SPECIAL FOCUS ‘Cost Management vital to any sector, including education’ Page 42 INSIDE MANAGEMENT the ACCOUNTANT THE JOURNAL FOR CMAs APRIL 2014 VOL 49 NO. 4 `100 CCOOSSTT MMAANNAAGGEEMMEENNTT IINN EEDDUUCCAATTIIOONN SSEECCTTOORR FINANCIAL & COST MANAGEMENT OF UNIVERSITIES IN THE INFORMATION AGE HIGHER EDUCATION IN INDIA: ISSUES RELATING TO EXPANSION, EQUITY AND EXCELLENCE COST MANAGEMENT IN THE PUBLIC AND PRIVATE EDUCATION SECTORS The Institute of Cost Accountants of India (Statutory body under an Act of Parliament) www.icmai.in SUBSCRIBE TO theMANAGEMENT ACCOUNTANT THE JOURNAL FOR CMAs ISSN 0972-3528 THE JOURNAL FOR CMAs THAT • helps students in their reference work • has researched inputs on practical issues for academicians and professionals • has inputs from industry people for the view from the ground • has a global outlook with special emphasis on India • has sections on the latest updates and research • is attractively designed, easy to subscribe and reasonably priced • has rigorous backend support to handle queries The Institute of Cost Accountants of India, a statutory FORMAT OF APPLICATION FORM FOR SUBSCRIPTION body set up under an Act of Parliament in 1959, The Editor NMJ no. ........................ has been publishing its pioneering journal, The Directorate of Research, Innovation & Journal Regd. no. ..................... Management Accountant for 49 years. The journal The Institute of Cost Accountants of India (for students of the CMA Bhawan, 4th Floor, is aimed at the needs of Cost and Management Accountants Institute) 84 Harish Mukherjee Road, Kolkata 700 025, India (CMA) and provides information, analyses and research on global Board: +91-33- 2454 0086 / 87 / 0184 and national developments. The wide circulation and inputs from Tel-Fax: +91-33- 2454 0063 academicians, researchers and industry stalwarts have been the Dear Sir, I/We would like to subscribe to The Management Accountant from reasons for the success of the journal. ....................................... (month) ....................... (year) to ....................................... (month) ....................... (year) HOW TO SUBSCRIBE I/We enclose a Demand Draft No. ................................................ dated ......................................... for ` ................... 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The Editor E-mail ............................................................................................................................................................ Directorate of Research, Innovation and Journal Date: ................................................. Signature of the Subscriber .......................................................... The Institute of Cost Accountants of India CMA Bhawan, 4th Floor, 84 Harish Mukherjee Road, NOTE 1: Revised subscription rates has been implemented w.e.f. January 2014 Kolkata - 700 025 India NOTE 2: Please fill in the subscription form in BLOCK letters. NOTE 3: Old subscribers must fill in the SUBSCRIBER NO., i.e. NMJ ............. at the top of the form. Phone: +91-33-2454-0086 / 0087 / 0184 NOTE 4: Maximum period of subscription is ONE YEAR Fax: +91-33-2454-0063 NOTE 5: Cash payments are not accepted Email: [email protected]; Website: www.icmai.in Please allow 4–6 weeks for the delivery of your copy after we receive your payment The Institute of Cost Accountants of India PRESIDENT CMA Suresh Chandra Mohanty [email protected] VICE PRESIDENT CMA Dr A S Durga Prasad [email protected] COUNCIL MEMBERS CMA Amit Anand Apte, CMA Aruna Vilas Soman, CMA D L S Sreshti, CMA Hari Krishan THE INSTITUTE OF COST ACCOUNTANTS OF INDIA (erstwhile Goel, CMA M Gopalakrishnan, CMA Manas Kumar Thakur, CMA Dr P V S Jagan Mohan Rao, The Institute of Cost and Works Accountants of India) was first established in 1944 CMA Pramodkumar Vithaldasji Bhattad, CMA Rakesh Singh, CMA Sanjay Gupta, as a registered company under the Companies Act with the objects of promoting, CMA Dr Sanjiban Bandyopadhyaya, CMA S R Bhargave, regulating and developing the profession of Cost Accountancy. CMA T C A Srinivasa Prasad GOVERNMENT NOMINEES On 28 May 1959, the Institute was established by a special Act of Parliament, name- Suresh Pal, Nandana Munshi, Ashish Kumar, G. Sreekumar, K. Govindaraj ly, the Cost and Works Accountants Act 1959 as a statutory professional body for Secretary (Acting) the regulation of the profession of cost and management accountancy. CMA Kaushik Banerjee [email protected] It has since been continuously contributing to the growth of the industrial