The Hindu Business Line : ICWAI: Open door system for entry after graduation

The Kolkata-based Institute of Cost and Works Accountants of India (ICWAI) has drawn up a roadmap for global recognition of the Institute so that students from other countries can join the course. “Our focus will be on e-learning so that foreign students can study,” said Mr Chandra Wadhwa, President of the Institute, speaking to Business Line.

“We would like to enter into mutual recognition agreements (MRAs) with management accounting bodies such as CIMA-UK, CMA-Canada and IMA-US, and later, other bodies,” he added.

Excerpts from an interview:

Do you control the quality of candidates you admit or do you have an open door policy?

Students entering the costing profession after schooling are screened thoroughly through the foundation course; they are required to score 50 per cent marks. For entry after graduation, it is an open door system. We do not question the standard of university education.

How do you rate the quality of teaching at the Institute?

We involve professors, lecturers and professionals from industry and recognised universities in the faculty selection process. And faculty performance is assessed regularly, through student feedback and our own monitoring.

We invite guest lecturers for ‘modular training’ programmes, for topics such as international finance, risk management, WTO (World Trade Organisation), corporate governance, and ABC (activity-based costing).

Why aren’t there as many cost accountants as chartered accountants?

Chartered accountancy body began in 1949, and that of cost accountancy, in 1959. Chartered accountancy deals with general financial accounts, meeting the needs of non-corporates and small businesses.

Cost accountancy is specific and specialised, helping the management of large businesses in decision-making. Of late, cost accountants are getting recognition on a par with chartered accountants. Over the last two years the number of cost accountancy students increased by 18 per cent.

In what ways is the syllabus different between cost and chartered accountants? How can you improve the syllabus to prepare cost accountants for a rapidly globalising economy?

Nearly 75-80 per cent of the cost and chartered accountancy syllabi are identical, but the specialisation is different. Chartered accountancy focuses on financial accounting, auditing and taxation, while cost accountancy deals with cost management, strategic decision-making and risk management.

Our proposed syllabus rests on four pillars, viz., strategy, management, accounting and regulatory environment, while the ICAI syllabus, as far as we understand, focuses on accounting and regulatory environment, with less importance to strategy and management. At the intermediate level we focus on accountancy and regulatory environment, which is almost equal to the ICAI syllabus; and for the final stage we focus on strategy and management — our core areas. We have adopted the educational guidelines of IFAC to design the syllabus that meets the needs of a global economy.

D. MURALI

GOUTAM GHOSH

BusinessLine@gmail.com