Big Data Analytics and the Management Accountant

Abstract

A business exists to earn more revenue with less costs and thus making it a profitable venture. Therefore it will strive cost containment with investment to develop its competitive position. To arrive at this balance is not easy and it requires deep understanding of the drivers of cost, risk and value in the business. All three factors are highly dynamic and management requires constant and current information for better decision making and performance management. Usage of Big Data Analytics have become imminent to improve operational performance and sustaining or improving competitive position. Research findings indicate that organizations are struggling to get valuable insights from their data. Businesses need to adopt strategic thinking and be innovative to ensure that they have the needed capabilities to exploit advances in big data analytics for not only success but also for survival in the technology and digital age. Management Accountants have an important role to play in ensuring business success in today’s data-driven era. Therefore they need to develop their skills continually so that they remain relevant to their employer’s needs. They also required to stay abreast of developments and upskill themselves in the discipline of analytics and data science so that they continue to contribute their value to the business and to the profession they serve. This paper explains the meaning of business analytics, its value to business and the evolution of roles of management accountants in the era of globalization and digital age and the need for management accountants to acquire the skills of business analytics and data science to retain their relevance to the corporate world.