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Management Accounting (MA) practice is one strand in the complex weave that makes up the social fabric. Social patterns of interaction and societal presuppositions that impel people to act in certain ways are all factors that potentially impinge on the role and nature of MA. Some researchers recognise that normative pressures, as they are associated with social obligations and appropriate social conduct in human behaviours, are significant as far as MA practices are concerned. Thus, MA practices should be understood along with the effects of organisational, vis‐à‐vis management’s, strategic orientation (as a part of normative pressures) in organisations. This empirical study investigates the effect of organisational strategic orientation on performance, especially Non‐financial Performance (NFP) measurement in different types and kinds of financial institutions in Finland, Sweden and Japan. The study reveals that organisational strategic orientation highly influences NFP measurement in financial institutions, though the effects of this factor are different in different financial institutions. After providing the empirical result, some research directions are given for further research.

A number of Management Accounting (MA) researches have demonstrated the shortcomings of traditional accounting‐based performance measures for today’s uncertain Economic Conditions (EC) in technologically advancement competitive environments. The MA literature suggests the impact of economic pressures on MA practices, though there are different notions regarding the impact of EC on Non‐financial Performance Measurement (NFPM). Some researchers argue that management needs an interactive information system in more volatile and uncertain EC, and accordingly, the mode of the use of financial performance measures is greater in uncertain EC. However, some welldocumented predictions about the relationship of the external environmental, viz a viz uncertain economic environments, with the need of managers’ financial and nonfinancial information. Taking these aspects into account, it is important to consider the effect of EC on MA performance measures and their degree of responsiveness and adaptability to particular circumstances. Thus, this research made an attempt to study the impinge of EC on NFPM in Banks/Financial Institutions (BFI). The multiple case study approach, especially the study of different kinds of BFI in different macro environments, provides an opportunity to examine the effect of NFPM in different environments. The cross‐country studies help to demonstrate the rationale for the impact of EC on NFPM in three countries (Finland, Sweden and Japan). Results of this study anticipate that the uncertainty of EC increase pressures on management to improve and measure financial performance in order to survive in the hostile EC. To the contrary, managers would improve as well as measure non‐financial performance in the organizations.

The inadequacies of traditional management accounting (MA) information indicate a need for management to find proper measuring tools for emerging non‐financial performance (NFP) in the highly competitive financial services, as well as in the manufacturing industry. Thus, the role of MA in measuring the performances of emerging NFP has been receiving increased emphasis in the increasingly important service industries. Considering the shortcomings of the traditional MA information system, particularly the measurement of new emerging NFPs, this empirical research is an attempt to investigate the role of MA in non‐financial as well as financial performance measurement (PM) in selected banks and financial institutions (BFIs) in Finland. The study demonstrates that the role of MA in non‐financial PM is insignificant. However, management is paying more attention to its measurement. This study identifies three different aspects of NFP: profit‐driven NFP; NFP for long‐term competitive advantage; and independent NFP (those not linked with the profitability of an organisation).

To study the nature of management accounting performance measures in the Financial Services Industry (FSI). The nature of Performance Measurement (PM), specially non‐financial PM in FSI (service “shop”) has not been explored before.

This exploratory multiple case study consists of survey, interviews with questionnaire, individuals' (senior management and executives) interviews, collecting primary and secondary sources of information as well as literature surveys.

The results of this study demonstrate that the actual practices of the recent trends of management accounting in non‐financial PM are negligible in the studied financial institutions, and management of studied banks paying more attention to improve and measure financial performance than that to non‐financial performance for different reasons that affect the function/operation of FSI.

The field study is being conducted without a conceptual/theoretical framework. An explanatory case study with particular theoretical framework/model could make possible to discuss the factors that affect non‐financial PM in this particular industry. Moreover, a comparative study with manufacturing industry would make the research results more robust.

A stable economic condition and competition that would increase the need and importance of non‐financial PM in FSI as well as in other services (and even in manufacturing industries).

This paper explores the nature of management accounting PM particularly in FSI.

The purpose of this paper is to clarify the prerequisites for performance measurement supporting purchaser-supplier relationships and value co-creation. It also explains the causes for the limited use of collaborative measurement.

Four case companies representing different contextual settings are studied. The primary source of empirical material is an interview study addressed to 24 interviewees. The empirical data are analyzed according to the constructs created as a result of the literature review.

