Accounting transformation for socially responsible management: ethical approach

Focusing on the managerial aspect, the author analyzes the three-dimensional model of corporate social responsibility in terms of managers’ aims in decision-making process in order to determine the directions of accounting information transformation to meet the needs of socially responsible management. It is concluded that the concept of socially responsible business corresponds only to the kind of business where the manager makes decisions based on the current legislation and ethical standards maximizing profits. It corresponds to ethical or ethically universal business. The purpose of the accounting system in this case is to provide managers with sufficient information necessary for conducting business in accordance with the current legislation, ethical norms maximizing profits. The author proves that the variability of accounting information allows managers to take into account the interests of the majority of stakeholders and balance their interests in the context of ethical business. The author states that this approach to the accounting information expands the list of existing accounting paradigms.