The Effectiveness of Management Accounting Practices (MAPs) in Enhancing Business Performance: A Case Study of SMEs in Oman

Abstract

This study attempts to understand how various MAP variables affect the SME's business performance in Oman. A quantitative approach was adopted to develop a questionnaire and collect data from the Muscat region. The study's sample size was 187, and respondents were chosen based on their understanding of management accounting, particularly from the accounting department. The data was collected using the non-random sampling method and the snowball technique. The findings revealed that three variables, namely the budgeting, costing, and performance evaluation systems, positively and significantly impact business performance. However, the strategic management and decision support systems had no significant impact. Among the four select factors, only three showed associations with MAPs, while the qualification degree had no effect. This was an unexpected and interesting finding of the study. This study contributes to the existing literature and has significant practical implications.