Factors Affecting Management Accounting Organization in Vietnamese Mechanical Engineering Enterprises

Abstract

Management accounting information serves as a reliable and critically important resource for managers in the process of managing business operations. The quality and effectiveness of management accounting information are highly dependent on the feasibility and efficiency of how management accounting is organized within the enterprise. This study employs both qualitative and quantitative research methods to assess the factors influencing the organization of management accounting in Vietnamese mechanical engineering enterprises (VMEEs). A total of 202 mechanical engineering firms currently operating in Vietnam were surveyed. Multiple linear regression was used to evaluate the impact of factors on management accounting organization in VMEEs. The findings reveal five key factors that positively influence the organization of management accounting in VMEEs: managers’ perspectives, information technology, competence of personnel performing management accounting, organizational structure, and production process characteristics, respectively. Based on these findings, the study offers several recommendations for VMEEs and relevant government authorities. These recommendations aim to enhance the feasibility and effectiveness of management accounting organization in VMEEs, thereby enabling more efficient resource utilization, cost savings, and improved competitiveness - not only for VMEEs but also for manufacturing enterprises more broadly.