Spotlight on Sustainable Finance and Managerial Accounting: The Analytical Triad for A Profitable and Sustainable Future

Enkeleda Lulaj

Authors

Enkeleda Lulaj Faculty of Business, University Haxhi Zeka, Albania

Keywords:

Sustainable Finance, Management Accounting, Profitability, Sustainable Future, Analytical Triad, Cost Analysis, value supply Chain Analysis, Continuous Improvement Analysis, Structural Equation Modelling

Abstract

This study, focused on sustainable finance and management accounting, explores the analytical triad of vsCHA (Value and Supply Chain Analysis), COA (Cost Analysis), and CIA (Continuous Improvement Analysis), examining their interactions and their impact on firm sustainability. Data were collected from 208 companies in Kosovo between 2021 and 2023 and analyzed using exploratory factor analysis (EFA), confirmatory factor analysis (CFA), and structural equation modeling (SEM) with SPSS (64-bit) and AMOS (26.0) software. The results validate the analytical triad of vsCHA, COA, and CIA as a reliable model for enhancing sustainable finance and management accounting, promoting both profitability and long-term sustainability. Significant positive relationships were found between vsCHA and COA, and between CIA and COA, with COA acting as a mediator. The study confirms that vsCHA aids in identifying market trends, optimizing supply chains, and guiding innovation, while CIA helps maintain competitive advantage, boost sales, and improve efficiency. COA facilitates the implementation of competitive practices, ensuring sustainable business practices. Ultimately, the findings highlight the direct and positive impact of vsCHA, COA, and CIA on firm sustainability, driving efficiency, cost optimization, and continuous improvement. Future research should explore the global application of this triad.

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