and Senior Director (Studies) CMA R N Pal economic climate of the country. [email protected] Director (Administration & Internal Control) The Institute of Cost Accountants of India is the only recognised statutory profes- CMA Arnab Chakraborty [email protected] sional organisation and licensing body in India specialising exclusively in Cost and Director (Professional Development) Management Accountancy. CMA J K Budhiraja [email protected] Director (Examinations) CMA Amitava Das [email protected] Director (CAT), (Training & Placement) CMA L Gurumurthy MISSION STATEMENT [email protected] Director (Finance) CMA S R Saha The CMA Professionals would ethically drive [email protected] Director (Administration–Delhi Office enterprises globally by creating value to stakeholders & Public Relations) CMA S C Gupta in the socio-economic context through competencies [email protected] Director (Research & Journal) drawn from the integration of strategy, management CMA Dr Debaprosanna Nandy [email protected] and accounting. Director (Advanced Studies) CMA Dr P S S Murthy [email protected] Director (CPD & PR) CMA A S Bagchi [email protected] VISION STATEMENT Director (Technical) CMA Dr S K Gupta The Institute of Cost Accountants of India would be [email protected] Director (Discipline) and the preferred source of resources and professionals Joint Director (Membership) CMA Rajendra Bose for the financial leadership of enterprises globally. [email protected] Editorial Office CMA Bhawan, 4th Floor, 84, Harish Mukherjee Road, Kolkata-700 025 Tel: +91 33 2454-0086/0087/0184 Fax: +91 33 2454-0063 Headquarters CMA Bhawan, 12, Sudder Street IDEALS THE INSTITUTE STANDS FOR Kolkata 700 016 Tel: +91 33 2252-1031/34/35 • to develop the Cost and Management Accountancy profession Fax: +91 33 2252-7993/1026 • to develop the body of members and properly equip them for functions Delhi Office CMA Bhawan, 3, Institutional Area • to ensure sound professional ethics Lodi Road, New Delhi-110003 Tel: +91 11 24622156, 24618645 • to keep abreast of new developments Fax: +91 11 4358-3642 WEBSITE Behind every successful business decision, there is always a CMA www.icmai.in April 2014 Inside COVER STORY APRIL 2014 VOL 49 NO. 4 `100 The Management Accountant, official organ of The Institute of Cost Accountants of India, established in 1944 (founder member of IFAC, SAFA and CAPA) EDITOR CMA Dr. Debaprosanna Nandy [email protected] PRINTER & PUBLISHER CMA S C Mohanty President, The Institute of Cost Accountants of India 12 Sudder Street Kolkata 700 016 and printed at Hooghly Printing Co Ltd (a Government of India Enterprise) EDITORIAL OFFICE CMA Bhawan, 4th Floor, 84, Harish Mukherjee Road, Kolkata-700 025 Tel: +91 33 2454-0086/0087/0184 Fax: +91 33 2454-0063 The Institute of Cost Accountants of 16 FINANCIAL & COST India is the owner of all the written and visual contents in this journal. MANAGEMENT OF Permission is neccessary to re-use any content and graphics for any UNIVERSITIES IN THE purpose. INFORMATION AGE DISCLAIMER 28 INTERVIEW 31 INTERVIEW The views expressed by the 'Regulatory and 'Infrastructure authors are personal and do learning environments not up to not necessarily represent behind those of expectations' the views of the Institute and therefore should not be advanced countries' attributed to it. 4 THE MANAGEMENT ACCOUNTANT APRIL 2014 www.icmai.in 6 COVER STORY From the Editor’s desk 34 Higher education in 42 INTERVIEW India: Issues relating to 'Cost Management 7 expansion, equity and vital to any sector, excellence including education' President’s communique 44 INTERVIEW 46 11 'Collegial system gives the best governance' ICAI-CMA snapshots 50 INTERVIEW 13 Cost Management in 'Effective education the Public and Private needs teacher-student Letters to the Editor Education Sectors interaction' 14 62 Opportunities for CMAs 52 An Insight into the cost Economy Updates in Fee Fixation of quality in Higher Education 97 73 Balanced Scorecard: A 68 Classification and MDP 2014-15 Tool for Performance Analysis of Costs in Measurement in Higher 101 Higher Education Education institutions Institute News 79 Round Table Discussion 76 Cost and inability of 110 on ‘Strategic Cost Middle-Income Groups to Management in pay: A Case of Business Membership List education sector’ Management education CONTEMPORARY ISSUE TAXATION 86 Corporate Fraud and the new Company Law 91 Indian Textiles and 81 The Reluctant Gift: The Clothing Industry in newly notified refund of the Post-MFA World: Cenvat Credit in Reverse 88 Tax Titbits A Stronger Tiger with Service Tax