ICPA: Developing the accountancy profession in Sri Lanka

By Daya Jayasinghe

All professions change over the course of time, adapting to changes in cultural attitudes, shifting economic conditions, political thinking, scientific advancement and technological innovation, in addition to a host of other developments.

In short, all professions adapt to transformations in human values and the needs which give rise to them.

The accountancy profession has not escaped this phenomenon and is currently in a state of flux, reflecting massive changes taking place in technology, social values, and business institutions. Information and computer technologists, lawyers, economists and engineers, among others, are also encroaching areas traditionally identified and associated with accountants

A substantial reorientation of institutional programmes becomes necessary to assure that professional education meets the changing needs of professional practice, just as the practice evolves to meet the changing needs of the society it serves. Frequently, however, most of the institutions responsible for educating professionals fail to evolve as rapidly as professional practice itself.

In order to address this insufficiency, a group of people comprising renowned academics, respected and well-known businessmen and reputed professionals have set up the Institute of Certified Public Accountants (ICPA) to promote efforts to align accounting arrangements and practices with the needs of a market economy and best international practices.

In the expanding scope of accounting activities, the ICPA programme is based on a complete reorientation of accounting education. It recognises the need to develop the entering accountant's ability to think, communicate, solve problems, be comfortable with technology and numbers, possess people skills (interacting with clients and working as a team) and understand the nature and role of ethics.

The structure, content, and scope of accounting educational programmes of the Institute are flexible and have incorporated new accounting concepts and applications of accounting in practice, and the emergence of new accounting methods and technologies.

Whilst the focus of the programme is obviously in the fields of accounting and finance, the curriculum is sufficiently broad-based to allow development of careers in many other areas of business, commerce and the public sector.

A special emphasis is placed on the development of the skills necessary to succeed in the modern business environment: these include computing, economics, behavioural sciences, management, research, development and analytical skills. These are introduced from the outset and then developed through the rest of the course

Examinations are designed to test the extent and depth of a candidate’s theoretical knowledge as well as practical training experiences. The CPA qualification exam syllabus is divided into three levels; Foundation, Graduate and Professional. There are 10 modules at the Foundation Levels where the focus is on the acquisition and application of technical skills and knowledge.

The Graduate Level consists of two technical integration modules and the multi-disciplinary case study. Both these modules have been set at an intellectual level equivalent to that expected of a student taking a Master’s degree.

The focus of the syllabuses at this level is to build upon the technical skills already acquired and explore more advanced professional skills, techniques and values that are required and used by the expert accountant acting in an advisory or consultancy role at a senior level.

The Professional level contains two sections; (a) & (b). Section (a) consists of eight modules of which three must be taken by all students.

Section (b) contains:

(1) Professional ethics module: how to be an accountant that’s good, and understanding the concept of professionalism. The syllabus has been designed to ensure that students understand the fundamental principles of ethics, can apply relevant ethical guidance and are able to recommend actions to resolve ethical issues.

(2) Practical Experience Requirements (PER): information and resources on performance objectives, workplace mentors and your PER annual return. The training in business ranging from small and medium enterprises to multinational corporations and cross border projects will equip potential CPAs with the knowledge and skills to build a successful career in almost any work environment one can think of.

ICPA provides members with an internationally reputed and recognised qualification, equal to the best international standard, and to develop the accountancy profession in Sri Lanka to keep pace with accountancy professions throughout the world in accordance with the highest technical and ethical standards.

The demand for accountants has been growing rapidly in the fields of accounting, finance and management both in the public and private sectors. The education programme offered by the Institute of Certified Public Accountants enables members to acquire the necessary knowledge of accounting, finance and related disciplines, together with practical training and skills to apply that knowledge in the modern world.   

ICPA is the most well-known accountancy profession and the CPA is the most widely used designation worldwide for professional accountants and enjoys wide international recognition. The Institute of Certified Public Accountants is the leading accountancy profession in the USA, Canada, Australia, China, Singapore, Hong Kong, Southern Ireland, Malaysia, Vietnam, throughout the Middle East and many other countries in the world.

CPAs are sought after by employers of local and international organisations across all industries. They work in diverse roles across commerce and industry, academia, government and public practice.

The Institute of Certified Public Accountants is an independent, not for profit professional Accountancy organisation formed with the view to promote the art and science of accounting and to provide quality education and training for students to advance their knowledge, skills and capabilities to meet the changing needs of modern society.

It is a national institute with international perspectives, dedicated to the promotion of the highest accounting, taxation, auditing and ethical standards. It is committed to play a major role in human resource development in Sri Lanka.

ICPA commenced its operation on Thursday 3 June 2010. A student can register at any time during the year. Examinations are held twice a year in May and November. Student registration and examination entry deadlines for May and November examinations are posted on the website of the Institute and are communicated to all registered students.  

Theoretical knowledge is mainly acquired by following correspondence courses and lecture programmes. Practical training is acquired by working under the supervision of a member of the accountancy body accepted by the institute.

Tuition providers offer various flexible study options to students, many of who choose to study on a part-time basis while working full-time, fulfilling their work experience requirements at the same time.

ICPA offers its own range of study materials; study texts and revision aids, tailored specifically to examination requirements of students. Study materials can be used in conjunction with a taught course or as self-study guides for those students unable to attend scheduled classes.

It also provides, subject to demand, tuition for all sections mainly during the week-ends. It is currently conducting week-end classes for Professional Level (final) candidates preparing for the November 2010 examination.

(The writer is the CEO of ICPA.)

ICPA Sri Lanka Advisory Council

Prof. B. L. Panditharatne, B.A (Hons), M.Sc., PhD. (London), D.Sc., FRGS  (GB)

Former Vice Chancellor, University of Peradeniya, former Chairman, University Grants Commission, former Chairman and Director General, NIBM.

Professor A.D.V. de S. Indraratna, President, OPA Sri Lanka

M.V. Theagarajah, FCMA., FCIAA., F.I.Mgt. (London)

Former Chairman of the Browns Group of Companies, Director of HNB.

Rienzie T. Wijetilleke, FCIB (London), FIB. (Sri Lanka)

Chairman, Hatton National Bank, Chairman of HNB Assurance PLC, HNB Stockbrokers (Pvt.) Ltd, HNB Securities Ltd., former Chairman and Director of the Colombo Stock Exchange

Daya Jayasinghe, DIC (London), M.Sc. (London), FCCA., ACIS., MCMI.

Chairman, Academy of Computer and Management Science Education Great Britain, former Senior Partner Chevette Global & Co., London, Chartered Certified Accountants and Registered Auditors, former Lecturer in Accounting and Finance, University of North Landon.

M. Thiyagaraja, MBA. (Colombo), ACA., FCMA., AIB., Attorney-at-Law.

Chartered Accountant, Chartered Management Accountant, Banker, Consultant in banking, accountancy, taxation and finance, Attorney-at-Law to Supreme Court of Sri Lanka.

Manoharan Ramanathan M.A. (Econ), ACCA, EDBA., MABE., MIMIS., FAIM., AAFC.

Chartered Certified Accountant, Senior Lecturer in Accounting, Finance and Management.

Website: www.icpasrilanka.com.