Presents a reply to criticisms on an article about the need for priori research in accounting. Analogy between a move from a pure priorism to empiricism; Evidence that accounting literature is replete with evaluations of the alternative systems.
This paper addresses some aspects of the problem of integrating accounting and information systems theories. Previous attempts at integration, especially the matrix and tree-theoretic approaches, are reviewed and evaluated. These attempts are criticized because they do not satisfy the requirements laid down by database management systems theorists as necessary for information systems to have long-term survival. The relational database management approach is introduced since it provides a means to fulfilling these requirements. To show its relevance to accounting, the relational approach is applied to a traditional managerial accounting model .and a traditional financial accounting model. Various data retrieval operations are shown on these models. Finally, future research directions of an integrative nature are identified.
This paper describes and illustrates an approach to teaching variance analysis which the authors have found to be very effective with their students. The approach is based on the dual ideas of profit impact as a unifying theme and a multi-level analysis in which complexity is added sequentially, one layer at a time. The analysis stops when additional complexity is not outweighed by additional "actionable" insights.
Most recognized professions traditionally have distinguished their status from that of other occupations by means of a list of observable "professional attributes." This article points out the major fallacies of this attributes-list approach and presents an alternative "intimidation model" of professional status. This intimidation model is applied to examine the occupational status of three accounting groups: (1) the holders of a Certificate in Management Accounting, (2) the holders of Certified Internal Auditors Certificates and (3) holders of Certified Public Accountants Certificates. This accounting application reveals several practical factors that could inhibit at least two of these accounting groups from achieving professional status.
A participant observation methodology is employed in this paper to investigate the management strategy of a large public accounting firm. The author directly observed partners and managers of an audit practice office going about their daily tasks over a 3-month period. A descriptive model of the management strategy was developed from the observed matrix of daily interactions. The results indicate that there are three components to the management strategy: Doing, Representing and Being. Doing is defined as those activities which the firm undertakes to maintain and improve its relationship with its clients. Representing is defined as those activities which the firm undertakes to maintain and improve its relationships with outside parties other than clients. Being is defined as the image of the firm. The three components work together to manage the environment in which the public accounting firm operates.
Working mainly from the literature of modern organization theory, it was possible to develop a model of organizational performance for internal subunits. The model hypothesizes three major contingencies which affect subunit performance: (1) factors internal to the subunit (internal factors); (2) interrelationships with other subunits (interdependency factors); and (3) interactions external to the firm (environmental factors). The contingencies operate differentially across organizational subunits. Three propositions derived from the model were examined empirically in a field study of large manufacturing organizations. Strong support for two of the propositions was found, along with indications of support for the third, by using the analytical methodology of path analysis. The final section of the paper explores the implications of the study approach and results for managerial accounting theory and practice.