The results reveal that prevailing performance measurement practices represent a more transactional than relationship-oriented approach to purchaser-supplier collaboration. The technical prerequisites for collaborative performance measurement are mostly not fulfilled, inhibiting the use of performance measurement in a collaborative manner. It is proposed that the differentiation between project and process production types has implications on the importance of collaborative performance measurement.

The paper illustrates the desirable characteristics of performance measurement supporting collaboration. It also presents an application of collaborative performance measurement in a single case context. The research reveals the need to develop non-financial performance measures further in order to facilitate the more proactive use of performance measurement supporting true value co-creation between purchaser and supplier companies.

The empirical research on the topic of performance measurement in purchasing and supply management (PSM) is often limited to intra-organizational measurement and highlights transactional approach to collaboration between parties, although PSM research has otherwise acknowledged the importance of value creation and relationships between organizations.

The essential investments in new product development (NPD) made by industrial companies entail effective management of NPD activities. In this context, performance measurement is one of the means that can be employed in the pursuit of effectiveness.

This study aims to investigate the relative weight of financial and non-financial performance measures used to evaluate production managers (such as shop floor managers or foremen) in a modern manufacturing setting.

Using survey data from Japanese factories, the paper examines the association between the choice of profit, cost, and non-financial performance measures with two characteristics of manufacturing systems: interdependence and multi-tasking.

The results indicate that interdependence has a significant and positive association with the importance of profit information, while multi-tasking is associated negatively with the importance of profit information, and positively with non-financial information for performance evaluation.

In recent years, a significant shift has been observed in Japanese production management with many companies now focusing on profit information instead of cost information. For example, the past studies show that large Japanese manufacturing companies are now using micro-profit centres and include profit information when evaluating factories. However, little empirical evidence is available on performance measurement at the shop floor foreman level, and even less is known about the importance of profit information in the evaluation of these lower level managers.

This paper aims to analyze the influence of the importance of measures in the performance measurement systems (non-financial and financial) on managerial performance, with interpersonal trust acting as a mediating variable.

The research was conducted at the University of Mulawarman by using a questionnaire among students who were the object of the research. Partial least squares were conducted along with Sobel’s test as the mediation test.

Interpersonal trust is the mediation effect between financial performance on managerial performance. The positive-marked coefficient indicates that higher financial performance will result in higher managerial performance if it is mediated by interpersonal trust that is also higher. Thus, interpersonal trust acts as a mediation variable of the relationship between financial performance and managerial performance.

The government should consider formulating a policy that will improve trust among managers, stakeholders and the public.

The implications for managers include: an increase in interpersonal trust by improving the competence, integrity, reliability, openness and honesty and satisfaction in work.

Location of this study is University of Mulawarman, Samarinda, with student being the object of the study. This is the original of location of study means there has been no previous study research in the same location and of the same model. Originality is also shown in the investigation of interpersonal trust as the mediation variable in relationship between financial performance and non-financial performance on managerial performance.

The purpose of this study is to characterise types of practices – or “routings” as they are denoted in this paper – that have been developed to incorporate non-financial inscriptions, representing value-in-kind (VIK) sponsorship resources, into accounting systems.

This study adopts field-based research, utilising Latour's (1999) concept of “circulating reference”, to illustrate how VIK (non-cash) resources were managed in an Australian sporting organization.

This paper contributes to our understanding of: first, how accounting infrastructure is constituted and stabilised by a network of multiple and overlapping accounting practices; second, how VIK resources are allocated and managed via local practices; and third, the importance of “budget relief” as a method of valuation in accounting practice.

Our paper has implications for understanding how financial and non-financial accounting inscriptions are related in practice, requiring both integration and separation within networks of multiple and overlapping routings of accounting practices.

Our work highlights previously unexplored accounting practices, which assist in the process of utilizing VIK resources in the context of a sporting organization.

The inadequacies of conventional management accounting (MA) systems increase the need of up‐to‐date MA information. However, critical non‐financial success factors are emerging in highly competitive technologically advanced business organisations, especially in the service sector with its increasing contribution to advanced economies and employment markets. As a result, the importance of the role of MA in measuring emerging non‐financial performance (NFP) is increasing in services, but comparatively little is known about non‐financial MA measures in services, and almost nothing in banks/financial institutions (BFI). This study attempts to review/investigate the practice of MA in NFP measurement of BFIs within the context of “new institutional sociology” theory and, consequently, to modify theory for further research that fits the dynamic nature of NFP in the financial services industry.