Trends of Computer Simulation Research in Decentralized Decision-making

Abstract

This paper introduces the trend of computer simulation research in the management accounting field with a focus on decentralized decision-making. NK model has developed to analyze the issues of “differentiation and integration” or “exploration and exploitation” in organizational research field. Through classifying the development of the structures and characteristics of NK model into single agent decision making, allocation of decision among multiple agents, integration by CEO, and introduction of performance measurement, this paper views the potential of simulation method in future management accounting research.