fewer Nails The Management Accountant technical data Advertisement rates per insertion ` US$ Periodicity: Monthly Language: English Back Cover 50,000 2,500 Inside Cover 35,000 2,000 Overall Size: - 26.5cm x 19.5cm Ordy. Full Page 20,000 1,500 Screens: up to 130 Ordy. Half Page 12,000 1,250 Subscription Ordy. Qrtr. Page 7,500 750 Inland: `1,000 p.a. or `100 for a single copy The Institute reserves the right to refuse any matter of Overseas: US$150 for airmail or US$100 for surface mail advertisement detrimental to the interests of the Institute. The Concessional subscription rates for registered students of the decision of the Editor in this regard will be final. For any query, Institute: `300 p.a. or `30 for a single copy mail to [email protected] www.icmai.in APRIL 2014 THE MANAGEMENT ACCOUNTANT 5 FROM THE EDITOR’S DESK Greetings! • Governing body (govt/semi govt/private/autono- Education is an important means of modernization mous body) and acting as a vehicle for sustained economic devel- • No. of branches (specialization in UG and PG) opment. In India the education market is generally re- • Provision for studying interdisciplinary courses garded as the only market towards which Indians are • Physical infrastructure including classrooms, labs, not price-sensitive because it has helped them to reach seminar hall, auditorium, play ground their present standard of living and promises better • Library facilities earnings and prospects for their children. Education • E-learning facilities has long been receiving the major wallet share of the • Faculty quality Indian middle class. • Quality of students The Indian education sector has been recognized as • Administration a booming sector for investment in the recent past as • Professional growth opportunities there is a huge demand for upgradation of education • Scope for Entertainment since India is expected to have a surplus of 47 million • Living expenses (food and lodging in hostels) people in the working age group by 2020. Higher • Extent of medical facility education sector offers one of the most attractive and • Student evaluation system highly complex markets for the private/foreign players. • Faculty evaluation system Though there are some regulatory hurdles but still it is • Fee structure an attractive sector for an overseas education provider. • Training and Placement The Planning Commission in its approach paper to • Research and Development work done by the 12th Five Year Plan had suggested that the current faculties “not-for-profit” approach in the education sector • Entry standards should be re-examined in a pragmatic manner so as to • Teaching assessments ensure quality without losing focus on equity. • Faculty-Student ratio The dominance of state subsidies is an outstanding • Faculty spending feature of most education systems. Education, • Student results including higher education, is heavily subsidized by • Grant and donation received the state. Even in those cases, where education is not • Alumni association publicly provided, it is subsidized by the state. Now • Industry-Institute linkage the question may arise whether the education subsidy CMAs can play an important role in performance should be provided to all. Generally subsidy is provided evaluation, allocation and distribution of resources and to secure the right to education for those people who funds, regulatory aspects and governance, obtaining are financially weak. cost efficiency and optimum utilization of resources, Effective Performance Management systems in etc. of educational institutes as well as the whole sys- higher education depends on the attitude of the tem. policy makers and the institute itself. Performance This issue presents a good number of articles and Management leads to improvement in performance interviews by distinguished experts and authors on of education system. A higher education institution is the ‘Cost Management in Education Sector’, the cov- required to pay attention to the multiple stakeholders. er story theme of this issue. The new section, ‘Letters These stakeholders are students, faculties, staff members, to the Editor’ that started a few issues ago, continues. alumni, parents, government, community etc. We look forward to constructive feedback from our readers on the articles and overall development of the Basic parameters for performance journal under this section. Please send your mails at evaluation of Higher Education [email protected]. We thank all the contributors to this • Location of the Institute important issue and hope our readers enjoy the articles. 