Management Accounting Change within a Shipyard -a case study

Abstract

The vast majority of the models being used within management accounting today are based on neo-classical theory. Scapens (1994) considered the neo-classical assumptions, rational behavior and market equilibrium, to be unrealistic. Thus, a gap between theory and practice was identified by Scapens (1994). Further, he stated that the human factor has a significant influence on the changes being made within management accounting, rather than rational behavior. Therefore, he introduced Institutional theory as a useful framework when performing research within management accounting. The purpose of our thesis is to identify and further describe the factors affecting change and the effects that they may involve. In our thesis, the institutional theory is a starting point, however, in order to provide the reader with a more comprehensive understanding, additional theories are presented within the theoretical framework. The chosen method is a case study since it provides a more thorough understanding of the problem being studied. Interviews were conducted with the chosen company for our case study. Further, interviews with two additional companies operating in the same industry were conducted, in order to provide a wider perspective on the problem being studied. Factors affecting change within management accounting are analyses and the conclusions are presented in the last chapter.