Management Accounting Techniques Research Articles

Measuring and reporting environmental impacts of dairy farming

Purpose This study aims to explore farmers’ perceptions of environmental impacts of dairying and their practices towards implementing environmental management accounting (EMA) techniques. Design/methodology/approach Semi-structured interviews were held with five dairy farmers in the South Island of New Zealand (NZ). Findings Dairy farmers perceive environmental sustainability in dairying as being able to feed people while protecting the environment so that future generations can also enjoy the natural world. Recognising the need to alter their practices to reduce environmental damage they have produced, dairy farmers use some EMA techniques, but the primary motivation is compliance with government regulations. Other motivations for using EMA techniques are high economic returns, maintaining their reputation and self-satisfaction. Barriers to implementing EMA techniques are primarily due to lack of clarity and feasibility of regulations, coercion and inadequate communication by regulators and high compliance costs. Originality/value The findings contribute to the current EMA literature by providing a better understanding of EMA practices of dairy farmers in NZ, barriers to implementing EMA and how those barriers could be reduced. It may also help NZ central and local government in developing environmental strategies and policies. Furthermore, this research is expected to help people in the dairy industry to find ways to educate farmers about how the measures that are required can help them to reduce both the environmental impacts and the costs of dairying, thus contributing to sustainable development globally.

Variable and Invariable, Explore the Value-Creation Techniques of Management Accounting by Benchmarking the Financial Management of Large Enterprises

With the development of information technology such as ChatGPT, artificial intelligence, 5G, and so on, technological innovation brings about a qualitative change in the economic business. This change is embodied in breakthroughs in the field of science and technology and the iterative upgrading process of products. The traditional business model undoubtedly fails to adapt to the management needs of modern enterprises, while traditional financial practices and knowledge reserves cannot meet these needs. Faced with sudden technological changes and the emergence of financial sharing, financial robots, etc., there is an urgent need for financial practitioners to transform from traditional financial accounting to value-creating management accounting. In the future, financial professionals with the ability to embrace uncertainty, adapt to environmental changes, and find breakthroughs in uncertain environments will be the most sought-after by enterprises. This paper aims to benchmark the excellent financial management models of large enterprises and conduct thematic research on financial management in large enterprises. It seeks to explore, in the era of big data management accounting, the road and art of creating value in enterprises. The objective is to provide references for colleagues in the financial field and to explore effective ways to generate value for enterprise management ideas, thus serving as a reference point in the financial transformation journey.

The Connection Between SMEs Business Performance and their Accounting Procedures: A Literature Review Study

This study of the literature looks at the connection between small and medium-sized businesses' (SMEs) business performance and their accounting procedures in the service sector. The study employs a systematic review methodology that includes a thorough screening procedure to find studies that match the inclusion criteria and a thorough search of academic databases using pertinent keywords. The data analysis entails a thematic examination of the chosen studies, with an emphasis on the kinds of accounting procedures that SMEs employ, the performance metrics that are employed to gauge the success of their businesses, and the degree to which accounting procedures and performance are correlated. The practical consequences imply that financial accounting methods can help SMEs in the service sector enhance their business performance. Nonetheless, it's important to give management accounting techniques a thorough evaluation. Investigating the moderating factors—such as the external environment and resource availability—that influence the relationship between accounting methods and business performance is one suggestion for further research.

Accounting Network Disclosures, Market Competition, and the Implementation of Strategic Management Accounting Technique

Strategic Management Accounting (SMA) assists companies in expressing strategic goals and identifying strategies owned by competitors. This study aims to determine whether accounting networking and market competition affect strategic management accounting techniques. This study used a purposive sampling method with 25 samples of the subsector of metal and food and beverage companies in the 2016-2021 observation period. The dependent variable uses the disclosure of thirteen strategic management accounting techniques in the annual report. The market competition variable is measured by market share and the accounting networking, which is measured by the number of board of directors’ companies that have attended training or seminars related to high school technical development. The result found that accounting networking and market competition did not affect the number of strategic management accounting techniques used in the sample companies. These results indicate that even though executives know the benefits of various strategic management accounting techniques, implementing them in companies takes work. This result also discovered that the sample companies used more strategic management accounting techniques that helped increase company efficiency.