6 THE MANAGEMENT ACCOUNTANT APRIL 2014 www.icmai.in PRESIDENT’S COMMUNIQUE CMA PROFESSIONALS CAN SUPPORT GOVERNMENT INITIATIVES AIMED AT SUSTAINED AND INCLUSIVE GROWTH leading to the desired outcomes. There is a need to carry out stud- ies for standardizing operational and cost structures across different schemes for ensuring delivery of quality products and services at affordable prices to the people of the country. CMA professionals can support government initiatives aimed at sustained and inclusive growth through developing an appropriate monitoring mechanism based on the tenets of performance man- agement wherein expenditure is mapped against the desired and actual outcomes for evaluating the effectiveness and efficiency of a particular scheme or service. Cost Management would help the government in areas relating to Transfer Pricing, Predatory Pric- ing, Fixation of margin of dumping for the purpose of levy of Anti-Dumping duty, Free Trade Agreement, Consumer Protection, Revival of Sick Companies, Corporate Governance, Tariff Com- CMA Suresh Chandra Mohanty mission in making technical evaluation based on Studies of Cost President, The Institute of Cost Accountants of India Structure and proper Credit Appraisal by the Banks to help reduc- ing NPAs etc. Take up one idea. Make that one idea your life – think of it, I am happy to share with you that the Institute is currently con- dream of it, live on that idea. Let the brain, muscles, nerves, every ducting Cost Research Studies for Indian Railways, Ports, Health part of your body, be full of that idea, and just leave every other Sector, Education Sector, Power Sector, Coal Sector, Banking and Financial Sector and other important sectors of the economy to idea alone. This is the way to success. – Swami Vivekananda support the policy initiatives of the Government. The Institute is My dear professional colleagues, taking steps to closely work with the concerned departments of the The Indian economy is aspiring to migrate from the current status Government to achieve the desired objectives and is approaching to the top end position of the global competitive index. The land- the Government departments and concerned Ministries to share its scape of business is changing rapidly. People are now demanding vision and extend Professional Support for partnering with them better education, health services, infrastructure, quality goods and for a better and economically stronger India. The Institute is also services at affordable prices and inclusive growth. The companies approaching IBA for issuance of advisory to Banks and Financial Institutions to engage CMA professionals for Risk Based Internal must endeavor optimum balancing of the interests of different Audit and Concurrent Audit of Banks and support to SMEs fi- stakeholder groups while creating value for the society. nanced by Banks and in other areas. Professional support by CMAs Compendium on Cost Competitive Practices in India The Government is playing a key role in stepping up the pace I am happy to announce that the Cost and Management Ac- of economic development of the country envisaging spending of counting Committee has come out with two Compendiums on huge amount of money on various social and economically desir- Cost Competitive Practices in India and Performance Enablers for able scheme and programs to ensure inclusive growth with equity. MSMEs – Performance, Productivity and Profitability as a proof Government spending acts as a catalyst for strengthening econom- of the professional support capabilities of the profession. The first ic and social support system in the country. Various schemes have publication consists of practical case studies almost around 90 been launched by the Government with substantial budgetary companies and the second around 20 small industries. This is a support for achieving the objective of inclusive growth. There is, landmark achievement in showcasing the practical aspects of a ro- however an imperative need for developing an appropriate and bust cost and management accounting concepts propagated by the effective Government expenditure monitoring system so as to Institute. I compliment the CMA Committee headed by CMA ensure that the expenditure is being incurred as per plan and is M. Gopalakrishnan, Past President and Central Council Member www.icmai.in APRIL 2014 THE MANAGEMENT ACCOUNTANT 7 PRESIDENT’S COMMUNIQUE backed by the Technical Directorate Extension Centre at Chennai cise Zones across the Country to organize workshop covering the for doing a