A New Approach to Management Accounting: The Initial Loose-Joint Model, Complementary Theoretical Frameworks, and the Operational Model of Loose-Joint Based on Cognitive, Cultural, and Normative Elements

Subject Areas : Ethics and corporate governance

Sina Shahidi ¹ , Mohsen Amini Khouzani ² , Azam Sarvi ³ , Meysam Arabzadeh ⁴ , Maryam Atarasadi ⁵

1 - PhD. student, Department of Accounting, Kashan Branch, Islamic Azad University, Kashan, Iran.
2 - Assistant Professor, Department of Financial Engineering, Shahr-e-Qods Branch, Islamic Azad University, Tehran, Iran
3 - Assistant Professor, Department of Accounting, Golpayegan Branch, Islamic Azad University, Golpayegan, Iran
4 - Associate Professor, Department of Accounting, Kashan Branch, Islamic Azad University, Kashan, Iran
5 - Assistant Professor, Department of Accounting, Qazvin Branch, Islamic Azad University, Qazvin, Iran.

Received: 2024-04-23 Accepted : 2024-10-22 Published : 2025-01-08

Keywords: Initial Loose Coupling Model, Operational Model of Loose Coupling, Resource Dependency Theory, Management Accounting.,

Abstract :

Purpose: The purpose of this study is to explain the theory of loose coupling and its operational model. It will focus on the theory of resource dependence, the theoretical foundations supporting the initial model of loose coupling, and complementary theoretical frameworks.

Method: The present study employs a review approach that fosters new, deeper, and broader insights into the phenomenon under investigation by creating synergy. It discusses and examines the operational aspects of loose coupling, the five theories proposed by Orton and Weick, the primary complementary frameworks of loose coupling theory, and multidimensional approaches in performance management systems, with the aim of operationalizing loose coupling.

Findings: The researchers proposed an initial model of loose coupling theory by incorporating five additional theories: causality theory, typology, direct effects, indirect effects, and compensation theory, into the resource dependency theory. To transition from the initial loose coupling model
to an operational model that fosters innovation and enhances long-term performance and sustainability within a system, a proposed operational model of loose coupling is supported by complementary theoretical frameworks.

Conclusion: Performance management systems, informed by complementary theoretical frameworks and incorporating the initial loose coupling model, are designed to be both independent and integrated simultaneously. The observed effects of coupling on perceived effectiveness and process innovation form the foundation for a discussion on the necessity of coordination and flexibility in management control. Since modern approaches to management accounting aim
to establish a connection between efficiency and innovation to meet customer needs, the loose coupling theory serves as a valuable tool in strategic management accounting. This theory determines the extent and manner of the relationship among cognitive, cultural, and normative elements by utilizing their dialectical interactions over a specified time horizon. The present study provides a comprehensive summary and analysis of various research efforts aimed at developing an operational model of loose coupling.

 

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