What are the key differences between ACCA and CIMA?
CIMA is the body that awards the qualification, which involves a combination of accountancy, financial and performance management training.
The CIMA curriculum trains professionals for management accounting and related roles, equipping them with skills in strategic decision-making and performance management. Compared with the ACCA qualification, the CIMA qualification focuses more on the technical and financial aspects of accounting.
Both qualifications can be useful for candidates to have alongside soft skills, which you could assess during the recruitment process. During an interview, you could ask candidates which qualifications they have and what they consider their main capabilities in accounting to be.
This guide helps you choose the qualification that best suits your sector and required skill set.
ACCA vs CIMA qualifications: differences and similarities
Depending on your business sector, both qualifications may be worth strongly considering. Each organisation tends to prefer one over the other, depending on the preferred skill set required for the roles they are recruiting for. Both qualifications are widely recognised and popular across UK businesses.
The ACCA typically takes three to four years to complete, while the CIMA takes two to four years. If enrolling on either an ACCA or CIMA course, your employees may have to consider overall costs and review the exam fees. As an employer, you may choose to sponsor them on either course.
Which features define the CIMA qualification?
You may prefer CIMA if you are recruiting new employees within the financial sector. CIMA may appeal to candidates who are charismatic, strong strategists and want to build on their people management skills.
A financial accountant looks at how money moves throughout a company, including making recommendations regarding spending and saving costs. This course may require candidates to complete three years of work experience on top of their exams to achieve the qualification.
Which features define the ACCA qualification?
ACCA has a comprehensive focus on financial accounting, financial reporting and auditing, ensuring that candidates are well-trained in compliance and international financial standards.
This course requires candidates to complete three years of supervised practical work experience, as well as exams. Pursuing ACCA is especially beneficial for those interested in technical accounting roles, financial accounting and building a career in auditing, taxation or financial reporting.
Which sectors hire ACCA vs CIMA?
If you are recruiting for an entry-level position, it is worth noting that both qualifications are widely accepted by UK firms and organisations at this level. However, you may wish to assess candidates on the basis of which qualification they have due to the sector your organisation is in.
CIMA and ACCA qualifications relate to different sectors. Each qualification opens up different career paths and career prospects within the accounting profession, allowing individuals to tailor their journey in the field based on their goals.
CIMA in corporate organisations
CIMA is primarily relevant to management accounting, making it highly applicable to financial roles in corporate organisations. Candidates develop strong strategic thinking skills in accounting, which prove especially valuable for leading finance functions in larger businesses.
The flexibility of an ACCA-qualified career path
The ACCA qualification can be more flexible than the CIMA. It gives candidates the opportunity to work as a recognised self-employed accountant and is useful to consider if you are trying to fill roles in a practice working with clients. This qualification may therefore be more appealing if you are a smaller business.
Unlike CIMA qualifications, it does not focus on management training related to accountancy, instead focusing more on accountancy principles and the technical side. ACCA-qualified professionals are well-suited for financial or cost accounting roles due to their expertise in reporting and financial scrutiny. They help businesses to calculate and pay the right amount of tax on earnings and investments.
Their skills can include tax accountancy, compliance and auditing. You may not need candidates with ACCA qualifications if you are recruiting within a large financial institution, but they may be useful if you are a small business looking for a technically focused accountant.
The pros and cons of ACCA and CIMA qualifications
Now you have a good overview of ACCA and CIMA qualifications and what they both entail. It is worth reviewing this brief summary of the pros and cons of each, so that you can adequately assess your candidates’ accountancy qualifications.
Pros of CIMA qualifications:
- Strong emphasis on business analysis, financial analysis, risk management and strategic decision-making
- Prepares candidates for corporate finance roles, financial management, commercial analytics and senior roles such as chief financial officer
- More applicable if you are a larger business
Cons of CIMA qualifications:
- Less applicable for self-employed accountancy or smaller firms
- Less focused on tax and auditing skills
- More costly to enrol in than ACCA
Pros of ACCA qualifications:
- Comprehensive focus on tax, financial accounting, financial reporting and auditing, preparing ACCA-qualified professionals for a wide range of roles
- Candidates can work for you on a self-employed basis
- Less costly to enrol in than CIMA
Cons of ACCA qualifications:
- Candidates may not have the same management or strategic training gained through CIMA
- Less relevant for corporate organisations or firms
- Less preferred in the financial sector
Both CIMA and ACCA qualifications make candidates an exciting prospect for accountancy departments and companies. Either qualification can support successful careers and offer diverse career paths for management accountants, financial analysts and those seeking leadership positions. Consider which qualification is right for your business by assessing your organisation’s needs.
