A SIMPLE MANAGEMENT ACCOUNTING MODEL FOR PROCESSED FOOD FARMER GROUPS TO SUPPORT VILLAGE FOOD SECURITY (CASE STUDY: BANDAR SETIA VILLAGE)

Leni Deli (Universitas Potensi Utama)
Putri Nazli (Universitas Potensi Utama)
Nur Anzelina Hrp (Universitas Potensi Utama)
Reza Kurniawan (Universitas Potensi Utama)

Multidiciplinary Output Research for Actual and International Issue (Morfai Journal)
Vol. 6 No. 5 (2026): Multidiciplinary Output Research For Actual and International Issue

This study aims to develop a simple management accounting model for food processing farmer groups in Bandar Setia Village to support village food security. Many farmer groups lack manual financial record-keeping, fail to separate business and personal finances, and lack structured financial reporting, thereby hindering effective planning and decision-making. The study employs a qualitative descriptive approach with a case study design involving 80 members of food processing farmer groups in Bandar Setia Village. Data were collected through observation, interviews, document analysis, and focus group discussions (FGD). The results indicate that financial record-keeping practices are inconsistent and rely solely on memory, making it difficult to monitor costs, determine product prices, and evaluate business performance. Based on these findings, a simple management accounting model was designed, incorporating cash receipt and expenditure recording (via a general cash book), production cost calculations, cost of goods manufactured calculations, and pricing guidelines. The proposed model is practical, easy to implement using accessible language, and tailored to the specific needs and capabilities of the farmer groups. Implementation of this model is expected to improve financial management, support managerial decision-making, enhance business sustainability, and strengthen village food security through more effective management of local food resources.