You are to read the journal article by Nonaka and Kenney (1991), "Towards a new theory of innovation management: A case study comparing Canon, Inc. and Apple Computer, Inc.", Journal of Engineering and Technology Management, 8, p. 67-83. The journal article is attached as a separate file in the LMS System. Required: Critically evaluate the role of management accounting systems and the provision of accounting information in the innovation process of these two companies by answering the 3 questions below: 1. Identify the components of the management accounting system in each of the two companies and discuss their relevance in enabling decisions to be made efficiently and effectively. Include examples in your answer. (12 marks) 2. The article describes the innovation process in a firm as ' a process of information creation', and a firm needs to organize themselves 'to transmit the new information'. Explain how management accounting contributes to this innovation process. Include in your discussion two (2) specific examples from each of the two companies mentioned in the journal article. (12 marks) 3. Provide four (4) specific outcomes or lessons learned from the article's research findings that will be useful for management accountants in Saudi Arabian companies to learn from, and justify your answer [i.e. provide 2 outcomes from each company]. (16 marks) You are to read the journal article by Nonaka and Kenney (1991), "Towards a new theory of innovation management: A case study comparing Canon, Inc. and Apple Computer, Inc.", Journal of Engineering and Technology Management, 8, p. 67-83. The journal article is attached as a separate file in the LMS System. Required: Critically evaluate the role of management accounting systems and the provision of accounting information in the innovation process of these two companies by answering the 3 questions below: 1. Identify the components of the management accounting system in each of the two companies and discuss their relevance in enabling decisions to be made efficiently and effectively. Include examples in your answer. (12 marks) 2. The article describes the innovation process in a firm as ' a process of information creation', and a firm needs to organize themselves 'to transmit the new information'. Explain how management accounting contributes to this innovation process. Include in your discussion two (2) specific examples from each of the two companies mentioned in the journal article. (12 marks) 3. Provide four (4) specific outcomes or lessons learned from the article's research findings that will be useful for management accountants in Saudi Arabian companies to learn from, and justify your answer [i.e. provide 2 outcomes from each company]. (16 marks)
