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THE ROLE OF ACCOUNTING IN AN ORGANISATION Blog 4 | D1: Critically Evaluating the Role of Accounting in Informing Decision Making Within Complex Operating Environments A Case Study Reference: Hemas Holdings PLC, Sri Lanka

  Introduction: Accounting in an Age of Complexity The modern business environment is characterised by unprecedented complexity — rapidly shifting market conditions, geopolitical instability, digital disruption, evolving regulatory landscapes, and the growing demands of diverse stakeholder communities. In this environment, the accounting function is called upon to do far more than produce historical financial statements. It must provide timely, forward-looking, and contextually nuanced intelligence that enables organisations to make sound decisions, manage risks, and create sustainable value. As Seal et al. (2018) argue, the accounting function in complex organisations must act as a strategic partner to management, integrating financial and non-financial data to produce a comprehensive picture of the organisation's value drivers and risk exposures. Hemas Holdings PLC presents a particularly rich context for critically evaluating this expanded conception of accounting's role...
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THE ROLE OF ACCOUNTING IN AN ORGANISATION Blog 3 | M1: Evaluating the Accounting Function in Meeting Organisational, Stakeholder and Societal Needs A Case Study Reference: Hemas Holdings PLC, Sri Lanka

  Introduction: Accounting as a Multi-Dimensional Service Function The accounting function has traditionally been conceptualised as a technical discipline concerned with numbers, ledgers, and financial statements. However, a more nuanced evaluation reveals that accounting serves a far broader set of purposes — functioning simultaneously as an organisational management tool, a communication channel for stakeholders, and a mechanism for societal accountability. Weetman (2019) argues that the accounting function creates value not just for the entity preparing financial reports, but for the entire network of parties who depend on those reports to make informed decisions. This perspective frames accounting not as an internal administrative activity but as a multi-dimensional service function that bridges the organisation, its stakeholders, and society at large. Hemas Holdings PLC, Sri Lanka's diversified conglomerate operating across Consumer Brands, Healthcare, and Mobility sectors...
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THE ROLE OF ACCOUNTING IN AN ORGANISATION Blog 2 | P2: The Accounting Function in the Context of Regulatory and Ethical Constraints A Case Study Reference: Hemas Holdings PLC, Sri Lanka

  Introduction: The Accountability Imperative in Accounting The accounting function does not operate in a vacuum. Every financial statement prepared, every transaction recorded, and every report published exists within a web of regulatory requirements, professional ethical standards, and societal expectations that collectively shape how accounting is practised. Far from being mere bureaucratic constraints, these regulatory and ethical frameworks serve as the pillars upon which trust in financial reporting is built. As the Institute of Chartered Accountants of Sri Lanka (ICASL, 2024) asserts through its Code of Ethics for Professional Accountants, the accounting profession is governed by fundamental principles including integrity, objectivity, professional competence and due care, confidentiality, and professional behaviour — principles that protect not just individual organisations but the broader financial ecosystem. For Hemas Holdings PLC, one of Sri Lanka's most prominent pu...
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THE ROLE OF ACCOUNTING IN AN ORGANISATION Blog 1 | P1: Examining the Purpose of the Accounting Function A Case Study Reference: Hemas Holdings PLC, Sri Lanka

  Introduction: What Is Accounting and Why Does It Matter? In the dynamic and rapidly changing environment that characterises modern-day business operations, accounting emerges as one of the most critical areas in any firm. Rather than viewing it as an ancillary process, accounting can be thought of as the systematic structure through which businesses get an insight into their financial situation and chart a way forward for themselves. According to the American Accounting Association (AAA), "accounting refers to the process of identifying, measuring, and communicating economic information to enable users to make informed judgements and decisions" (American Accounting Association, 1966; Accountingverse, 2024). The example of Hemas Holdings PLC, which is among the most diverse conglomerates in Sri Lanka, shows how an effective accounting process can form the foundation for success through strategy development. Engaged in such areas as Consumer Brands, Healthcare, and Mobili...
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