Introduction: In present Indian Scenario Costing is very challenging & bright career option in the field of Accounts. According to the section 209 (1) (d) of the companies act, 1956, provides that in case of Companies pertaining to any class of Companies engaged in production, processing, manufacturing or mining activities such particulars relating to utilization of materials or labour or other items of cost as may be prescribed, if such class of companies are required by the Central Government to include such particulars in the books of accounts & Section 233B of the companies act provides the procedure & regulations for appointing a cost auditor. So these two sections will help Cost accountants have a great career growth. Also recently the Cost accounting standard made as mandatory applicable by the ICWAI is creating additional scope in the field of costing. But today apart from the Cost audit & Cost records in many areas the presence of Cost & Management Accountants are essential and this will lead CMAs to have a good career growth .In this article myself discussing some of the major areas which gives good career opportunities in the costing field
1. In Budget & Budgetary Control: Budgeting is major area which gives the high career scope & for Cost Accountants. Also this field is very interest and challenging area. All the Industry whether Manufacturing or Service, they want to do budget for their revenue & expenditure for controls them to enhance the profitability. Here the Cost accountant work start from preparation of Budget to Monitoring the same with actual and analysis the variance and control the same. So this field helps Cost accountants to learn & know the new things and earn a good amount of salary as well as experience.
2. In Costing the product, project & service: For any type of the industry costing is the vital role. For Manufacturing, Service, Projects all the fields they need to know the cost of the same for fixation of the price and profit margin in this field costing person help is very much important to analyze the nature of cost (i.e. fixed cost, variable cost) in a professional manner. So this field also is giving great responsible role for a Cost accountants
3. In Managerial Decision making: In decision making at top level management like Profitable product mix, sales mix, transfer pricing, overhead allocation, performance evaluation, capital budgeting decision, make or buy, In these decision role of CMA is very essential and this fields are give dynamic experience for CMAs.
4. In Taxation: In Taxation field scope for Cost accountants is very vast. Especially indirect tax areas Excise, Customs & Service tax are the good area for the cost accountants. In Excise & customs Cost accountants certification is must for many areas. For practicing cost accountants can have a facility center for all the electronic statutory requirements like e-payment, returns in www.aces.gov.in website. Also in present proposed changes Direct tax code, GST, Their role & responsibility is give a wide range of experience & career growth.
5. In Teaching: Cost accountants are having good opportunities in the teaching field; most of the universities are recognized the Costing qualification for the post of Professor, Associate professor, lecturer positions and also CWA is a prescribed qualification under AICTE for the above positions. Teaching field gives the good scope for Cost accountants.
6. In Valuation: In many of the areas like Insurance, Customs, Excise, sales tax Cost Accountants are can act as a certified valuer. Also asset valuation & share valuation, goodwill valuation during corporate activities like merger, Amalgamation, absorption CMAs can be a valuer. This field giving to cost accountants an enhancing career opportunity.
7. In Finance: In the field of finance Cost accountants are having broad scope. At present in many of the Government, public & private sector they are work from top level to middle levels like Director, G.M, Manager for Finance, Here we can learn Project finance, Banking, Project cash flows, capital budgeting cash flow, working capital management, short term/Long term borrowings and many more. This field is the most attractive field for Cost accountants those are in employment.
Conclusion: The above points discussed here are the major career opportunities in costing field in addition to practicing as Cost auditor and not an exhaustive one. Apart from this many areas which related these points are also giving very respectful & fruitful career opportunities to develop our career in costing. So have a good Costing career.
CMA. Ramesh Krishnan