Management Accounting Systems in SMEs: A Means to Adapt to the Financial Crisis?

In D. Vrontis, E. Tsoukatos and A. Maiza (eds) Innovative management perspectives on confronting contemporary challenges. Cambridge: Cambridge Scholars Publishing, pp. 56-81

Posted: 24 Feb 2014 Last revised: 12 Feb 2016

See all articles by Sandra Cohen

Sandra Cohen

Athens University of Economics and Business - Department of Business Administration

Sotirios Karatzimas

Autonomous University of Barcelona; Autonomous University of Barcelona

Vasilios-Christos Naoum

University of Piraeus

Date Written: 2015

Abstract

In the present study we examine the impact of the recent financial crisis in the management accounting systems of Small and Medium-sized Enterprises (SMEs) in Greece. More specifically, we assess whether and to what extent Greek SMEs adjusted their management accounting systems as a reaction to the intense pressures deriving from the extensive financial crisis. For this purpose, we explore the application of budgeting and costing systems as well as of various management accounting practices and techniques during two periods: at 2009, the year of the financial crisis outbreak, and at 2013, a period in which Greek economy is deeply in the financial vortex. The study is informed by the answers of 161 SMEs falling into the manufacturing, retail and service-providing sectors on a structured questionnaire. Results indicate that the various facets of the financial crisis resulted to SMEs adjusting their management accounting systems. Therefore an increase in the number of SMEs starting to apply budgeting and costing systems within the examined period is evident. Additionally, the use of budgeting and costing for various managerial purposes, as well as the use of several modern management accounting and performance measurement techniques has been intensified, albeit in a moderate magnitude. Therefore, despite the crisis most of the SMEs have not resorted into more sophisticated management accounting methods.

Keywords: Budgeting, Costing, Financial crisis, Greece, Management accounting systems, Small and Medium-sized Enterprises, SMEs

JEL Classification: M40, M41

Suggested Citation

Cohen, Sandra and Karatzimas, Sotirios and Karatzimas, Sotirios and Naoum, Vasilios-Christos, Management Accounting Systems in SMEs: A Means to Adapt to the Financial Crisis? (2015). In D. Vrontis, E. Tsoukatos and A. Maiza (eds) Innovative management perspectives on confronting contemporary challenges. Cambridge: Cambridge Scholars Publishing, pp. 56-81, Available at SSRN: https://ssrn.com/abstract=2400328 or http://dx.doi.org/10.2139/ssrn.2400328

Sandra Cohen (Contact Author)

Athens University of Economics and Business - Department of Business Administration ( email )

Athens
Greece
+302108203168 (Phone)
+302108203164 (Fax)

Sotirios Karatzimas

Autonomous University of Barcelona ( email )

Bellaterra (Cerdanyola del Vallès)
Barcelona
Spain

Autonomous University of Barcelona ( email )

Plaça Cívica
Cerdañola del Valles
Barcelona, Barcelona 08193
Spain

Vasilios-Christos Naoum

University of Piraeus ( email )

80, M. Karaoli & A. Dimitriou St.
Grigoriou Lampraki 21 & Distomou
Piraeus, 18533
Greece

Do you have negative results from your research you’d like to share?

Paper statistics

Abstract Views
2,153
PlumX Metrics