Pension Fund, as a legal entity that manages the property and run a pension plan that maintains the sustainability of the pension benefit income for the participants in the after-work period, is particularly vulnerable to risk. In the context of pension fund management, the risks that are faced are the insufficient funds that may influence the fulfillment of the obligation of the Pension fund in giving the pension benefits to its clients. Implementing some of the techniques / management accounting practices in the Pension Fund, Pension Fund Board can assist the risk management to improve the performance of organizations in Pension Fund. This study aimed to examine the effect of management accounting on the implementation of risk management and its implications of organizational performance. This study measures the extent of management accounting practices in risk management and how big the integration of them in helping to carry out the essential managerial functions to improve organizational performance. The results showed that: (1) Management accounting significantly affects the risk management of the employer Pension Fund that hold Defined Benefit Pension Plan (Program Pensiun Manfaat Pasti (PPMP)) in West Java-Banten, and (2) risk management significantly affects the organization’s performance in the Employer Pension Fund that hold Defined Benefit Pension Plan in West Java-Banten. This research was conducted in Pension Fund Defined Benefit Pension Plan in West Java-Banten, so the results cannot be generalized to the other contexts. The result of this research reinforces the importance of management accounting and risk management in a complementary relationship to improve organizational performance. This study contributes to the literature reviews that only few of them testing the significant relationship between management accounting and risk management.
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