The role of costing technology based on specifications in improving product quality (An applied study at the General Company for Battery Manufacturing / Babylon II Laboratory)

Modern technologies, such as costing technology based on specifications and the technology of disseminating and managing the quality function, play an important role in providing a product with specifications that meet the desires and needs of customers, as they work to focus on the fact that the customer’s voice is included in the process of developing product specifications. Therefore, the study aims to apply some modern management accounting techniques practically in the public company. For the battery industry / Babylon II Factory (study sample) as it focuses on fulfilling quality requirements and achieving them to provide a product with specifications that achieve customer satisfaction. Hence the importance of the study emerged, which indicates the application of some modern techniques for strategic cost management, which is Attribute Based Costing , and the quality function deployment.

Traditional Managerial Accounting Techniques and Organizational Performance in Nigeria

Considering the high rate of competitive activities among organizations today, an organization can retain its share in the global market only by good performance. Organization can enhance its performance through motivation, ability, roles and situation. Some scholars are of the opinion that some traditional managerial accounting techniques are still useful for organization’s performance. The study therefore seeks to examine the impact of traditional managerial accounting techniques on organizational performance in Nigeria. The study adopted structured questionnaire for data collection. Test of hypotheses was carried out through Covariate analysis (ANCOVA). The study found that some traditional managerial accounting techniques have significant effects on organizational performance in Nigeria. To this end, the study recommends that some traditional managerial accounting techniques can still be adopted for organizational performance in Nigeria. The study concluded that only the most relevant traditional managerial accounting techniques should be adopted for organizational activities.

Management accounting methods for financial decisions: Case of industrial companies in Jordan

Management accounting plays a critical role in decision making since it supplies accounting information that would be helpful to managers in making critical decisions for an organization. In light of this assertion, the aim of the study was to determine how the listed Jordanian industrial organizations used management accounting techniques to make financial decisions. The study employed the descriptive research design and used primary data to collect the information on the related objectives of the study. The target population for this study was the employees of industrial enterprises in Jordan. Specifically, the employees forming the part of the sample were the managers and non-managers (excluding lower-level staff) working in industrial companies of Jordan. The industrial firms from where the employees were chosen included the industrial firms listed on the Amman Stock Exchange. The sample size for the study has been 371 employees, selected based on the Krejcie and Morgan rule. The study’s findings supported the notion that budgeting, financial ratio analysis and activity-based costing are the most widely used management accounting techniques in these organizations. The results show that employees differ in their perception on the role of management accounting techniques in financial decision making. Specifically, the results of the study confirm the significant p-value (0.000) for t-statistics and f-value, thereby confirming that employees differ in their perception regarding the role of management accounting in financial decision making based on gender, type of job and years of experience.

The Management Accounting Usage in Automotive Servitized Companies: An Initial Attempt

Purpose : Prior literature suggests a further exploration on the usage of management accounting (MA) techniques in the servitization context. Servitization is a movement in which companies consciously develop service offerings, which support their products to gain competitive advantage. There are still limited studies of this topic in the context of Indonesian manufacturing companies, thus this paper aims to provide evidence on the usage of MA in servitized manufacturing companies in Indonesia.
 Method : We employed a qualitative approach as well as a preliminary survey to a number of selected managers and accountants from four different automotive companies.
 Findings : The result shows that target costing is very crucial to the automotive manufacturing companies nowadays. We discover that competitive position monitoring, quality costing, integrated performance measurement, and brand management accounting are relevant to company’s strategic position. Therefore, we find the connection between the usage of MA and company’s strategic planning.
 Novelty : From practical point-of-view, our study provides the evidence on the usage of MA in Indonesian servitized-manufacturing business. Also, we build a framework, which represents the relationship between the MA techniques and servitization, that could benefit business through a better understanding about the interconnections between MA usage and servitization level.
 Keywords : Management Accounting; Servitization; Automotive Companies; Indonesia

