Designing and implementing a hybrid management accounting system in a public sector organization

• Autor(a) principal: Frias, Armindo
• Data de Publicação: 2023
• Outros Autores: Conceição, Ana Cristina, Lourenço, Catarina
• Tipo de documento: Artigo
• Idioma: eng
• Título da fonte: Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)
• Texto Completo: https://nidisag.isag.pt/index.php/IJAM/article/view/690

Purpose: Many public entities experience difficulties in designing and implementing a Management Accounting and Control System (MACS). This work aims to design a MACS implementation framework for a public sector organization, constituting a useful tool for other public organizations conducting a similar task.Design/methodology/approach: Following an interventionist research, a comprehensive case study of the organizational and financial structure of the entity under study, as well as the operational activity was carried out.Findings: A framework for designing and implementing a MACS in the public sector is proposed, including a list of main practical difficulties and a roadmap for overcoming them.Research limitations/implications: Since the proposed MACS implementation and cost allocation criteria were developed with the case under investigation in mind, modifying them for use in other organizations is necessary.Practical implications: Professionals in the field acknowledged the model's validity, enhancing the quality of the available data.Originality/value: The implementation of MACS in public sector organizations face several challenges, arising from the complexity that characterizes these organizations. This research adopted a very practical approach, seeking to identify tools to support future MACS design and implementation processes in public organizations.Keywords: Activity-Based Costing (ABC), Costing system; Departmental Method (DM), Framework, Management accounting change, Public administration. https://doi.org/10.58869/EJABM008/SI02