About The ICAI
About The ICAI
The Institute of Chartered Accountants of India was set up in 1949 as a statutory body to regulate the profession of Chartered Accountant. The ICAI is governed by the council in accordance with provisions of the Chartered Accountants Act, 1949 and the Chartered Accountants Regulations, 1988 made thereunder. The ICAI has its headquarters at New Delhi. In addition, it has 5 regional councils located in Mumbai, Chennai, Kolkata, Kanpur and New Delhi and 152 branches spread all over the country.
About the culture of CA institute
The structure of course curriculum provided by ICAI is one of the best in finance education in the world. Only the most talented and most laborious are able to pursue and be successful in the course. The course is divided into three stages.
- Foundation Course
- Intermediate Course
- Final Course
After clearing the Intermediate, there is a requirement of Articleship (Internship) of 3 years under a practicing Chartered Accountant for all candidates. Articleship is on the go training which makes the course different from all others. ICAI is one of the very few institutes which believe in Guru Shishya education. As such Guru Shishya education has been part of Indian culture and education system. Under the Guru shishya culture it is the Guru who teaches whatever he knows to the best of his capabilities to his shishya and that shishya also gives his respect and Smarpan to learn from the Guru.
Adopting the same system, the CA institute has this system of training of CA aspirants to be trained under the qualified Chartered Accountants.
Benefits of Practical training
The compulsory provision of practical training in an integral feature of the scheme of education and training for the Chartered Accountant course. Such provisions indeed, goes much deeper to the roots of professional ethics and outlook and is the foundation of the institute’s high standing. The provision of practical training concurrently with theoretical education in professional subjects exposes students to diverse practical situation and enables them to acquire skills and expertise which this profession requires. A distinctive characteristic of a CA is his proven ability to apply his theoretical knowledge to practical situation – a skill which he acquires largely through the practical training which he received before being admitted as a member of the institute. Since the inception of the institute, the provision of compulsory practical training has been central to the overall scheme of the education and training.
Some of the obvious advantages of practical training are as under:
- Builds on the academic qualifications by applying theoretical knowledge in practical situations
- Exposes the candidates for the dynamic and demanding world of businesses and helps them to balance their study and work commitments
- Helps in developing various skills like inter personal skills in dealing with peers, seniors, clients, initiation objectivity communications skills, self-management skills etc.
- Enhances understanding of different organizations of hos business work and of work relationships
- Helps to relate accounting work to other business functions and activities
- Develops the appropriate professional values, ethics and attitude in practical, real life situations
- Helps in understanding the practical issues faced by businesses
- Helps in increasing the overall business knowledge
- Provides broad exposure to variety of areas accounting, taxation, auditing, finance etc.
- Helps in appreciating the problems in the examinations from the broader perspective
Various type of opportunities available in the articleship
There are various types of CA firms in which articleship can be pursued by students
For example – Big Size, Mid-Size CA firms, CA firm known for their expertise in an Area, a size between mid-size and small and small firm.
We cannot say that one firm is better than others. Each type of firm has their own advantages or disadvantages. Which firm suits you is depends on what kind of personality type you are, what are your aspirations, what are your long term objectives and also there are other determinant factors like leaves that can be made available, type of training, vastness of training, acquisition of communication skills and client exposure etc.
Big Size firms :
These are the big multinational companies in India which have global presence (commonly referred as Big 4). They are very big organizations and in these organizations there are systems in place for every small task. There is lot to learn in these types of organziationin terms of systems and if your aim is to master in one field there cannot be better place than big 4. Because of their goodwill there are lots of students who apply for articleship in these organizations. However, since vacancies are less their selection procedure is tough to get through. However, with the consistent efforts nothing is difficult.
There is good learning in terms of presentation and communication skills as there is lot of emphasis on both in these firms.
These firms are good if you want to go in industry. But may not be ideal for aspirants who are looking to start on their own in the long run. This firm are often said to be too structured therefore, misses the exposure to all round practicing work. Because of the long working hours there may be Imbalance in study and office time. Also, there are very tight leaves norms so that may be considered.
The particular work exposure shall depend on which department do you get shortlisted. The department may be specialized as Direct Taxation and then in that also Expatriate Taxation etc.
Mid Size firms :
Mid-Size firms are all over India, these types of organizations are able to provide the best of both worlds. An article gets very good work exposure. As these are the firm which are in their growth stage the opportunity for learning is immense and usually if an article is good – he/she is observed in the organization after 2/3 years of qualifying as a CA. These organizations have good mix of all type of work from Audit, taxation, Finance etc. and mostly an article is able to get the exposure in more than one areas
Small Firms :
These are the firm which gives you immense opportunity to learn. There is no dearth of value addition that you can bring in these firms and vice versa.
In a small firm the relationship between the Principal and the Article is close and informal, that gives an opportunity to learn everything from your Principal and also, clear your doubts without getting in labyrinth of processes, hierarchy and structures.
The work in small firm can range from dealing with Filing of ITRs and Tax Audit under Income Tax Act which are very necessary to build the knowledge. Small firms provide the building initial foundation of knowledge and exposure.
Due to less pressure than big firms you are able to concentrate more on the studies.
Also, there may be high chances of getting longer leaves than in mid – sized firms or Big4s.
Conclusion :
Every type of organization has their own pros and cons. It ranges from one to other. If student is clear in his/her objective it is easier to take decision.
Would suggest that the decision should be taken keeping in consideration all the aspects. Though there is a provision that the article can change the CA firm before 1 year however, it should be the endeavor that firm once selected should not be changed as it may take time to gain understanding of the second organization and the article may lose time of effective articleship.
Articleship is a first step of your professional journey and every step should be made to make full use it while establishing a reputation of mature, responsible and hardworking professional for oneself. A person who has the willingness to learn will learn everywhere. It is up to you (him/her) to make the best use of the three years.