Modeling Strategic Management Accounting Systems: A Multilevel Review

Abstract

The primary objective of the present article is to model strategic management accounting systems through a multilevel review. This research is categorized as applied in terms of its objective. In terms of nature and method, it is classified as descriptive, and from the perspective of execution method, it is considered a survey study. The research sample includes senior financial managers of companies listed on the stock exchange and over-the-counter (OTC) markets. The sample size was determined to be 251 individuals. According to the results, 32 variables affecting strategic management accounting were incorporated into logit, probit, and multinomial probability models. The findings indicated that the accuracy of the logit models was evaluated as superior to other approaches. Based on the quartile property of the strategic management accounting variable, intended to identify its asymmetric behavior, it was categorized into three levels. Based on the likelihood ratio test, deviance test, and McFadden’s test, the strategic management accounting variable was examined at multiple levels. The investigated variables had a statistically significant effect on the strategic management accounting variable at all three levels; however, this effect was generally stronger at the higher level compared to the other levels. Among the firm strategy variables, the differentiation strategy had a stronger effect on strategic management accounting than other strategies. The audit experience of the senior manager had a significant effect on the strategic management accounting variable only at higher levels. Auditor characteristics had a statistically significant effect on the strategic management accounting variable at all levels. Organizational culture also had a significant effect on the variable under study at all levels. Advanced tools in the field of artificial intelligence had a significant impact on the strategic management accounting variable only at the higher level. Indicators of human resource management, innovation, and the organizational life cycle also significantly influenced the mentioned variable. Given that the coefficients for high, medium, and low levels of strategic management accounting were statistically significant—and the magnitude of the coefficients for high-level strategic management accounting was generally stronger than for the lower levels—the existence of asymmetric behavior in the strategic management accounting variable is confirmed.