remarkable job. I am looking forward to have more technical sessions on Scrutiny of Books of Accounts, Analysis of such contemporary publications from the Committee in the near Returns with Financial records, Relevance of Cost Records in future. Central Excise and Techniques to identify Revenue Leakage. I am happy to inform you that Institute has started receiving proposals Internal Audit of CPSEs, SPSEs and other Bodies to conduct such workshops for the officers of Central Excise and I had the opportunity to meet Ms. Usha Sankar, IAAS, Deputy Customs from different Zones. CAG and Chairperson, Audit Board with the representation and urged the need that the CAG of India should introduce a sys- The Direct Tax Code, 2013 tem for maintaining a panel of Practicing Cost Accountants / I am happy to inform that after several persuasions for long years Firms of Cost Accountants for appointment as Internal Auditors by the Institute, the name of Cost Accountant have been in- by CPSEs, SPSEs, other Bodies & Central/State Government cluded in the definition of Accountant in the Direct Tax Code, Departments. A similar representation was also submitted to the 2013 which intend to consolidate the law relating to Income Secretary, Department of Public Enterprises suggesting that in Tax and Wealth Tax hosted for public comments. The Coun- order to facilitate appointment of Internal Auditor by PSEs, a list cil places on record and expresses its gratitude to the Standing of Practicing Cost Accountants might be hosted on the website Committee and the Ministry of Finance to extend the oppor- of DPE. This can help PSEs to consider Cost Accountants for tunity through this recognition and allow the members of the appointment as Internal Auditors. The communication has been profession to contribute to the growth of the Indian economy. sent to all departments of Central Government, CPSEs, and State I sincerely request you to give your comments/suggestions with DPEs etc to empanel and utilize the expertise services of Cost justifications on the proposed DTC 2013 by 15th April, 2014 to Accountants for Internal Audit as envisaged under the Compa- facilitate compilation by the Direct Taxation Committee of the nies Act, 2013. Institute and submission to the Government. The institute is planning to organize CFO meet on the Foun- Annual Seminar of Dhanbad Sindri Chapter dation day on 19th May, 2014 at New Delhi where several publi- I attended the Annual Seminar of Dhanbad Sindri Chapter on cations are likely to be released. An International conference for the theme An Introspection into the Central Excise Act on 23rd the Directors/ CEOs has also been planned. The Southern India March 2014 at Dhanbad and addressed the participants. Regional Council of the Institute is organizing the Regional Cost Conference on 18th and 19th April, 2014 at Chennai. National Seminar of Fakir Mohan University I have the privilege to apprise about the activities / initiatives undertaken by the Departments/ Directorates of the Institute, Re- I had the opportunity to attend the valedictory session of the Na- gional Councils and Chapters. tional Seminar of Fakir Mohan University at Balasore on 24th March 2014 and addressed the delegates on the theme of the semi- Advanced Studies nar on Management Practices and Sustainable Development. As mentioned in my previous communiqué, the Diploma Course in Information Systems Control and Audit will be starting from National Students Convocation of the Institute the Month of April 2014 with 24 participants. The Directorate has The Institute is organizing its 3rd National Students Convocation also announced one year Diploma Program in Business Valuation – 2014 at Kolkata on April 8, 2014. Hon’ble Governor of West fixing last date at 14th April 2014. I request all of you to take Bengal has very kindly consented to inaugurate the function at advantage of this initiative and enroll to the course as the area of Science City Auditorium, Kolkata as Chief Guest. Padma Bhushan Valuation is emerging for the CMA’s under the Companies Act, CMA (Dr.) M.B. Athreya has agreed to be the Guest of Honor in 2013. The Directorate is also finalizing the launch of Diploma Pro- the function. It is expected that around 750 students of the Insti- gram in Internal Audit shortly. tute from across the Country will be attending this event. Cost Accounting Standards Board Seminar on Tax Reform and CMA I am happy to share that the Exposure Draft of Cost Accounting I take this opportunity to inform that one day seminar on tax re- Standard (CAS 22) on