THE ROLE OF MANAGEMENT ACCOUNTING IN PERFORMANCE MEASUREMENT
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Abstract:
This study examines the role of management accounting in performance measurement in Lagos State, Nigeria. The objectives are to: (1) evaluate how management accounting metrics influence performance evaluation, (2) assess the impact on organizational efficiency, and (3) analyze the challenges faced in implementing effective performance measurement systems. A survey design was chosen to gather data from corporate managers and management accountants. The sample size, calculated using Taro Yamane's formula, ensures statistical robustness. Zenith Bank Plc was selected as the case study due to its extensive use of management accounting for performance measurement. The reliability coefficient score of the survey was 0.89. Findings indicate that management accounting significantly improves performance measurement, enhancing organizational efficiency. However, challenges such as data integration and metric selection were identified. It is recommended that companies in Lagos State invest in robust management accounting systems and continuous training to improve performance measurement practices.
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