With the move towards globalization, the change it brings can change how companies in the United States view their accountants. First, there are two types of accountant, financial accountant and executive accountant. The definition of financial accounting from Merriam-Webster is a regular analysis of information about the organization's economic affairs for people outside the organization. Merriam-Webster explains management reporting "preparing reports for planning and decision-making" … "It aims to provide managers with reliable information on the costs of operations and the standards with which these costs can be compared to help them budget" . The most important difference between the two definitions is that financial accounting provides information to people outside the organization and the purpose of management accounting is to help the organization's decision making
The United States is becoming more and more globalized within the country and therefore accounting auditors become more valuable for companies. In order to understand the growth of competition for US companies and their accountants, it is first necessary to examine how US companies see management accounts as compared to another country. In his study "Management Accounting Practices: Comparative Survey Findings and Research Implications (1991)", United States and Japan, M. Shields and C. Chow, notes that the difference between the goals set by the United States and Japanese accountants . The survey suggests that US accountants "emphasize the use of standards to control manufacturing costs", while employing practices that look to the future in contrast to Japanese accountants. This difference is one of the goals set by the companies. While US companies are looking at what they can do to reduce costs, Japanese companies will reduce costs for non-existent products for the future. This kind of thinking is not acceptable to American companies and the situation is that companies are now less satisfactory because the current state of management accounting is in the wrong direction.
Management accountants look to the future, anticipate and guide their companies in a better progressive direction. In the increased competition, especially in US companies, companies need managers who make the right decisions for the company. In Pounder's article, "The Impact of Globalization on American Accounting (2006)", Pounder states that one of the most important reasons for the country is that one of the reasons for managing accounting is because American executives are more likely to have "intestinal feeling" in general for personal gain) rather than making long-term business decisions. We can retrieve this from the Shields & Chow research survey and see the companies and their goals. Businesses in the United States are more likely to show personal gains than in Japan, and in times of globalization and increased competition, companies can not survive this type of thinking and framework.
N. Miculescu reports, "Current Accounting Costs of Production Costs (2011)", Miculescu concluded that the exponentially increasing task of companies to find solutions as quickly as possible in order to keep pace with the increase in competition resulting from globalization
. manager of the US reward managers and endangering the whole company, and the rise in competition is approaching the best interest of companies to employ executive accountants that make decisions that bring the company's best interests.