Application of the Responsibility Accounting in Saudi Arabia’s Private Hospitals : A Field Study

Abstract

This Study aimed at exploring the extent to which applying the

responsibility accounting in Saudi Private Hospitals and the factors that

limit its application. To achieve this objective, the researcher distributed a

questionnaire to 110 Saudi Private Hospitals. The response rate was 73.1%

of the population.

The study revealed that:-

- Around 72.10% of the Saudi private hospitals apply the responsibility

accounting and its essentials, while the rest of the sample applies it with

less degree.

- About 78.17% of the Saudi private hospitals which apply accounting

responsibility have specific responsibility centers.

- Nearly 66.72% of the Saudi private hospitals have budgets and performance

reports for each center.

The study recommended the following:-

- The importance of applying the Responsibility Accounting essentials

appropriatly.

- To have a motivation system to urge employees in order to achieve planned

performance.

- To have an accounting system to distribute the common assets among the

different departments that are likely to benefit from it.