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Predictors of the Effectiveness of Management Accounting Function in Nigerian Firms

Predictors of the Effectiveness of Management Accounting Function in Nigerian Firms AbstractThis study evaluated the influence of six contingent variables – firm size, age, sector, existence of management accounting department, affiliation to foreign entity and public-quotation status – on the effectiveness of management accounting function in Nigerian firms. Stratified random sampling technique was deployed to obtain the views of 131 Finance Officers with oversight role across major sectors of the Nigerian economy. Statistical tools used in analysis were descriptive statistics, factor-analysis, Kruskal Wallis Test and binary logistic regression. Whilst detecting that contextual variables such as size, age, sector, existence of management accounting department and public-quotation status significantly affect the effectiveness of the management accounting function, affiliation to foreign entity was found not to exert significant influence. The strongest predictor of the likelihood of operating a very effective management accounting function was the existence of management accounting department. Organisations are encouraged to have separate management accounting department because of additional benefits imbued by specialist management accounting skills. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Scientific Annals of Economics and Business de Gruyter

Predictors of the Effectiveness of Management Accounting Function in Nigerian Firms

Oyewo, Babajide
Scientific Annals of Economics and Business , Volume 64 (4): 26 – Dec 1, 2017
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Publisher
de Gruyter
Copyright
© 2017 Babajide Oyewo, published by De Gruyter Open
eISSN
2501-3165
DOI
10.1515/saeb-2017-0026
Publisher site
See Article on Publisher Site

Abstract

AbstractThis study evaluated the influence of six contingent variables – firm size, age, sector, existence of management accounting department, affiliation to foreign entity and public-quotation status – on the effectiveness of management accounting function in Nigerian firms. Stratified random sampling technique was deployed to obtain the views of 131 Finance Officers with oversight role across major sectors of the Nigerian economy. Statistical tools used in analysis were descriptive statistics, factor-analysis, Kruskal Wallis Test and binary logistic regression. Whilst detecting that contextual variables such as size, age, sector, existence of management accounting department and public-quotation status significantly affect the effectiveness of the management accounting function, affiliation to foreign entity was found not to exert significant influence. The strongest predictor of the likelihood of operating a very effective management accounting function was the existence of management accounting department. Organisations are encouraged to have separate management accounting department because of additional benefits imbued by specialist management accounting skills.

Journal

Scientific Annals of Economics and Business – de Gruyter

Published: Dec 1, 2017

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    Haldma
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    Hofstede
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    Zarzeski
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    Smircich
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    Achimugu
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    Shank
  • cost accounting
    Drury
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    Bjørnenak
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    Naranjo
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    Adejuyigbe
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    Cuzdriorean
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    Ajibolade
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    Soobaroyen
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    Adejuyigbe
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    Sunarni
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    Granlund
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    Ajibolade
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    Ajibolade
  • Paper Financial Strategy official study text Publishing
    CIMA
  • An investigation of the influence of culture on management accounting of Commerce University of Wollongong Retrieved fromhttp ro uow edu au theses
    Ahl
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    Alao
  • cost accounting
    Drury
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    Oluku
  • Empirical evidence of the usage and benefits of management accounting techniques in Nigerian companies
    Ajibolade
  • The adoption of strategic management accounting in Nigerian manufacturing firms of Arts and Humanities
    Akenbor
  • An institutional perspective of Accountants new roles The interplay of contradictions and praxis http dx doi org
    Baldvinsdotti
  • Towards a more comprehensive understanding of the roles of Management Accountants http dx org
    Byrne
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    Scapens
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    Khandwalla
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    Ahmad
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    Yazdifar
  • Conceptualizing management accounting change An Institutional framework
    Scapens
  • Accounting research Traditional new accounting perspectives Spanish of Accounting
    Carmona
  • Consultation draft Global Management Accounting Principles Chartered Global Management Accountantsfromhttp www cgma org
    CGMA
  • Accountant Role future challenges fromhttp ssrn com abstract
    Mishra