Date of Award

2010

Document Type

Thesis

Publisher

Edith Cowan University

Degree Name

Doctor of Philosophy

School

School of Accounting, Finance and Economics

Faculty

Faculty of Business and Law

First Supervisor

Professor Malcolm Smith

Second Supervisor

Dr Hadrian Djajadikerta

Abstract

The business environment in Malaysia has changed rapidly over recent decades, and
continues to change. Globalization has brought new technology and made the
business environment in Malaysia open to greater competition. Central Government
economic policy relating to ‘knowledge economy (k-economy)’ and vision 2020
have also opened the market up for competition and certainly increased
technological development. These changes have impacted greatly on the business
environment in Malaysia, especially on manufacturing industry, which has been
identified as the most active and important contributor to the Malaysian economy.
Literature has identified that changes in both external and internal organizational
factors have influenced changes in management accounting practices in
organizations. When business organizations respond to challenges by embarking on
a change management path, they are faced with the choices of which ones of the
many management methods, techniques and systems would be most effective. This
is important as the management accounting system plays an important role in
providing useful information to management, especially in the decision making
process. Many researchers have shown an interest in understanding the way in which
management accounting and organizational changes respond to the changing
business environment. However, most of this research has to date been conducted in
a developed economy setting especially in Western countries.
This study aims to investigate the impact of alignment among the changes in external
and internal organizational factors, with the changes in management accounting
practice on performance. The framework has been developed based on the literature
from Western countries and Malaysia (as well as other less developed countries).

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