Knowledge Management and Contemporary Management Accounting Practices of Malaysian Cooperatives Sector: An Empirical Evidence

Abstract

Cooperatives in Malaysia are currently operating in a constantly volatile, uncertain, complex and ambiguity situation. The alignment between managers' plan and organization goals can be achieved through the application of knowledge management and contemporary management accounting practices (MAP). Therefore, the purpose of this paper is to examine the association between knowledge management and contemporary management accounting practices (MAP) in the Malaysian' co-operative sector. Data were collected through distribution of mail survey to management team from the 100 leading co-operatives in Malaysia. Descriptive on the knowledge management and adoption level of contemporary management accounting practices has been analyzed. The findings indicate the knowledge management in organizational structure level is high and contemporary MAP is also high. The relationship between knowledge management and contemporary MAP among Malaysian Co-operatives is also significant but at moderate level. The findings suggest that knowledge management is an immerse diversity of knowledge and it will not succeed in an organization unless it is supported by top management. Knowledge management plays an important roles through making explicit the link between effective knowledge management and utilization of contemporary management accounting practices.