Cost and Management Accountant last hope for Pakistan Industries.

There are various Professional institutions in Pakistan like; Institute of Cost and Management Accountant of Pakistan (ICMAP), Institute of Corporate Sectaries of Pakistan (ICSP), Pakistan Institute of Public Finance Accountants (PIPFA) and  Institute of Chartered Accountant of Pakistan (ICAP).

 ICSP members works as Company secretaries for large organizations where they deal in company affairs PIPFA and ICAP members works in finance and Accounts at middle levels and majority Chartered Accountants are also employed in companies as Auditors where they just audit companies accounts instead of value addition in business. Pakistan with weak industry, under deep crisis need survival. Most of the industries working in Pakistan are generating very low profit the reasons may be that these having high production cost or higher Cost of sale, or having unskilled labours or lack of Professionals like; Cost Management Accountants or Industries do not have sufficient capital to invest for expansion of business, or government taxation barriers or so forth. All these constraints lead to low profit margin.

Cost and Management Accountant having advance knowledge of Management Accounting, Budgeting, Corporate Laws, Financial Reporting, Advance Taxation, Audit and of Financial Management. All these specializations are most productive with business but Management Accounting and Budgeting along with taxation are the most important tools for internal business planning and control. All these tools move business toward profit generation.

A professional having outstanding grip in Costing and taxation would make right decision for industry in right time. One must be able to understand how to decrease and control cost of Production that includes; Material, Labour and Factory Overheads. Cost and Management Accountant thoroughly understand nature of all these cost relating to product, and make decision on ground regarding Production, Labour wages and for Sale volume. Management Accountant set prices of products that to be fit for company as well as for customers. He analyze variances of Sales,Price and Material consumption, and furnishes reports for management decision. He also makes investment decision for business expansion and concludes whether business should go for further projects or not. Cost and Management Accountant studies in depth understanding of Management and Marketing during his education  in ICMAP. It gives him clear concept regarding Organizational structure and become able to lead employees  and to motivate them under tough time. Most strong industries like Textile, Petroleum, Steel,Cement, Chemical, Tobacco and Fertilizer etc. all employs Cost and Management Accountants for running business operation or we can say that it is almost impossible for a company to generate it Profit margin without hiring services of Management Accountant.

Chartered Accountants works for business as Auditors and do not add value addition to business they just audit books of accounts of companies their opinion just point out any discrepancy made by management but on the other hand Cost and Management Accountants add value to business. They increase goodwill of the business they make efficiency in business cycle. They help the whole economy by providing their professional services. Most of the Cost and Management Accountants give advisory services to Government in making Federal Budget. Cost and Management Accountants are also working for government Regulatory authorities like; SECP State Bank of Pakistan, FBR and Auditor General of Pakistan etc.

So we can conlude a country with weak base of industry or going in losses must have Cost and Management Accountant for proper growth and prosperity. Institute of Cost and Management Accountant of Pakistan is one of the leading professional institution that  participating in country development by polishing highly qualified Management Accountant for country development.