CIMA SALARY SURVEY 2013 Nigeria

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Salary survey results Nigeria average salary figures ‘On average part qualified CIMA students earn c. NGN6.2m per annum in total.’

Our survey suggests that in 2013 part qualified CIMA students in Nigeria earn on average NGN5,833,334 in basic annual salary plus NGN392,222 in bonus payments, totalling NGN6,225,556 per year.1 One-half are earning a higher-tier basic salary of NGN6m or more, most likely because the same proportion of students in Nigeria have five or more years of relevant experience. 61% of CIMA students in Nigeria are satisfied with their current salary.

‘72% of CIMA students agree that the CIMA qualification improves their position in salary negotiations.’

Salary increases anticipated 17 of the 18 respondents (94%) are expecting a salary rise over the next 12 months. Although 45% anticipate a smaller salary rise, the average expected increase is 13.6%, above the inflation forecast of 9.7–10.7%.2 ‘[The] CIMA syllabus appeared broader and leaned towards strategy more than other international accounting/finance qualifications out there. [It has] really helped me to have a more international outlook and made me more in tune to global issues.’ Female student, manager (non-finance) working in the retail, consumer, FMCG, food and drink industry.

‘[I chose to become CIMA qualified] because CIMA is a global body of management accountants. It is the most relevant qualification for accountants in business.’ Female student, tax practitioner working in the government sector.

CIMA boosts salary and widens career choice All student respondents in Nigeria agree that the CIMA qualification widens career choice by enabling them to work across all areas of the business. 89% agree that it strengthens their ability to work internationally, and creates career opportunities. Furthermore, 72% agree that the CIMA qualification improves their position in salary negotiations. The CIMA qualification strengthens my ability to move internationally with my career

agree

The CIMA qualification creates career opportunities for me

‘CIMA gives you an edge in the business world. It is internationally recognised and knowledge driven.’ Male student, finance manager working in the manufacturing and engineering industry.

100%

89% agree

The CIMA qualification strengthens my ability to move across all areas of the business

89% agree

1 Figures should be treated with caution as they are based on 18 respondents. 2 IMF World Economic Outlook, April 2013. Available at: http://www.imf.org/external/pubs/ft/weo/2013/01/ African Economic Outlook: Nigeria. Available at: http://www.africaneconomicoutlook.org/en/countries/west-africa/nigeria/ Both accessed 5 August 2013.

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Business and the economy Expectations for future pay and conditions

over the coming 12 months.

Nigeria’s economic growth remains encouraging, despite a recent slowdown, and GDP growth is expected to reach 6.7−7.2% in 2013, led by oil, gas and agricultural exports. Consumer price inflation looks to be kept under control (forecast to reach 9.7% in 2013), and long-term economic diversification may help to increase employment.3

Expectations for negative factors of job cuts, reduced staff training (both at 11%) and decreased profitability (6%) are relatively low.

A slowdown in demand for oil and gas exports, particularly from China and the USA, continued problems in the EU economy, security challenges, and oil supply outages at home are downside risks that remain. However, overall, CIMA students in Nigeria appear to be fairly optimistic about the outlook for business

Two-fifths of students expect increases in business profitability and staff training budgets (both at 44%). Although one-third (33%) of CIMA students expect general budget cuts, similar proportions anticipate other positive factors to increase: salaries, recruitment (both at 28%) and more money being available for future investment (22%). 50% of CIMA students in Nigeria expect business process/policy changes in the organisation in which they work, and 33% anticipate a greater focus on regulatory issues.

Figure 1. Expectations for the business environment over the coming 12 months − selected indicators Business process/policy changes

50%

Increase in the overall profitability of the business

44%

Increased spend on staff training

44%

Budget cuts

33%

Greater focus on regulatory issues

33%

Increase in staff recruitment

28%

Salary increases

28%

More money available for future investment

22%

Recruitment freezes

17%

Job cuts

11%

Cuts in funding for staff training

11%

Fall in the overall profitability of the business

6%

3 IMF World Economic Outlook, April 2013. Available at: http://www.imf.org/external/pubs/ft/weo/2013/01/ African Economic Outlook: Nigeria. Available at: http://www.africaneconomicoutlook.org/en/countries/west-africa/nigeria/ Both accessed 5 August 2013.

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Working conditions ‘Two-thirds of students wish to develop their decision making skills (67%), and more than one-half will focus on risk management (61%) and leadership (56%).’

Working hours Our survey suggests that on average, CIMA students in Nigeria work 43 hours per week, with one-half typically working more than 40 hours per week. 56% expect their working hours to increase over the coming 12 months, primarily due to taking on more responsibility/ more pressure (mentioned by 90%). Motivators at work In 2013 the key motivator at work is training and development (mentioned by 56%), followed by a challenging workload and promotion prospects (both mentioned by 44%).

Career plans Seeking new opportunities All 18 part qualified students in our survey see themselves in a different role within three years, suggesting a very high degree of mobility and promotion prospects. Two-thirds (67%) anticipate being in a senior finance-related role in three years’ time, including finance manager, financial director, financial controller, CFO, head of accounting/ finance or self-employed practitioner. A further 28% of students expect to be employed in a senior non-finance role. One-half of students are planning to find another job over the next six months and the vast majority (89%) expect to move job within the next two years, 25% of whom plan to move abroad. ‘I chose to study CIMA as it [provides] the opportunity to work in any industry and [is] globally recognised.’ Female student, finance analyst/business analyst working in the financial services industry.

Building skill sets Over the coming 12 months part qualified students in Nigeria are keen to develop their managerial, interpersonal and technical skill sets. Two-thirds of students wish to develop their decision making skills (67%) and more than one-half will focus on risk management (61%) and leadership (56%). Skills for developing others and communication (which includes negotiating, presenting and written communication) are interpersonal skill sets that students would like to advance. ‘[I chose to become CIMA qualified] to improve upon my knowledge of financial management and be associated with the world’s most reputable professional body.’ Male student, manager (other than finance) working in the banking industry.

67% Decision making 61% Risk management 56% Leadership 50% Strategic planning and implementation 50% Skills for developing others 44% Project management 39% Change management 39% Financial reporting 39% Personal development 33% Problem solving 33% Communication

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Appendix Technical information

Further information

Survey responses were collected by CIMA among active qualified members and part qualified students between 25 April and 19 May 2013, via an online survey. The data was analysed and reported by an independent specialist consultancy.

For further information on technical matters relating to this survey, contact [email protected]

Approximately 25,000 qualified members and just over 21,000 part qualified students were selected and invited to participate in the international study, which covers 23 markets in total. Within the study period 6,039 responded internationally, including 18 part qualified students in Nigeria. Please note that due to the small base of 18 respondents, the data we have presented is based on unweighted responses and is only indicative of salaries and opinions of part qualified students in Nigeria; therefore results should be viewed with caution.

For further country specific analysis and reports, visit CIMA MY JOBS at http://myjobs.cimaglobal.com

Acknowledgements This research was conducted by CIMA in conjunction with Spotlight Market Research & Editing. The Chartered Institute of Management Accountants is a Market Research Society Company Partner. Both CIMA and Spotlight abide by the Market Research Society’s Code of Conduct and the Data Protection Act.

CIMA Nigeria Landmark Virtual Office, 5thFloor, Mulliner Towers, 39 Alfred Rewane Road, Ikoyi, Lagos T: +234 1 463 8353 (ext 518) E: [email protected] © September 2013, Chartered Institute of Management Accountants