Management accounting change in developing countries: evidence from Libya

Alhashmi Aboubaker Lasyoud, Jim Haslam, Robin Roslender

    Research output: Contribution to journalArticle

    1 Citation (Scopus)

    Abstract

    Purpose: The purpose of this paper is to investigate the change in management accounting and control systems (MACSs) within two large public manufacturing companies in Libya so-called Trucks and Buses Company (TBC) and National Trailers Company (NTC).

    Design/methodology/approach: The paper is based on semi-structured interviews, an analysis of documents and observations. It draws on New Institutional Sociology (NIS) perspective (DiMaggio and Powell’s 1983) as theoretical framework to provide explanations regarding how the MACS in the two companies were shaped by various factors.

    Findings: The main factors identified in shaping the operations of the MACS were the need to comply with the political pressures, the Libyan Government’s laws and regulations, the instructions imposed by the management committee in both companies, leading organizations’ pressures (ISO), customer satisfaction (coercive isomorphism), the influence of professional associations (normative isomorphism) and the need to imitate efficient organizations in order to be more legitimate and successful (mimetic isomorphism).

    Research limitations/implications: The findings of the study have implications for understanding the operations of MACS in developing countries. Future research could focus on alternative theoretical perspectives for the investigation of the process of change in MACS such as structuration theory, agency theory and actor-network theory.

    Originality/value: The proposed theoretical framework provides insights into the process of change by focusing on the interplay between the institutional forces, market forces and intra – organizational power relationships to overcome the criticism of NIS that it downplays the role of market forces and intra – organizational power relations.

    Original languageEnglish
    Pages (from-to)278-313
    Number of pages36
    JournalAsian Review of Accounting
    Volume26
    Issue number3
    DOIs
    Publication statusPublished - 10 Sep 2018

    Keywords

    • Change
    • Large public manufacturing companies
    • Libya
    • Management accounting
    • New institutional sociology

    Fingerprint Dive into the research topics of 'Management accounting change in developing countries: evidence from Libya'. Together they form a unique fingerprint.

  • Cite this