Association between strategic management accounting facets and organizational performance
ISSN: 1746-5265
Article publication date: 30 November 2018
Issue publication date: 18 March 2019
Abstract
Purpose
The purpose of this paper is to develop an extensive conceptualization of strategic management accounting (SMA) facets, as well as to explore the impact of these facets on both financial and non-financial measures of organizational performance (OP).
Design/methodology/approach
Data are collected from 435 accounting managers working in Saudi companies listed in the Saudi Stock Exchange. The study applies hierarchical regression analysis to test the association between SMA facets and OP.
Findings
The results show that SMA facets significantly affect OP, assessed in the two major categories of financial and non-financial performance.
Research limitations/implications
The dominance of companies listed in the Saudi Stock Exchange in the data set limits the generalizability of the findings.
Practical implications
The present study supports the idea that companies can enhance their OP by adopting some facets of SMA such as the availability of appropriate structural arrangements, supportive resources, adequate information types and usages and good organizational climate.
Originality/value
The current study expands the conceptualization of SMA in light of organizational context as a set of facets to overcome the polarization found in the existing literature and explores their impact on OP, including non-financial performance, for which empirical evidence is still scant.
Keywords
Acknowledgements
Conflict of interest: there is no conflict of interest. Ethical approval: all procedures performed in studies involving human participants were in accordance with the ethical standards of the institutional and/or national research committee and with the 1964 Helsinki declaration and its later amendments or comparable ethical standards. Informed consent: informed consent was obtained from all individual participants included in the study. This project was supported by King Saud University, Deanship of Scientific Research, Community College Research Unit.
Citation
Alamri, A.M. (2019), "Association between strategic management accounting facets and organizational performance", Baltic Journal of Management, Vol. 14 No. 2, pp. 212-234. https://doi.org/10.1108/BJM-12-2017-0411
Publisher
:Emerald Publishing Limited
Copyright © 2018, Emerald Publishing Limited