An institutional explanation of management accounting change in an emerging economy: evidence from Bangladesh

Purpose This study aims to investigate the nature of management accounting (MA) change and the institutional pressures driving the change using the context of an emerging economy – Bangladesh. Design/methodology/approach The study collected data from 20 listed companies in Bangladesh through in-depth interviews. It uses the typology of MA change proposed by Sulaiman and Mitchell (2005) in identifying the nature and extent of MA change executed during the preceding three years. A modified version of Granlund and Lukka’s (1998) model is used to identify and explain the impact of institutional and economic pressures on MA change. Findings This study finds that MA changes have taken place in the Bangladeshi listed companies in the forms of modification, addition and replacement during the preceding three years. The findings also showed that mimetic and coercive pressures influence the adoption of new MA techniques or changes in the existing MAP. The impact of economic forces (specifically the advancement of operating technology and competition intensity) on MA change is also well evident. Originality/value This study focuses on the typology of MA change and the institutional forces affecting the MA change, which have rarely been addressed in the context of an emerging and developing economy.

MODERN APPROACHES AND CHALLENGES OF MANAGERIAL ACCOUNTING

The article discusses modern approaches and challenges of managerial accounting. In the conditions of the market economy, modern global approaches to managerial accounting of operational processes play a special role in the process of perfect functioning of the company. Today, when overcoming the financial crisis is an urgent problem, it is necessary to form a management accounting system adapted to the strategy. The relevance of the study of managerial accounting issues is also indicated by the fact that in the conditions of growing competition, it is necessary to develop certain standards and management methods. In the process of strategic decisions, such as the expansion of the company, the development of policies to improve the financial situation and sustainability, it is impossible to achieve without having a perfect management accounting system. Using management accounting techniques, it is possible to reduce costs, increase revenues, improve operational management and control of the organization. It provides an objective view of organizational performance and helps companies make effective decisions based on accurate information. Keywords: managerial accounting, effective management, modern approaches to managerial accounting.

Impact of Management Accounting Techniques on Financial Performance of Manufacturing Firms in Nigeria

The study examines the assessment of the impact of management accounting Techniques on Financial Performance of Manufacturing Firms in Nigeria. The objective of the study is to determine whether management accounting Techniques can be used as a tool for performance evaluation in manufacturing company and to evaluate the relationship between the success of manufacturing firms and management accounting techniques, also to find out whether management accountants in manufacturing firms employ management accounting techniques in data analysis. Data were collected from primary source and secondary source for the study. However, as a survey study the data for the research will be collected through questionnaire and interview, The research design used for this study is both quantitative and qualitative. The study adopts simple random sample as the sampling techniques. The population of the study was 67 staff randomly selected from the targeted population. The findings of the study show that management accounting techniques have significant effect on the performance evaluation of manufacturing firm. Based on the findings the study recommended that Companies should consult professional accountants and techniques to be used when starting a business to learn about various laws that affect their mode of operations and also to familiarize them self with the variety of financial record that the need to maintain. Based on the findings one can conclusively affirm that management accounting employ management accounting techniques in decision making and that firms cannot do without management accounting practices. Management should adopt techniques that would aid attainment of organizational goals. Techniques employed should be constantly appraised to remove possible areas of weakness

Impact of Strategic Management Accounting on Operating Performance: Research in Public Universities of Vietnam

