Exploring the impact of strategic management accounting on firm competitiveness in Zimbabwe

https://doi.org/10.35912/ijfam.v7i2.2955
Published: Oct 15, 2025

Abstract:

Purpose: This study investigates the role of Strategic Management Accounting (SMA) in enhancing competitive advantage in Zimbabwean firms, focusing on the Balanced Scorecard (BSC), Activity-Based Costing (ABC), and Value Chain Analysis (VCA).

Methodology: A mixed-methods design was employed. Qualitative data were collected through semi-structured interviews with 15 senior managers from manufacturing, financial services, and technology sectors, exploring SMA integration in strategic decision-making. Quantitative data were gathered via a survey of 100–150 medium and large enterprises, examining SMA adoption and performance impacts. Regression modelling and factor analysis assessed relationships between SMA implementation and performance indicators such as profitability, customer satisfaction, innovation, and cost efficiency.

Results: The Balanced Scorecard improved strategic coherence and performance monitoring. ABC enhanced cost transparency and resource utilisation, while VCA offered insights into strategic positioning and value creation. Combined, these tools fostered strategic responsiveness, operational efficiency, and continuous improvement, positively influencing both financial and non-financial outcomes.

Conclusions: SMA tools significantly support competitive advantage in Zimbabwean firms by aligning strategy, improving decision-making, and enhancing performance. Systematic integration strengthens both strategic management and performance measurement processes.

Limitations: The study focused on select sectors and relied on managerial perceptions and self-reported survey data, limiting generalisability and introducing potential bias.

Contributions: This research empirically validates the performance-enhancing role of SMA tools in a Zimbabwean context and provides a practical framework for integrating SMA into strategic management, demonstrating the value of a mixed-methods approach for understanding adoption and impact.

Keywords:
1. Competitive Advantage
2. Cost Efficiency
3. Performance Measurement
Authors:
1 . Kudakwashe Munyepwa
Manicaland State University of Applied Sciences, Zimbabwe
2 . Charity Ranganayi
Manicaland State University of Applied Sciences, Zimbabwe
3 . Liberty Mudzengerere
Manicaland State University of Applied Sciences, Zimbabwe
4 . Noah Mutongereni
Manicaland State University of Applied Sciences, Zimbabwe
5 . Norah Chishamiso Gwesu
Manicaland State University of Applied Sciences, Zimbabwe
6 . Tafadzwa Hatidani Machaka
Manicaland State University of Applied Sciences, Zimbabwe
View PDF
How to Cite
Munyepwa, K., Ranganayi, C., Mudzengerere, L., Mutongereni, N. ., Gwesu, N. C., & Machaka, T. H. (2025). Exploring the impact of strategic management accounting on firm competitiveness in Zimbabwe. International Journal of Financial, Accounting, and Management, 7(2), 327–340. https://doi.org/10.35912/ijfam.v7i2.2955
Download Citation
  1. Endnote/Zotero/Mendeley (RIS)
  2. BibTeX

Downloads

Download data is not yet available.
Issue & Section
Vol. 7 No. 2 (2025): September
Articles
Creative Commons License

This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.

References

    Al-Dulaimi, O., Al-Yahiawi, R., & Berri, I. (2023). The impact of competitive management accounting on strategic business decision-making. International Journal of Financial, Administrative, and Economic Sciences, 2(8), 8-31. doi:https://doi.org/10.59992/ijfaes.2023.v2n8p1

    Al Taweel, I. M. (2023). The Impact of Strategic Management Accounting Techniques on the Reliability of Financial Statements:: The Impact of Strategic Management Accounting Techniques on the Reliability of Financial Statements. Journal of Accounting and Financial Studies (JAFS), 18(63), 463-483.

    AlTarawneh, I. M., Al-Thnaibat, H., & Almomani, S. N. (2021). The Impact of Strategic Management Accounting Techniques on Achieving Competitive Advantage in The Jordanian Public Industrial Companies Academy of Accounting and Financial Studies Journal, 25(1), 1-15.

    Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of management, 17(1), 99-120. doi:https://doi.org/10.1177/014920639101700108

    Bazrafshan Koujal, M., Yousofvand, D., & Rekabdar, G. (2023). Investigating The Impact of Managers' Social Conservatism on Company Performance Considering the Mediating Role of Application of Strategic Management Accounting Techniques. Accounting and Auditing Studies, 12(47), 113-130. doi:https://doi.org/10.22034/iaas.2022.156497

    Chenhall, R. H. (2003). Management control systems design within its organizational context: findings from contingency-based research and directions for the future. Accounting, organizations and Society, 28(2-3), 127-168. doi:https://doi.org/10.1016/S0361-3682(01)00027-7

