10 (2) 2020

Factors affect cost management accounting application of manufacturing enterprises in Southern Vietnam

Author - Affiliation:
Vu Quoc Thong - Ho Chi Minh City Open University, Vietnam
Corresponding author: thong.vq@ou.edu.vn

To identify factors affecting cost management accounting application of manufacturing enterprises is a challenge. By qualitative approach, we propose our research model and five hypothesises. During the implementation, we survey 179 manufacturing enterprises in southern Vietnam. Then, the research model is Cronbach Alpha tested, conducted exploratory factor analysis and run gression analysis to explain our proposed hypothesis. The result indicates there are 26 variables from Vietnamese manufacturing enterprise’s managers view grouped into 5 factors affecting the cost management accounting application. These factors are manager’s cognition, accountant’s professional level, enterprise size, IT application level and decentralized administration. The paper conclusion progressively paves the way for further researches on cost management accounting application.

cost management accounting; manufacturing enterprise; management accounting; management accounting application; Southern Vietnam

Full Text:


Bui, N. T. (2015). Factors affecting cost management accounting application in IT enterprises in the HCM City (Unpublished master’s thesis). University of Economics and Finance, Vietnam.

Chenhall, R. H. (2003). Management control systems design within its organizational context: Findings from contingency-based research and directions for the future. Accounting, Organizations and Society Journal, 28(1), 127-168. doi:10.1016/S0361-3682(01)00027-7

Colmenares, L. (2009). Benefits of ERP systems for accounting and financial management. Proceedings of the Academy of Information and Management Sciences, New Orleans, 13(1), 3-7.

Doan, A. N. P. (2016). Factors affecting the use and consequences of management accounting practices in a transitional economy: The case of Vietnam. Journal of Economics and Development, 18(1), 54-73. doi:10.33301/2016.18.01.04

Etemadi, H., & Kazeminia, S. (2014). Impact of Enterprise Resource Planning systems (ERP) on management accountants. Management and Administrative Sciences Review, 3(4), 507-515.

Godil, D. I., & Shabib-ul-Hasan, S. (2018). An investigation of a contingency framework of management accounting practices in manufacturing companies of Pakistan. Global Management Journal, 8(1), 53-64.

Gordon, L. A., & Miller, D. (1976). A contingency framework for the design of accounting systems. Accounting, Organizations and Society Journal, 1(1), 59-69.

Hair, J. F., Black, B., Babin, B., Anderson, R. E., & Tatham, R. L. (2005). Multivariate data analysis (6th ed.). Upper Saddle River, NJ: Pearson Education.

Hansen, D. R., & Mowen, M. M. (2006). Managerial accounting (8th ed.). Mason, OH: Thomson South-Western Publication.

Hoang Trong & Chu, N. N. M. (2008). Research data analysis with SPSS. Hanoi, Vietnam: Hong Duc Publishing House.

Huynh, P. N. (2016). Completion of cost management accounting task at Scancom Vietnam manufacturing company (Unpublished master’s thesis in Accounting). University of Economics and Finance, Vietnam.

James, A. H. (2019). Accounting information systems (10th ed.). Boston, MA: Cengage publication.

Kanellou, A., & Spathis, C. (2011). Accounting benefits and satisfaction in an ERP environment. Paper presented 8th International Conference on Enterprise Systems, Accounting and Logistics: 8th ICESAL 2011, Thassos Island, Greece.

La, D. X., Tran, N. T. V., & Tran, P. T. K. (2020). Factors affecting management accounting application in food processing enterprises at Ben Tre province. Industry and Trade Magazine, 1(3), 8-14.

Le, B. T. N. (2017). Completion of cost management accounting task in seafood processing enterprises in Hau Giang province (Unpublished master’s thesis). Lac Hong University, Vietnam.

Mullins, L. (2013). Management and organizational behaviour (10th ed.). Upper Saddle River, NJ: FT Publishing International.

Nguyen, G. V. T. (2017). Factors affecting management accounting application in HCM City enterprises (Unpublished master’s thesis). University of Economics Ho Chi Minh City, Vietnam.

Nguyen, L. T. N. (2012). Organization of cost management accounting for freight in Vietnam road transport enterprises. Journal of Finance, 2(4), 17-25.

Otley, D. T. (1980). The contingency theory of management accounting: Achievement and prognosis. Accounting, Organizations and Society Journal, 5(4), 413-428. doi:10.1016/0361-3682(80)90040-9

Pervan, I., & Dropulic, I. (2019). The impact of integrated information systems on management accounting: Case of Croatia. Journal of Contemporary Management Issues, 24(1), 21-38. doi:10.30924/mjcmi.24.1.2

Pomberg, M., Pourjalali, H., Daniel, S., & Kimbro, M. B. (2012). Management accounting information systems: A case of a developing country in Vietnam. Asia-Pacific Journal of Accounting and Economics, 19(1), 100-114. doi:10.1080/16081625.2012.668060

Raphael, G., & Artus, K. G. (2018). Business intelligence and analytics cost accounting: A survey on the perceptions of stakeholders. Proceedings of the 51th Hawaii International Conference on System Sciences, 750-759. doi:10.24251/HICSS.2018.095

Talha, M., Raja J. B., & Seetharaman A. (2010). A new look at management accounting. Journal of Applied Business Research, 26(4), 83-96. doi:10.19030/jabr.v26i4.309

Topor, D. I. (2013). New dimensions of cost type information for decision making in wine industry. Hyperion Economic Journal, Faculty of Economic Sciences, Hyperion University of Bucharest, Romania, 1(4), 109-127.

Tran, H. T. T. (2014). Development of cost management accounting model in Vietnamese cement production enterprises. Journal of Accounting – Auditing, 3(2), 15-32.

Vietnam Chamber of Commerce and Industry (VCCI). (2018). Chỉ số hoạt động ngành sản xuất Việt Nam nhảy vọt dẫn đầu ASEAN [The index of Vietnam’s manufacturing activities jumped by the top of ASEAN]. Retrieved June 1, 2020, from https://www.vcci.com.vn/chi-so-hoat-dong-nganh-san-xuat-viet-nam-nhay-vot-dan-dau-asean

Waterhouse, J. H., & Tiessen, P. (1978). A contingency framework for management accounting systems research. Accounting, Organizations and Society Journal, 2(4), 65-76. doi:10.1016/0361-3682(78)90007-7

Zimmerman, J. L. (2010). Accounting for decision making and control. Accounting organizations and Society Journal, 2(3), 28-40. doi:10.2308/iace.2011.26.1.258

View Counter: Abstract | 224 | times


    Refbacks Counter:
  • There are currently no refbacks.
Copyright (c) 2020 Vu Quoc Thong

Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.