Roles And Activities Of Management Accounting Essay

Changes in roles and activities of management accounting due to rapid changes in technology, can be described on following points: a. Changes in activities of data collection and control With advanced in technology, most companies are using accounting software or even Enterprise Resource Planning (â€Å"ERP†) system (such as SAP, Oracle, etc.) has the potential to have significant impact on the work of management accountants, as it reduces routine information gathering and the processing of information (Drury, 2012). b. Changes in role of Management Accountant Since management accountants spend less time or even no longer need to generate â€Å"ordinary† reports, they can provide value for the company through generation of forward-looking reports and improve analysis of business options (Alan Sangster, 2009). In other word, the role of management accounting has become more-and-more into strategic and advisory role rather than mechanical data collector. This condition well-known with what called by Caglio as â€Å"hybridisation† of management accountant role (Caglio, 2003). c. Implementation Advanced management accountant techniques With the help of technology, management accountant has the flexibility to adopting more advance management accountancy tools and techniques in order to provide better quality information for decision making, such as Activity-Based costing or Balance Scorecard. Without technology, it will be too complex for management accountant to implement thoseShow MoreRelatedManagerial Accounting Hilton Quiz1 Answers1526 Words   |  7 Pagesdecision making process. | | | B) | The role of the managerial accountant has not changed in the last twenty years. | | | C) | Managerial accountants play an integral leadership role on an organizations management team. | | | D) | The activities performed by the management accountant are administrative in nature and typically do not add value to the company. | | | E) | A and D are both true. | | | | | | Feedback: The role of managerial accounting is very different now than it was evenRead MoreManagerial Accounting1152 Words   |  5 PagesManagerial Accounting 12/3/15 Managerial Accounting Accounting is a crucial part in running a business. There are various forms of accounting that can be used, it is very important to know which technique is best to use for what companies. 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