Seven Points Cost Management Master Plan

Master Plans

It is important to throw more light on the Seven Points Cost Management Master Plan that would form the bedrock of continued focus in the realization of the Vision.

Not less than 40, 000 Cost Managers in year 2020
Position Cost Management Strategically in the Socio Economic and Political system
Develop a comprehensive Cost Management Mindset nationwide
Adequate funding of researches in advanced Cost Management strategies
Promote Cost Management studies in academic Institutions
Eliminate corruption through Cost Management Professionalism
Capacity development in modern and evolving Cost Management Tools and Techniques

Not less than 40, 000 Cost Managers in year 2020

Currently there is a dearth of Cost Managers with the requisite training and mindset development in Nigeria. Through the effort of the Institute over 5,000 Cost Managers have been certified and injected into the Nigerian economy since its formation in 2001. By our projection Nigeria would need not less than 40, 000 Cost Managers by the year 2020 given our economic and social environment to be able to achieve its vision of being among the world leading economy. This would require a growth rate of almost 3500 Cost Managers annually.

As a professional institute we are capable of delivering this capacity and we have as a matter of fact put in place strategies that would enable us achieve this. We have commenced an accelerated capacity building through our Executive Fast Track membership.

Position Cost Management Strategically in the Socio Economic and Political system

Cost Management has not properly and adequately taken its rightful place in the social economic and political system of things in the country. Part of the reasons for this has to do with the lack of the understanding of the role of cost management in nation building and the perceived strong stand of cost management on corruption. It is the plans of the Institute, in addition to ensuring the passage of its chartered status bill, to pursue legislations that would make Cost Management practice an important component of the socio economic and political frame work of government. We call on both the legislative and executive arm of government to support the quick passage of the chartered status bill of the Institute.

Develop a comprehensive Cost Management Mindset Nationwide

Cost Management Mindset according to Omoregie (2005), is a state of mind, an attitude, that promote cost consciousness as a way of life and having a firm belief in its importance and relevance to value creation and profitability. If the abundant resources of the nation are to be effectively and efficiently managed, cost management mindset must pervade all spheres of economic activities, the public Sector and Private sector alike. Cost Management Mindset is an antidote for corruption. The Public Sector has to be Cost Management mindset driven.

Adequate funding of researches in advanced Cost Management strategies

As a result of the dynamism in the strategies available for managing costs, there is the need to constantly embark on researches in order to optimize the benefits of cost management. Researches would evolve new tools, techniques and strategies. Researches are capital intensive but needs adequate attention. We shall be in the forefront in ensuring that research works are sponsored aimed at breaking new grounds in cost management for the benefit of the nation. The support of the stakeholders who would benefit from the result of the findings would be appreciated because the Institute as a nonprofit organization may not be able to single-handedly absorb cost of such researches.

Promote Cost Management studies in academic Institutions

There is a consensus that academic Institutions have great roles to play in capacity building effort. Thanks to the trail blazing effort of Ladoke Akintola University of Technology, Ogbomoso in collaboration with our Institute, in this direction being the first university in Nigeria to commence academic programme in Cost Management. This is expected to spread to other universities across the nation in the interest of developing the Nigerian economy. In addition, the Nigerian College of Cost Management will formally take off as a bridge between the academic and professional programme. There is the need for Federal Republic Government to direct Ministry of Education to include as matter of compulsion the study of Cost Management from secondary school to university level. We are in position to help develop the curriculum.

Eliminate corruption through Cost Management Professionalism

It has been said that corruption is endemic in the Nigerian socio economic and political life. We disagree with this but to say that when the right professional attitude is developed professionalism would help to eliminate corruption or at least reduce it to a manageable level. This is what we have built in the cost management mindset programme of our members. That is why a Cost Manager can be trusted, relied upon to deliver value with corruption proof attitude.

Capacity development in modern and evolving Cost Management Tools and Techniques

This would require constant training and retraining of members of the profession as well Managers and Captains of industries. We publish regularly our capacity building programme both for members and the public. This we would continue to do.

Implementation of the Master Plan

While the Master plan is the brain child of the Institute and therefore recognizes the enormous role expected of it, the successful implementation require the collective role of the government at all levels, organized labour, employers of labour and managers of industries.

We urgently call on government at all levels particularly the federal government to build the Cost Management Master Plan into the National Master plan for the realization of our national development vision. Government should give adequate support to the Institutes effort in order to continue its leading role in the development cost management practice in Nigeria.