TRB&S people pass CPA examinations;

              At the present time, management science is continu­ing
to produce new procedural standards for previously
unstructured areas of business management. Further,
these standards that are being developed are objective in
two senses. First they are logically defensible. Second, a
body of experts sitting to assess their validity would agree
almost unanimously on their merit.
If such standards exist, then it is a natural development
to report management performance against such stand­ards.
The logical people to do such reporting on man­agement
procedural performance are the management-scientist
CPAs. The CPA's present audit focuses heavily
on procedure. With competence in management science,
such procedural management auditing is a natural ad­junct
to the CPA's present financial auditing.
The development of a management audit will raise a
number of important and interesting questions. For ex­ample,
will management audit reports be made internally
to management, externally to the public, or to both? At
this time any answer to this question would be largely
conjectural. One conjecture is that, in the long-run, the
social welfare of the community will be best served by
external as well as internal reporting.
Despite the uncertainties and the unanswered questions
that accompany this prediction of a management audit,
it will become a reality — at least in specific management
areas — within the next twenty years or less.
People Implications:
As a final conclusion, one must point out the implica­tions
of these predictions for the management science
people in public accounting. Essentially, one basic argu­ment
has been made — that auditing, financial manage­ment
and management science must necessarily be
interrelated in practice. If this argument is true, then
the implications for the type of people who will be
practicing accounting (or financial management), audit­ing
and management sciences in the public accounting
profession within the next ten to twenty years are clear.
Although they may be specialized in some particular
area, the successful people will be those who understand
the basic principles of all three disciplines — auditing,
accounting and management science.
The future belongs to those people who, through a
combination of formal education and in-house profes­sional
training, are acquiring combined competence as
management scientists and as CPAs. Even now people are
leaving our better colleges and universities who have
formal education in both management sciences and
accounting.
TRB&S People Pass CPA Examinations
Cleveland — Jack Donahue, Jim Simon, Ben Stein
Kansas City — Jack Carr
New York — Michael L. Borsuk, Peter N. Breitman, Samuel Herzog, Daniel P. McCaigue
San Francisco — Stanley Marx, Stanley Russell, Earl Baldock, John Jex
JUNE, 1965 39