Management accountancy rules, OK

As the British public sector heads for recession, Charles Tilley, Chartered Institute of Management Accountants (CIMA) chief executive, stresses the importance of putting strategy and management into accounting, not just beancounting.

Tilley told The Times he is discussing with the Treasury how CIMA’s ideas can be put to good use, hoping the monetary crisis rising on the horizon will focus ministers’ minds. He is eager for finance professionals to have a central role in public sector organisations and hopes they receive the full backing of chief executives and permanent secretaries alike.

Although government departments were forced by the end of last year to have professionally qualified finance directors and capability reviews of civil servants and how the meet their objectives, there is still a way to go before the high standards Tilley wants to see, can be achieved.

‘At the heart of management accounting is the need to make sure that organisations have got the right data, that there are key performance indicators in place to meet the organisation’s objectives and that management has the information it needs to make the right decisions and manage the risks,’ he told The Times.

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Read The Times story