RESOURCE EFFICIENCY THROUGH MATERIAL FLOW COST ACCOUNTING IN WHEAT PRODUCTION

This study investigated the resource efficiency through material flow accounting in a wheat farm production processes, the material flow cost accounting (MFCA) model was used in the case of the Bagwai wheat farm to highlight inefficient at each phases of wheat production process stages starting from the planting, harvest and post harvest stages of wheat cultivation for the farm manager to identify opportunities for corrective action. Consequently, we found that the implementation of the material flow cost accounting (MFCA) model identified that the bulk of wastes come from the harvesting and post-harvesting stages. Wastes that were created at the cultivation stage results from wasted seed because of planting technicalities from the use of abrogated cultivation techniques. At the harvesting stage, wastes result from cutter plane loss, masher unit loss, from separator loss, as well as other factors while during the post-harvest stage, losses arise during transportation, bagging and converting wastes. Thus, we suggested that during planting/cultivation the farmer should use the abrogate cultivation methods for the planting of the wheat seed as to reduce the dropping of seeds at the wrong place, during the harvesting phase to reduce waste generated at this stage the use of traditional method for harvesting and winnowing should be discouraged and the use of a thresher machine introduce and at the post harvest phase waste due to leakage of wheat grain resulting from damaged bags this occur due to bad sack, leakage of the sack, damage sack during transportation and poor quality of rope use in closing the mouth of the sacks. Findings reveal that the inability of the conventional accounting system in accurately capturing waste information in quantity and valve limits the farm manager’s ability to recognize cost-saving opportunities and commit to environmental responsibility.This paper extended the implementation of the MFCA by providing an example of how the managerial accounting system can support environmental and economic sustainability in wheat production processes. Thus, we reiterate that one way of effectively waste reduction, waste management and sound cost reduction decision is to appropriately capture the volume of waste generated in quantity and valve at each wheat production process stages to improve its efficiency. This study adopted a mixed-method research method, the researcher collects and analyses data, and drawing inferences from findings obtained from both qualitative and quantitative methods. The researcher employed in-depth interviews as the primary data collection and used the Umberto Efficiency+ software to analyse the raw data collected at the various levels of the operational process. KEYWORDS: Material Flow Cost Accounting; Current Accounting System; Waste Information ; Environmental Management System; Material Flow Transparency; Material Usage Efficiency