استفاده از اطلاعات حسابداری مدیریت برای تصمیم گیری
Abstract
Purpose – To be utilized effectively in decision-making processes, management accounting (MA) information should fit the business context and at the same time reflect the roles, responsibilities and values of the actors taking part in the decision-making. This study aims to investigate the limitations for MA information utilization in decision-making. In particular, this study explores limitations stemming from the decision-making process structure and the involvement of several managerial actors. Design/methodology/approach – An exploratory case study of an energy company and its customer company illustrates the current challenges in providing and integrating MA information into decisionmaking. The analysis is focused on the analytical and actor-based features of the decision-making and thus the limitations for MA information utilization. As a part of the broader research process, the researchers facilitated a meeting in the customer company, where the actors relevant to investment decisions discussed the current limitations in utilizing MA information. Findings – Analytical and actor-based features may take different forms in the decision-making. Some relevant MA information may not be included in an organization’s decision-making process structure that allows merely conventional, yet analytical, decision alternatives. At the same time, certain actors’ viewpoints (such as sustainability metrics) can be excluded from the process without considering the logic behind the exclusion. This case study identifies the following limitations, largely related to insufficient actor-based features in the decisionmaking: managers may lack expertise in the use of MA tools, managerial interaction may lack reflection on taken-for-granted assumptions, different managers may appreciate different scope, content and timing of MA information and the process structure can ignore the required managerial viewpoints. Research limitations/implications – This study demonstrates that both the decision-making process structure and the needs of the several actors involved may lead to limitations for MA information utilization. Although many limitations stemmed from the insufficient actor-based orientation in the case study, introducing new MA analyses and extending the validity of analytical approaches may also help overcome some of the limitations. Further research should address possibilities to integrate different actors’ viewpoints with MA information already in the decision-making process structure, find ways to introduce MA information on unconventional decision alternatives and enable reflection among and about relevant actors with respect to decision-making. These means could lead to more effective utilization of MA information for decision-making and, consequently, economically viable decisions. Originality/value – This study addresses the limitations in MA information utilization by combining the viewpoints of analytical decision-making processes and reflective actors, and thus unveils possibilities for enhancing MA practice.
1. Introduction
One of the key functions of management accounting (MA) information is supporting managers in decision-making. Depending on the uncertainties and other characteristics related to the decision-making situation, MA information may have different roles, ranging from an answer machine to serving as a source for inspiration (Burchell et al., 1980). As the potential roles of MA information in decision-making vary, so do the requirements for supportive MA information. It is noteworthy that MA often fails to sufficiently support managers: irrelevant or useless information is produced and supplied, or the presentation of information hinders its application (Wouters and Verdaasdonk, 2002; Hall, 2010). To better understand the requirements for supportive MA information, this study investigates (practical) limitations for its utilization in decision-making. The literature distinguishes two different approaches for utilizing MA information in managerial decision-making: analytical and actor-based (Arbnor and Bjerke, 2008; Nielsen et al., 2015). The analytical approach has its roots in calculative, rational decision-making, with the assumption that comprehensive MA information is available or can be made available for decision-making. The approach involves stages in the analytical decisionmaking process from problem definition to data collection and analysis (Arbnor and Bjerke, 2008, p. 88; Nielsen et al., 2015). In the analytical approach, the process stages are defined objectively on the basis of contextual variables. The desired contingency fit between the business context and the decision-making process then ensures the most effective practice (Chapman, 1997). In this approach, MA information should be utilized objectively among decision-makers to analyze alternatives for a given decision (see, e.g. Thyssen et al., 2006). More specifically, the literature on analytical decision-making stresses the importance of cost comparisons and their importance in the final choice (Nielsen et al., 2015).