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The Emerald Research Register for this journal is available at www.emeraldinsight.com/researchregister The current issue and full text archive of this journal is available at www.emeraldinsight.com/0268-6902.htm Costing in new enterprise environment A challenge for managerial accounting researchers and practitioners
Krishan M. Gupta and A. Gunasekaran

Costing in new enterprise environment
337
Revised April 2004

University of Massachusetts-Dartmouth, North Dartmouth, Massachusetts, USA
Abstract
Purpose – Faced with new wealth creation paradigm, triggered by technology and relentless globalization of markets, increasing number of companies are becoming knowledge-based enterprises.
This paper aims to discuss the change in enterprise environment; evolution of performance and cost measures; and the challenges for managerial accounting researchers and practitioners in developing value-based costing and performance measurement systems (PMS).
Design/methodology/approach – A conceptual discussion and approach are taken.
Findings – Internet and e-commerce have changed forever the way companies conduct their businesses. Virtual enterprise and efficient supply chain management systems will shape the future of these enterprises. Organizations are trying to become agile enterprises with the help of strategic alliances of firms and integration using information technologies. Traditional performance and cost measures are no longer suitable for developing and managing enterprises in the so-called new environment. In order to remain relevant and to add value, cost and performance measures must be designed and systematically evaluated to reduce the often-unnoticed mismatch between strategic goals and operational tactics.
Research limitations/implications – Suggestions are presented for future research directions in managerial accounting areas that would address the requirements of new economy enterprises.
Originality/value – Alerts managerial

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