CIMA might be a term you’ve heard if you’re exploring a career in accounting and finance. 

But what exactly is it?

CIMA stands for the Chartered Institute of Management Accountants, and it’s known for its focus on management accounting and business strategy. 

If you’re curious about how CIMA fits into accounting qualifications, this blog guides you through what CIMA’s all about, its pros and cons, and how it compares with other qualifications like ACA and ACCA. We’ll also dive into how CIMA works and what it means for your career prospects.

In this article:

CIMA: An Essential Overview

What is the CIMA qualification?

CIMA offers a globally respected qualification focused on management accounting. It helps professionals develop skills in business strategy, financial management and decision-making. The CIMA Professional Qualification is now known as the CGMA (Chartered Global Management Accountant) designation, following a 2012 collaboration between CIMA and the American Institute of Certified Public Accountants. 

Despite the name change, the curriculum and membership benefits remain the same. The global reputation of the CIMA qualification and the content you’ll study are as comprehensive as ever.

What does CIMA stand for?

CIMA stands for the “Chartered Institute of Management Accountants”. The name reflects its role as a professional body focused on advancing the field of management accounting. 

CIMA’s primary mission is to support its members and students in mastering management accounting skills that drive business performance. Essentially, it’s all about helping individuals and businesses use financial information to set their goals and strategy.

What are the pros and cons of a CIMA qualification?

Thinking about a CIMA qualification? It’s a big decision, so let’s break-down the pros and cons. 

On the plus side, CIMA is great for anyone interested in management accounting or strategic business roles. It focuses heavily on business strategy, is recognised globally, and offers flexible study options – perfect for building a solid finance career.

But there are downsides. Unlike other qualifications, CIMA doesn’t give you the traditional Chartered Accountant title, which could be a setback if you’re aiming for roles in audit or tax. Plus, the exams are tough and the study requirements are demanding. And while CIMA is highly respected, it might not carry the same weight in traditional accounting circles compared to ACA or ACCA.

What are the advantages of CIMA?

• Business strategy focus: Unlike other qualifications that concentrate more on traditional accounting practices, CIMA prepares you to be a strategic partner. You’ll learn to use financial insights to influence business decisions and drive strategic initiatives, making you a valuable asset in roles requiring financial acumen and strategic thinking.
• Global recognition: The CGMA designation, awarded upon completing the CIMA qualification, is recognised worldwide. This global endorsement means your skills and qualifications are valued across different countries and industries – enhancing your professional mobility. This is a particular benefit within international firms like the “Big Four”.
• Flexible study options: CIMA offers a range of study options to suit different learning styles and schedules. You can choose from online courses, self-study materials and guided learning programs. This lets you tailor your study plan to your personal needs, whether you’re balancing work and study or prefer a more intensive approach.

What are the disadvantages of CIMA?

• No chartered accountant status: While CIMA provides the CGMA designation, it doesn’t confer the title of Chartered Accountant. If your career aspirations include roles in traditional accounting areas such as audit or tax, you might find ACA or ACCA more aligned with your goals.
• Demanding exams and study requirements: CIMA’s qualification process involves rigorous exams and practical experience. The exams cover a challenging range of topics, from financial management to strategic leadership. Balancing study with work and other commitments can be demanding, and many candidates find the workload intense.
• Market perception: Although highly respected, CIMA might not have the same recognition in traditional accounting roles compared with ACA or ACCA. The qualification is primarily geared towards management accounting and business strategy. So carefully consider whether it matches your ambitions.

CIMA: How The Qualification Works

What are the three Levels of CIMA?

The CIMA qualification is structured into three main levels: Operational, Management, and Strategic. 

Each level builds on the last, and you’ll study nine subjects across three key areas: Enterprise, Performance, and Financial. 

To earn the CGMA Professional Qualification, you’ll need to complete all three levels and gain three years of relevant practical experience, which generally takes about four years in total.

Here’s each level in more detail.

• Operational: At this starting stage, you’ll get into managing finance in a digital world, cost analysis, financial reporting and taxation. It’s designed to deepen your understanding of how finance works within a business, setting you up for strategic roles down the line.
• Management: Moving on to the Management stage, you’ll focus on advanced management accounting. This includes (among other things) project management, investment appraisal and managing business ecosystems. It’s all about enhancing your ability to lead within an organisation.
• Strategic: Finally, the Strategic level is where you’ll hone your skills in strategic leadership, risk management and financial strategy. This stage prepares you for senior management roles where strategic thinking and leadership are crucial.