Manufacturing Cost has been hosted on the forms and CMA’s is planned on 7th April,2014 at Kolkata un- website of the Institute for public comments keeping in mind the der the Chairmanship of Dr Partha Sarathi shome, Advisor to the land mark judgment of the Hon’ble Apex Court in the Fiat Case. Hon’ble Finance Minister. I request all of you to send your comments for value addition to the draft. Workshops for the Officers of the various Central Excise Zone CPD Activities In the path of continuous journey for dissemination of knowledge During the month, three webinars were organized on ‘Compa- by the experienced members in pursuit of professional excellence, nies Act 2013 - CSR Provisions’, ‘Companies Act 2013 – Re- the Institute has been organizing training programs / workshops sponsibilities of Board of Directors’ and ‘Corporate Govern- for various Government departments including Central Board of ance’ and were well received by the large number of CMAs. The Excise &Customs. The Institute has approached the Central Ex- Continuing Professional Development Committee and Profes- 8 THE MANAGEMENT ACCOUNTANT APRIL 2014 www.icmai.in sional Development Committee jointly organized seminars on 55th National Cost Convention – 2014 at Bhubaneswar on 23rd- ‘Companies Act-2013-Provisions relating to Roles, Duties and February 2014. The members of the members Benevolent Fund Responsibilities of Directors & CSR’ and on ‘Internal Audit & has been covered under the ‘Group Personal Accident’ (GPA) In- Stock Audit of Banks’ at New Delhi with active participation surance Policy with The New India Assurance Co. Ltd. I sincere- of members. I am proud to inform that during the month our ly urge the members of the Institute to become members Regional Councils and Chapters actively organized many pro- of the Benevolent Fund and avail the benefits. grams, seminars and discussions for the members on the topics The membership fee for FY 2013-14 became due on 1st April of professional relevance such as on Directors and Auditors - 2013 and the members who have not made payment of their Role and Challenges under Companies Act 2013, Private Eq- membership fees within the stipulated time as per the Act, their uity-Funding & Documentation, Indirect Taxes, Insurance Sec- names have been removed from the Register of Members. tor: Scope for Cost Accountants, Employment Laws in The IT Sector; Myth and Reality, Audit in Insurance Sector, Housing Professional Development Finance, Excise Valuation Rules, Business Valuation, An Inter- I am pleased to inform that in order to guide the members of the active Discussion on VAT, Analysis of Interim Budget – 2014, Institute to conduct internal audit of various sectors, sector specific Maximizing Returns from Capital Markets, Corporate Social Internal Audit Guidance Notes are being brought by the Insti- Responsibility, Accounting Standards - 2 & 17 and so on. The tute. The Guidance Notes on Internal Audit on Pharmaceutical chain seminars on Internal Audit and Companies Act 2013 are Industry and on Stock Brokers & Depository Participants has been being planned at different locations for the benefit of the mem- approved by the Council and issued shortly. bers and students of the Institute. I request the members to offer their view/ comments/ sugges- tions in large numbers within stipulated time on exposure drafts of Examination Guidance Notes on Internal Audit of Power Industry, Mining & The Examination Directorate will be conducting second Foun- Metallurgical Industry and Telecommunication Industry hosted in dation Examination on online mode on 6th April 2014. I wish all Institute’s website. the examinees success and good luck. The Directorate is making preparations for the June 2014 term for Intermediate and Final Tax Research examinations. The Tax Research Department organized One Day Seminar on ‘Excise Duty – Valuation Based on Cost Information’ on 15th ICWAI MARF Programmes March 2014 at Hyderabad. Shri D.N. Panda, Judicial Member, The program on ‘Cost Accounting, Cost Control and Effective- CESTAT, Shri Rupesh Kumar, Advocate, Supreme Court and ness’ was organized for Indian Air Force during 17-22 February, CMA Chiranjib Das, Joint Director & Head – Tax Research De- 2014. The program on ‘Finance for Non-Finance Executives’ was partment of the Institute were the resource persons in the technical organized for the officers of ‘Punjab State Power Corporation sessions. The Department is planning to have workshops for the Limited (PSPCL)’ during 24 February – 01 March, 2014 at Del- Officers of the department at