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A Research on the Management Accounting Environment

In: Business and Management

Submitted By JimKen
Words 1766
Pages 8
Management Accounting Environment


Every organization small, medium and large needs someone to be in charge of day to day activities that is going to be responsible for decision making, planning, controlling, directing personnel, outlining organization structure and will be responsible for taking strategies in competitive advantages. In today’s business environment, corporate organizations need to take every advantage they can to remain competitive due to highly increasing competition in the market, i.e. electronics commerce ( e-commerce) and introduction of new technology day by day.

Customers need specialized products and service and accurate information convening product they are purchasing, product availability, order status, delivering time. Shareholders expect greater value from their investment and accurate information of the financial status of the company. This new competitive environment requires companies ability to create value for their customers and to differentiate themselves from their competitors through the formulation of clear business strategy.

In today's business environment, knowledge is power so business strategy must be supported by appropriate organizational factors such as accounting information systems, organizational design and effective manufacturing process Management Accounting deals with provision of information inside the company - that is, the process of identifying, measuring and forecasting, analyzing, interpreting, an communicatinginformation for the pursuit of an organization's goals.

Business Environment, Management Processes, and Management Accounting

The combination of internal and external factors that influence a company’s operating situation. The business environment can include factors such as clients and suppliers, its competition and owners, improvements in technology, laws and...

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