Arseam

International Journal of Marketing & Financial Management

IMPACT OF COST ACCOUNTING SYSTEMS ON SUPPLY CHAIN EFFICIENCY IN SMALL AND MEDIUM-SIZED MANUFACTURING FIRMS

Dr. Himanshu Mehta

Dr. Himanshu Mehta, Principal, S.P.U. PG College Falna, Pali Rajasthan

DOI : https://doi.org/10.5281/zenodo.19234176 Page No : 42-54

Published Online : 2025-11-29

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ABSTRACT

Aim of the study: This study aims to investigate the impact of cost accounting systems on supply chain efficiency within small and medium-sized enterprises in the manufacturing sector, considering both internal and external contingent factors.

Methodology: A systematic literature review will be conducted to synthesize existing research on Cost Accounting Systems quality in manufacturing firms, focusing on the benefits of modern CAS, and the challenges and methods of CAS implementation. This will encompass an analysis of factors that either impede or facilitate the adoption of sophisticated cost accounting techniques, particularly within the SME context where implementation rates remain low despite recognized benefits.

Findings: The literature review indicates that traditional cost accounting systems are frequently utilized in manufacturing firms, yet modern systems offer substantial advantages in enhancing performance and informing financial and strategic decisions. This suggests a critical gap between current practices and optimal strategies for leveraging cost accounting to drive efficiency and competitiveness in SMEs.

Implication: These insights underscore the necessity for manufacturing SMEs to adopt innovative management accounting practices to remain competitive and address complex operational and environmental challenges. Specifically, the integration of advanced cost accounting models such as Activity-Based Costing and Life-Cycle Costing can provide more granular insights into cost drivers, thereby optimizing resource allocation and enhancing overall supply chain efficiency within these enterprises.

Originality/Value: This research provides novel insights by specifically examining the contextual factors influencing the efficacy of CAS in SMEs, addressing a notable gap in the existing literature. Furthermore, it delineates the specific internal and external contingent factors that moderate the relationship between CAS implementation and supply chain operational efficacy, thereby offering a more nuanced understanding of this complex interplay.

Keywords: Quality, cost accounting systems, manufacturing firms, SMEs, cost information, Supply Chain Efficiency.

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Cite this Article as: Himanshu M (2025), “Impact of Cost Accounting Systems on Supply Chain Efficiency in Small and Medium-Sized Manufacturing Firms”, International Journal of Marketing & Financial Management, Volume 13, Issue 2, 2025, pp 42-54 , DOI : https://doi.org/10.5281/zenodo.19234176

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