Certified Management Accountants of Canada
|Formation||May 3, 1920|
|Legal status||Continued under the Canada Not-for-profit Corporations Act|
|Objective||Encourage professionalism in accountancy in Canada|
|Headquarters||Toronto, Ontario, Canada|
|Member's designations||CPA, CMA, or FCPA, FCMA|
|Official languages||English, French|
The Society of Management Accountants of Canada (French: La Société des comptables en management du Canada), also known as Certified Management Accountants of Canada (French: Comptables en management accrédités du Canada) and CMA Canada, awards the Certified Management Accountant designation in Canada.
Until September 2015, CMA Canada, through its provincial and territorial affiliates, granted the CMA professional designation in accounting and was responsible for standards-setting, accreditation and the continuing professional development of CMAs.
CMAs applied expertise in accounting, management and strategy to ensure corporate accountability and help organizations maintain a long-term competitive advantage. In that regard, CMA Canada offered executive development programs, online courses, and knowledge management publications.
Management Accounting Guidelines and Management Accounting Practices were published by CMA Canada to specify the best practice on key topics in management accounting. They were available for download free of charge or on CD for a nominal charge to CMAs, and could be purchased by non-members. CPA Canada has taken over the programme, and has issued update guidance for many such matters under its own name, although none of the documents appear to acknowledge their SMAC origins.
From 1953 to 2015, the Society operated a foundation that was dedicated to furthering research in the field of management accounting.
History of the Society
- 1920 - Incorporation of The Canadian Society of Cost Accountants, with head office in Hamilton, Ontario
- 1926 - Introduction of Cost and Management, the predecessor of CMA Magazine
- 1930 - Name changed to The Canadian Society of Cost Accountants and Industrial Engineers
- 1941 - Formation of provincial societies in Ontario and Quebec, with the power to grant the newly established professional designation of Registered Industrial Accountant ("RIA")
- 1948 - Name changed to Society of Industrial and Cost Accountants of Canada
- 1968 - Name changed to The Society of Industrial Accountants of Canada
- 1977 - Name changed to The Society of Management Accountants of Canada
- 1985 - Introduction of the professional designation of Certified Management Accountant ("CMA"), with existing RIAs being grandfathered in
- 2004 - CMA is registered as a trademark by CMA Canada
- 2006 - Certified Management Accountant is registered as a trademark by CMA Canada
- 2007 - Incorporation of the CMA Canada Research Foundation
- 2009 - Introduction of The National Standard for Public Accounting for Certified Management Accountants to govern the affairs of CMAs that have entered into public practice
- 2014 - Unification of the profession within CPA Canada, with legislative implementation substantially complete as of May 2017.
- Canadian Society of Cost Accountants
Competencies, accreditation process and post-qualification development
CMAs are expected to undergo specific training and practical experience to achieve specified competencies in the area of strategic management accounting, which are intended to prepare them for senior leadership roles in their organizations. There are six functional competencies and four enabling competencies in that regard:
- Strategic management
- Risk management and governance
- Performance management
- Performance measurement
- Financial management
- Financial reporting
- Problem solving and decision making
- Leadership and group dynamics
- Professionalism and ethical behaviour
While candidates may come from a variety of backgrounds, the CMA career path is expected to progress in the following manner:
|Acquisition||Prior to passage of CMA Entrance Examination||In process of completing undergraduate studies, or 5–7 years thereafter. Already in junior to middle management level in their organization.|
|Basic Proficiency||Acquisition of the CMA designation and the following five years thereafter||Already in middle management level, and progressively gaining more practical experience and responsibility.|
|Advanced Proficiency||5–10 years post-qualification||Early- to mid-career professionals, with most having achieved more senior positions within the middle management layer. A significant number hold introductory senior management positions in their area of specialization or in the organization as a whole.|
|Mastery||10–25 years post-qualification||Late-career professionals, operating in senior management roles. Most are either the highest-ranking financial officers in their organization or financial professionals with specialized knowledge in particular functional areas. A significant proportion of individuals are operating in the desired "C" space - i.e., CEO, CFO, CRO or CIO - and some of these are leaders of large enterprises or significant strategic business units.|
CMA candidates (without advanced professional standing) must have obtained a university degree and have credits in a specified list of subjects, before they can write the CMA Entrance Examination. Upon passing this stage, they then enter the Strategic Leadership Programme ("SLP"), which has the following components:
- Development Phase
- followed by the successful passing of the CMA Case Examination
- Application Phase
- leading to the successful preparation and presentation of the Board Report, containing detailed analysis and recommendations on a specified case study
- Completion of 24 months of relevant full-time progressive practical experience confirmed by the employer - of which at least 12 months must be concurrent with the SLP
- Candidates are expected to be expanding their on-the-job responsibilities while undertaking the SLP
Successful passage of the above will result in the granting of the CMA designation. After attaining the designation, there are specified requirements for continuous professional learning and development that must be undertaken to remain in good standing.