    Dehghanan, H., & Jadidi, N. (2015). Effect of strategic attitudes on marketing capabilities in Small and Medium Enterprises (SMEs). Social and Management Research Journal (SMRJ), 12(1), 24-36. doi:https://doi.org/10.24191/smrj.v12i1.5242

    Faraj, A. M., Khoshroo, O. M., Parvizi, B., & Fatemi, A. (2025). The impact of cost management techniques in strategic management accounting on governance, social and environmental dimensions of sustainable development. Audit Science, SAC(2), 44-59. doi:https://doi.org/10.5281/zenodo.12874562

    Ghasemi, M., Koushkaki, A. R., & Jamshidi, R. (2018). The impact of strategic management accounting on making decision (case study, Tehran metropolitan banks). Journal of Organizational Behavior Research, 3(2), 1-11.

    Ghimire, K. (2023). Impact of Strategic Management Accounting Practices on Financial Performance of Nepalese Manufacturing Firms. Tribhuvan Journal, 2(1), 11-21. doi:https://doi.org/10.3126/tribj.v2i1.60216

    Halim, A., & MM, A. (2025). Customer Accounting as One of the Strategic Management Accounting Tools and its Impact on Performance in E-Retail Stores. Arab Journal of Administration, 45(3). doi:https://doi.org/10.21608/aja.2022.172923.1351

    Hasanli, R. (2024). The Impact of Accounting Information Systems on Strategic Financial Management.

    Hogan, R., & Evans, J. D. (2015). Does the strategic alignment of value drivers impact earnings persistence? Sustainability Accounting, Management and Policy Journal, 6(3), 374-396. doi:https://doi.org/10.1108/SAMPJ-11-2014-0073

    Lee, J. (2023). The Influence of Corporate Business Environments on Management Accounting Practices. Korean Association Of Computers And Accounting, 20(3), 1-19. doi:https://doi.org//10.32956/kaoca.2022.20.3.1

    Ma, L., Chen, X., Zhou, J., & Aldieri, L. (2022). Strategic management accounting in small and medium-sized enterprises in emerging countries and markets: A case study from China. Economies, 10(4), 74. doi:https://doi.org/10.3390/economies10040074

    Nasab, V. B., & Maddahali, A. (2022). The Impact of Management Accounting Network and Strategic Emotions of Management Accountants on Strategic Management with Emphasis on the Modifying Role of Organizational Culture and Information Systems. International Journal of Business Management and Entrepreneurship, 1(2), 1-35.

    Nguyen, T. H., Nguyen, D. T., Nguyen, T. A., & Nguyen, C. D. (2023). Impacts of contingency factors on the application of strategic management accounting in Vietnamese manufacturing enterprises. Cogent Business & Management, 10(2), 2218173. doi:https://doi.org/10.1080/23311975.2023.2218173

    Nkwo, F. N., & Eneiga, R. U. (2024). Impact of Strategic Management Accounting on Public Financial Management Reform: A Comparative Study of State Revenue Agencies in Nigeria. IIARD International Journal of Economics and Business Management, 10(5), 255-270.

    Nuhu, N., Baird, K., & Su, S. X. (2025). The impact of strategic management accounting (SMA) facets on organisational performance: the mediating role of the use of SMA practices. Meditari Accountancy Research, 33(1), 247-271. doi:https://doi.org/10.1108/MEDAR-05-2024-2481

    Oyewo, B. (2022). Contextual factors moderating the impact of strategic management accounting on competitive advantage. Journal of Applied Accounting Research, 23(5), 921-949. doi:https://doi.org/10.1108/JAAR-04-2021-0108

    Pavlatos, O., & Kostakis, X. (2018). The impact of top management team characteristics and historical financial performance on strategic management accounting. Journal of Accounting & Organizational Change, 14(4), 455-472. doi:https://doi.org/10.1108/JAOC-11-2017-0112

    Phong, T. T. T., Dao, H. M., & Nguyen, L. A. T. (2023). Impact of strategic management accounting on operating performance: research in public universities of Vietnam. International Journal of Professional Business Review: Int. J. Prof. Bus. Rev., 8(8), 60. doi:https://doi.org/10.26668/businessreview/2023.v8i8.3269

    Porter, M. E. (1985). Competitive advantage: Creating and sustaining superior performance. New York: Free Press.

    Quang-Huy, N. (2021). The impact of prospecting strategy on small business performance in Vietnam: the role of broad-scope management accounting system. Strategic Management-International Journal of Strategic Management and Decision Support Systems in Strategic Management, 26(2). doi:https://doi.org/10.5937/straman2102054q

    Rahuman, M. R. A. H. (2025). Exploring the Impact of Internal Organizational Factors on Strategic Management Accounting. Journal of Business and Management Studies, 7(5), 132-144. doi:https://doi.org/10.32996/jbms.2025.7.5.11

    Shaqqour, O. F. (2025). The Impact of Integrating Strategic Management Accounting and Decision-Making on Financial Performance in Industrial Companies Intelligence-Driven Circular Economy: Regeneration Towards Sustainability and Social Responsibility—Volume 2 (pp. 297-306): Springer.

