Management Accounting Information Usage and Corporate Sustainability: An Empirical Assessment of Electrical and Electronics Businesses in Thailand

Abstract

Management accounting information usage refers to the process of using accounting information in corporate management by using information in various dimensions includes product costing system, technical information, and customer service system for use in planning, control, and decisions that lead to value-based risk management, value creation and corporate sustainability. Therefore, the main research objective is to examine the effects of management accounting information usage on corporate sustainability. The resource-advantage theory (R-A theory), stakeholder theory, and the contingency theory are applied to explain the relationship between these variables. The population and sample are the Electrical and Electronics businesses in Thailand, totaling 210 firms. The effective response rate was approximately 24.98%. The data were collected by a mail survey, and chief accounting officer of each firm is the key informant. The ordinary least squares (OLS) regression analysis was used for hypothesis testing.

The results demonstrate that all dimensions of management accounting information usage have an influence on all of the consequences. Especially, technical information and customer service system have the highest effect on corporate sustainability. Furthermore, the research finds that value-based risk management has a significant positive effect value creation and corporate sustainability. Similarly, that value creation which positively influences corporate sustainability.

From these findings, executives can be helped to analyze and justify key components that may be more critical in utilize the components of management accounting information usage including product costing system, technical information, and customer service system to succeed in value-based risk management, value creation, and corporate sustainability. Besides, executives can be implement the product costing system that provide the important cost information for decision-making such as sourcing, product pricing, target pricing focus, producing design, and increasing or decreasing the product. In order to increase the level of firm’s ability to develop modern product design and service that meet the needs of customers very well from using customer service system information. Furthermore, allow management to continually plan for improving their technical information in order to maintain and increase of production process to eliminate wastage continuously (lean). The technical information is used of information and communication technologies in the social field to be useful in the management a way to eliminate the risk and not waste in the production process (six sigma) which technical information usage leaded to value creation and corporate sustainability. Moreover, the accounting information will help build on its capable platform, and make the capabilities more inimitable to achieve competitive advantage and sustainability.

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