Public sector reforms in Malaysia begun in the 1980s with the primary objective of improving the effectiveness, efficiency and transparency of governmental operational and financial management. The shift from cash-based accounting to accrual-based accounting in the public sector constitutes one of the measures outlined in the New Economic Model (NEM) under this reform initiative. The aim of this paper is to examine the opportunities and challenges faced by the Malaysian public sector in implementing accrual-based accounting. A review of previous literature in this area showed that accrual-based accounting improves decision-making processes, promotes better financial management and enhances public accountability. However, the transition process between these two accounting methods is not without challenges. Human resources competency, software and technology capability, accounting policies and standards suitability are identified as major challenges in the implementation effort. These c.....

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The aim of this study was to identify the level of readiness in the implementation of accrual- based accounting among Malaysian public healthcare in the Northern region. It also examined the   relationship  between  human  resources  competency,  software  and  technology  capability,  accounting policies and standards suitability and the level of readiness in the implementation of  accrual-based accounting. Quantitative approaches were used in this study with questionnaire as the  research instrument. Data were collected from a sample of 200 administrative officers in the  Finance  Department  at  20  public  hospitals  and  state  health  departments.  Descriptive  and  inferential analysis techniques were used to analyse the data. The finding showed that the level of   readiness  to  implement  accrual-based  accounting  in  Malaysian  public  healthcare  was  moderately high (M = 3.97, SD = 0.719). The results also revealed that there .....

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