02-20-2010, 02:12 AM
Dear Ajnabi and MRS
As Ajnabi said, I too hope good days may lie ahead but (agreeing to MRS) such days will never be witnessed unless the required focus (in fact focal/core area of speciliaty) is established and the needful is done, good days should not be dreamed.
Hoping for the best, however.
As far as advocating exclusive "cost audit" rights without bothering for "training" and financial audit rights is concerned, to my humble perception, it is totally un-useful and unfocused approach.
I already emphasized "training" and need not to explain that a fresh CMA without training is a "layman" as far as audit is concerned. Broad guidelines have to be broken down in approach, activities and procedures. I need not to explain that untrained qualified ones cannot do so. Certainly understanding the processes, flow of systems, technical understanding of machineries and their outputs, specifications, cost accumulation methods, cost formulaue and techniques, allocation of common costs, in highly complex manufacturing sectors like textiles (cotton ginning to cotton to yarn to fabric to processed fabric to made-ups and garments) or others like tanneries or even cement, sugar, ghee, fertilizer so on and so forth are not something to be learnt from books. I agree the principles remain same but practical knowledge is inevitable. So, without it there is no logic of CMAs' audit rights even if these have been given shoulder to shoulder with CAs.
Yes, once well structured and effective (manufacturing sector based as a must) practical training is made the part of CMAs qualification, then there is no harm in doing so.
However, as I said once earlier, merely the "cost audit" rights do not carry any meanings. Can a CMA establish a firm merely in hope of one or two "cost audits" in whole season? Kyun bhooka maarnaa hai yaar. Woh aik do bhi milain na milain. If its reply is, that they can engage in non audit professional practice to diversify their practice, then my question will stand again that if it could be done what is being waited for since 1966. Why CMAs so found of "audit" do not take an initiative to establish firms for their upcoming CMAs?
Certainly there were and are reasons for it; and to decrease the severity some of CMA brothers put this responsibility on the shoulders of others.
I appreciate and believe in the words of MRS. He appears to be realistic, familiar with facts on ground, and in factual knowledge of what CMA is meant for and how effective it's role can be in the coming days provided required things are done.
I believe the positive discussion with graceful and decent arguments both by Ajnabi and MRS have made the readers to grasp the theme in a more effective manner. I pay my due thanks to both of you for this contribution.
To dissent calmly and morally with due justifications and well founded reasoning appeals and may make the others to modify the opinions.
MRS your are really appreciated.
Regards,
Kamran.
As Ajnabi said, I too hope good days may lie ahead but (agreeing to MRS) such days will never be witnessed unless the required focus (in fact focal/core area of speciliaty) is established and the needful is done, good days should not be dreamed.
Hoping for the best, however.
As far as advocating exclusive "cost audit" rights without bothering for "training" and financial audit rights is concerned, to my humble perception, it is totally un-useful and unfocused approach.
I already emphasized "training" and need not to explain that a fresh CMA without training is a "layman" as far as audit is concerned. Broad guidelines have to be broken down in approach, activities and procedures. I need not to explain that untrained qualified ones cannot do so. Certainly understanding the processes, flow of systems, technical understanding of machineries and their outputs, specifications, cost accumulation methods, cost formulaue and techniques, allocation of common costs, in highly complex manufacturing sectors like textiles (cotton ginning to cotton to yarn to fabric to processed fabric to made-ups and garments) or others like tanneries or even cement, sugar, ghee, fertilizer so on and so forth are not something to be learnt from books. I agree the principles remain same but practical knowledge is inevitable. So, without it there is no logic of CMAs' audit rights even if these have been given shoulder to shoulder with CAs.
Yes, once well structured and effective (manufacturing sector based as a must) practical training is made the part of CMAs qualification, then there is no harm in doing so.
However, as I said once earlier, merely the "cost audit" rights do not carry any meanings. Can a CMA establish a firm merely in hope of one or two "cost audits" in whole season? Kyun bhooka maarnaa hai yaar. Woh aik do bhi milain na milain. If its reply is, that they can engage in non audit professional practice to diversify their practice, then my question will stand again that if it could be done what is being waited for since 1966. Why CMAs so found of "audit" do not take an initiative to establish firms for their upcoming CMAs?
Certainly there were and are reasons for it; and to decrease the severity some of CMA brothers put this responsibility on the shoulders of others.
I appreciate and believe in the words of MRS. He appears to be realistic, familiar with facts on ground, and in factual knowledge of what CMA is meant for and how effective it's role can be in the coming days provided required things are done.
I believe the positive discussion with graceful and decent arguments both by Ajnabi and MRS have made the readers to grasp the theme in a more effective manner. I pay my due thanks to both of you for this contribution.
To dissent calmly and morally with due justifications and well founded reasoning appeals and may make the others to modify the opinions.
MRS your are really appreciated.
Regards,
Kamran.
