Adoption and Benefits of Contemporary Management Accounting Systems: Evidence from Ghanaian Manufacturing Firms

Abstract

This paper aims at examining the level of adoption and benefits derived from contemporary management accounting practices by Ghanaian manufacturing firms. The study employed a survey strategy to solicit information from 62 manufacturing firms within the Accra-Tema industrial area of Ghana. Results show that the adoption rate of contemporary management accounting techniques compared to the traditional techniques is low. Overall, traditional management accounting techniques relating to annual budgetary practices and budgeting for controlling costs and coordinating activities were found to top the list as highly adopted. The study also establishes that there is a positive relationship between contemporary management accounting techniques and the operational activities.