In this particular assignment, the past, present and the future of the managerial accounting would be discussed with two critical objectives (Shields, 1997). Identification of the specific aspects of the progress which has been made in the managerial accounting in the last 30 years is one of the objectives. Moreover, it would also discuss that if it is to continue to be useful and relevant then in which particular direction or field it must work towards in order to grow. Examination of progress in two regions of managerial accounting which has come up in the last 30 years, which human resource accounting and behavioural is accounting, this is the second objective.
The underlying basic notions of the following assignment are that, firstly the actual organization environment which is intended to be served must always be inextricably be tied to the organization as managerial accounting is and must always be attached to the same. The risk would be irrelevant, if the managerial accounting fails. Secondly, the managerial accounting in fact has lost its relevance; this is because of the reason that it has lost touch with the reality. The lost relevance is primarily because of the academic accountants (Leisenring & Johnson, 1994). As per the views of Flamholtz, the dominating force driving academic research was to maintain legitimacy inside of the universities as compared to being relevant and useful in the region where the academic research is basically proposed to serve (Moilanen, 2008). The kinds of problems which have been faced by the actual organizations and the real managers, the research method which have been used have not necessarily been relevant to them.