Towards understanding changes in management accounting in the manufacturing industry in Indonesia

Abstract

This study aimed to investigate the perceptions and understanding of manufacturing industry managers in Indonesia in an effort to measure the effectiveness of management accounting changes, especially under the conditions of environmental uncertainty. In this study, a research questionnaire was used, and was sent directly to the respondents through surveyors and email to 389 manufacturing companies. The sampling technique was simple random sampling. Statistical techniques were based on Confirmatory Factor Analysis and descriptive analysis, namely mean and mode. The results of this study provide a theoretical contribution that the success of management accounting practices is caused by the application of the right organizational structure and strategy within the company. The areas of expertise, commitment, participation, and existing human resources are well managed in accordance with the company's vision and mission. It is expected that the company's management would be able to deal with environmental changes in improving its performance by changing management accounting practices.

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