Purpose: The study aims to evaluate the impact of strategic management accounting (SMA) on the operating performance of Vietnamese public universities in terms of autonomy, student size, and number of years of establishment. Theoretical framework: The paper is based on the theory of strategic management accounting, including the use of strategic management accounting as well as the characteristics of organizations in general and universities in particular. Design/Methodology/Approach: Survey data were collected from 142 accountants of 102 public higher education institutions, cleaned data, and used regression analysis by SPSS 22 software. Findings: The results showed that with 07 factors of SMA stands for Strategic Application (AD), Strategic Planning (LKH), Strategic Management Accounting (KT), Financial Measures (TC), Non-Financial Measures (PTC), Reporting strategy (BC), and Strategic Management Decision Making (RQD), there are only 3 factors that have an impact on the performance of quality universities (Application of Strategy, Quality Management Accounting Techniques, and Financial Measures). Considering the control variable, only the degree of autonomy, and the number of students have a positive effect on the impact of quality management accounting information and the performance of universities. Research, practical & social implications: The results contribute to additional evidence for managers to pay more attention to quality management accounting information, thereby improving the universites' operational performance. In addition, this study complements the literature review documents related to the content of SMA and the impact of using SMA on the performance of universities. Originality/Value: The study provided an extension on the impact of SMA on the performance of universities as well as the mediating role of the control variable on the relationship between SMA and performance. Research results provide useful references for research on related issues.

Relationship between top managers’ interest in accounting information and accounting practices in startups

Prior studies argue that information systems affect several accounting practices in organizations. However, there are factors affect design of accounting information systems and in turn accounting practices, and a comprehensive approach, to simultaneously understand relationships between accounting practices and information technology, and factors influence accounting information systems design, is needed as next research paradigm. In this study, we deal with top managers’ characteristics as determinants of accounting information systems design and accounting practices in organization. We conducted an empirical analysis based on questionnaire survey gathered from 124 Japanese startup companies. Using structural equation modelling, we present that top managers who are interested in accounting information facilitate investment in accounting information systems, perform external reporting tasks within the companies, and adopt management accounting techniques. In addition, we simultaneously examine the effect of introducing cloud-based accounting information systems on management accounting practice and show their negative association. Lastly, through supplemental analysis by generalized structural equation modelling we show tenured and experienced top managers tend not to introduce new technology-based accounting information systems in their startup companies. This paper contributes to accounting information systems literature by suggesting a comprehensive approach showing that top managers’ characteristics affect accounting information systems design and in turn accounting practices.

Factors impacting strategic management accounting adoption: Empirical evidence from an emerging market

Strategic management accounting (SMA) is an advanced management tool that provides valuable information to aid managers in making strategic decisions for both long-term and short-term choices. Many factors motivated managers to adopt strategic management accounting (SMA) practices in their enterprises. Furthermore, strategic management accounting (SMA) techniques also consider external stakeholders such as customers, suppliers and regulators. Therefore, there may be various aspects of the external working environment that impact SMA implementations. On the other hand, strategic management accounting (SMA) also helps managers manage costs and resources effectively. Other internal factors such as managers’ perceptions about SMA, the knowledge of accountants and technologies also significantly impact the adoption of SMA techniques. The study’s main objective is to investigate the factors that affect SMA implementation in Vietnamese enterprises. Purposive techniques are used in the study’s explorative quantitative survey approach and data collection. Data from 305 Vietnamese enterprises are included in the sample. The findings demonstrate that the adoption of SMA practices is positively associated with four factors including top management teams, corporate culture, perceived environmental uncertainty and management networking.

The Influence of Managerial Accounting Techniques on Marketing Decision-making Processes

Every firm’s management process requires useful accounting information to support planning, control, operations, and decision-making. Executives must have accounting information to guide management in achieving organizational goals. Especially in the era of rapid technological change, the digital information era affects every organization’s ability to adapt to keep up with the competition. All management disciplines, including managerial accounting, are developing good techniques to map such processes and to calibrate such maps. The management accounting discipline has broadened its focus beyond the traditional financial domain, now also including marketing and operational management issues. However, the use of ideas and concepts from other disciplines might be insufficient in internalizing a multi-disciplinary approach to business problems. Currently the connection between management accounting and marketing management could be characterized rather as a living-apart-together arrangement than as a full-fletched cooperation. The existence of some form of link between recent management accounting developments and the strategy literature has, unfortunately, given rise to an unhelpful lack of terminological and conceptual clarity. Therefore, although during the last decades clear progress has been made in strengthening the interface between management accounting and marketing management, there is still much room for further improvement. The principal purpose of this paper is to bring the above conceptualization of management accounting to the attention of a broader audience. It also offers a critique of influential contributions to the strategy/management accounting literature and traces the evolution to date of the management accounting concept. Based on the scope of their mutual relationship, this paper contributes to the growing literature by focusing on the connections between two disciplines and reflects the benefits of applying management accounting techniques for marketing decision-making processes.

