Field of Excellence

Important Fields of Practice for a Cost and Management Accountant

Statutory Fields
The central government in the year 1964, amended the companies Act 1956 by introducing statuary maintenance of cost accounting record in select core industries and audit of the same by qualified cost and management accountants. Today over 40 selected industries are covered under statutory maintenance of cost accounting records under section 209(1) (d) of the companies Act 1956. Further under section 233-B of the same Act, audit of the cost accounting records by a qualified cost accountant, have been prescribed.

The central government is progressively extending the coverage of industries under the provisions of sections 209(1) (d) of the companies act 1956, certification of Import/Export documents under section 14A of central Excise and salt Act.

General and Non-Statutory Fields
The general and non-statutory fields of practice for a cost and management accountant include:

	Installation of costing systems,
	Techno-Economic studies of projects, specific cost studies, pricing, optimum utilization of capacity and resources,
	Value analysis/Engineering, cost reduction,
	Efficiency and profitability improvement,
	Profit planning,
	Introduction of standard costing system,
	Services to banks, financial institutions, insurance companies in conducting:
	- Project appraisal,
	- Feasibility studies,
	- Project monitoring
	- Project management and control
	Financial management in various organizations
	Financial planning, funds flow/cash flow
	Project consultancy
	Design of management, organizations and methods, tax planning
	Diagnosis and revival of sick units
	Investment counseling
	Management and internal audit
	Training productivity
	Energy Audit
	Environment audit etc