Management Accounting Practices and performance of Manufacturing Firms in Nepal (Unilever Pvt. Ltd., Bottlers Nepal Pvt Ltd Dabur Nepal Pvt. Ltd. and Surya Nepal Pvt.Ltd)
Date
2019
Authors
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Publisher
Central Departmental of Management
Abstract
Management accounting offers a good best opportunity for firms tocompete in themarket in order to offer best quality products and services at affordable prices toconsumers. The general objective of this study was to investigate the effects ofmanagement accounting practices on performance of manufacturing companies inNepal. This study adopted a descriptive survey design. The target population for thisstudy was the 107 manufacturing companies in Nepal. Stratified random samplingmethod was applied to come up with the sample size, since the population in differentmanufacturing firms was considered heterogeneous, implying that a simple randomsample is unrepresentative. The study therefore involved 4 manufacturing companies.The study collected primary data from the respondents. The data collected was bothquantitativeand qualitative. Qualitative data is a categorical measurement expressednot in terms of numbers, but rather by means of a natural language description.Quantitative data is a numerical measurement expressed in terms of numbers.Analysis was done using IBMStatistical Package for Social Sciences (SPSS 2.0),allowing the researcher to present the information in form of tables and figures. Thestudy concludes that information for decision making practices is the most highly usedmanagement accounting practice amongst the manufacturing companies in Nepalfollowed by budgeting, costing, controlling and decision making respectively. Thestudy further concludes that the most important elements of management accountingpractices amongst the manufacturing companies in Nepal are; the managementaccounting function identifies key factors that influence performance and risky areas.This study recommends the creation and enhancement of awareness among firms ofthe importance of Information for decision making practices as this is the most highlyused management accounting practice amongst the manufacturing companies inNepal.
Description
Keywords
Management, Accounting, Performance, Manufacturing