What does management accounting do?

What does management accounting do?

Shareholder Value, Accounting and strategy….

• The importance of strategy for management accounting and the information it provides is that a strategic perspective involves taking a longer-term view about the business than is usually provided by traditional accounting reports.
• Management accounting comprises a set of tools and techniques to support planning, decision making and control in business organizations. Accounting is – or at least should be – integrated with business strategy.
• However, these same accounting tools and techniques can be used to help evaluate the performance of customers, suppliers and competitors in order to improve competitive advantage. This is called strategic management accounting,