Application of Strategic Management Accounting in Increasing Organizational Competitiveness

Abstract

Strategic Management Accounting is an integrative approach that combines financial and non-financial information to support an organization’s strategic decision-making. This study aims to evaluate the role of Strategic Management Accounting in improving organizational competitiveness through a literature study method of several scientific articles published and available. The results of the study show that Strategic Management Accounting contributes significantly to improving cost efficiency, marketing strategy accuracy, and long-term value creation through the application of tools such as balanced scorecard, value chain analysis, and customer profitability analysis. The findings also indicate that the implementation of Strategic Management Accounting requires organizational readiness in terms of information systems, human resource competencies, and strategic work culture support. This study concludes that Strategic Management Accounting can be a key driver of competitive advantage if implemented in a structured and contextual manner. The study recommends the gradual adoption of Strategic Management Accounting for organizations looking to improve performance and sustainable competitiveness.