The Journey

The only statutory Institute of the country that imparts education and conducts qualifying examination for Cost & Management Accountants and regulates and develops the profession thereof, ICWAI started its journey in 1944 in the midst of the Second World War when quick costing & pricing of war contracts was a crucial need of the hour. Soon it grew out as a huge edifice of the professional Cost Accountants spreading all over India and abroad.1944 to today is a great journey that witnessed a sea change in the economic reality that the Institute and its members helped to take shape. Indeed Cost Accountants played a big role from the 40’s starting with cost determination and cost control with respect to cost-plus contracts that were the order of the day.

Independence and aftermath

Then came independence and preponderance of Public Sector at the commanding height of the economy of independent India in its formative period. A major task was cost control and cost management of the massive development endeavours that the Cost Accountants accomplished with excellence and did a great service to the nation. Consequently, the Institute got statutory recognition with the enactment of The Cost and Works Accountants Act, 1959 (An Act of the Parliament of India giving statutory recognition to the Institute and formation of the profession of Cost Accountants in India having statutory rights, privileges and duties).

The initial scope

One of the significant achievements for the Cost Accounting profession in its formative period was the introduction of statutory Cost Accounting & Cost Audit in selected industries under the Companies Act, a unique feature of corporate accounting and audit (besides statutory financial accounting & audit) introduced for the first time in the world. Cost Audit is the exclusive domain of the practicing Cost Accountants and today almost all strategic industries like, engineering, chemical, pharmaceutical, steel and oil and service sectors including telecommunication and agro sector including plantation industries have been brought in the statutory Cost Accounting and Cost Audit net List of Industries under Cost Audit.. Consequently, Cost Audit was felt as an essential tool for control in the late 60’s – and it was a unique concept in the world. The scope of employment of Cost Accountants is also very bright. Today we have 25000 members of the Institute (Cost Accountants) spread all over India and abroad in strategic & top positions in Industry, Service, Government, Consulting as well as Education & Research. There are around 2000 practising members playing very significant role in the national economy. Today the scope of Cost Accountants is manifold and the future is mind-boggling Scope of Cost Accountants today.