A partial explanation for the use of Bob in the financial area was offered – when managerial control–type solutions are introduced in the financial area, the concern is on how to best obtain the data and present the information to the relevant decision makers. This does not require an integrated system, and so facilitates a BoB-type choice. If a strategic, organization-wide solution is desired, an ERP-type solution is chosen. Hyvonen found no differences (except for more budgeting problems for ERP adopters) between ERP and BoB systems with respect to data measurement, data collection and usability. Both Fahy (2000) and Granlund and Malmi (2002) suggest that further research is required to provide a richer understanding of the use of ERP systems and related SEM technologies in management accounting, strategic management and decision support. Further evidence of the need for a comprehensive research study is provided by Fearon (2000) who concluded that ‘… the majority of Canadian companies today continue to use the most cumbersome and uncollaborative tool for enterprise budgeting – the commercial spreadsheet.’ He urged the integration of the budgeting system with the integrated ERP system. Further, the ERP system is seen as the basis for a successful balanced scorecard approach (Edwards, 2001). The balanced scorecard, with data obtained from the ERP system provides management with visibility into the business units and the ability to monitor progress against the overall organization plan. Wallace and Kremzar (2001) suggest that the two critically important objectives for ERP system implementations are fact transfer and behaviour change. Examples given of fact transfer relevant to management accounting include, ‘when the cost accounting manager learns about ERP’s extremely high requirements for inventory record accuracy’ (p. 138). An example of behaviour change is ‘when the manager leads the charge to eliminate the annual physical inventory, because he or she knows that inventory records sufficiently accurate for successful ERP are more than accurate for balance sheet valuation – and that physical inventory cost time and money but often degrade inventory accuracy’ (p. 138). These examples provide some insight into the impacts that ERP systems may have upon management accountants. A model of the impact of ERP systems on management accounting and management accountants was developed by Granlund and Malmi (2002). They proposed that ERP systems have both a direct and indirect effect on management accountants and management accounting systems. Examples of direct effects are changes in report content, timing, scheduling, etc. that are caused by the ERP system. Indirect effects result from changed management practices, changes in business processes, etc. that are initiated by the ERP implementation.
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