IMA Blog > CEO Blog

It's all about credibility in serving the profession

Mon, 06 Feb 2012 16:29:15 +0000

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Hi All,

Just this past Friday, I learned that another CMA ascended to a very prominent position - selected by the SEC to be a member of the PCAOB (Public Company Accounting Oversight Board). You will be learning more about this individual soon! CMAs around the world have ascended to be CEO, CFO, Chairman of the FASB, Corporate Controllers, State Controllers and more. They earned their certification by passing a rigorous, relevant, and focused exam. The way these CMAs earned their certification, their inspiring "career stories", and their leadership development have made the profession and fellow CMAs very proud. This is especially noteworthy as the CMA is celebrating its 40th anniversary as the true gold standard of management accounting!!

You have also seen IMA's strategies and concerns regarding the Chartered Global Management Accountant (CGMA) designation, launched last Tuesday (1/31) by a Joint Venture of the AICPA and CIMA (UK). In the US, for three full years, there is NO test of competency. Rather, if you are a CPA in good standing, demonstrate three years of basic experience in management accounting, and pay a fee, you can add the CGMA designation to your business card. From an employer perspective, this process greatly concerns IMA.

The market will decide, particularly CEOs and CFOs, the best means to assure credible and competent resources in driving business performance and protecting investors with skill sets in financial planning and analysis, risk management, strategic costing and other types of decision analytics, all built on a solid foundation of ethics. READ ON ---> .....

In my 24 years in corporate life which included serving as CFO for $ billion SBUs, and my seven years at IMA, I have worked alongside literally hundreds of CPAs. One of them, whom I respect greatly, was automatically enrolled by the AICPA as a CGMA and received a lovely and highly informational welcome packet. But, he said to me "Jeff, I have no real world working experience in management accounting yet I was auto enrolled. I have no more capability in this area than I do in baking croissants". Of course, he was being somewhat sarcastic, but the point is that if management accounting is a science with highly differentiated and critical skill sets, we need to do the right thing for employers and society.

The CMA program, in its 40th year, will continue to grow and serve the profession - the right way, with mission and society front and center.

Thanks,

Jeff

What is a Chartered Global Management Accountant?

Tue, 31 Jan 2012 16:01:32 +0000

Entry by Jeffrey Thomson

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Hi All,

As our prestigious, gold-standard CMA exam approaches its 40th anniversary this year, I wanted to again thank you for being part of the IMA community which is growing every day in influence and respect. IMA is financially and culturally healthy, the CMA program is growing world-wide, we are expanding our partnerships and alliances, and we are inspired by the challenges of serving our members, organizations and society. With focus, agility, innovation and our core values, the IMA community is poised for even greater success!

Earlier today, at 8 am US eastern time, the "CGMA" went live. The CGMA stands for Chartered Global Management Accountant, the result of a joint venture between AICPA and CIMA (UK). As a CFO in business, industry and government for over two decades in US-based MNCs (multi-national corp.), I am appreciative that the "C" in CMA means "Certified". Read on ---->

Let me be clear on IMA's concern. For three full years, AICPA voting members with three years of experience in management accounting earn the CGMA. For the next six months, they actually get automatically enrolled as CGMAs for free if they meet the basic criteria. Later, they can opt out but otherwise, on their anniversary date, they pay the $150 annual fee ($100 to a state society). Simply put, there is NO exam in the US for the next three years.

I earned my CMA, as did over 36,000 others, by studying for and passing a rigorous, relevant and focused exam (in addition to experience, education and continuing education requirements). I studied my xxxx off, even though I had significant experience on the "CFO team" prior to earning my CMA. Employers and association executives agree, the competencies of financial planning and analysis, strategic planning, risk management and other forms of decision analytics are unique and critical to organizational success and economic vitality.

With respect, I call the question: You are an employer, let's say, the CFO of a large multi-national company. You critically need the skills and competencies that management accountants bring to the table. You want the best possible means to assure competency in these critical skill sets. Which is the best way to serve the employer's needs, and that of society? Again, I am proud that the CMA exam is a rigorous, relevant and focused exam that tests 10 different knowledge domains, starting with a solid foundation in ethics.

IMA will continue to call this question, and be a FIERCE competitor (Focused in serving its mission, Innovative in unleashing our creative potential, Entrepreneurial in all we do like "owners of a business", Respectful in how we act and speak per Our Core Values, Courageous in speaking out on behalf of the profession, and Empathetic in listening and caring for all members of the IMA community).

Thanks,

Jeff Thomson, CERTIFIED Management Accountant

A New Year for IMA!!

