Inter-organisational costing approaches: the inhibiting factors

Purpose - The purpose of this paper is to highlight the limitations of currentaccounting practices in an inter-organisational context; introduce contemporarycosting approaches used in inter-organisational costing (IOC) programmes; andidentify the inhibitors of successful implementation of IOC programmes. Design/methodology/approach - The paper uses a structured review of empirical andtheoretical literature. Findings - Traditional accounting practices do notadequately fulfil their role in the inter-organisational context. Contemporaryaccounting practices overcome only some limitations of traditional accountingpractices. The paper uncovers part of the complexity surrounding theimplementation of IOC programmes and suggests that we are dealing with a broadinter-disciplinary phenomenon. Research limitations/implications - Conclusionsare drawn on a conceptual level and further empirical investigation isencouraged. Practical implications - The paper raises the awareness of thecomplexity surrounding the implementation of IOC programmes. The broad set ofinhibiting factors could be effectively used by managers to assess the readinessof organisations involved in implementation of IOC programmes. Originality/value- This research is the first that systematically addresses the problem ofinhibitors in the implementation of IOC programmes. The broad scope of the papersets the foundations for more focused research into specific inhibiting factors.