Management accounting tools and organizational performance of micro and small companies

The study aims to understand the contribution of management accounting instruments (cash flow, budgeting, inventory control, and strategic planning) to organizational performance in micro and small enterprises in Rio Grande/RS, considering that management accounting supports management. This is a quantitative study, analyzed through correlation and linear regression. Data were obtained via an electronic questionnaire sent to micro and small enterprises in Rio Grande/RS. Data analysis revealed that cash flow is the most intensively used instrument in management, while strategic planning is the least used. Correlation analysis showed that inventory control does not have a significant correlation with organizational performance, while the other instruments show a positive correlation. In the regression analysis, only cash flow and budgeting showed significance, with cash flow contributing to the economic-financial and administrative effectiveness, and budgeting playing a crucial role in coordinating activities and resource allocation. Therefore, the study concludes that management accounting is essential for improving the organizational performance of micro and small enterprises, contributing to their continuity and prosperity. The study generates theoretical implications for the literature on management accounting instruments in micro and small enterprises, as well as practical contributions to the management of these organizations.