Post on 18-Dec-2014
description
Helping Financial Professionals Achieve Excellence
CMA-Getting CertifiedPRESENTED BY
Palo Alto CHAPTER
AGENDA• Certification Requirements
• Old & New CMA Format
• Becoming Certified (Steps)
• Steps to Succeed in Getting Certified
• Study Tips / Success Stories from Certified Members
• Chapter reimbursement for passing parts
• Benefits of Certification
• Compare CPA to CMA
BackgroundIMA Vision:
Global leadership in education, certification, and practice of management accounting,
finance and information management.•Certification Programs
– Certified Management Accountant (CMA) - 1972– Certified in Financial Management (CFM) - 1996
Certification Programs
• Certified Management Accountant (CMA)
– For accounting financial and information management professionals,
public accountants, accounting educators, and accounting students
• Certified in Financial Management (CFM)
– For corporate and banking financial management,
business analysts, financial educators and students
The only Global Professional Designations for Management The only Global Professional Designations for Management Accounting and Financial ManagementAccounting and Financial Management
The most relevant certifications for the 85% of accountants The most relevant certifications for the 85% of accountants who work inside organizationswho work inside organizations
Becoming a CMA/CFM• First steps first … Member of the IMA
• Apply for admission into certification program
• Register for certification exam
• Fulfill educational credentials
• Pass exam and satisfy experience requirement
• Comply with the Standards of Ethical Conduct
Certification Exam TransitionOriginal (Pre July
2004)Reorganized (FY05 to Present)
Ethical issues can appear in any of the examination parts
Part 1: Econ, Finance and Mgmt
Part 2 - CMA: Fin Accounting, Reporting, & Analysis
Part 2 - CFM: Corp Financial Management
Part 3: Mgmt Reporting, Analysis & Behavioral Issues
Part 4: Decision Analysis, Info Sys, & Mgmt Controls
Part 1: Business Analysis
Part 2: Management Accounting & Reporting
No Change
Part 4: Business Applications (Level C)
Part 3: Strategic Management
Part 1
Org Str, Mgmt, & Comm
15-25%
Corp Fin Mgmt
20-30%
U.S. Bus Env
10-15%
Macroeconomics 10-15%
Int’l Business Env
10-15%
Microeconomics 10-15% Internal Controls
15%
Fin Stmt Analysis
25%
Bus Econ25%
Global Business
20%
Quantitative Methods 15%
Original (Pre July 2004) Revised (FY05+)
Part 2
Financial Accounting
Environment
15-25%
Financial Statement
Analysis
15-25%
Preparation of
Financial Statements
50-70%Information
Management
15%
Cost Management
25%
External Financial Reporting
25%
Performance
Measurement
20%
Budget Preparation 15%
Original (Pre July 2004) Revised (FY05+)
Part 3
Behavioral Issues
20-30%
Control and
Performance
Evaluation
20-30%
Cost
Measurement
20-30%
Planning20-30% Strategic Marketing
15%
Corporate Finance
25%
Decision Analysis
25%
Investment
Decisions
20%
Strategic Planning 15%
Original (Pre July 2004) Revised (FY05+)
Part 4
Management Controls
15-20%
Decision Theory and
Operational Decision
Analysis
20-30%
Quantitative Methods for
Decision Analysis
10-15%
Information Systems15-25%
Investment Decision
Analysis
20-30%
Original (Pre July 2004) Revised (FY05+)
Essay questions dealing with parts
1,2, and 3 as well as:
•Organization management
•Organization communication
•Behavioral issues
•Ethical considerations
Part 2-CFM – Corporate Financial Management
Strategic Issues in Finance
15-25%
Financial Statement Analysis15-25%
Working Capital Policy and
Management15-20%
Risk Management 15-20%
Employee Benefit Plans
5-10%
External Financial Environment
15-20%
Six Steps to Succeed on Exam1. Buy Gleim CMA/CFM study material2. Study each section per part using process:
– Browse section to acquaint with main points
– Count number of questions per section (to gauge proportions)
– Reread sections in chapter to learn concepts
– Stop after section and try some questions
3. Take software practice study sessions after reading material4. Concentrate on important sections of Part (%s noted in Appendix) 5. Review sections and take notes6. Take software study session exams each day during week of exam
(60 questions, 1:15 mins)
Success Stories / Study Tips
• Prior CMA exam – Carroll• Current CMA candidate (Passed
Part 1) – Mike
Professional Development – IMA Certification Tools
• IMA Certification Listserves – sign up at http://imalistserv.imanet.org