    Simmonds, K. (1981). Strategic management accounting. Management Accounting Research, 59(4), 26-29.

    Tifani, N., Martiza, B., & Uddin, M. (2024). Strategic Management Accounting And Performance Management In Large Manufacturing Firms: A Case Study Analysis. IFR JOURNAL OF ECONOMICS AND BUSINESS MANAGEMENT ??????????: International Federation of Research and Discovery, 1(2), 19-26. doi:https://doi.org/10.70146/ebmv01i02.003

    Tirado, J. S., & Mavlutova, I. (2023). The Impact of Strategic Management Accounting on The Financial Performance of Low-Cost Airlines. WSEAS Transactions on Environment and Development, 19, 786-797. doi:https://doi.org/10.37394/232015.2023.19.74

    Vo, L. T., Vo, N. V., Ngoc Pham, T., & Hien, N. N. (2023). The impact of historical performance and managerial risk-taking propensity on the behavior of choosing prospector strategy and using strategic management accounting information in Viet Nam manufacturer. Sage Open, 13(4). doi:https://doi.org/10.1177/21582440231219360

  1. Al-Dulaimi, O., Al-Yahiawi, R., & Berri, I. (2023). The impact of competitive management accounting on strategic business decision-making. International Journal of Financial, Administrative, and Economic Sciences, 2(8), 8-31. doi:https://doi.org/10.59992/ijfaes.2023.v2n8p1
  2. Al Taweel, I. M. (2023). The Impact of Strategic Management Accounting Techniques on the Reliability of Financial Statements:: The Impact of Strategic Management Accounting Techniques on the Reliability of Financial Statements. Journal of Accounting and Financial Studies (JAFS), 18(63), 463-483.
  3. AlTarawneh, I. M., Al-Thnaibat, H., & Almomani, S. N. (2021). The Impact of Strategic Management Accounting Techniques on Achieving Competitive Advantage in The Jordanian Public Industrial Companies Academy of Accounting and Financial Studies Journal, 25(1), 1-15.
  4. Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of management, 17(1), 99-120. doi:https://doi.org/10.1177/014920639101700108
  5. Bazrafshan Koujal, M., Yousofvand, D., & Rekabdar, G. (2023). Investigating The Impact of Managers' Social Conservatism on Company Performance Considering the Mediating Role of Application of Strategic Management Accounting Techniques. Accounting and Auditing Studies, 12(47), 113-130. doi:https://doi.org/10.22034/iaas.2022.156497
  6. Chenhall, R. H. (2003). Management control systems design within its organizational context: findings from contingency-based research and directions for the future. Accounting, organizations and Society, 28(2-3), 127-168. doi:https://doi.org/10.1016/S0361-3682(01)00027-7
  7. Dehghanan, H., & Jadidi, N. (2015). Effect of strategic attitudes on marketing capabilities in Small and Medium Enterprises (SMEs). Social and Management Research Journal (SMRJ), 12(1), 24-36. doi:https://doi.org/10.24191/smrj.v12i1.5242
  8. Faraj, A. M., Khoshroo, O. M., Parvizi, B., & Fatemi, A. (2025). The impact of cost management techniques in strategic management accounting on governance, social and environmental dimensions of sustainable development. Audit Science, SAC(2), 44-59. doi:https://doi.org/10.5281/zenodo.12874562
  9. Ghasemi, M., Koushkaki, A. R., & Jamshidi, R. (2018). The impact of strategic management accounting on making decision (case study, Tehran metropolitan banks). Journal of Organizational Behavior Research, 3(2), 1-11.
  10. Ghimire, K. (2023). Impact of Strategic Management Accounting Practices on Financial Performance of Nepalese Manufacturing Firms. Tribhuvan Journal, 2(1), 11-21. doi:https://doi.org/10.3126/tribj.v2i1.60216
  11. Halim, A., & MM, A. (2025). Customer Accounting as One of the Strategic Management Accounting Tools and its Impact on Performance in E-Retail Stores. Arab Journal of Administration, 45(3). doi:https://doi.org/10.21608/aja.2022.172923.1351
  12. Hasanli, R. (2024). The Impact of Accounting Information Systems on Strategic Financial Management.
  13. Hogan, R., & Evans, J. D. (2015). Does the strategic alignment of value drivers impact earnings persistence? Sustainability Accounting, Management and Policy Journal, 6(3), 374-396. doi:https://doi.org/10.1108/SAMPJ-11-2014-0073
  14. Lee, J. (2023). The Influence of Corporate Business Environments on Management Accounting Practices. Korean Association Of Computers And Accounting, 20(3), 1-19. doi:https://doi.org//10.32956/kaoca.2022.20.3.1
