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INTRODUCTION
1. The necessary of this research
Nowaday, along with the development of industrialization and
modernization of the country, our economy is on a strong
development momentum, the social life is constantly improving;
urban areas, residential areas as well as industrial zones appear
more and more, requiring electricity supply to consumers to ensure
economic criteria, safe and continuous power supply; ensure good
power quality as well as flexibility of the electrical system.
As Vietnam integrates into the World Economy (WTO), the
need to innovate the electricity industry and change the electricity
market operation mechanism becomes increasingly urgent to move
towards a competitive electricity distribution market by 2022.
According to the electricity market development roadmap
(Decision 63/2013/QD-TTg of the Prime Minister), the electricity
retail business will be separated from the electricity distribution
stage when implementing the competitive retail electricity market,
starting in 2021.
Research on the application of revenue, cost and business
results management accounting in enterprises in general and in
power distribution enterprises in particular in Vietnam is still
limited at present. On June 12, 2006, the Ministry of Finance issued
Circular No. 53/2006 / TT-BTC on: "Guidance on the application
of management accounting in enterprises".
Based on the above research gaps and reasons, the author
chose the topic "Management Accounting of revenue, costs and
business results in power companies in the North of Vietnam".
2. Literature review
In recent years, there have been many domestic and foreign
studies researching on issues related to management accounting in
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general, management accounting of revenue, expenses and
business results in particular. This showed that it is a matter of
timing and meaningful both in theory and practice. The thesis
researches overview according to the following groups of issues:
(1) The studies of overview framework of management accounting;
(2) The studies of management accounting of revenue, costs and
business results; (3) The studies of factors affecting the
implementation of management accounting.
Research gaps
Firstly, the research approach to management accounting of
revenue, cost and business results is different.
Secondly, the lack of research focuses on management
accounting of revenue, costs and business results in the context of
applying ERP.
Thirdly, the lack of research focuses on management
accounting of revenue, costs and business results at Vietnamese
electricity distribution and trading companies
These are the "gaps" that the thesis will focus on completing at
the electricity distribution and retailing companies in the North of
Vietnam.
3. The research objectives
Based on the framework of management accounting of
revenue, costs and business results in enterprises and the reliaty of
management accounting of revenue, costs and business results in
power companies in the North of Vietnam, the thesis propose
solutions to improve the management accounting of revenue, costs
and business results in the power companies in the North of
Vietnam to improve the management accounting capacity of these
enterprises with specific objectives:
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- Firstly, the thesis systematizes the framework of management
accounting of revenue, costs and business results in enterprises.
- Second, from the analysis and assessment of the current status
of management accounting of revenue, costs and business results
in power companies in the North of Vietnam.
- Third, the dissertation proposes solutions on management
accounting of revenue, expenses and business results on the
management of power distribution and retail business at power
companies in the North of Vietnam.
4. Research question
(1) What is the theoretical framework of management
accounting of revenue, costs and business results in the enterprise?
(2) How does the characteristics of electricity production and
business affect management accounting of revenue, costs and
business results in power companies in the North of Vietnam?
(3) What is the reliaty of management accounting of revenue,
costs and business results according to the managerial function in
the environment of ERP application in the distribution and retail
business of electricity in the North of Vietnam?
(4) What are the shortcomings and existing causes of
management accounting of revenues, costs and business results in
power companies in the North of Vietnam?
(5) What is the solution to improve the management
accounting of revenue, costs and business results in power
companies in the North of Vietnam?
5. Research statement and scope
5.1. Research statement
This research focuses on theoretical framework of
management accounting of revenue, expenses and business results
in enterprise and the reality of management accounting of revenue,
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expenses and business results in power companies in the North of
Vietnam.
5.2. Scope
- Space: The dissertation researches on management
accounting of revenue, expenses and business results in 45
Northern Power companies in Vietnam, including 03 Power
Companies Limited in Hai Phong, Hai Duong, and Ninh Binh and
20 companies under EVN NPC including from Thanh Hoa, Nghe
An, Ha Tinh to Northern provinces; and 22 electricity companies
under EVN HaNoi.
The dissertation does not study on management accounting of
revenue, expenses and business results in 06 other power units
under EVN NPC and 09 other power units under EVN HaNoi
because these other units are not focused on electricity trading
business.
- Time: The dissertation conducts a research on specific
objectives and vision to 2030 and data from actual survey in
electricity companies in the period 2017-2020.
- Content: The dissertation studies the approach to the
contents of the management accounting of revenue, costs and
business results in relation to the managerial function.
Activities of Northern Vietnam Electricity companies include
producing, distributing and trading in electricity. The thesis focuses
on the distribution and sale of electricity, not on the power
production. Because the main function of electricity companies in
the North of Vietnam is the distribution and trading of electricity.
6. Research method
Data collection
- Secondary data:
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(1) Data of current situation of the electricity distribution
segment of the enterprises, the website of Vietnam Electricity:
www.evn.com.vn, The Northern Power Corporation:
www.evnnpc.com.vn, Hanoi Electricity Corporation:
https://evnhanoi.vn and websites of Electricity units under EVN
NPC and EVN HaNoi.
(2) Research of domestic and foreign authors at
www.siencedirect.com, www.google.scholar.com and the doctoral
dissertations and scientific articles have been published published
related to the research issue.
(3) Expert analysis reports on social media.
(4) Data about accounting ledges, reports and documents of
electricity companies during the period from 2017 to 2020.
- Primary data:
To achieve the thesis research objectives, the author collects
information on the reliaty of management accounting of revenue,
expenses and business results in the electricity companies in the
Northen in Vietnam. Primary data obtained by the author using 03
methods are survey method by questionnaire, interview method,
and observation method.
7. New contributions of this research
Theoretical contributions: The research systematized and
clarified some issues about the nature and role of the management
accounting of revenue, costs and business results in the
implementation of managerial functions including planning,
implementing, controlling, decision-making.
Practical contributions: On the basis of survey and data
analysis, the research evaluated the management accounting
situation of revenue, expenses and business results in the
distribution and retail phase of electricity serving in the