- Originally created by the Dominion Association of Chartered Accountants, with membership originally restricted to chartered accountants, in a move designed to prevent the General Accountants Association from moving into the growing field of cost accounting.
- those members wishing to concentrate more on management accounting left to form the Controllers' Institute of Canada (later part of the Financial Executives Institute)
- The designation was created once provincial societies began to be formed. Originally known as "Registered Industrial and Cost Accountant" or "RIA" in Ontario and "Licentiate of the Cost and Management Institute" or "LCMI" in Quebec, it was simplified in some, but not all, provinces around 1967.
- "Federal Corporation Information - 059859-3: The Society of Management Accountants of Canada". ic.gc.ca. Retrieved June 6, 2017.
- "Guidelines for transitioning CMA students". cpacanada.ca. Retrieved June 6, 2017.
- "Professional Development". Archived from the original on October 10, 2014. Retrieved June 6, 2017.
- "Management Accounting Guidelines (MAGs)". Archived from the original on October 17, 2014. Retrieved June 6, 2017.
- "Management Accounting Practices (MAPs)". Archived from the original on April 25, 2012. Retrieved June 6, 2017.
- "Business Resources". Archived from the original on October 8, 2014. Retrieved 2011-11-14.
- "Management accounting". cpacanada.ca. Retrieved June 6, 2017.
- "Federal Corporation Information - 042154-5: The Research Foundation of the Society of Management Accountants of Canada". ic.gc.ca. Retrieved June 6, 2017.
- Alan J.Richardson (2002-12-01). "Professional dominance: The relationship between financial accounting and management accounting, 1926-1986". Accounting Historians Journal. Retrieved 2011-11-08.
- "The National Standard for Public Accounting for Certified Management Accountants". 2009-09-12. Retrieved 2011-11-08.
- "The Canadian Society of Cost Accountants". The Canadian Chartered Accountant. Toronto: Dominion Association of Chartered Accountants. X (1): 31–34. July 1920. Retrieved June 24, 2014.
- Richardson 2000, p. 110.
- Richardson 1996, p. 90.
- J. Nelson Allan (1982). History of the Society of Management Accountants of Canada. Hamilton: Society of Management Accountants of Canada. p. 21. ISBN 0-920212-45-X.
- Richardson 2000, p. 112.
- The Society of Industrial and Cost Accountants of Ontario Act, 1941, S.O. 1941, c. 77
- Loi constituant en corporation l'Institut de gestion industrielle et commerciale, S.Q. 1941, c. 95 (in French)
- The Society of Industrial Accountants of Ontario Act, 1967, S.O. 1967, c. 129
- "The CMA Competency Map". Retrieved 2011-11-09.
- "CMA Entrance Examination". Retrieved 2011-11-09.
- "CMA Canada Strategic Leadership Program". Retrieved 2011-11-09.
- "The CMA Canada Accreditation Process". Retrieved 2011-11-09.
- "The National Standard for Continuous Professional Learning and Development for certified Management Accountants". Retrieved 2011-11-09.
- Richardson, Alan J. (1996). "Canada". In Chatfield, Michael; Vangermeersch, Richard. History of Accounting: An International Encyclopedia. Routledge. ISBN 0-8153-0809-4.
- Alan J. Richardson (2000). "Building the Canadian Chartered Accountancy Profession: A Biography of George Edwards, FCA, CBE, LLD, 1861-1947". Accounting Historians Journal. Academy of Accounting Historians. 27 (2): 87–116.