Management Accounting and Control System

Abstract

A larger entity of the cost management system which assists executives in fulfilling organizational objectives is known as management accounting and control system (MACS). It is used for planning, monitoring and control of different organizational activities, to optimize the use of resources, to support the process of decision making and to the performance evaluation process. The scope of the MACS can be divided into two broad groups: technical considerations and behavioral considerations. Technical considerations fall into two categories: (i) the relevance of information generated and (ii) the scope of the system like the value chain, total life cycle costing, target costing, kaizen costing, benchmarking, balanced scorecard etc. whereas the behavioral consideration involves individuals and their behavior within organizations.NCC JournalVol. 3, No. 1, 2018, Page: 153-166

How Total Quality Management Mediates Antecedent Variables of Employee Performance?

“…This result is in accordance with previous research (Dahal, 2018;Dasrita et al, 2015;Lau & Oger, 2019). The performance measurement system provides positive motivation for employees always to improve the quality of their performance and as a basis for the follow-up to increase employee competency.…”

“…Not including nonfinancial factors as elements in performance measurement causes improvements and innovations that are carried out unsustainably. The modern approach emphasizes the balance between financial and non-financial factors (Dahal, 2018). Previous studies have shown that a good performance measurement system affects employee performance (Dahal, 2018;Dasrita et al, 2015;Lau & Oger, 2019).…”

“…The modern approach emphasizes the balance between financial and non-financial factors (Dahal, 2018). Previous studies have shown that a good performance measurement system affects employee performance (Dahal, 2018;Dasrita et al, 2015;Lau & Oger, 2019). This influence is obtained because the performance measurement system provides positive motivation for employees always to improve their performance, help manage employees both concerning rewards and penalties, provide information about employee competencies and follow-up to increase competency.…”

Management accounting systems and economic sustainability: a qualitative inquiry of SMEs in Pakistan

“…Specifically, management accounting systems provide managers with critical financial and nonfinancial information for planning, controlling and decision-making (Ahrens and Chapman, 2007). These systems also collect, classify, summarize and report information for performance measurement, continuous improvement processes and resource optimization (Drury, 2018; Dahal, 2018). Hence, MAS are accounting instruments that assess resource demands and whether resources are allocated efficiently and effectively.…”

“…In general, accounting systems are not only responsible for facilitating economically sustainable decisions but also serve as a rationalization instrument for decisions that have already been made (Dahal, 2018). Specifically, management accounting systems provide managers with critical financial and nonfinancial information for planning, controlling and decision-making (Ahrens and Chapman, 2007).…”