Accounting for Empowered Organizations in an Era of Competitive Intensity and the Age of Creative Intensification: The Case for Strategic Collaborative Accounting (SCA)

Abstract

This paper discusses the evolution of management accounting and proposes a new approach, Strategic Collaborative Accounting, to ensure its continued relevance in the face of changing business landscapes. With the shifting dynamics of future organizations characterized by complex stakeholder relationships, technological advancements, and evolving business models, traditional management accounting faces challenges in maintaining its significance. The paper suggests that future management accounting practices will involve shared responsibilities among professionals, focusing on building trust, managing risks, and supporting collaborative relationships. It predicts a reduction in finance department size, disappearance of traditional bookkeeping roles, and closer integration of accounting functions with operational teams. By advocating for Strategic Collaborative Accounting, the paper aims to empower organizations to adapt, compete, and innovate effectively in the future business environment.