Purpose The purpose of this paper is to explain the emergence processes of accounting change in the Jordanian Ministry of Finance as well as the Jordanian public sector within its socio-economic contexts, as brought about by public and fiscal reforms. The study explains the ways in which accounting change dynamics can emerge on the basis of interaction between “external” origins and “internal” accounts; which identifies that accounting is both shaped by, and shaping, wider socio-economic and political processes. Design/methodology/approach The paper uses an interpretive case study approach. The study adopts institutional and structuration theory as a theoretical lens and uses triangulation in data collection, including interviews, observations and documents and archival records. Findings The paper concludes that the new budgeting systems together with the Results-Based Management emerged as a result of interaction between “external” origins and “internal” accounts. It also highlights the interaction between these levels from one side, and the accounting and organizational change from the other side. The study confirms that factors other than economic may also play an influential role in the emergence of accounting change. It also concludes that there is a radical change of accounting systems in the case study (Ministry of Finance), which is not only a cosmetic change in accounting but is also represented in the actual working practices. The study also confirms that accounting is not a static phenomenon, but one that changes over time to reflect new systems and practices. Research limitations/implications The paper has important implications for institutional research on accounting change and public sector reforms in responding to recent calls to bridge the gap between the extra- and intra-organizational levels of analysis. Hence, it has essential implications for the way in which successful change can be defined in accounting and organizational change literature. It also identifies that management accounting is both shaped by, and shapes, wider socio-economic and political processes, which has important implications for the methods of studying management accounting change. Originality/value The paper is one of the few case studies in the accounting literature to analyze the practical issues organizations face when changing their method of budgeting as influenced by public sector and fiscal reforms. The study contributes to both accounting literature and institutional theory by providing further understanding and “thick explanation” of the dynamics of accounting change in the public sector.

The export of grain from Western Australia depends on a grain supply network that takes grain from farms to port through Cooperative Bulk Handling (CBH) receival and storage sites. The ability of the network to deliver pest free grain to port and ship depends on the quality of grain delivered by farmers and the efficacy of phosphine based fumigation in controlling stored grain pests. Unfortunately, over time, common stored grain pests have developed resistance to phosphine. There is some evidence that phosphine resistance, develops on farm due to inadequate biosecurity management. This paper considers the design of farm biosecurity contracts using a principal agent approach. An optimizing non-linear programming model with different effort levels of Cooperative Bulk Handling (principal) and farmer (agent) is developed to determine: (i) whether the farmer's effort level affect the CBH's profit function, and (ii) whether increasing monitoring effort by the CBH has an impact on farmer's performance on farm. Results show that; (i) the optimal effort level of farmer is higher for perfect information assumption than moral hazard one. Meanwhile, (ii) under moral hazard assumption, when Bulk Handler is engaged in intensive monitoring level, the farmer is engaged in a higher level of effort. Price premium represents the incentive for farmers, while cost-reduction represents the incentive for Grain Bulk Handler.