Wed, 18 Jan 2012 18:03:56 +0000

Entry by Jeffrey Thomson

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IMA Members,

In 2011, IMA delivered on exciting opportunities for growth, influence, and member value. To see the ways in which our achievements were visible across the organization – and around the world – take a moment to view my recent video.

In March, we opened our first European office in Zurich, Switzerland. We now operate across four regions, with offices in the Americas, Asia Pacific, Europe, and the Middle East. In September, we launched the IMA Speakers Bureau, which allows IMA to promote its broad array of thought leadership for accounting and finance professionals in business and industry. Our Leadership Academy programs continue to grow and flourish. To keep pace with the needs of our evolving profession, and to increase our offerings in our newer global markets, in October, we announced plans for translating our CMA exam into Simplified Chinese. Finally, in 2011, we set a record for the highest number of new CMA certificates awarded in any year, proving that the CMA has never been more valuable or relevant.

As we begin 2012, I’m thrilled at what’s to come. This year, IMAis celebrating a landmark event: the 40^th anniversary of the CMA credential, the paragon of management accounting and financial certification. The CMA continues to deliver tangible value – through real on-the-job relevance, employer recognition, and high ROI. To date, more than 35,000 CMA certificates have been awarded – by passing a rigorous, focused, and relevant exam – including prominent CEOs, CFOs, and controllers around the world. We will address the competitive challenges head on with confidence and smart strategies, and we will express concerns about other accounting associations who do not certify competency with an exam. CONTINUED --->

To celebrate 40 years of success, IMAis dedicating numerous events throughout our 2012 Annual Conference & Exposition in Las Vegas this June. And, in September, this achievement will also be featured in Strategic Finance magazine with special coverage of the CMA program.

Throughout the New Year,IMAwill continue to enhance, enrich, and expand benefits to our membership with core values as our anchor.

We’ve already been recognized for our efforts having been named to Trust Across America’s Top 100 Thought Leaders in Trustworthy Business Behavior 2012 list in which myself and Curt Verschoor, a longtime member of IMA’s Committee on Ethics, were featured. As our goal has always been to create solid, ethical opportunities for accountants and financial professionals in business, this is a great honor for IMA which was the only organization in the accounting industry named with two awards.

I’m proud to say that IMA is financially healthy and growing in membership, CMAs, and global influence, but will always stay true to our core mission to serve society. I’m confident the principles and values that have sustained this great association for more than nine decades will continue to support our success.

IMA holds a unique opportunity to enrich careers, organizations, and societies like no other association in the world. In 2012, we will continue to provide this unwavering service to our members and remain true to our core values: respect for the individual, passion for serving members, the highest standards of integrity and trust, commitment to innovation, and a culture of teamwork.

I am looking forward to all that 2012 has to offer – through our Annual Conference and local chapter events – and hope to see many ofIMA’s dedicated members along the way. Happy New Year!

Jeff Thomson, CMA

Fierce Competition ....

Wed, 21 Dec 2011 13:26:45 +0000

Entry by Jeffrey Thomson

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Hello IMA Members,

Huh? What an odd way to announce the availability of IMA's Annual Report on our website, and, to wish you all safe and happy holidays wherever you live and work!!! I greatly appreciate your membership as part of the IMA family.

Susan Scott wrote an excellent book called "Fierce Conversations: Achieving Success at Work & in Life, One Conversation at a Time". Principle 1 is "Master the courage to interrogate reality". Even in a not-for-profit environment, IMA is facing significant competition with the AICPA and CIMA (UK) launching a global management accounting designation and other resources in January, 2012.

Fierce competition simply means that while IMA will always remain respectful with mission first, we will be fierce and determined in our mission to serve members, the profession and society. We will leverage our growing strengths - a strong financial position with significant growth around the world (see Annual Report) and a collaborative global network of staff and volunteers providing local community services at over 200 chapters around the world. And, there is much more to leverage to develop the world's best management accountants with a world class certification, educational programs and community engagement opportunities.

Fierce competition does differ from for-profit approaches (yes, once again, you know I worked for well over two decades in the telecommunications market). Fierce competition in a not-for-profit association means that you must put mission, members and the profession first, rather than becoming the largest association in absolute numbers (revenue, members, executive salaries and overhead). I learned the hard way, absolute size does not trump agility, service and community. But, here is where fierce competition is similar. Stay tuned --->

Part of Fierce Competition is asking tough but fair questions to your competitors:

AICPA - Do you believe that offering a management accounting certification with NO testing for 3 years gives employers assurance that they have the best possible talent? Combined with auto enrolling those CPAs who satisfy simple experience requirements, is it quantity of professionals holding the CGMA that matters or quality in serving organizations and society?

