Operations Research and Its Implications for the Accounting Profession.

Abstract The article focuses on the relation of accounting and operation research (OR). There has been an unresolved disagreement in the accounting profession as to the accountant's role in OR. In this article the author attempts to clarify what is meant by operations research and examines what are felt to be the logical implications of OR for the accounting profession. There are several phrases which have been used frequently in attempting to define OR. The author defines it as the scientific method to the development of predictive models which describe the stable patterns of order underlying certain business operations and thereby enabling the provision of quantitative information which is helpful in solving executive-type problems. There are three basic views which currently prevail concerning the relationship of accounting and operations research. At one extreme is the view that OR is entirely subsumed by accounting. On the other extreme is the view that accounting is relatively unaffected by OR. The third view is the middle-of-the-road view.