My take on the Open Letter to the President, ICAI

Dear Sir

Response to your blog

While this well drafted letter is bounding to create a stir in student circles, i would like to point out some dimensions and what I am writing is from a first hand experience. While I do not have the intellectual largess to challenge any of your arguments, just submitting my two pence

1) The quantum of respect that a profession will get will certainly be a function of the difficulty level involved in the process. The IIT/IIMs are a splendid example of this. They limit the no of seats to a specific number so that it does not lose its snob effect. Diamonds are diamonds only because a few people can afford them- the basic Eco concept

The Institute has gone for course correction to restore the credibility of the profession in an era where salaries of CAs at the bottom of the pyramid is bordering Rs 20k per month, something which even a graduate earns today at a call centre. I can tell this with a certain stamp of authority as I have founded http://www.cajobportal.com/, India's first and only website currently that focuses on CA Jobs. While CAs also do start with the HULs and ITCs of the world at salaries of 20 lacs and 16 lacs, so many are unemployed. When I post any position even worth Rs 3 lacs per annum, I get dozens of CVs within hours atcareers@cajobportal.com. And I am frustated when I see May 2012 passouts applying for a fresher position in January 2014.

2) The same students who are raising a hue and cry about the examination process are the ones who feel its their birthright to pass. No one ever complained when results were 25%+. If they are not so happy with the system, they can go for any other course/career path be it MBA or UPSC.  But they will not and I also do not recommend that as we have one of the best professional courses in terms of content. A CA wins hands down as compared to an MBA as far as the technical knowledge is concerned. So why can't they be patient and appear for the exams after analysing their mistakes.  

3) The students do not want to attempt case studies as they have been in the 'learning by rote' habit. Not their fault completely but they are also to blame. Ask a hundred CA students whether they update themselves on current affairs , read ET and they don't and won't. They are just busy attending tuitions. When the examination papers do not feature those standard questions mugged by them, which they can solve as per the Step 1, Step 2 subroutine sold out to them by these crorepati tuition teachers, these robots refuse to think. Any examination be it IIT or CAT always keeps some ambiguous questions. A student is expected to make reasonable assumptions and proceed. Corporate finance problems in real life profession also are beset with a level of ambiguity. I have had a first hand experience of them.As qualified professionals, do we shy away from them? Then why cant a student face ambiguity

4)About the examination process/There is a meticulous marking scheme which has to be followed by the Examiner. The only element of subjectivity is in the theory answers. The first 20 answer scripts given to any Examiner are sent to Head Examiner/Asst Head Examiner. He re-evaluates them completely and the variance is plotted. If its within reasonable limits, only then can the Examiner proceed. In many cases, Examiners are asked to evaluate another set of 20 scripts in case variance in the first set is high. Further a qualified CA comes as a Checker and checks for totaling and whether each and every answer is marked or not. What else do you expect? In none of the other professions, do members of the Institute have the passion to spare time for the examination process. No professional, worth his/her grain of salt would take up these assignments except for the association with their Alma Mater. The money involved isn't that enticing if you assess the realisation per hour but still people take it as they respect the profession

5) About training,students today are also acting like James Bond !! They come to a firm and ask the principal "what kind of exposure you can give me as you have a small firm"? This is ridiculous as they know this fact that when they enter that small firm's office and in their hearts of hearts, they also know that have come there after exploring all avenues of Big 4 and stuff. 

For sure, the Big 4 cannot accommodate all? I had once thought abt a 3 yr Industrial Training for those who want to get into industry and asked this question at a forum. But I was told that its not possible as they would be given the right to discharge the attest function as members which cannot be given w/o a stint in an audit firm (notwithstanding the fact that today,even if you spend 3 yrs in a tax firm and have no clue of audit, you are still given the right to discharge the attest function). I am quite clear that if 75% of new members do not take a COP and want to join industry, we need to have a re-look at the system.

Yes, the system needs to be changed but not by aggressive sensationalism. Lets discuss it

The students are wasting more time circulating these on watsapp and FB instead of studying

Regards

Anurag