CIMA - The JV is clearly headed toward an acquisition of CIMA by the new, global AICPA in the next 2-3 years. Is this in the best interests of your membership and your hard work over 92 years in building a certification program which "goes away" in favor of the CGMA?

Please be assured that IMA will always be mission focused and we will always behave with your interests in mind. Like no other association in the world, IMA has the opportunity to enrich careers, organizations and society. You as our members should expect nothing less.

Thanks!

Jeff

IMA - Playing a Leadership Role in Global Talent Development

Mon, 28 Nov 2011 15:07:46 +0000

Entry by Jeffrey Thomson

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Hi All - After trips over the past few months to U.S. chapters and last month to the Middle East, earlier this month I visited China where IMA has doubled its membership each of the past two years, with exponential growth in CMA exam candidates. Why this growth? We have a great staff and partners who give us a local view into the market rather than a Montvale, N.J. view of local needs. IMA has translated many of its publications into Simplified Chinese, as well as the 4-part exam. The 2-part exam is in the process of being translated. While we are trying to find the right balance between local service innovation and shared service support from the head office, in any event we must have an unwavering focus on delivering a greater volume of relevant local services that enrich careers, organizations and societies/economies. Finally, IMA as a non-profit with a clear societal mission has been in China for several years building and nurturing relationships and relationship management is key to success (e.g., governmental agencies and other valued partners).

But, the big "aha" is the central government and MNC emphasis in China on talent development ....

And this is where IMA can continue to be a leader around the globe. The CMA exam certifies competency in critical management accounting skills. IMA's Leadership Academy helps to develop leadership skills in many facets. Webinars, conferences, publications, research, and other educational programs all help fill in the gaps identified by governments and companies - gaps in leadership and influencing skills, planning, budgeting, risk management, decision support and more.

One might conjecture that the talent management gap in the U.S. (a well developed economy) is insignificant, but it is a challenge there as much as in emerging/growth economies. Simply put, there exists a gap between what accounting educators teach (emphasis on financial accounting topics such as tax, regulatory reporting, audit and compliance) and the critical additional skills also needed in practice (e.g., planning, M&A, performance management, decision support and much more).

The coming year promises to be an exciting one for IMA as it continues to grow in size, relevance and influence. We intend to be part of the solution (if not leading the solution) in the talent management gap so stay tuned for exciting announcements in the coming year. Simply put, greater competency in management accounting means that organizations and economies are able to achieve sustainable growth while protecting investors and other stakeholders.

Thanks, and I always look forward to your feedback!!

An Inspiring Trip to the Middle East

Sun, 06 Nov 2011 16:14:55 +0000

Entry by Jeffrey Thomson

Entry

Hi All,

I just returned back from a trip to IMA's Middle East Region. IMA has over 8,000 members in the region (13 countries), and the CMA program is growing in stature and relevance. While the exam remains rigorous and focused, pass rates in the region are improving thanks to an expanding network of approved review course providers, more localized services and better prepared candidates.

IMA's VP of International Business Operations, James Gurowka and I visited with members, corporations/CFOs, universities, review course providers and other partners. What is truly inspiring, though, and once again shows the power and influence of the IMA, is our growing network of local chapters that allows members to connect, engage and grow.....

IMA launched the Cairo chapter which is poised to do great things in the region with active support from IMA Global. The new Abu Dhabi chapter held an event that covered ethics (I had the honor to deliver that session) and management accounting best practices from a fellow CMA. And, at the well established Dubai chapter, we had another ethics session that followed a well attended CFO panel.

Also, IMA signed an exclusive partnership with the U.K.-based Manchester Business School, one of the world's most prestigious MBA programs, to actively cross-promote their MBA and the gold-standard CMA in the region.

No other accounting association in the world can deliver the "one-two punch" of global and local services to enrich careers, organizations, economies and societies. IMA and its certification affiliate, the ICMA, also firmly believe that the best means to certify competency is to study and pass a rigorous and focused exam. The hundreds of members and employers in the region confirmed that. I raise this topic because as the accounting association environment is trending toward consolidation, it is important that we avoid the temptation to "increase our numbers" by awarding certifications without certifying actual competency with an exam process (combined with experience and appropriate pre-requisite qualifications).

Again, let's work together to grow our profession and our association. Whether it be football, rugby or cricket, as the saying goes, "this is our game to win". Thanks,

Jeff

IMA and AICPA Agree on the Value of Management Accountants!! (11 Comments)

Fri, 02 Sep 2011 13:53:25 +0000

Entry by Jeffrey Thomson

Hi All,

A recent blog by a senior executive at the AICPA was titled "Management Accountants: The People Businesses Need Now More Than Ever". We agree! IMA - THE INSTITUTE OF MANAGEMENT ACCOUNTANTS - is pleased to remain as one of the most respected and largest associations focused exclusively on advancing the science of management accounting globally.

