The Management Accounting System and Enterprise Innovation Ability

Abstract

The chapter aims to explain the relationship between the management accounting system and enterprise innovation ability in the context of collaborative enterprise architecture. The study explains modeling the transformation process and outlining why and how the management accounting affects enterprise innovation ability through accounting information which is focused on the decision-making process. The study uses a survey designed and administered to accountants and managers who work in Turkish manufacturing enterprises as a data provider and decision-maker. The hypotheses were tested using multivariable data analysis techniques, and additional analyses were conducted for more details. The statistical findings show that management accounting affects innovation ability positively. Both product and process innovations are positively affected by managerial accounting. There is also a significant relationship between collaborative enterprise and innovation ability. The harmony between organizational architecture and management accounting increases the company's ability to innovate.