The CIMA exam is very comprehensive, aiming to be one mile wide AND one mile deep. Potential candidates should take a closer look at the CIMA syllabus and make sure this is something they are willing to commit to in the next 3-4 years.
In addition to this existing standard for CIMA, we are also introduced to a CIMA syllabus change in 2019. There are new updates and additions happening with this exam and it’s going to be very important to know what these syllabus changes are and how they will affect you if you are currently a candidate for the CIMA exam.
Throughout this post, I am going to tell you all about the CIMA syllabus change, what you need to know about preparing for the CIMA exam, and information about the operational, management, and strategic exam levels.
Before we dive into the CIMA syllabus changes for 2019, let’s take a look at the basics. First, you need to know that the CIMA syllabus is split into three parts, or levels. I will go into these three levels in more detail below, which is key to you understanding everything that the syllabus covers. The 2019 changes really only affect one part of the exam, so I will go over that for you as well.
I am going to outline the different levels and sections of the CIMA syllabus and also break down the new changes so you can see what is different in 2019.
Key points to know about the CIMA syllabus and upcoming changes:
You may be asking yourself, why is CIMA changing? Perhaps you’ve already begun studying and now you worry that these changes will impact your ability to pass. Just like all other accounting exams of this caliber, research is regularly conducted to look for changes in the industry. CIMA is no exception.
For that reason, CIMA has been conducting research for the past 18 months into the digital world that CIMA covers to get a good foundation for what the finance function looks like. This research included 5,500 individuals, 2,000 organizations, and 150 countries. The purpose of the research was to:
The core finding of this research was: In a digital world, the focus of finance function is shifting from based on costs, to based on organizational value.
So, what does this research and its findings mean, and how does that relate to CIMA syllabus changes? In short, it means that the industry is no longer being evaluated solely on how much it costs to run. Instead, it’s judged on the value that it brings to the organization as a whole. This will lead toward a shift in how people in the industry look at those who work in finance and it can lead to major shifts for those working in a career in finance already.
For those who practice management accounting, new doors could open in their career paths as a result of these changes. The syllabus changes, while mostly minor, are intended to reflect these shifts and the results of that research that has been conducted. The 2019 CIMA syllabus change is not a major change like the one that took place back in 2015. In other words, don’t worry about it too much, especially if you’ve already been studying.
I’m going to highlight the changes below, but for the most part, they are just adjusting the content of the papers for what’s currently happening in the world of finance. All good changes to help further the industry and help the professionals who work in it.
With that in mind, let’s take a look at the CIMA syllabus.
The first level of the CIMA syllabus is the Operational Level. Operational level is the first in the CIMA exam levels. This is used as a foundation block for the next two levels, and therefore, the knowledge is applicable to those at the technical, working level. Let’s take a look at the categories this level is broken down into.
E1 covers the organization structure at the basic level, and how efficient and effective management (through finance, IT, marketing and HR functions) facilitates the organization to achieve its strategic goals.
Let’s take a look at what is different.
E1 –Managing Finance in a Digital World
REMOVED
MOVED
ADDED
ADDED
ADDED
COMBINED
P1 covers the important function of cost in the decision making of an organization. For example, various costing methods, the purpose of the forecast, plans and budgets, the cost in relation to pricing, and how to assess risk. In this level, the focus is on short-term decision making.
What’s changed in 2019 syllabus?
FI covers the role of financial reporting and why a financial statement is an important tool in managing the financial health of the organization. The concept of governance and taxation is also introduced.
Next, let’s look at the next level of the CIMA syllabus, the management level.
What is new in 2019?
F1 Financial Reporting Changes
MOVED
MOVED
MOVED
MOVED
Management level is the second in the CIMA exam levels. The knowledge in this level is built on the operational level and is applicable to the “managers”. They monitor and oversee how work is done. Next, let’s look at how this breaks down.
E2 builds on the understanding of organizational structure in E1, and focuses on how an organizational strategy can be implemented through people, projects and relationships.
What’s new in 2019?
RELOCATED TO E3A
ADDED
COMBINED
MOVED
P2 builds on the insights about costs and their drivers (from P1) to support the implementation of the organization’s strategy.
What’s new?
MOVED
MOVED
MOVED
MOVED
F2 builds on the competencies gained from F1, covering ways to source long-term finance, produce consolidated financial statements, and discuss the need for disclosure.
New changes in 2019:
MOVED
MOVED
ADDED
MOVED
The last CIMA syllabus level is Strategic. Let’s explore what that entails.
Management level is the third (and last) in the CIMA exam levels. The knowledge is built on the first two levels and is applicable to the senior management who make long-term, strategic decisions for the organization.
E3 aims to develop the skills and abilities of the strategic leaders or organization, e.g how to evaluate key external factors on strategy, handle ethical issues, implement organizational changes, and evaluate IS requirements for successful strategic implementation.
ADDED – INCLUDING RELOCATED CONTENT FROM E2A 2015 SYLLABUS
MOVED
MOVED
COMBINED
REMOVED
ADDED
P3 shows how to identify, evaluate and manage various risks that could affect the implementation of the organization’s strategy, and be able to recommend appropriate responses.
MOVED
MOVED
MOVED
RELOCATED TO F3C
ADDED
RELOCATED TO F3C
F3 focuses on the formulation and implementation of financial strategy to support the overall strategy of the organization, by evaluating the financial and non-financial objectives, the pros and cons of mergers, acquisitions, and divestment, and recommend appropriate actions.
Now, what kinds of syllabus changes are happening now in 2019?
MOVED
MOVED
ADDED – INCLUDING RELOCATED CONTENT FROM P3D, P3E 2015 SYLLABUS
MOVED
So, now you can see what is new for 2019. You can see from the highlighted changes above that they are not major changes at all. CIMA certification is changing again, which is important to keep the standards up to date so candidates are learning the most accurate information in the industry. It will likely happen again at some point in the future.
First, it’s important to know that the structure of the exam is not changing. The difficulty level is also not changing. The CIMA exam will continue to follow the existing educational principals.
The changes are intended to bring more transparency and clarity to make it easier for you to prepare for the exams. It will also help you be more confident as you enter the exam room on test day.
Candidates must pass all three objective tests before taking the case study exams at the same level. This is because the case study exams integrate all the 3 learning pillars.
In other words, there is no specific syllabus for the CIMA case study exams, but the candidates should know everything at that level.
Now that you have this information about the CIMA syllabus and the 2019 CIMA syllabus changes, you can feel confident in your abilities to understand the exam content. You can review the changes above for each level and part, in order to help you prepare for taking the exam.
If you have questions on the exam content, please drop a note in the comment section below and we will try our best to answer. You can also check out the CIMA exam blog page for common questions from readers. My goal here is to help you learn all you need to know about the CIMA exam, how to prep for it, and anything else you need to know about becoming a CIMA member or starting your career in the industry.
I am the author of How to Pass The CPA Exam (published by Wiley) and the publisher of this and several accounting professional exam prep sites.