Previous literatures have produced inconsistent results regarding the relationship between management accounting and control systems (MACS) and radical innovation. This study addresses these inconsistencies by exploring the moderating effect of management accounting capabilities on this relationship. Management accounting capabilities are organizational capacities that enable the realization of expected effects of MACS on performance. Experiential learning capabilities, one of the management accounting capabilities, may exert a positive influence on the implementation of MACS. By introducing experiential learning capabilities as a moderator in the analysis, this study shows that MACS do, in fact, foster successful radical innovation at high-impact learning culture firm. The results imply that simply using interactive use of MACS is not sufficient to enhance radical innovation, it is also necessary for a high-impact learning culture firm to possess experiential learning capabilities to foster radical innovation.

The purpose of the paper is to clarify the management control of the Kyoto Shisaku Net based on the concept of “Meta-organizations”. It is thought that the features of the network are a business model that utilizes technical diversity and complementarity effectively, and independent management control based on belief systems that are meta-organization wide. The formal and informal frequent and high-quality communications among the director companies promote the sharing of core values and create the sense of belonging to a meta-organization and encourage the will to take on new challenges. It is thought that these support the alignment of operations and the empowerment of innovation in the network. Furthermore, it is thought that the network produces a virtuous circle that expected external effects raise the willingness to participate in the network and the realized external effects revitalize the members.

While U.S. GAAP and Japanese accounting standards mandate that firms fully expense R&D costs when they are incurred, International Financial Reporting Standards (IFRS) allow partial capitalization of R&D costs. The companies in Japan to which IFRS applies presumably capitalize of R&D costs.

This study therefore investigated the suitability of accounting treatment for R&D costs for each industry using an empirical analysis of data from Japanese companies. The results suggest expensing of R&D costs in the chemicals, machinery, and precision instruments industries, and partial capitalization of R&D costs in the pharmaceuticals, automobiles, and electric machinery industries. I infer that the proportion of R&D costs being eligible for capitalization is higherin pharmaceuticals, automobiles, and electric machinery industries than in other industries.

This study examines the role of interactive controls (ICs) in mature, revival and declining firms. The analysis using data collected by the internet survey indicates that revival and declining firms make more use of ICs than mature firms. To deepen the result, the discussion is provided based on the organizational change approaches as well as on the concept of strategic uncertainties. Mature firms, when they retain current strategy, scantily use ICs in accordance with institutional approach. Revival firms, when they find opportunity for emergence of strategy, use ICs in accordance with evolutionary approach. Declining firms, when they find threat to current strategy implementation, use ICs in accordance with revolutionary approach.