each Zone and one day seminar on hi/NCR. The Financial Accounting Program was organized for Indirect taxes for the members and students of the institute at dif- ‘Indian Air Force Accounts Warrant Officers’ during 24 February ferent Regional Council and Chapters from April, 2014. – 01 March, 2014. The program on ‘Contract and Cost Manage- ment’ was organized for Indian Navy during 03-14 March, 2014 Training & Placements at CMA Bhawan, New Delhi. The programme on Service Tax was I am happy to inform that a series of HR Meets in different parts organized at Srinagar. of the country has been planned to ascertain the requirements and to meet the expectations of the stakeholders. The first HR Meet of International Affairs this series was successfully held on 21st March 2014 at Hyderabad I represented the Institute in the SAFA events held during 9th and the next meet is planned on 4th April 2014 at Mumbai. The – 11th March 2014 at Karachi, Pakistan including SAFA Board take away from such meets will bring the Institute and the Indus- Meeting, CFO Conference and various Committee meetings. I tries closer to serve the students and the society in a better way. had the opportunity to visit the Institute of Cost and Management I wish all-round prosperity and happiness to all the members Accountants (ICMAP) and discuss various matters of regional im- and their family on the occasion of the New Year, Ram Navami, portance and mutual cooperation. ICMAP will be hosting the next Mahavir Jayanti, Baishakhi, Bihu being celebrated in various parts SAFA events at Islamabad, Pakistan during 2nd – 4th May 2014. of the country. CMA Dr A.S. Durgaprasad , Vice President of the Institute at- With warm regards, tended the meeting of IFAC PAIB committee at New York held on 24th – 25th March 2014. Membership You are kindly aware that a Memorandum of Understanding (MOU) has been signed with the New India Assurance Company Ltd for the benefit of members and students of the Institute at the (CMA Suresh Chandra Mohanty) 1st April 2014 www.icmai.in APRIL 2014 THE MANAGEMENT ACCOUNTANT 9 MANAGEMENT the ACCOUNTANT THE JOURNAL FOR CMAs ISSN 0972-3528 PAPERS INVITED Cover stories on the topics given below are invited for The Management Accountant for the four forthcoming months. Issue months Themes Subtopics • Global perspective • Strategic price setting • Relative price indicators and benchmarking • Competitive pricing May 2014 Price and Cost Competitiveness • Turning cost cutting into cost competitiveness • Cost efficiency • Competitive cost reduction and sustainable growth • Cost competitive index • Case studies • Standards in Professional Conduct • Financial fraud prevention tools and procedures • Financial Literacy and Ethics • Accounting Scandals and Ethics June 2014 Ethics of Accountants • Corporate Governance and Professional Ethics • Competition and Ethics • Legitimate Conduct vs. Ethical Conduct • Code of Ethics for Professional Accountants • Government Accounting Processes and System • Traditional methods Vs. Modern methods of government accounting. • Government accounting and financial reporting • Gap analysis of government accounting based on accounting standards Government Accounting and Role of July 2014 • Ethical considerations in government accounting CMAs • The constitutional and financial responsibilities of principal government officers • Professional opportunities for Cost and Management Accountants in government accounting • Mandatory Cost Accounting Standards and CASB • CAS – a must for cost competitiveness Cost Accounting Standards and its • CAS in manufacturing, mining and service sector August 2014 Economic implications • Companies Act 2013 and CAS • Challenges in implementing CAS – case studies • Areas where new CASs can be formed / implemented The above subtopics are only suggestive and hence the articles may not be limited to them only. Articles on the above topics are invited from readers and authors along with scanned copies of their recent passport-size photograph and scanned copy of declaration stating that the articles are their own original and have not been considered for publication anywhere else. Please send your articles by e-mail to [email protected] by the 1st of the previous month. Directorate of Research, Innovation & Journal The Institute of Cost Accountants of India (Statutory body under an Act of Parliament) CMA Bhawan, 4th Floor, 84 Harish Mukherjee Road, Kolkata - 700 025, India Board: +91-33- 2454 0086 / 87 / 0184, Tel-Fax: +91-33- 2454 0063 www.icmai.in 10 THE MANAGEMENT ACCOUNTANT www.icmai.in