate in Financial and Management Accounting after completing FA1 and MA1 Papers as well as Foundations in Professionalism. The other certification that this accounting body offers is an Intermediate Certificate in Financial and Management Accounting. The students must complete FA2 and MA2 papers as well as Foundations in Professionalism to be awarded this certificate. The last certification that ACCA offers is the Diploma in Accounting and Business. The students must complete FMA, FFA, and FAB papers as well as Foundations in Professionalism to be awarded this diploma.
The ACCA students are charged the registration fee as well as a subscription fee in their initial year (ACCA, 2015). The fees for various examinations in different countries vary. ACCA also charges an affiliate subscription fee and an administration fee for the admission to membership. ACCA examinations are done in the months of June and December every year. In other words, the examinations are done twice a year. It takes two years for one to complete ACCA examinations. All ACCA certifications provide the students with the necessary accounting skills, knowledge, as well as professional values. The professionals who get these certifications have a significant contribution to their organizations. The majority of the students who are awarded ACCA certifications succeed in their careers.
One of the benefits of ACCA above the other similar qualifications in the United Arab Emirates is that it covers the professional ethics, management, and accounting, thus giving the members a competitive advantage. ACCA also helps to improve the recognition of its UAE members as financial experts. It has partnered with the UAE’s accountancy body, Accountants and Auditors Association. Consequently, the UAE ACCA members are also the members of this local accountancy body. In essence, this gives the UAE members a competitive advantage when it comes to applying for jobs. However, there are some challenges for getting ACCA. Some members face problems in accessing the study materials and planning their time for learning and examinations. Besides, some do not afford to pay all the fees charged. The frequency of ACCA examinations also presents a challenge to some members.
CMA
IMA, which stands for Institute of Management Accountants, is a global organization made up of the financial experts and accountants. The organization’s head office is in Montvale, New Jersey. It also has offices in countries such as China, Switzerland, and the United Arab Emirates, among others. IMA aims at empowering both the financial experts and accountants throughout the world so as to drive business performance. IMA was known as NACA, which stands for the National Association of Cost Accountants during its formation in 1919. However, the name of this organization was later changed to NAA, which stands for the National Association of Accountants. Later in 1991, the organization’s name was changed to IMA. As reported in Institute of Management Accountants, Inc. (1997-2015), the organizations has over 80,000 members. Regarding popularity, IMA is not more popular than ACCA. It is not present in many countries like ACCA.
IMA offers CMA certification. For an individual to qualify for CMA certification, he/she must be a student or a professional from a recognized university and holding a BBA/BMS, M.Com, CFA, or B.Com. The CMA certification provides IMA members with the skills in professional ethics, decision-making, as well as financial control, analysis, and planning. The CMA examinations is made up of CMA Part 1 and CMA Part 2. The former deals with Financial Planning, Control, Reporting, and Performance while the latter deals with Financial Decision Making. The average time for completing the Cost Management Accountant examinations can be a year. The minimum time that one can take to complete these examinations is six months while the maximum is three years.
The IMA members are required to pay yearly membership fees that range from 39 US dollars to 230 US dollars (Fontinelle, 2016). The amount that the member pays depends on whether he/she is an expert, academic, student, or a young expert. The members are also required to pay a continuing yearly CMA maintenance fee that amounts to 30 US dollars (Fontinelle, 2016). Additionally, the members are required to pay CMA examination fees, which amount to 300 US dollars or 350 US dollars per section (Fontinelle, 2016). The entrance cost for CMA program is 225 US dollars, but IMA members or student are entitled to a discount of 150 US dollars (Fontinelle, 2016). The CMA certification helps the members in strengthening their skills and expanding their knowledge. The percentage of IMA members’ success in both CMA Part 2 and CMA Part 2 has been below average for most of the years.
CMA is one of the most sought after management accounting certification in the Middle East, especially the United Arabs Emirates. One of the benefits of CMA above other similar qualifications in the United Arab Emirates is that its skills are very practical. The skills the individuals gain from CMA is more practical in their day-to-day work than the skills gained from similar qualifications. Additionally, CMAs are paid more than the Non-CMAs. In the United Arabs Emirates, the CMAs are paid handsomely. The CMAs are paid better in the UAE compared to the other GCC countries. Furthermore, passing CMA examinations is easier than passing the CPA examinations. The procedure of becoming a CMA in the UAE has also been simplified and, as a consequence, this makes the candidates concentrate on passing the examinations. The only challenge that one might experience when getting CMA is a lack of adequate time to prepare.
References
ACCA. (2015, August 11). Types of certificates | ACCA Qualification | Students | ACCA Global. Retrieved from http://www.accaglobal.com/my/en/student/exam-entry-and-administration/exam-results/types-of-certificates.html
Fontinelle, A. (2016). Is The CMA Designation Worth It? | Investopedia. Retrieved from http://www.investopedia.com/articles/professionals/052913/cma-designation-worth-it.asp