• New IMA CMA/CFM training tools
• Lifelong Learning Center
• Publications – Strategic Finance,
Management Accounting Quarterly
IMA provides opportunities for members to take advantage of informative programs and to learn cutting-
edge financial management solutions from experts while
earning continuing professional education credits through:
Palo Alto ChapterMember Certification Program
• CMA and CFM Review Sessions– Start Part I October 2005 and finish before Christmas– Start Part II January 2006 and finish by March 2006
Meet at San Jose library
• Gleim Initiative (Volume Priced Discount)– How it works– Old and New exam software
• MicroMash Study System
• IMA Study System
Income ImpactCompensation by Age,
Average Salary
Age Range
# of Respondents
AllNo CMA or CPA
CMA CPABoth
CMA and CPA
19-29 29 $59,309 $56,917 * $61,968 *
30-39 304 $84,129 $74,185 $89,923 $82,274 $96,087
40-49 546 $96,512 $84,021 $101,241 $95,027 $110,691
50-59 306 $93,766 $81,955 $99,371 $101,945 $105,590
60 and over
56 $91,704 $82,891 $101,090 $96,784 $108,800
All 1,241 $107,744 $79,763 $97,908 $93,104 $105,155
Income Impact
Compensation by Age,
Average Total Compensation
Age Range
# of Respondents
AllNo CMA or CPA
CMA CPABoth
CMA and CPA
19-29 29 $65,321 $62,307 * $68,058 *
30-39 304 $94,077 $81,455 $106,115 $89,904 $110,628
40-49 546 $112,779 $94,852 $117,689 $112,341 $133,462
50-59 306 $108,801 $91,917 $116,431 $121,339 $124,020
60 and over
56 $102,366 $93,176 $122,270 $104,081 $114,400
All 1,241 $107,744 $89,178 $114,504 $107,744 $124,351
CMA/CFM vs. CPA
CMA/CFM CPA
Credentials: Designation:
International Recognition Limited to U. S.: a state designation
Targeted to corporate financial professionals
Targeted to public accounting
Broad-based, industry-related content
Content for public practice
Knowledge-Based Professional: Skill-Based Professional:
Prepares/uses accounting information
Audits accounting information
Concept-based Rule-based
“Inside” corporate professionals Public practice licensure
Higher-quality, lower-cost “beans”
Attests to the accuracy of the “beans”
“Player” “Referee”
Subject Matter Comparison
CMA / CFM CPAEconomics/Bus. Environment Audit/Internal ControlsDecisions/Capital Budgeting Financial ReportingStrategy/Marketing TaxationFinance Business Law Cost Measurement Govt./Non-profit Performance Measurement EthicsPlanning CommunicationInformation Management Quantitative MethodsCommunicationOrganizational Behavior
CMA/CFM vs. CPA Graph
Certification BenefitsYou The MemberYou The Member……• Opportunity to demonstrate professional capabilities
• Recognition of achievement
• Reward, promotions, and salary increases
Your Company CanYour Company Can……
• Identify motivated professionals for recognition and advancement
• Provide a necessary component of professional development
• Achieve and maintain a high level of knowledge, competence, and business understanding
As a CMA/CFM, You Have:• Demonstrated substantial knowledge of
accounting, finance, and important related fields, as well as ability to integrate accounting and financial information into the business decision process.
• Significant practical experience in management accounting or financial management.
• Proven ability to become a strategic business partner committed to a strict code of ethics and standard of excellence through a lifelong commitment to learning.
As a CMA/CFM, You Have:• Confirmed broad business competency and
mastery of management-level skills required to build quality business practices and add value to your organization by providing decision support, planning, and control over operations.
• Joined an elite group of professionals inside organizations who are relied upon by businesses around the world not only for accounting, finance, and information management, but for thestrategic planning necessary to successfully position the organization in the changing world of business.
Next Steps• Determine want and need certification
• Figure out timeline and plan
• Join Chapter Study Group now!!!
• Be prepared to buy study guides
– GLEIM appears to be the best product for the money
• Make more money once certified!!!
Remaining a CMA/CFM• Maintain IMA Membership
• Meet the Continuing Education Requirement –
30 Hours/Year (An easy way: Attend Local
IMA Chapter Dinner Meetings)
• Comply with the Standards of Ethical Conduct
Helping Financial Professionals Achieve Excellence
www.imanet.org