President Ram Nath Kovind today said cost accountants should ensure that wasteful costs in production are removed as well as fight aberrations of gold plating. They should also help in improving processes and systems to reduce avoidable costs and “make each rupee that is invested go that much further,” he said.
The President was speaking at a function to mark the platinum jubilee celebrations of the Institute of Cost Accountants of India (ICAI).
“It is for cost accountants to help fight the aberrations of gold plating that may sometimes appear on our business landscape,” Kovind said. Generally, gold plating refers to inflating project costs due to avoidable expenses which are then sought to be passed on to the end-users.
Minister of State for Corporate Affairs P P Chaudhary said cost accountants should guide businesses towards light and truth so that they fulfil the expectations of stakeholders while “abstaining from unethical practices”. “To remain a vibrant economy, it is important that cost in our economy remains competitive,” he said.