  15. Ma, L., Chen, X., Zhou, J., & Aldieri, L. (2022). Strategic management accounting in small and medium-sized enterprises in emerging countries and markets: A case study from China. Economies, 10(4), 74. doi:https://doi.org/10.3390/economies10040074
  16. Nasab, V. B., & Maddahali, A. (2022). The Impact of Management Accounting Network and Strategic Emotions of Management Accountants on Strategic Management with Emphasis on the Modifying Role of Organizational Culture and Information Systems. International Journal of Business Management and Entrepreneurship, 1(2), 1-35.
  17. Nguyen, T. H., Nguyen, D. T., Nguyen, T. A., & Nguyen, C. D. (2023). Impacts of contingency factors on the application of strategic management accounting in Vietnamese manufacturing enterprises. Cogent Business & Management, 10(2), 2218173. doi:https://doi.org/10.1080/23311975.2023.2218173
  18. Nkwo, F. N., & Eneiga, R. U. (2024). Impact of Strategic Management Accounting on Public Financial Management Reform: A Comparative Study of State Revenue Agencies in Nigeria. IIARD International Journal of Economics and Business Management, 10(5), 255-270.
  19. Nuhu, N., Baird, K., & Su, S. X. (2025). The impact of strategic management accounting (SMA) facets on organisational performance: the mediating role of the use of SMA practices. Meditari Accountancy Research, 33(1), 247-271. doi:https://doi.org/10.1108/MEDAR-05-2024-2481
  20. Oyewo, B. (2022). Contextual factors moderating the impact of strategic management accounting on competitive advantage. Journal of Applied Accounting Research, 23(5), 921-949. doi:https://doi.org/10.1108/JAAR-04-2021-0108
  21. Pavlatos, O., & Kostakis, X. (2018). The impact of top management team characteristics and historical financial performance on strategic management accounting. Journal of Accounting & Organizational Change, 14(4), 455-472. doi:https://doi.org/10.1108/JAOC-11-2017-0112
  22. Phong, T. T. T., Dao, H. M., & Nguyen, L. A. T. (2023). Impact of strategic management accounting on operating performance: research in public universities of Vietnam. International Journal of Professional Business Review: Int. J. Prof. Bus. Rev., 8(8), 60. doi:https://doi.org/10.26668/businessreview/2023.v8i8.3269
  23. Porter, M. E. (1985). Competitive advantage: Creating and sustaining superior performance. New York: Free Press.
  24. Quang-Huy, N. (2021). The impact of prospecting strategy on small business performance in Vietnam: the role of broad-scope management accounting system. Strategic Management-International Journal of Strategic Management and Decision Support Systems in Strategic Management, 26(2). doi:https://doi.org/10.5937/straman2102054q
  25. Rahuman, M. R. A. H. (2025). Exploring the Impact of Internal Organizational Factors on Strategic Management Accounting. Journal of Business and Management Studies, 7(5), 132-144. doi:https://doi.org/10.32996/jbms.2025.7.5.11
  26. Shaqqour, O. F. (2025). The Impact of Integrating Strategic Management Accounting and Decision-Making on Financial Performance in Industrial Companies Intelligence-Driven Circular Economy: Regeneration Towards Sustainability and Social Responsibility—Volume 2 (pp. 297-306): Springer.
  27. Simmonds, K. (1981). Strategic management accounting. Management Accounting Research, 59(4), 26-29.
  28. Tifani, N., Martiza, B., & Uddin, M. (2024). Strategic Management Accounting And Performance Management In Large Manufacturing Firms: A Case Study Analysis. IFR JOURNAL OF ECONOMICS AND BUSINESS MANAGEMENT ??????????: International Federation of Research and Discovery, 1(2), 19-26. doi:https://doi.org/10.70146/ebmv01i02.003
  29. Tirado, J. S., & Mavlutova, I. (2023). The Impact of Strategic Management Accounting on The Financial Performance of Low-Cost Airlines. WSEAS Transactions on Environment and Development, 19, 786-797. doi:https://doi.org/10.37394/232015.2023.19.74
  30. Vo, L. T., Vo, N. V., Ngoc Pham, T., & Hien, N. N. (2023). The impact of historical performance and managerial risk-taking propensity on the behavior of choosing prospector strategy and using strategic management accounting information in Viet Nam manufacturer. Sage Open, 13(4). doi:https://doi.org/10.1177/21582440231219360

Most read articles by the same author(s)