The Effect of Management Accounting on Decision-Making at PT. PLN (Persero) UP3 Medan

Abstract

This study is supposed to determine the effect of management accounting on decision-making at PT. PLN (Persero) UP3 Medan. This type of research is survey research because it takes samples from a population. This study uses an explanatory research approach, which aims to explain the causal relationship between research variables and test hypotheses. The population in this study amounted to 325 employees of PT PLN (Persero) Up3 Medan and the population in this study amounted to 76 people using a simple random sampling technique. Data collection techniques in this study used questionnaires and data analysis techniques using SEM PLS version 4.0. Based on the results of research and discussion, shows that Management Accounting has a positive and significant effect on Decision Making at PT. PLN (Persero) UP3 Medan. It is mean the management accounting applied to PT. PLN (Persero) UP3 Medan is effective in influencing decision-making. Decision-making from the head of the organization affects the implementation of the tasks assigned to subordinates because the decisions taken by a leader are expressed in the form of words and formulated in a regulation, order, instruction, policy, and other forms desired by the leader. Errors in decision-making by leaders such as the preparation of subordinate task implementation guidelines can result in errors in the implementation of employee (subordinate) tasks which in turn can hinder the achievement of organizational goals. This can happen because the guidelines for carrying out the tasks given by the leadership are not clear. The task implementation guidelines are less clear due to the lack of effectiveness of the leadership in decision-making. Keywords: Management accounting, decision making