The CMA has been the gold standard for certifying competence in management accounting for nearly 40 years, with over 35,000 professionals certified to date. In the past two years the CMA has experienced a record number of candidates and the program is growing exponentially around the globe. (IMA as you may know has offices and staff in Montvale N.J., Zurich, Beijing, Dubai, and coming soon, Cairo! ) The ICMA, the body that manages the entire exam process, believes that the most appropriate way to prove competence in management accounting is to sit for a rigorous, focused exam that addresses the skills and knowledge needed to create and grow great organizations.

With its vibrant network of over 200 chapters around the world, IMA is proving and will continue to prove that with agility, service and community, it can raise the bar by further enriching careers, organizations and societies.

Thanks!

Jeff

Raising the Profile of Management Accounting Globally (8 Comments)

Thu, 26 May 2011 16:09:19 +0000

Entry by Jeffrey Thomson

Entry

Hi All - As expected, earlier this week, the AICPA and CIMA (UK) approved a JV which would create a new global management accounting designation, the CGMA (Chartered Global Management Accountant). Is this a good thing, or a bad thing, or ?? for IMA. Read on.

As I have indicated previously, on the surface the launch of a new management accounting designation by two very large accounting bodies would seem to be cause for panic. While this clearly is a risk to IMA's mission, smart business managers know how to convert risk to opportunity. With all of the industry consolidation occurring, very soon if not now IMA can claim to be the world's largest and leading association focused exclusively on advancing the global management accounting profession. We continue to believe, supported by our market growth, that the CMA is the gold standard for certifying competency in management accounting.

IMA is strong financially. We have a growing global presence. We have a growing network of over 200 local chapters (communities) with passionate IMA/CMA champions. IMA needs to raise its game, and our strategic plan does just that (global board review will occur on June 4). You will learn more about IMA's strategic plan very soon. Part of our on-going strategic plan is to consider partnerships that expand IMA's footprint and influence, while staying true to our core mission.

When the largest accounting association in the U.S. recognizes management accounting as critical to the value chain, is that a bad thing? My view is that if the market pie grows, and if you have a great product with great people, you will do well. You need to think in a transformational manner, though, and think in terms of the value you are delivering every day to your stakeholders. Finally, coming from a large telecom, I know that size does not trump agility, service and community.

What do you think? Let me know.

Thanks,

Jeff

My Bad/My Blogging (1 Comment)

Wed, 27 Jul 2011 11:49:13 +0000

Entry by Jeffrey Thomson

Entry

Hi All - It's been some time since I last blogged so as my kids say, "my bad". Busy times at IMA with year end financial close, wrapping up appraisals, executing our strategic plan which stepped up investments around the globe, and more.

If you hear or read statements from other accounting associations such as "there is no globally recognized standard or certification in management accounting", please let me know. You could respond by saying:

The CMA has been the gold standard for certifying management accountants around the world for nearly 40 years.
IMA/CMA believes in a rigorous exam to demonstrate mastery and has never awarded certificates without earning it - through hours of study, passing tough exams, and continuing education. Experience only - yes, some associations "grand-father" in candidates and award a certification based on experience only - is not enough to certify mastery in financial planning and analysis, risk management and internal controls, costing, and more.
Last year, there were a record number of CMA candidates and this year we awarded a record number of CMAs. This is due to an expanding footprint with partners around the globe (IMA offices and staff in USA, Europe, Asia/Pacific, and the Middle East).
IMA is healthy and thriving - spread the word!

Thanks,

Jeff

Orlando Day 4 Headline: Management accountants highly valued by CEO/Operations Chiefs (3 Comments)

Tue, 07 Jun 2011 21:57:43 +0000

Entry by Jeffrey Thomson

Hi All - We had two wonderful keynote addresses during our fourth day at IMA's 92nd Annual Conference and Exposition in Orlando, Florida. One talk was from the CEO of a Motorola spin-off, and the other was a Senior Vice President of Operations at a healthcare company. Both talks highlighted the need for the management accountant/CMA to step up as trusted business advisor in helping to protect investors while driving business performance. What a tribute to our profession, and to our CMAs! Just line up the competencies identified by the CEO and Senior Vice President for the management accountant to step up as trusted business advisor: financial planning and analysis; risk management and internal controls; and, decision support. Guess what is fundamentally tested on the CMA exam: financial planning and analysis; risk management and internal controls; and, decision support!!

IMA and its gold standard certification, the CMA, are up to the challenge of expanding our influence worldwide. More CMAs simply means that careers, organizations, economies and societies and economies are enriched.

Thanks,

Jeff