Analyzing the Management Accounting Accuracy Model

Abstract

With the advances made in management accounting techniques such as strategic management accounting, optimizing management accounting will play an important role in strategic decision makers. To achieve competitive advantage and ensure high performance, a clear strategy is needed, and the condition alone is not enough. Based on the contingency approach introduced into the management accounting field, the optimal use of these techniques requires the adaptation of management accounting with contingency variables. The contingency variables in this research are environment, strategy, and organizational culture. This research tries to provide an adaptive model of management accounting by examining the effect of contingency variables on how management accounting techniques are applied. In this research, the environment is based on typology; the strategy is based on Porter typology; culture based on Cameron and Queen Typologies and management accounting techniques based on the model of the International Federation of Accountants. The present research is a survey based on the purpose, applicability, and according to how data is collected. The statistical population of the survey is the auditing companies in the geographical area of Erbil and sampling is available as a sampling type. To investigate the relationship, Kruskal-Wallis test and to prioritize management accounting techniques, Friedman’s test was used in terms of the amount of use, and in terms of significance, as well as a significant gap between significance and Wilcoxon’s test was used. The research results are as follows: The first hypothesis, which claims that companies operating in an uncertain environment are not more sophisticated management accounting techniques than companies operating in a more secure environment, were not approved. The second hypothesis claims. Companies with a differentiation strategy apply to companies with cost leadership strategies that are more sophisticated management accounting techniques. The third hypothesis, which claims that companies with a market-oriented culture and business use more sophisticated management accounting techniques than hierarchical and tribal societies. In addition, management accounting techniques are based on the amount of use and importance Prioritized.