Can I do CIMA without a degree?

If you don’t have a relevant degree, you might need to start with the Certificate in Business Accounting. 

This entry-level qualification covers basics like business economics, management and financial accounting, and ethics. 

It’s perfect if you’re new to accounting or want to build a strong foundation. You don’t need a prior degree to start here, but good Maths and English skills are a must.

Can you complete CIMA in two years?

If you’re starting from scratch, you won’t earn the full CIMA CGMA Professional Qualification in two years. This is because you need at least three years of professional experience in addition to passing your exams.

However, if you’ve already got professional experience in accounting or finance, completing the CIMA qualification in two years is ambitious but possible. Of course, the time it takes will vary depending on your pace of study, how demanding your work commitments are, and your academic aptitude.

The average student takes four years to earn the CGMA Professional Qualification.

Can you study CIMA on your own?

Absolutely, you can study for CIMA independently! The qualification offers plenty of flexibility, and the self-study approach can be very effective if you’re disciplined and motivated.

There are two main learning and assessment routes to work towards the CGMA Professional Qualification. Both lead to the same prestigious status. You can choose the path that suits you best and progress at your own pace.

• Self-Tailored Learning and Assessment: This route lets you shape your studies according to your preferences. You can use a combination of tuition partners, online learning, official CIMA textbooks and other resources. This method is ideal if you like control over your study schedule and materials.
• Finance Leadership Program: For a more structured approach, you can enrol in the Finance Leadership Program. This fully guided study experience gives you access to an online platform with all the learning materials you need, including exam preparation resources.

CIMA: Career Prospects and Reputation

What is a CIMA level equivalent to?

Given the combination of advanced content and self-led learning, you might be wondering is CIMA higher than a degree? 

Well in short, yes. It’s considered equivalent to a master’s degree in Accounting (which is classed as a Level 7 qualification). Then, think about the individual CIMA levels like modules in a degree.

The CIMA qualification is perfect for finance professionals looking to upskill and gain practical industry knowledge. By the time you earn the CGMA designation, you’ll have expertise in management accounting and strategic business management that goes beyond what you’d learn in an undergrad program. 

How much does a CIMA qualified accountant earn in the UK?

In the UK, CIMA candidates make an average of around £38,000 a year. This is already higher than the median annual pay for full-time employees, which is just over £31,000.

When you earn the CGMA designation, your salary can jump significantly. CGMA holders pull in an average of £73,000 per year. This big pay bump shows how much employers value the advanced skills and expertise that come with the CGMA designation.

Of course, salaries vary depending on the industry, location, and experience. Jobs in London or other major financial hubs often pay more. Plus, as you gain more experience and move up the ladder, your earning potential grows. 

For an in-depth look at accounting salaries, check out our blog on how much do accountants make?

Can you put CIMA after your name?

Yes. As you progress through CIMA’s CGMA Professional Qualification, you’ll earn part-qualified designatory letters. You can add them to your CV, business cards and LinkedIn profile, as long as you continue paying your annual candidate subscription.

Here’s how it works:

• Cert BA: After completing the Certificate in Business Accounting.
• CIMA Dip MA: After finishing the Operational Level.
• CIMA Adv Dip MA: After completing the Management Level.

These letters reflect your achievements and show employers you’re gaining valuable knowledge and skills.

Once you’ve passed all your CGMA exams and gained the required practical experience, you’ll be awarded the letters “ACMA, CGMA”. Using CGMA after your name highlights your status as a Chartered Global Management Accountant, showcasing your advanced expertise in management accounting and strategic business management to employers and clients.

Are you considering a career in management accounting?

If you’re considering a career in management accounting or business strategy, the CIMA qualification offers a path filled with opportunities.

At Academic Coaching, we specialise in helping graduates get their careers off to the best possible start. So whether you’d like support with goal setting, securing that competitive internship or graduate program, supercharging your CV, or honing your interview technique, get in touch today. We’re here to help.