F.A. Roozen

Is it time to start thinking about strategic accounting

Abstract Strategic accounting is a new, virtually unexplored area of strategic management. Few firms have developed internal systems that can provide the strategic management information needed to make informed strategic decisions. This article provides a framework for strategic accounting built around the concept of environmental turbulence and differing information needs. For various levels of environmental turbulence, managers have different information needs in terms of the scope, structure and content of information. The framework detailed in this article defines the strategic information needs, suggests specific systems (tools) for providing the needed strategic information, and provides industry examples of firms operating at five different levels of environmental turbulence.

Contrasting activity-based costing with the German/Dutch cost pool method

This paper describes activity-based costing from the point of view of the German/Dutch cost pool method. The German/Dutch cost pool method is believed to be the practical implementation of German cost theory, which in turn is based on economic theory. It has been argued that in German cost theory, activity costing and cost drivers, although not explicitly mentioned, seem to be incorporated. This suggests that German cost theory would be a useful basis for further analysing the characteristics of ABC. This paper describes the similarities and differences between ABC and German cost theory in general, and more specific its practical implementation: the cost pool method to cost accounting.