Accrual Government Accounting Research Articles

Enabling global accounting change: Epistemic communities and the creation of a ‘more business-like’ public sector

Abstract This article provides an historical assessment of the workings of an epistemic community closely associated with the implementation of accrual accounting in the Australian public sector in order for it to become ‘more business-like’. Our story begins in the 1940s, a period characterized by seemingly disconnected debates emerging from the USA about how best to manage government operations. We show that over the ensuing six decades, a small but influential epistemic community was able to problematize public sector management and accounting practices and cultivate the perception that the public sector needed to be more ‘business-like’ and that in order to do so, the adoption of ‘better’, in this case ‘accrual’, accounting was crucial. In doing so, we inform existing understanding of the early development of accrual accounting in government – the international dimensions of which are not widely acknowledged. Further, we show that in our setting, an epistemic community with transnational dimensions was crucial in enabling the reforms to occur, by disrupting the status quo in government accounting, and diffusing an accrual solution in several settings globally incubated in a discourse of business terminology that characterized governments as businesses. The epistemic community was able to diminish debate and invoke arguments to support the implementation of accrual accounting based on asserted enhancements to accountability, even though such reforms were largely untested in the public sector. Thus, we supplement existing research, by enhancing our understanding of how epistemic communities can make significant accounting change appear seemingly inevitable when it could have been otherwise.

The emergence of an accounting practice

PurposeThe purpose of this paper is to add to our understanding of the nature of accrual accounting by examining the process involved in its construction, as a dynamic and controversial process. This paper reveals how it is built and constantly modified, reinforced or negated during the process of implementation.Design/methodology/approachThis paper’s focus on a government initiative with multiple actors present in the laboratory. Specifically, this study offers a close examination of the day-to-day activities of a laboratory case study; it focuses on participant observation in video conference calls. The discussions held by the project teams are analyzed to extend our inquiry into the most intimate aspects of fact construction (Latour and Woolgar, 1979). These excerpts illustrate the processes of accrual accounting construction and open up the possibility of studying the emergence of accrual accounting through the lens of an action net.FindingsThe evidence collected reveals the absence of a well-defined template for implementing accrual accounting in government. These results reveal an elaborate process of improvisation and fabrication in the design of this accounting system and a fragile network in action.Originality/valuePrior research on accrual accounting in government focuses on the examination of existing accrual accounting systems with somewhat puzzling results on lack of use. In this study, the perspective has been shifted from focusing on accrual accounting as self-evident (Lapsley et al., 2009) to examine its construction. This paper examines this tension between the apparent certainties as espoused by practitioners and the problematic nature of accrual accounting in government. It extends our knowledge of “black box accrual accounting,” and shows that it is a fluid object with significant discretion in the determination of practice.

발생주의 정부회계 도입에 따른 공공기관의 회계정보 유용성 변화에 대한 연구

발생주의 정부회계 도입에 따른 공공기관의 회계정보 유용성 변화에 대한 연구

FAKTOR-FAKTOR YANG MEMPENGARUHI KEBERHASILAN PENERAPAN AKUNTANSI BERBASIS AKRUAL PADA PEMERINTAHAN DAERAH KALIMANTAN BARAT

This study aims to determine what factors are instrumental in the successfulimplementation of accrual based accounting in the Environment Government of WestKalimantan Province. This type of research is case study based on the model Luder (1992),using a qualitative approach. Study sites in West Kalimantan regional administration,sample’s in this study are SKPD-SKPD in regional government of West Kalimantan Province.Data collection techniques using observation, indepth interview, and documentation. Dataanalysis using data reduction, presentation of data and drawing conclusions / verification.,the technique checks the validity of the data using the method of triangulation. The analysisof this study suggest that in general local government officials in West Kalimantanenvironment to understand what was essentially based on accrual accounting system,although not yet fully understood. From the findings and analysis of data, there are severalfactors that are most instrumental in the successful implementation of accrual accounting ingovernment of West Kalimantan, namely commitment, quality human resources required,and Tool Support DOI: 10.15408/akt.v8i3.2771

Accrual Accounting in Government: Is Fund Accounting Still Relevant?

The main purpose of public sector accounting is to act as the trustee to protect and manage public moneys and discharge accountability. Fund Accounting is used as the rational response to serve as a reliable control technique for such purposes. With the emphasis of accrual accounting which is more reliable than cash accounting in measuring financial performance of government activities, this study therefore attempts to evaluate the relevance of the Fund Accounting in the planned adoption of accrual accounting by the Federal Government in Malaysia. Thus, the objective of this paper is to provide literature evidence to support on the relevance of Fund Accounting for the adoption of accrual basis of financial reporting in the Federal Government of Malaysia.