Managerial accounting: state-of-the-art and research perspectives in Central and Eastern European countries
Justyna Dobroszek (University of Lodz, Poland) Rafael Heinzelmann (University of Agder, Norway) Przemysław Kabalski (University of Lodz, Poland) ¬¬Introduction
T. Hopper et al. (2009) pointed out that developing countries offer an interesting case as far as accounting practice is concerned. Among other factors, this is due to the strong impact of globalization, when well-developed countries transfer their resources, processes and know-how to less developed regions. Developing countries adapt specific accounting solutions to their economic and cultural conditions. In this context, we observe an exchange of knowledge and experience, whereby different economies can learn from one another. This is a fascinating area of research for economists and financial analysts.
There are numerous studies on the state-of-the-art in relation to accounting practice in developing countries (Hooper et al., 2009). However, these mainly concern financial accounting, with little attention paid to management accounting. Several publications or special issues of journals have attempted to fill this gap (Alawattage, 2007; Hopper and Hoque, 2004). However, developing countries not only include those in the Middle and Far East but also countries in Central and Eastern Europe, which have undergone a political and economic transition in recent decades. In these countries, there has been a significant increase in the use of management accounting practices and, consequently, research into this area. It would, therefore, be worthwhile to disseminate the research into management accounting, particularly for this region of the world.
The aim of the special section of the CEEJ is to consider how managerial accounting methods and tools originating from developed countries work in the specific cultural and behavioural environment of post-communist Central and Eastern European countries.
Motivation
Since the beginning of the political transformation and introduction of market economy principles to the former socialist economies of Central and Eastern Europe, companies in these countries have been gradually implementing various management accounting methods and tools originally applied in highly developed countries. Many companies have achieved market and financial success, with management accounting methods and tools playing a significant role in this process.
For many years, accounting researchers from academic centres across Central and Eastern Europe have been studying application of management accounting tools in this region. These are mainly quantitative studies, analysing methods and tools used by different types of enterprises (small vs. large organizations; domestic vs. foreign capital, etc.). Thanks to this research, we know, for example, that one of the most popular methods in business practice is budgeting. However, there are no in-depth case studies showing the multifaceted (and not only technical) functioning of management accounting methods and tools, especially those developed and applied successfully in other social and cultural circles, for example, in Japanese, American, German or Scandinavian companies.
In this context, the following questions have been formulated, which may warrant further research:
- Does the implementation of strategic management accounting tools require particular barriers to be overcome? Or could it be that such factors have no significance for the functioning of management accounting in organizations? If they do, can they be overcome and how?
- Are management accounting methods adjusted to the local environment and culture? Is this local environment and culture being changed under the influence of the tools of management accounting? Or maybe there are cases in which, due to local conditions, the implementation of a specific management accounting method has been completely unsuccessful?
- How do managers react to management accounting methods? Is this reaction related to national culture (in the context of an organization)?
These are just some of the questions worth answering in this research area.
We invite you to submit articles presenting the functioning of management accounting in transition economies, conducted using mainly qualitative methods (e.g., observations, interviews, narrative studies, etc.). The topic and research approach are part of the alternative research approach in management accounting. Publications based on quantitative methods will also be welcomed. We expect a thorough analysis of the results on development of management accounting methods in the context of economic, cultural or behavioural conditions.
We invite researchers from Central and Eastern European countries, both EU members and candidate countries. The articles may present the results of research using different methods, including both theoretical and empirical approach (including case studies).
References
Alawattage, C., Hopper, T. & Wickramasinghe, D. (2007). Introduction to management accounting in less developed countries. Journal of Accounting and Organizational Change, 3(3), 183–91.
Cuzdriorean, D.D. (2017). The Use of Management Accounting Practices by Romanian Small and Medium-Sized Enterprises: A Field Study. Journal of Accounting and Management Information Systems, 16(2), 291-312.
Hopper, T. & Hoque, Z. (2004). Accounting and accountability in emerging and transition economies. Research in Accounting in Emerging Economies. Bingley, UK: Emerald Publishing.
Hopper, T., Tsamenyi, M., Uddin, S. & Wickramasinghe, D. (2009). Management accounting in less developed countries: what is known and needs knowing. Accounting, Auditing & Accountability Journal, 22(3), 469–514.
Strumickas, M. & Valanciene, L. (2010). Development of Modern Management Accounting System. Izinerine Ekonomika-Engineering Economics, 21(4), 377-386.
