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304707

Management Accounting Techniques in Egyptian Business Firms: Expected Outcomes Perspective

Article

Last updated: 05 Jan 2025

Subjects

-

Tags

Cost and Managerial Accounting

Abstract

This work aims to investigate two main issues to determine the theory underpinning the implementation of management accounting techniques (MATs) in Egyptian business firms. First, the impact of a set of driving forces (motives) on management's decision to adopt MATs within the business firm. Second, the impact of supply-side factors (barriers), existing within business firms' context, on the level of MATs' implementation. A study conducted on a sample of business firms operating in divergent industry sectors in Egypt was carried out in early 2022. Primary data were collected through a survey, using a questionnaire form, which was filled out mainly by top management of the surveyed firms. The survey response rate was 49.5% and the number of proper questionnaires utilized was 99. Multiple regression analysis is used to test the significance of the relationship between MATs implementation motives, barriers, and its level of implementation in practice.Statistical analysis of data collected revealed that non-financial motives have a significant impact on the implementation level of MATs within Egyptian business firms. No significant relationship was found between MATs implementation level and type of activity, firm age, firm size, firm strategy, and supply-side barriers. This result supports the use of institutional theory as a base for MATs implementation decisions in Egyptian firms.The research adds to the body of knowledge of management accounting practices in Egyptian firms from three aspects. First, identifying the theories/approaches underlying the implementation level of 44 MATs which is rarely addressed in management accounting literature. Second, exploring the implementation levels of 44 techniques that are considered to be the largest recent set of MATs being studied and analyzed in Egyptian firms. Third, classifying motivation factors influencing the adoption of MATs, for the first time in literature, into 2 categories; financial and non-financial for a more in-depth analysis of factors influencing MATs implementation within the Egyptian business environment context.

DOI

10.21608/ajccr.2023.304707

Keywords

management accounting techniques, Contingency Theory, Institutional theory, Supply Side Factors, motivation, Egyptian business firms

Authors

First Name

Rola

Last Name

Nowar

MiddleName

Samy

Affiliation

Faculty of Commerce, Cairo University, Giza, Egypt

Email

rola_nawar@foc.cu.edu.eg

City

-

Orcid

0000-0001-7925-7172

Volume

3

Article Issue

2

Related Issue

42036

Issue Date

2023-06-01

Receive Date

2023-06-21

Publish Date

2023-06-01

Page Start

43

Page End

74

Print ISSN

2805-248X

Online ISSN

2805-2498

Link

https://ajccr.journals.ekb.eg/article_304707.html

Detail API

https://ajccr.journals.ekb.eg/service?article_code=304707

Order

3

Type

Original Article

Type Code

2,025

Publication Type

Journal

Publication Title

The Academic Journal of Contemporary Commercial Research

Publication Link

https://ajccr.journals.ekb.eg/

MainTitle

Management Accounting Techniques in Egyptian Business Firms: Expected Outcomes Perspective

Details

Type

Article

Created At

28 Dec 2024