{"id":2479,"date":"2021-03-08T14:40:50","date_gmt":"2021-03-08T14:40:50","guid":{"rendered":"https:\/\/mgt.sjp.ac.lk\/vjm\/?p=2479"},"modified":"2021-03-08T14:42:28","modified_gmt":"2021-03-08T14:42:28","slug":"generic-strategy-and-strategic-management-accounting-practices-case-study-of-a-sri-lankan-telecommunications-company","status":"publish","type":"post","link":"https:\/\/mgt.sjp.ac.lk\/vjm\/2021\/03\/08\/generic-strategy-and-strategic-management-accounting-practices-case-study-of-a-sri-lankan-telecommunications-company\/","title":{"rendered":"Generic Strategy and Strategic Management Accounting Practices: Case Study of a Sri Lankan Telecommunications Company"},"content":{"rendered":"<p><section class=\"kc-elm kc-css-889205 kc_row\"><div class=\"kc-row-container  kc-container\"><div class=\"kc-wrap-columns\"><div class=\"kc-elm kc-css-478667 kc_column kc_col-sm-12\"><div class=\"kc-col-container\"><div class=\"kc-elm kc-css-699336 kc_text_block\"><\/p>\n<div class=\"welcome_banner full_white italic\" style=\"outline: 0px; max-width: 100%; line-height: normal; color: rgb(68, 68, 68); font-family: -apple-system, BlinkMacSystemFont, \" segoe=\"\" ui\",=\"\" roboto,=\"\" oxygen-sans,=\"\" ubuntu,=\"\" cantarell,=\"\" \"helvetica=\"\" neue\",=\"\" sans-serif;=\"\" font-size:=\"\" 14px;=\"\" font-style:=\"\" normal;=\"\" font-variant-ligatures:=\"\" font-variant-caps:=\"\" font-weight:=\"\" 400;=\"\" letter-spacing:=\"\" orphans:=\"\" 2;=\"\" text-align:=\"\" start;=\"\" text-indent:=\"\" 0px;=\"\" text-transform:=\"\" none;=\"\" white-space:=\"\" widows:=\"\" word-spacing:=\"\" -webkit-text-stroke-width:=\"\" text-decoration-thickness:=\"\" initial;=\"\" text-decoration-style:=\"\" text-decoration-color:=\"\" initial;\"=\"\"><\/div>\n<\/p>\n<ul class=\"tabs-body\" style=\"padding: 0px; list-style: none; max-width: 100%; line-height: normal; color: rgb(68, 68, 68); font-family: -apple-system, BlinkMacSystemFont, \" segoe=\"\" ui\",=\"\" roboto,=\"\" oxygen-sans,=\"\" ubuntu,=\"\" cantarell,=\"\" \"helvetica=\"\" neue\",=\"\" sans-serif;=\"\" font-size:=\"\" 14px;=\"\" font-style:=\"\" normal;=\"\" font-variant-ligatures:=\"\" font-variant-caps:=\"\" font-weight:=\"\" 400;=\"\" letter-spacing:=\"\" orphans:=\"\" 2;=\"\" text-align:=\"\" start;=\"\" text-indent:=\"\" 0px;=\"\" text-transform:=\"\" none;=\"\" white-space:=\"\" widows:=\"\" word-spacing:=\"\" -webkit-text-stroke-width:=\"\" text-decoration-thickness:=\"\" initial;=\"\" text-decoration-style:=\"\" text-decoration-color:=\"\" initial;\"=\"\">\n<li class=\"selected\" data-content=\"details\" style=\"margin-bottom: 6px; max-width: 100%; line-height: normal;\">\n<ul class=\"list4\" style=\"padding: 0px; list-style: none; max-width: 100%; line-height: normal;\">\n<li style=\"margin-bottom: 6px; max-width: 100%; line-height: normal;\"><b style=\"font-weight: 600; max-width: 100%; line-height: normal;\">H. Rathwatta<\/b><br style=\"max-width: 100%; line-height: normal;\"><i style=\"max-width: 100%; line-height: normal; color: rgb(102, 102, 102); font-size: 11pt;\">University of Sri Jayewardenepura<\/i><\/li>\n<li style=\"margin-bottom: 6px; max-width: 100%; line-height: normal;\"><b style=\"font-weight: 600; max-width: 100%; line-height: normal;\">D. N. Samudrage<\/b><br style=\"max-width: 100%; line-height: normal;\"><i style=\"max-width: 100%; line-height: normal; color: rgb(102, 102, 102); font-size: 11pt;\">University of Sri Jayewardenepura<\/i><\/li>\n<li style=\"margin-bottom: 6px; max-width: 100%; line-height: normal;\"><i style=\"max-width: 100%; line-height: normal; color: rgb(102, 102, 102); font-size: 11pt;\"><br \/><\/i><\/li>\n<li style=\"margin-bottom: 6px; max-width: 100%; line-height: normal;\"><b style=\"font-weight: 600; max-width: 100%; line-height: normal;\">Abstract<\/b><i style=\"max-width: 100%; line-height: normal; color: rgb(102, 102, 102); font-size: 11pt; text-align: justify;\">\n<p style=\"font-size: 14px; line-height: normal; margin: 1em 0px; max-width: 100%;\">\n<p style=\"font-size: 14px; line-height: normal; margin: 1em 0px; max-width: 100%;\">Organizations depend on different generic strategies to gain competitive advantage (Porter, 1980). Usage of a particular generic strategy is always associated with a set of rules, practices, and procedures within an organization. Amongst them, Strategic Management Accounting (SMA) practices play a vital role in supporting and monitoring the performance of the generic strategy pursued by an organization. However, organizations may change the generic strategies they use over the time due to various changes taking place in the environment including the changes in business environment, technology, competition, regulation and the global