STRATEGIC MANAGERIAL ACCOUNTING EFFECTIVENESS OF THE FIRMS WITHIN THAI LISTED COMPANIES: IMPACTS ON COST LEADERSHIP AND FIRM WEALTH

The study examined the impact of strategic managerial accounting effectiveness and firm wealth, where cost leadership was taken as a mediator. The key participants in this study were Chief Executive Officers (CEOs) who worked in Thai listed companies. Of the surveys completed and returned, only 293 were usable. The ordinary least squares (OLS) regression analysis was employed to estimate parameters in hypotheses testing. The findings show that strategic managerial accounting effectiveness, which consists of lean improvement, risk management, and performance evaluation, has the significant positive effect on cost leadership (p<0.05). Cost leadership significantly mediates the relationship between strategic managerial accounting effectiveness and firm wealth (p<0.1). However, strategic managerial accounting effectiveness has the significant positive effect on firm wealth (p<0.05). Therefore, a key decision for managers in all levels and functions is to focus at strategic managerial accounting effectiveness that can improve and develop cost leadership’s effectiveness and boost firm wealth.