Author(s): Vilakazi, S. P., Stainbank, L. J., & Nyide, C. J.
Small and medium enterprises (SMEs) operating in the clothing and textile sector are perceived as significant players in many emerging markets. These entities contribute considerably in providing job opportunities for many households, and they play a pivotal role in developing economies globally. However, SMEs, if not well managed, cannot fulfil their contributions and compete in a globalised business environment. Preliminary studies contend that management accounting practices (MAPs) are considered essential tools that small and medium enterprises (SMEs) in the clothing and textile sector can use to promote efficiency and sustainability. Driven by the lack of research on the use of MAPs in small and medium clothing and textile SMEs in South Africa, this paper explores the contributing role and benefits of MPAs to these entities. A quantitative descriptive survey of 51 clothing and textile manufacturing SMEs in Newcastle, KwaZulu-Natal using a self-administered questionnaire was employed having employed the census sampling method. The results indicate that budgeting systems are the most used MAPs by the investigated clothing and textile SMEs. Clothing and textile SMEs still use traditional MAPs, however, they are endeavouring to integrate the modern or newly-developed MAPs such as the use of the decision support systems into their enterprises’ administration. The results indicated that the most valued role of MAPs was for planning future strategies, tactics and operations. On the other hand, certain roles of MAPs were considered not to be beneficial to the investigated clothing and textile SMEs.