Factors Influencing the Application of Strategic Management Accounting: A Study of Manufacturing Enterprises in Hanoi

Strategic management accounting (SMA) information helps managers determine the strategy and strategic position of the business. At the same time, SMA helps managers see and re-evaluate problems so that they can draw on their experiences and lessons for decision-making and control. Currently, manufacturing enterprises in Hanoi are aware of the important role of strategic management accounting information, but the level of application of strategic management accounting techniques is low. This article aims to evaluate the factors affecting the application of strategic management accounting in manufacturing enterprises in Hanoi, thereby making recommendations for these enterprises to increase the use of strategic management accounting information to help business managers make business decisions.

Management Accounting Techniques in Egyptian Business Firms: Expected Outcomes Perspective

Management Accounting Techniques in Egyptian Business Firms: Expected Outcomes Perspective

Application of Strategic Management Accounting Techniques in Feed Manufacturing Enterprises in Hanoi

Application of Strategic Management Accounting Techniques in Feed Manufacturing Enterprises in Hanoi

Application of Strategic Management Accounting Techniques in Feed Manufacturing Enterprises in Hanoi

Strategic management accounting (SMA) provides managers with a framework of technical groups that help businesses plan, control, and evaluate performance. Many businesses around the world operating in different fields have applied strategic management accounting. Vietnamese enterprises in general and animal feed manufacturers in Hanoi in particular need to apply SMA techniques in a highly competitive environment. However, due to many reasons, the use of SMA in animal feed enterprises in Hanoi is still low. This greatly affects the performance of businesses. In order to improve management efficiency and help businesses stand firm in a competitive economy, managers need to be equipped with modern management knowledge with the support of accounting information system management in general, and SMA in particular to provide appropriate and timely information to serve decision-making administrators.

THE IMPACT OF MANAGEMENT ACCOUNTING PRACTICES ON OPERATIONAL PERFORMANCE IN SMES IN THE COLOMBO DISTRICT, SRI LANKA

"The objective of this study was to address the research problem of how the effect of management accounting practices influences the operation performance of SMEs in the manufacturing sector of the Colombo district. Different SMEs use financial knowledge in varying ways, which affects the performance of the businesses. This study sheds light on the Practices of management accounting used by SMEs in the manufacturing sector and how they affect Operational success. The Management accounting practices which are discussed in the study is, costing, performance evaluation, budgeting, strategic management accounting and decision support system. The data gathered was primary data, using a convenience sampling method in cross-sectional time horizon. And the deductive research methodology and the survey method were used in the research design. The Research was conducted using demographic analysis, correlation coefficient analysis, and regression analysis. The sample was taken from the small and medium-sized, 131 manufacturing enterprises in the Colombo district. The study found, the budgeting system, performance evaluation system, and strategic management accounting system to have a statistically significant impact on operational performance. Costing systems and Decision support systems were found to be not statistically significant in regression analysis. Therefore, 3 out of 5 hypotheses were accepted. As for concluding remarks, this study’s findings recommend that using management accounting practices can enhance operational performance. Further, study suggests that budgeting, performance evaluation, and strategic management accounting be used by management to improve the operational performance of Manufacturing SMEs. The study thereby, hopes to increase the knowledge and awareness of students and professionals who are interested in this field. Additionally, this will provide insight on the management accounting techniques now employed by SME's and their level of financial literacy. Consequently, this study’s valuable information can be used by government, organizations, and experts to advance the Small Medium Enterprises of Sri Lanka."