Ž eljko Š evi ć

1. Current Research Developments in Management Accounting and the (Possible) Implications for Teaching Željko Šević

2. Change in Management Accounting • Kaplan and Johnson (1987) Relevance Lost: The Rise and Fall of MA • Failure of MAS to change and develop • Failure to realise the importance of ICT • Primate of Financial Accounting

3. Global Settings • Globalisation of Markets • Advances in ICT and Production Technologies • Increased competition (price, quality, speed of delivery, customer services)

4. Micro-Challenges • Core Competencies (Streamlining) • Emphasis on customer and supplier relationship(s) • Downsizing • Outsourcing • Flatter organisational structures • Teamwork

5. Response to Challenges • Johnson (1992) Relevance Regained: • New Techniques: • Activity Based Costing (ABC) • Activity Based Management (ABM) • Balanced Scorecard (BSC) • Economic Value Added (EVA) • Benchmarking • Strategic Management Accounting • ‘TQM’ • Nationally specific responses

6. Response to Challenges - Cont’d.(E&Y and IMA, 2003) • Life-cycle Costing/Accounting • Target Costing • Value Chain Analysis • Value-based Management • Multidimensional Costing • Theory of Constraints • Supply Chain Costing

7. Academic Response • Action-Based Research • Practice Relevant Research • Economics-biased Research • Neo-classical (Principal Agent Theory, Rational Expectations – Modelling) • Institutional (Management Accounting Change, ‘Problematisation’ in MA)

8. Academic Response –Cont’d. • Corporate Finance/Governance • Overlapping with Financial Management • ‘Complex’ Research Topics • National MA approaches (Kaizen costing, for example)

9. New Research Opportunities • Accounting and Law • Accounting and Public Policy • Case-study Accounting and non-action Field Work Accounting (‘Applied Accounting Research’) • ‘Robust’ Multidisciplinary Research in Accounting • ‘Applied’ Management Accounting (Public Sector, Hospitality Industry, Heritage, Arts, etc.)

10. Accounting Teaching: The State-of-the Art • Recent (Financial Accounting ) scandals (Enron, Xerox, Qwest, WorldCom, etc.) • Moral Decline (Crisis of (societal) trust) • Modern Executive Incentive Structures • Too Prescriptive Accounting Rules • Obsolete Curricula (outdated, too narrow, too specialised, missing link with ICT, over-national, rule based, non-exposure to ambiguities, lack of creativity, etc.) • No appreciation for practice and the needs of potential employers

11. Behavioural Approach:Starting Position • Ex-cathedra teaching • Lecture-based delivery • Examination Coaching (Assessment-driven teaching) • Rule-based memorising • Overspecialisation • Poor appreciation of ICT and innovations

12. Constructivist Approach: The Future • Problem-based learning • Why things are the way they are? • Emphasising experience • Searching for alternatives • Promoting collaborative efforts • Trying out (new) ideas (Experimenting) • Revising, revisiting theory (‘Continuous Improvement’)

13. Research & Teaching Interface – Cont’d. • Providing wider social, environmental, historical, cultural, etc. context • Including ethical issues into teaching • Enabling graduates to be an agent of change • Ensuring ‘substance over form’ in accounting teaching • Linking theory and practice, teaching and practice (Accounting-style life-long learning) • Promoting flexible modes of delivery

14. ‘KSA’ (Knowledge, Skills, Abilities) • Communication abilities • Ability to work in teams • Analytical skills • Solid understanding of accounting • Knowing (and feeling) how does business work *Redefining Competencies*

15. The End Thank you very much for your kind attention.