Abstract
This paper examines the relationship between organizational culture and the management accounting innovations in Pakistan. Management accounting innovation includes the modern form of management accounting system such as activity base costing (ABC), activity Base management (ABM), balance score card (BSC) and target costing (TC). The study took into consideration four cultural dimensions i.e. support, innovation, rule and goal. Qualitative content analysis revealed that organizations with greater intensity of culture reflecting support and innovation orientation had the greater ability to use management accounting innovations.