Assessing the Impact of Digital Transformation on Cost Accounting Practices and Data Accuracy Levels

Posted: May 31, 2023

• Samuel Lewis
• Samuel Roberts
• Samuel Thomas

Abstract

The rapid advancement of digital technologies has fundamentally altered organizational operations across all functional areas, with cost accounting representing a particularly significant domain of transformation. Traditional cost accounting systems, developed in an era of manufacturing dominance and stable business environments, increasingly struggle to provide the accurate, timely information required for contemporary decision-making. The emergence of sophisticated digital tools—including artificial intelligence, robotic process automation, advanced analytics, and cloud computing—has created unprecedented opportunities to enhance both the efficiency and accuracy of cost accounting processes. This research addresses a critical gap in the literature by systematically examining how digital transformation specifically impacts cost accounting practices and, more importantly, how these changes translate into measurable improvements in data accuracy levels.