Chartered Institute of Management Accountant (CIMA) students met in Birmingham last month to reflect on their practical experience as a new report shows companies’ failure to manage talent is having a negative impact on competitiveness, with over 40% of respondents believing this has contributed to stifling innovation and is having a serious impact on their bottom line.
Talent pipeline draining growth: Connecting human capital to the growth agenda, published by the American Institute of Certified Public Accountants (AICPA) and the Chartered Institute of Management Accountants (CIMA), reveals that the financial performance and growth prospects of many businesses are being blighted by their failure to make the most of their human capital. The survey of more than 300 CEOs, CFOs and HR Directors highlighted that over two fifths (43%) of respondents partially attributed the failure of their firms to achieve key financial targets to ineffective people management, whilst almost the same proportion (40%) say it has reduced their company’s ability to innovate.
The students who met at BPP Professional Education in Colmore Circus, Birmingham, reflected on their own practical experience that is a requirement for CIMA membership in addition to the professional exams. Qualified members can help manage talent effectively and ensure local businesses don’t lose growth and competitive advantage.
The survey was carried out by the Economist Intelligence Unit (EIU) on behalf of the Chartered Institute of Management Accountants (CIMA) and the American Institute of Certified Public Accountants (AICPA). Derek Barnes, CIMA West Midlands Area Chairman and CIMA member of council said, “The practical experience reflected on during this event and the exams passed by our students provide them with the ability to apply non-financial, qualitative information alongside the financial facts to inform effective decision making. They help the board to ‘connect the dots’ by understanding how the different parts of the business need to come together to create value.”