STRATEGIC MANAGEMENT ACCOUNTING AND DECISION-MAKING IN SMALL MEDIUM ENTERPRISES IN MALAYSIA

This study is developed to achieve two main objectives. The first objective is to identify the most preferable strategic management accounting (SMA) tools used by small medium enterprises (SMEs) in Malaysia and to investigate the relationship between the use of the SMA tools (strategic pricing, target costing and life cycle costing) and the decision making process. This research focuses on SMEs in Selangor. The determinants that is used as the independent variables are business size and strategic management accounting tools that consists of strategic pricing, target costing and life cycle costing. A total of 113 usable questionnaires were collected for statistical analyses, evaluated using descriptive, reliability, normality, differentiation and Spearman's correlation analysis. The findings of the study reveals that the most preferable SMA tool is target costing. Besides, the business size shows a significant difference towards decision-making process. The strategic pricing and target costing also show a significant relationship towards decision-making process. However, the life cycle costing does not demonstrate significant relationship towards decision-making process. (C) 2020 Published by European Publisher.