Role of the Management Accountant

The management accountant (sometimes called the controller in large organisations) is the officer responsible for operating the management accounting system and for supplying management with the information it needs. He is not merely a book-keeper; he is an important member of the management team whose job is to see that the right information reaches the right person at the right time.

Duties and role of the management accountant

1. Designing and running the information system. He designs, installs and operates the system of records and reports through which accounting information flows to management.
2. Collecting and compiling data. He gathers accounting and other economic data from within and outside the business and compiles it into usable form.
3. Analysing and interpreting information. He analyses the figures and interprets their meaning — explaining what the results show and what action they suggest — so that managers can act on them.
4. Preparing budgets and reports. He prepares budgets, forecasts, cost statements and periodic performance reports for the various levels of management.
5. Assisting in planning and decision-making. He supplies the relevant data and analysis for management's plans and decisions, and advises on the financial implications of the alternatives.
6. Helping to control operations. He operates the budgetary-control and standard-costing systems, reports the variances between actual and planned performance, and draws management's attention to matters needing action.
7. Communicating and coordinating. He communicates information to the different departments and helps coordinate their activities, acting as a link between the accounting function and the rest of management.
8. Advising management. As a specialist, he advises management on financial and cost matters and on the likely results of proposed courses of action. …