The Use of Accounting Data in Operational Decision Making in Algeria

Abstract

Seeks to improve understanding of the use of accounting in the control of manufacturing enterprises in Algeria. Examines by interview in four state‐owned enterprises the use of accounting data in pricing, output and product mix decisions in enterprises producing basic and less basic luxury goods. Reveals only limited use of such data although differences were identified according to the nature of the product. Concludes that the relative dominance of the language of production over that of accounting was related to objectives set for enterprises rather than to any dearth of accounting expertise. These objectives were expressed primarily in terms of physical output levels, based upon fulfilling societal needs, rather than upon accounting profit targets – as found in capitalist economies. Emphasis upon achieving physical output targets and coping with turbulent supply and production conditions also enabled managers/engineers to build expert power bases to the relative exclusion of accountants.

Citation

Jones, C.S. and Sefiane, S. (1992), "The Use of Accounting Data in Operational Decision Making in Algeria", Accounting, Auditing & Accountability Journal, Vol. 5 No. 4. https://doi.org/10.1108/09513579210019530