Management Accounting Framework in Small and Medium Enterprises in Iran

Q: How can I download an article?

To download an article from SID, first log in to the site, search for the article title, and click on the 'Download Article' option.

Q: How can I download an ISI article?

To download an ISI article on SID, enter the keyword or article title in the search bar, view the relevant results, click on the desired article, and select the 'Download Article' option.

Q: How can I access the SID database?

To access the SID database, visit SID.ir, create an account, and log in to access scientific resources.

Q: Is downloading articles from SID free?

Some articles on SID are available for free, while others require payment. Details are specified on the article's page.

Ebrahimi Kordlar Ali; Hajipour Hassan

مرکز اطلاعات علمی Scientific Information Database (SID) - Trusted Source for Research and Academic Resources

Journal Paper

Paper Information

Journal: ACCOUNTING AND AUDITING REVIEW Year:2025 | Volume:32 | Issue:2 Page(s): 224-252

Download Full-Text

Persian Verion

View:

Download:

Cites:

Information Journal Paper

Title

Management Accounting Framework in Small and Medium Enterprises in Iran

Author(s)

Ebrahimi Kordlar Ali | Hajipour Hassan | Issue Writer Certificate

Keywords

Management Accounting

small and medium enterprises (SMEs)

Decision making

Thematic analysis

Abstract

Objective Decision-making is one of the most important duties of managers in any company. This issue is more evident in small and medium-sized companies due to their limitations. One of the tools that can help managers in decision-making is management accounting. This study aims to provide a management accounting framework for Iranian small and medium-sized industries (SMEs). Methods This study is grounded in interpretive philosophy, employing an inductive approach and a cross-sectional time horizon. It follows a qualitative implementation approach and utilizes theme analysis from a strategic perspective. A semi-structured interviews were used to collect data. Furthermore, this study falls within the field of developmental research in terms of its outcomes, and in terms of its purpose, it is classified as exploratory research. To conduct the study, interviews were held with 20 experts and managers of small and medium-sized enterprises. Simultaneously, the data from these interviews were analyzed using a thematic analysis approach. Results The management accounting framework in SMEs obtained in this study consists of four dimensions: the current status of management accounting in SMEs, the role of management accounting in SMEs, barriers to the application of management accounting in SMEs, and drivers of the implementation of management accounting in SMEs. Each of these dimensions includes variables that are specific to management accounting among Iranian SMEs. Conclusion The results of this study indicate that, although many managers of small and medium-sized enterprises believe that management accounting can aid in organizational decision-making and lead to optimal outcomes, it still lacks a significant role within these enterprises in Iran. Instead, the managers of these companies primarily rely on their intuition when making decisions, i.e., most small and medium-sized companies in Iran do not have any separate accounting units and at the best version, employ a person as a management accountant. In such a context, traditional management accounting techniques, including absorption and variable costing, incremental budgeting, return on investment, price analysis, volume analysis, earnings, and capital budgeting, are commonly used. The results of this study suggest that factors such as limited financial resources, inadequate human capital, cultural issues, and a lack of education have contributed to the absence of a dedicated management accounting function in small and medium-sized enterprises. These companies typically attract only limited financial resources due to their structural characteristics, and as a result, their primary focus is on meeting legal requirements. Additionally, managers of these companies tend to rely more on their knowledge rather than using the information provided by management accounting when making decisions, a practice rooted in the prevailing managerial culture in Iran. To address the constraints of financial resources and human capital in the use of management accounting, this study suggests reducing service costs by establishing specialized institutions that provide management accounting services. Furthermore, overcoming the cultural barriers to adopting management accounting can be achieved by increasing managers' awareness through the organization of management accounting training programs.

Multimedia

No record.

Cites

No record.

References

No record.

Cite

Related Journal Papers

No record.

Related Seminar Papers

No record.

Related Plans