IDEAS home Printed from https://ideas.repec.org/a/gam/jjrfmx/v14y2021i9p415-d627707.html
   My bibliography  Save this article

Contextual Factors and the Diffusion of MAIs in Manufacturing and Non-Manufacturing Sectors in Libya

Author

Listed:
  • Alhadi Boukr

    (Department of Accounting, Finance and Economics, Bournemouth University, 89 Holdenhurst Road, Bournemouth BH8 8EB, UK)

  • Hassan Yazdifar

    (Department of Accounting, Finance and Economics, Bournemouth University, 89 Holdenhurst Road, Bournemouth BH8 8EB, UK)

  • Davood Askarany

    (Department of Accounting & Finance, Business School, University of Auckland, Auckland 92019, New Zealand)

Abstract

The diffusion of innovation theory has already addressed the major contextual factors hindering or facilitating the diffusion of management accounting innovations (MAIs) in organisations. However, the diffusion of MAIs in less developed countries (such as Libya) is still very low, and the contextual factors addressed by the diffusion of innovation seem to fail to explain the low diffusion. To address this important gap in the literature, this study used contingency theory and investigated the association between a variety of contextual (contingent and institutional) factors and the diffusion of MAIs in Libyan manufacturing and non-manufacturing organisations. Seven MAIs were chosen from the literature perceived to have higher popularity, namely, ABC, ABM, BSC, TC, life-cycle costing, benchmarking, and Kaizen. A questionnaire acted as the data collection instrument. Two hundred and fifty questionnaires were distributed, and one hundred and three useable questionnaires were returned. The results indicate that three factors were significantly associated with facilitating the adoption of MAIs in both sectors. They were using computer systems for MA purposes, top management support, and MA training programmes.

