Charting The Course of Investing Decisions Through Management Accounting Techniques, and Operations Quality in Manufacturing Landscape of Pakistan

Abstract

Companies can reduce operational costs and improve their reputation by ensuring consistent product quality allowing for more accurate cost analysis and better-informed investment decisions. Therefore, this research aims to probe the interplay between management accounting techniques (MATs) and investing decisions through moderation of operations quality control (OQC) in manufacturing firms of an emerging economy, Pakistan. The results indicate that MATs like just in time (JST), target costing (TRC), and balanced scorecard (BSR) have empirically positive and significant impacts on investing decisions (IDN). On the other hand, operations quality control (OQC) plays moderating role in the linkage between TRC and investing decisions (IDN), highlighting its critical role in cost management and efficacy improvement. The OQC was insignificantly moderated among just in time, balanced scorecards, and investing decisions. These findings contribute to the understanding of factors influencing investment decisions and emphasize the synergy between OQC and explicit management accounting approaches in the Pakistani manufacturing landscape. This study explores the categories of MATs and the production quality control driving these techniques which have rarely been probed in an emerging economy like Pakistan.