Integration of Strategic Management and Financial Accounting in Improving Corporate Performance in Developing Countries

Abstract

This research aims to examine the integration between strategic management and financial accounting in improving corporate performance in developing countries. Through the literature study method, this study analyzes several relevant scientific articles published in last five years. The results of the study show that the integration of these two areas can improve operational efficiency, decision-making quality, and reporting transparency. Companies that implement financial reporting systems that are integrated with strategic planning tend to be more adaptive to market dynamics and have higher competitiveness. Information technology support, collaborative organizational culture, and accountable government policies are the driving factors for the success of the integration. However, limited human resources and infrastructure are the main obstacles, especially in the MSME sector. This study concludes that the integration of strategic management and financial accounting is a fundamental strategy to create a competitive and sustainable company.