Suggested Citation

  • Alhadi Boukr & Hassan Yazdifar & Davood Askarany, 2021. "Contextual Factors and the Diffusion of MAIs in Manufacturing and Non-Manufacturing Sectors in Libya," JRFM, MDPI, vol. 14(9), pages 1-33, September.
    • Handle: RePEc:gam:jjrfmx:v:14:y:2021:i:9:p:415-:d:627707
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/1911-8074/14/9/415/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/1911-8074/14/9/415/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Williams, John J. & Seaman, Alfred E., 2001. "Predicting change in management accounting systems: national culture and industry effects," Accounting, Organizations and Society, Elsevier, vol. 26(4-5), pages 443-460.
    2. Hassan Yazdifar & Davood Askarany & Danture Wickramasinghe & Ahmad Nasseri & Ashraful Alam, 2019. "The Diffusion of Management Accounting Innovations in Dependent (Subsidiary) Organizations and MNCs," The International Journal of Accounting (TIJA), World Scientific Publishing Co. Pte. Ltd., vol. 54(01), pages 1-42, March.
    3. Yazdifar, Hassan & Askarany, Davood, 2012. "A comparative study of the adoption and implementation of target costing in the UK, Australia and New Zealand," International Journal of Production Economics, Elsevier, vol. 135(1), pages 382-392.
    4. Scapens, Robert W., 2006. "Understanding management accounting practices: A personal journey," The British Accounting Review, Elsevier, vol. 38(1), pages 1-30.
    5. Wu, Junjie & Boateng, Agyenim & Drury, Colin, 2007. "An analysis of the adoption, perceived benefits, and expected future emphasis of western management accounting practices in Chinese SOEs and JVs," The International Journal of Accounting, Elsevier, vol. 42(2), pages 171-185.
    6. Hassan Yazdifar & Davood Askarany & Danture Wickramasinghe & Ahmad Nasseri & Ashraful Alam, 2019. "The Diffusion of Management Accounting Innovations in Dependent (Subsidiary) Organizations and MNCs," The International Journal of Accounting (TIJA), World Scientific Publishing Co. Pte. Ltd., vol. 54(01), pages 1-42, March.
    7. John F. Y. Brookfield, 2001. "Predicting the future," Nature, Nature, vol. 411(6841), pages 999-999, June.
    8. Prabanga Thoradeniya & Janet Lee & Rebecca Tan & Aldónio Ferreira, 2015. "Sustainability reporting and the theory of planned behaviour," Accounting, Auditing & Accountability Journal, Emerald Group Publishing Limited, vol. 28(7), pages 1099-1137, September.
    9. Tajeddini, Kayhan, 2010. "Effect of customer orientation and entrepreneurial orientation on innovativeness: Evidence from the hotel industry in Switzerland," Tourism Management, Elsevier, vol. 31(2), pages 221-231.
    10. Warwick Funnell & Robert Williams, 2014. "The religious imperative of cost accounting in the early industrial revolution," Accounting, Auditing & Accountability Journal, Emerald Group Publishing Limited, vol. 27(2), pages 357-381, February.
    11. Kayhan Tajeddini & Stephen Mueller, 2009. "Entrepreneurial characteristics in Switzerland and the UK: A comparative study of techno-entrepreneurs," Journal of International Entrepreneurship, Springer, vol. 7(1), pages 1-25, March.
    12. Henk W. Volberda & Niels van der Weerdt & Ernst Verwaal & Marten Stienstra & Antonio J. Verdu, 2012. "Contingency Fit, Institutional Fit, and Firm Performance: A Metafit Approach to Organization–Environment Relationships," Organization Science, INFORMS, vol. 23(4), pages 1040-1054, August.
    13. Kelum Jayasinghe & Teerooven Soobaroyen, 2009. "Religious “spirit” and peoples' perceptions of accountability in Hindu and Buddhist religious organizations," Accounting, Auditing & Accountability Journal, Emerald Group Publishing Limited, vol. 22(7), pages 997-1028, September.
    14. Michel Lander & Pursey Heugens, 2009. "Structure! Agency! (And Other Quarrels): Meta-Analyzing Institutional Theories of Organization," Post-Print hal-00623835, HAL.
    15. Toomas Haldma & Kertu Laats, 2002. "Influencing Contingencies On Management Accounting Practices In Estonian Manufacturing Companies," University of Tartu - Faculty of Economics and Business Administration Working Paper Series 13, Faculty of Economics and Business Administration, University of Tartu (Estonia).
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Rui Pires & Maria-Ceu Gaspar Alves & Catarina Fernandes, 2023. "The Usefulness of Accounting Information and Management Accounting Practices under Environmental Uncertainty," JRFM, MDPI, vol. 16(2), pages 1-21, February.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Lenka Hudáková Stašová, 2023. "Advantages and Suitability of Activity-Based Costing: A Study from Engineering Industry," Central European Business Review, Prague University of Economics and Business, vol. 2023(4), pages 1-31.