economy (Wickramasinghe &amp; Alawattage, 2007). A change in the strategy is expected to lead to changes in existing policies and practices to match the new strategy (Langfield \u2013 Smith, 2007). Thus, SMA practices used by the organization should be no exception. Such changes in practices are important for effective implementation of the new strategy. Otherwise, the new strategy is expected to fail. However, studies, which examine the changes in generic strategy and associated changes in SMA practices are scarce in the Sri Lankan context. Hence, the purpose of this paper is to examine whether the change in generic strategy leads to changes in SMA practices used in Alpha Telecom PLC, which is a leading telecommunications company in Sri Lanka. Also, the study expects to find out other factors contributing to the changes in SMA practices in this company.<\/p>\n<p style=\"font-size: 14px; line-height: normal; margin: 1em 0px; max-width: 100%;\">This study adopted the qualitative research methodology and used the single case study method to conduct an in depth analysis of SMA practices of Alpha Telecom. The data were collected through semi- structured interviews with senior managers and a questionnaire was distributed among middle level executives. Management Accounting (MA) reports and annual reports of the company were used as secondary sources. The study has used new institutional theory as the theoretical lens. The study found that when generic strategy moved from cost leadership to differentiation, the traditional MA practices based on costing shifted to SMA practices such as Balanced scorecard (BSC), Competitor analysis, Quality costing etc. Further, it was found that changes in ownership, culture of parent company, and nature of competition also had an impact towards the usage of new SMA practices within the company. Coercive and mimetic pressures affected for the usage of SMA at Alpha PLC.<\/p>\n<p><\/i><\/p>\n<p><i style=\"max-width: 100%; line-height: normal; color: rgb(102, 102, 102); font-size: 11pt; text-align: justify;\"><\/i><\/p>\n<p style=\"font-size: 14px; line-height: normal; margin: 1em 0px; max-width: 100%;\"><i style=\"max-width: 100%; line-height: normal; color: rgb(102, 102, 102); font-size: 11pt; text-align: justify;\"><\/i><\/p>\n<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p>\n<\/div><\/div><\/div><\/div><\/div><\/section><section class=\"kc-elm kc-css-588097 kc_row\"><div class=\"kc-row-container  kc-container\"><div class=\"kc-wrap-columns\"><div class=\"kc-elm kc-css-2268 kc_col-sm-12 kc_column kc_col-sm-12\"><div class=\"kc-col-container\"><div class=\"kc-elm kc-css-796718\" style=\"height: 20px; clear: both; width:100%;\"><\/div><\/div><\/div><\/div><\/div><\/section><section class=\"kc-elm kc-css-178679 kc_row\"><div class=\"kc-row-container  kc-container\"><div class=\"kc-wrap-columns\"><div class=\"kc-elm kc-css-355860 kc_column kc_col-sm-12\"><div class=\"kc-col-container\"><div class=\"kc-elm kc-css-180644 kc_text_block\"><\/p>\n<p><b>Download<\/b><\/p>\n<p>\n<\/div><\/div><\/div><\/div><\/div><\/section><section class=\"kc-elm kc-css-849029 kc_row\"><div class=\"kc-row-container  kc-container\"><div class=\"kc-wrap-columns\"><div class=\"kc-elm kc-css-362378 kc_col-sm-12 kc_column kc_col-sm-12\"><div class=\"kc-col-container\"><div class=\"kc-elm kc-css-65481 kc-icon-wrapper\">\n\t\t<a href=\"https:\/\/mgt.sjp.ac.lk\/vjm\/wp-content\/uploads\/2021\/03\/4-Generic-Strategy-final.pdf\" target=\"_self\" title=\"Download\">\n\t\t<i class=\"fa-file-pdf\"><\/i>\n\t\t<\/a>\n\t<\/div>\n<\/div><\/div><\/div><\/div><\/section><\/p>\n","protected":false},"excerpt":{"rendered":"","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[211],"tags":[],"_links":{"self":[{"href":"https:\/\/mgt.sjp.ac.lk\/vjm\/wp-json\/wp\/v2\/posts\/2479"}],"collection":[{"href":"https:\/\/mgt.sjp.ac.lk\/vjm\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mgt.sjp.ac.lk\/vjm\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mgt.sjp.ac.lk\/vjm\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/mgt.sjp.ac.lk\/vjm\/wp-json\/wp\/v2\/comments?post=2479"}],"version-history":[{"count":4,"href":"https:\/\/mgt.sjp.ac.lk\/vjm\/wp-json\/wp\/v2\/posts\/2479\/revisions"}],"predecessor-version":[{"id":2483,"href":"https:\/\/mgt.sjp.ac.lk\/vjm\/wp-json\/wp\/v2\/posts\/2479\/revisions\/2483"}],"wp:attachment":[{"href":"https:\/\/mgt.sjp.ac.lk\/vjm\/wp-json\/wp\/v2\/media?parent=2479"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mgt.sjp.ac.lk\/vjm\/wp-json\/wp\/v2\/categories?post=2479"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mgt.sjp.ac.lk\/vjm\/wp-json\/wp\/v2\/tags?post=2479"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}