CareerProspects for Management Accountants
Managementaccounting is one the many forms of accounting. It differs from otherforms of accounting in many ways. It basically involves interpretingfinancial information through data analysis to assist organizationalmanagers and leaders in making better informed decisions. As such,management accountants must possess and apply a combination ofaccounting and business management skills. As professionals,management accounts play a vital role in organizations. Other termsused for such positions include cost managers, corporate accountants,industrial accountants among others but the roles remain the same.Regardless of the terminology used, this profession commands decentremuneration and has many prospects in diverse industries especiallyin the modern age where linking financial data with managementstrategy is paramount.
Globalizationis a game changer for many organizations. The aspect of a moreinterconnected world has seen some American firms relocate to Chinaand other foreign countries to cut costs and explore foreign markets.Other firms in Europe and around the world are also setting up shopin foreign markets. Such decisions are made through assessing andcomparing organizational costs in alternative options such asexporting or choosing different countries with different economic andbusiness climates (Career Opportunities 2014). Management accountantscome in handy in such situations to aid the organizational leaders inmaking the right decisions. Management accountant will analyze dataon expected costs and benefits of alternate decisions accordinglymaking them indispensable (Simons 2012).
Rapidlychanging business environments and the desire to understand theimplication of such changes expand the prospects of managementaccountants. Technology, climate change, demographics change andother forms of change imply that organizations have to constantly beon a change path to adapt t these changes. Management accounts comein handy because they look into the future informed by financial dataand advise on how organizations can pre-empt future challenges oreven potion themselves better to make use of future opportunities.Their financial skills give them an upper hand than managers inunderstanding the financial potion of firms as a constraint to thechoice of strategies adapted (Simons 2012).
Increasedefficiency is definitely an unending journey for most organizations.Firms are constantly on a path to devise more efficient ways ofutilizing meagre resources and maximize output. Managers and businessleaders have to make the right options and decisions in managingorganizations. Management accountants thus come in handy as theycrunch numbers and analyze data from various departments andoperations of organizations and offer informed input andrecommendations. There are also positions for management accountantsin smaller capacities in organization such as departments or evensubsidiaries. These branches as part of larger firms are expected tomanage their efficiency and enact well informed decisions (Role of2014). Management accountants provide this connection between thedecisions made by managers and the figures from the operations of thefirm and the market.
Managementaccountants are also useful in the investment and capital appraisalindustry. Capital intensive industries employ management accountantsto keep a closer eye on the effects of minute changes in thefinancial industry and its effect on such firms. Such skills areabsent in business managers who are oriented towards strategies alonebut not the financial implication of seemingly minute changes in theorganizational processes or changes in the industry. Essentially,accountant managers are trained on identifying and managing risk,analyzing financial information and using it to make businessdecisions, planning and budgeting (Career Opportunities 2014). Theseskills are paramount in any business.
Itis however worth t o note that many accountant managers start oftheir career as general accountants. This is largely geared towardsfamiliarizing them with organizational processes, goals and values(Simons 2012). This is based on the sensitivity of the position ofmanagement accountants which has access to proprietary informationthat must be guarded closely. Therefore, management accountantgraduates must be patient in their careers before they can attaintheir qualified positions.
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