    2. Silvia Macchia, 2021. "Are we ready to change? A case study of Management Accounting Change (MAC) in an Italian Co-operative," MANAGEMENT CONTROL, FrancoAngeli Editore, vol. 2021(suppl. 1), pages 141-164.
    3. Nelson Waweru, 2008. "Predicting Change In Management Accounting Systems: The Effects Of Competitive Strategy," Global Journal of Business Research, The Institute for Business and Finance Research, vol. 2(1), pages 25-41.
    4. Nimnual Visedsun & Kanitsorn Terdpaopong, 2021. "The Effects of the Strategy and Goal on Business Performance as Mediated by Management Accounting Systems," Economies, MDPI, vol. 9(4), pages 1-17, October.
    5. Hao Shi, 2006. "L'évolution du "calcul économique en équipe" : un processus de légitimation des changements institutionnels en Chine," Working Papers 2006-4, Laboratoire Orléanais de Gestion - université d'Orléans.
    6. Prem Lal Joshi & Wayne G. Bremser & Ashutosh Deshmukh & Rajesh Kumar, 2011. "Diffusion of Management Accounting Practices in Gulf Cooperation Council Countries," Accounting Perspectives, John Wiley & Sons, vol. 10(1), pages 23-53, March.
    7. Jaime Gómez & Raquel Orcos & Henk W. Volberda, 2021. "How imitation of multiple reference groups drives the evolution of firm strategy," Review of Managerial Science, Springer, vol. 15(8), pages 2319-2350, November.
    8. Thierry Nobre & Dmitry Riskal, 2003. "L'Évolution Des Pratiques De Contrôle De Gestion Dans Les Entreprises Russes Après 1992," Post-Print halshs-00582807, HAL.
    9. Tajeddini, Kayhan & Elg, Ulf & Trueman, Myfanwy, 2013. "Efficiency and effectiveness of small retailers: The role of customer and entrepreneurial orientation," Journal of Retailing and Consumer Services, Elsevier, vol. 20(5), pages 453-462.
    10. Evgeniya Lupova-Henry & Sam Blili & Cinzia Dal Zotto, 2021. "Clusters as institutional entrepreneurs: lessons from Russia," Journal of Innovation and Entrepreneurship, Springer, vol. 10(1), pages 1-27, December.
    11. Vasilii Erokhin & Dmitry Endovitsky & Alexey Bobryshev & Natalia Kulagina & Anna Ivolga, 2019. "Management Accounting Change as a Sustainable Economic Development Strategy during Pre-Recession and Recession Periods: Evidence from Russia," Sustainability, MDPI, vol. 11(11), pages 1-23, June.
    12. Gabriele B. Durrant & Sylke V. Schnepf, 2018. "Which schools and pupils respond to educational achievement surveys?: a focus on the English Programme for International Student Assessment sample," Journal of the Royal Statistical Society Series A, Royal Statistical Society, vol. 181(4), pages 1057-1075, October.
    13. Alexey Bobryshev & Lyubov Chaykovskaya & Vasilii Erokhin & Anna Ivolga, 2023. "Sustaining Growth or Boosting Profit: Accounting Tools under Process-Based Management in a Transition Economy," JRFM, MDPI, vol. 16(2), pages 1-14, February.
    14. Hansen, Eric & Rasmussen, Casper Claudi & Nybakk, Erlend, 2017. "Recessionary period activities in forest sector firms: Impacts on innovativeness," Journal of Forest Economics, Elsevier, vol. 28(C), pages 80-86.
    15. Jon Reast & François Maon & Adam Lindgreen & Joëlle Vanhamme, 2013. "Legitimacy-Seeking Organizational Strategies in Controversial Industries: A Case Study Analysis and a Bidimensional Model," Journal of Business Ethics, Springer, vol. 118(1), pages 139-153, November.
    16. Omonijo & O.S . & Egwakhe & A.J . & Akande & F.P . & Umukoro & E.J, 2022. "Corporate Entrepreneurship and Market Share of Selected Polyurethane Manufacturing Companies in Lagos State, Nigeria," International Journal of Finance, Insurance and Risk Management, International Journal of Finance, Insurance and Risk Management, vol. 12(2), pages 169-181.
    17. Mohammad Reza Jalilvand & Leila Nasrolahi Vosta & Rashid Khalilakbar & Javad Khazaei Pool & Reihaneh Alsadat Tabaeeian, 2019. "The Effects of Internal Marketing and Entrepreneurial Orientation on Innovation in Family Businesses," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 10(3), pages 1064-1079, September.
    18. Christophe Herriau & Lionel Touchais, 2012. "Changement et système de contrôle : une perspective dynamique," Post-Print hal-01737425, HAL.
    19. Rajan Varadarajan, 2017. "Innovating for sustainability: a framework for sustainable innovations and a model of sustainable innovations orientation," Journal of the Academy of Marketing Science, Springer, vol. 45(1), pages 14-36, January.
    20. Adams, Leen & Faseur, Tineke & Geuens, Maggie, 2010. "The Influence of the Self-Regulatory Focus on the Effectiveness of Stop-Smoking Campaigns for Young Smokers," Working Papers 2010/38, Hogeschool-Universiteit Brussel, Faculteit Economie en Management.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jjrfmx:v:14:y:2021:i:9:p:415-:d:627707. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.