MINISTRY OF EDUCATION AND TRAINING
THUONGMAI UNIVERSITY
-------------------------
NGUYEN THI THAI AN
MANAGMENT ACCOUNTING OF ROAD AND
BRIDGE ENGINEERING CONSTRUCTION COST
AT CIVIL ENGINEERING CONSTRUCTION
CORPORATION UNDER
THE MINISTRY OF TRANSPORT
MAJOR: ACCOUNTING
CODE: 62.34.03.01
Summary of doctoral thesis in economics
Hanoi, 2018
Scientific instructors
1. Assoc. Prof. Dr. Do Minh Thanh
2. Dr. Nguyen Tuan Duy
Scientific instructors
Judge 1:
Judge 2:
Judge 3:
The thesis is to be presented at the Thesis Council at the
university level at ………………………………………………
At……….. hour …… day ………. month ………. year ……
The thesis is available at :
- the National Library of Vietnam
- the library of THUONGMAI UNIVERSITY
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PREFACE
1. Urgency of the thesis topic
Investment in transport infrastructure construction is considered a
strategic solution to ensure that the goals of economic development and
national defense and security are met.
During 2001-2015, there was breakthrough development in
Vietnam's transport infrastructure in terms of scale expansion and
quality improvement. Domestic road and waterway transport routes
were upgraded to meet the demand transport which enjoyed the anuual
growth rate of above 10%. In the Global Competitiveness Report of
Transport Infrastructure during 2015–2016” by the World Economic
Forum, Vietnam rank at No 67 out of 138 countries (compared to the
position of 103/139 in 2010). According to the World Bank, the rapid
development of transport infrastructure led to the continuously high
annual growth rate of Vietnamese logistic market (at 16%-20%).
The contribution of civil engineering construction corporations is
vital to the development of the national transport infrastructure under
the Ministry of Transport (MOT). These are leading companies in
Vietnam in terms of transport infrastructure construction. Thousands of
kilometers of transport toad, hundreds of bridges of large and small
scale connecting all regions of the countries have been built by
engineers and workers at civil engineering construction corporations,
which contribute to the national cause of industrialization and
international economic integration. There are unique and record-
breaking works such as Hanoi - Lao Cai express way, Nhat Tan bridge,
Hai Van tunnel...
In carrying out the resolutions No.59/2011/ND-CP and
189/2013/ND-CP of the government, civil engineering construction
corporations have been equitized since 2013. In addition tos
opportunies, these corporations are also faced with many challenges. To
improve competitiveness, they need to find solutions to invest in
technological upgrade and renovate the management mindset to utilize
resources. How to utilize management tools is a matter of utmost
important and a regular task for company managers. Therefore, the
improvement of accounting activities in general and management
accounting of engineering construction cost in particular is essential in
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providing necessary economic information for company executives to
make appropriate and effective decisions.
The main tasks of management accounting of engineering
construction cost are to collect, handle information about construction
cost; supervise cost norms, create cost estimates and to provide and
analyze information of engineering construction cost for planning and
the decision-making process.
The main business field of civil engineering construction
corporation is about building roads and bridges of large scale,
complicated structure, long construction times and under the influence
of weather elements. Each of these transport works has to follow
procedures and technical standards issued by the government. The
selling price is determined prior to construction; therefore, to make
profit, construction companies need to apply advanced and appropriate
construction measures to control cost factors well and reduce unit price.
Through studying the reality of management accounting at civil
engineering construction corporations, the author chose the following topic
for the doctoral thesis: “Management accounting of road and bridge
engineering construction cost at civil engineering construction
corporations under the Ministry of Transport.” The thesis aims to evaluate
the reality and propose solutions to improve management accounting of
road and bridge engineering construction cost at civil engineering
construction corporations in the context of economic integration.
2. Overview of studies about management accounting of
engineering construction cost
2.1. Local and international studies
Firstly: studies about management accounting
Studies about management accounting started in the 19 centuries
regarding its fuctions, roles, and content. Here are a number of
representative works:
In Advanced management accounting ((2015, Prentice Hall),
authors Kaplan, Robert S., Alkinson, Anthony studied the establishment
and development of management accounting at companies in the
following basic contents: role, cost behaviour method, cost allocation
according to activity-based costing (ABC) method, construction of cost
centers at companies, cost items for the decision-making process;
balanced scorecard method. In “The use of management accounting
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practices in Malaysia SMES” (2012), Kamilah Ahmad studied the
application of management accounting tools such as: classifying costs,
making estimates, evaluating operating efficiency, strategic management
accounting in small and medium sized enterprises in Malaysia.
There are also studies of author Nguyen Viet (1995) (“Improving
accounting in Vietnam”) and Pham Van Duoc (1997) (“Direction for
building content and applying management accounting at Vietnamese
companies.” They pointed out differences between management and
financial accounting; analyzed roles, functions, contents of management
accounting and application at Vietnamese companies such as: classifying
cost, making estimates, analyzing the relation among cost, volume, and
profit and also cost fluctuation.
In “Direction for building the report system of management
accounting and applying it in Vietnamese companies”, author Pham
Quang clarified the theoretical framework of building the report system
of management accounting at Vietnamese companies including the list of
reports, purpose, function, structure and report methods. In “Building
management accounting at Vietnamese production companies”(2008),
author Huynh Loi contributed to systemizing basic issues of management
accounting such as: the role of management accounting at companies,
model and application mechanism of management accounting model in
all forms of production companies of different scales. In “Improving
management accounting at construction corporations under the Ministry
of Defence” (2016), author Do Thi Thu Hang systemized theoretical
issues about management accounting at construction companies and from
that provided solutions to improve cost management, including the
proposal of using modern costing methods.
There are also studies about specific industries such as: textile
(Duong Thi Mai Ha Tram - 2004), and post and telecommunications
(Nguy Thu Hien - 2012). They focused on specific issues of
management accounting that are applied to specialized companies. All
studies concluded that the role of information provision of management
accounting were not brought into full play. Also, information provided
by management accounting was not given enough consideration and
investment. All authors pointed out the role and function of
management accounting regarding information provision for managers.
