and CIMA Launch New Designation
Richard J. Koreto
On Jan. 31, the AICPA and the London-based Chartered
Institute of Management Accountants (CIMA) launched a new venture that
was announced earlier: the Chartered
Global Management Accountant (CGMA) designation.
According to a joint announcement, this designation
is designed "to
elevate the profession of management accounting" and
recognizes "the most talented and committed management
accountants with the discipline and skill to drive strong
business performance." Gregory J. Anton, AICPA chairman,
said in the credential’s launch presentation, although
some NYSSCPA members expressed doubt about the real value
of the credential for CPAs.
The joint venture is owned 60 percent by
the AICPA and 40 percent by CIMA, although the board that
governs the designation
will be half CIMA and half AICPA. CIMA, founded in 1919,
describes itself as the world’s largest and leading
professional body of management accountants.
CPAs can sign up on the CGMA website, although some qualified
CPAs report receiving letters that told them they already
have the designation, without doing anything. U.S. CPAs who
want to obtain the CGMA designation must be regular (voting)
members of the AICPA and meet any one of the following conditions,
according to the CGMA website:
years of financial (including internal audit) or management
accounting experience in
or government, or
years of financial or management accounting experience
plus one year in public accounting,
years of financial/management accounting experience on
a consulting basis, or
years in a management accounting role focused on the
management and operation of an accounting
There is no cost to maintain the designation until July
31, after which the annual designation fee will be $150.
CPAs who are also a member of a state CPA society will receive
a $50 annual discount.
As long as CPAs remain with the AICPA and
pay their dues, there are no other requirements for now.
In 2015, CPAs will
have to take an exam, but the AICPA clarified that CPAs who
obtain their CGMA designation before then will be grandfathered
in—they will not have to take any further assessments.
at least for now, there is no competency requirement beyond
what AICPA members already have. NYSSPCA
J. Michael Kirkland, who also works in industry, said that
only time would tell if the CGMA designation would be of
value. He thought its global focus might help CPAs involved
in international issues, and said that he was signing up
for it. However, he also had a problem with marketing it
as a gold standard, saying that "being a CPA is a gold
a CGMA, CPAs get
The ability to use "CGMA" after their names
certificate suitable for framing.
to CGMA.org. (This is open to all CPAs until July 2012,
it will be open only to CGMA
such as checklists, decision trees and real-world case
on key issues facing businesses in the global economy
- Products, including online courses, webinars, digital publications
and conferences, available at special
pricing for CGMA holders.
Leeds, president of the NYSSCPA Westchester Chapter and
a management accountant, was a little dubious: "Based
on criteria I've seen so, I don't understand what this will
add to management accounting or me in particular." CGMA's
sponsors are billing it as a "gold standard," but
Leeds wonders if only a three-year work requirement makes
it a gold standard.
Michele Levine, a member of the Government
Accounting & Auditing
Committee, said that while many of the same skills and competencies
apply to CPAs in government and in business, there are substantial
environmental differences, and little was said during the
launch webcast about the designation's relevance to CPAs
in government. However, she did attend the launch webinar,
and called the designation "potentially important."
is trying to market the new designation by forging agreements
with state societies. If a state
to promote the designation to its members by placing
notices in society publications and on websites, running
articles, distributing flyers at major society events
and displaying a CGMA poster in its offices, among other
the AICPA will pay a royalty to the society.
The amounts are based on the number of state society members
who sign up for the CGMA, and run on a sliding scale from
$3 to $15 per member.
At its February meeting, the NYSSCPA's executive committee
will consider whether the NYSSCPA should join the program.