Some of the professionals or even not yet professionals may face many psychological pressures often without people or resources to turn to for support, or the knowledge and skills to effectively manage these pressures. A great mind being an optimistic can help you a lot in terms of handling these pressures for you to be able to work properly. In contrast with this, a pessimistic mind will lead you no way. Leaders who want to establish a practice of positive workplace within their organizations should develop written ethics standards, provide ethics training, and ensure resources are available for employees in need of some proper advice.
According to the internet, Management accounting or managerial accounting is concerned with the provisions and use of accounting information to managers within organizations, to provide them with the basis to make informed business decisions that will allow them to be better equipped in their management and control functions. Those taking this specific subject may face different challenges along the way. In the given data of Institute of Management Accountants, enumerated countries have its own challenges yet it is included with solutions in order to minimize those given challenges. Below are the countries given together with its challenges in the workplace plus the way on how do they resolve those cases.
One of the challenges faced by the management accountants is limited funding of public money and potentially high penalties if a project failed to be delivered on time. In order to resolve this problem, management accountants should need to ponder how this was being allocated because it can be a threat to year end reporting and matching progress to the budget. To avoid penalties and to adopt with tight timelines, safety and quality issues and working hours should need to be kept in check. Moreover, another challenge faced by management accountants is intense pressure to win a contract. In line with this, management accountants need to confirm that no conflict of interest from the outset and that governance and checks for the awarding of contracts were in place.
Also, there must be a regular review of relationships with contractors as well as offers and acceptance of hospitality. Management accountants should use not only her organization’s governance and ethical guidelines and policies but also be guided by the CIMA code of ethics and seek support from her reporting line and senior management. In line with this, management accountants should create relationships with his/her team as well as line managers to enable his/her to influence associates, and to become familiar with the key contacts in the audit or ethics committee to escalate issues by means of asking perceptive and examining questions, encouraging discussions and resolving issues.
Another challenges faced by management accountants were issues related to the quality of supplies and raw materials in its strict deadlines and fixed budgets because there may be inadequate transparency in the supplier screening process and incentives used to keep things to time. As a management accountant, regular quality checks will help him/her to draw up a policy framework with expected issues with the team, like considering time plans for projects. Also, confidential whistleblowing line of that management will act on.
Most companies in South Africa are challenged by the pressure brought about by the competitive setting of the business world. Since companies were focused on being the one top, the workforce especially management accountants were pressured to meet the company’s objectives, mainly in meeting the deadlines. Without a proper application of managerial skills and having a harmonious relationship within the management it may be hard for the management accountants to provide accurate and well-articulated information to the managers. Building and strengthening the commitment of every employee is one good solution and it is done by having regular meetings, raising best practice, and sharing knowledge. Build relationship not only with legal departments but also with technical departments in order to extract every details or information needed to provide the best information and precise data for the managers to have an enhanced management of the company.
In Pakistan, working on demanding deadlines and strict budgets are the main problems/challenges faced by many management accountants. Inducement is commonly observed in order to meet deadlines leading to falsifying records and providing unreliable valuations. For that reason, risk assessment should always be done and a “highlight to ETHICAL CONDUCT should be observed”. Management accountants should ensure that all requirements are met and have a healthy communication not only with the management but also with external stakeholders to engage them properly.
In Malaysia, the problems or challenges faced by management accountants were related in the threats of breaching the confidentiality of information and interest of a company. Other problems that management accountants were facing include labor rights, safety and quality issue. Management accountants should keep the customer’s expectation to their product or service to meet up their company’s objectives and goals. To solve these problems management accountants should think about the risk if they were threatened to breach the confidentiality of information of a company. They should also investigate if there were hidden expenses, asset under/over valuation and improper profit recognition. Management accountants have a vital role to play of having a good company especially if they understand professional ethics. They should also give incentives to their employees so they can work harder and it is the key to maintain or improve customer relationship. Management accountant should also go under training and seminars about ethical values of organization.