IDEAS home Printed from https://ideas.repec.org/a/eee/ijoais/v51y2023ics1467089523000325.html
   My bibliography  Save this article

Relationship between top managers’ interest in accounting information and accounting practices in startups

Author

Listed:
  • Kubota, Takaya
  • Okuda, Shin'ya

Abstract

Prior studies argue that information systems affect several accounting practices in organizations. However, there are factors affect design of accounting information systems and in turn accounting practices, and a comprehensive approach, to simultaneously understand relationships between accounting practices and information technology, and factors influence accounting information systems design, is needed as next research paradigm. In this study, we deal with top managers’ characteristics as determinants of accounting information systems design and accounting practices in organization. We conducted an empirical analysis based on questionnaire survey gathered from 124 Japanese startup companies. Using structural equation modelling, we present that top managers who are interested in accounting information facilitate investment in accounting information systems, perform external reporting tasks within the companies, and adopt management accounting techniques. In addition, we simultaneously examine the effect of introducing cloud-based accounting information systems on management accounting practice and show their negative association. Lastly, through supplemental analysis by generalized structural equation modelling we show tenured and experienced top managers tend not to introduce new technology-based accounting information systems in their startup companies. This paper contributes to accounting information systems literature by suggesting a comprehensive approach showing that top managers’ characteristics affect accounting information systems design and in turn accounting practices.

Suggested Citation

  • Kubota, Takaya & Okuda, Shin'ya, 2023. "Relationship between top managers’ interest in accounting information and accounting practices in startups," International Journal of Accounting Information Systems, Elsevier, vol. 51(C).
    • Handle: RePEc:eee:ijoais:v:51:y:2023:i:c:s1467089523000325
    DOI: 10.1016/j.accinf.2023.100640
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1467089523000325
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.accinf.2023.100640?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Robert Greenberg & Wei Li & Bernard Wong‐On‐Wing, 2012. "The effect of trust in system reliability on the intention to adopt online accounting systems," International Journal of Accounting & Information Management, Emerald Group Publishing Limited, vol. 20(4), pages 363-376, October.
    2. Asatiani, Aleksandre & Apte, Uday & Penttinen, Esko & Rönkkö, Mikko & Saarinen, Timo, 2019. "Impact of accounting process characteristics on accounting outsourcing - Comparison of users and non-users of cloud-based accounting information systems," International Journal of Accounting Information Systems, Elsevier, vol. 34(C), pages 1-1.
    3. Granlund, Markus, 2011. "Extending AIS research to management accounting and control issues: A research note," International Journal of Accounting Information Systems, Elsevier, vol. 12(1), pages 3-19.
    4. Thorsten Knauer & Nicole Nikiforow & Sebastian Wagener, 2020. "Determinants of information system quality and data quality in management accounting," Journal of Management Control: Zeitschrift für Planung und Unternehmenssteuerung, Springer, vol. 31(1), pages 97-121, April.
    5. Moll, Jodie & Yigitbasioglu, Ogan, 2019. "The role of internet-related technologies in shaping the work of accountants: New directions for accounting research," The British Accounting Review, Elsevier, vol. 51(6).
    6. Ummugulsum Zor & Stefan Linder & Christoph Endenich, 2019. "CEO Characteristics and Budgeting Practices in Emerging Market SMEs," Journal of Small Business Management, Taylor & Francis Journals, vol. 57(2), pages 658-678, April.
    7. Paula Monteiro, Albertina & Vale, Joana & Leite, Eduardo & Lis, Marcin & Kurowska-Pysz, Joanna, 2022. "The impact of information systems and non-financial information on company success," International Journal of Accounting Information Systems, Elsevier, vol. 45(C).
    8. Mareike Bergmann & Christian Brück & Thorsten Knauer & Anja Schwering, 2020. "Digitization of the budgeting process: determinants of the use of business analytics and its effect on satisfaction with the budgeting process," Journal of Management Control: Zeitschrift für Planung und Unternehmenssteuerung, Springer, vol. 31(1), pages 25-54, April.
    9. Vo Tan Liem & Nguyen Ngoc Hien, 2020. "Exploring the impact of dynamic environment and CEO’s psychology characteristics on using management accounting system," Cogent Business & Management, Taylor & Francis Journals, vol. 7(1), pages 1712768-171, January.
    10. Kallunki, Juha-Pekka & Laitinen, Erkki K. & Silvola, Hanna, 2011. "Impact of enterprise resource planning systems on management control systems and firm performance," International Journal of Accounting Information Systems, Elsevier, vol. 12(1), pages 20-39.
    11. repec:eme:jaar00:09675421211281317 is not listed on IDEAS
    12. Patricia Everaert & Gerrit Sarens & Jan Rommel, 2010. "Using Transaction Cost Economics to explain outsourcing of accounting," Small Business Economics, Springer, vol. 35(1), pages 93-112, July.
    13. Odysseas Pavlatos, 2012. "The impact of CFOs' characteristics and information technology on cost management systems," Journal of Applied Accounting Research, Emerald Group Publishing Limited, vol. 13(3), pages 242-254, November.
    14. David Naranjo-Gil & Victor Maas & Frank Hartmann, 2009. "How CFOs Determine Management Accounting Innovation: An Examination of Direct and Indirect Effects," European Accounting Review, Taylor & Francis Journals, vol. 18(4), pages 667-695.
    15. Odysseas Pavlatos, 2012. "The impact of CFOs' characteristics and information technology on cost management systems," Journal of Applied Accounting Research, Emerald Group Publishing Limited, vol. 13(3), pages 242-254, November.
    16. Abolfazl Amanollah Nejad Kalkhouran & Bahareh Hossein Nezhad Nedaei & Siti Zaleha Abdul Rasid, 2017. "The indirect effect of strategic management accounting in the relationship between CEO characteristics and their networking activities, and company performance," Journal of Accounting & Organizational Change, Emerald Group Publishing Limited, vol. 13(4), pages 471-491, November.
    17. Naranjo-Gil, David & Hartmann, Frank, 2007. "How CEOs use management information systems for strategy implementation in hospitals," Health Policy, Elsevier, vol. 81(1), pages 29-41, April.
    18. Lee, Jessica & Elbashir, Mohamed Z. & Mahama, Habib & Sutton, Steve G., 2014. "Enablers of top management team support for integrated management control systems innovations," International Journal of Accounting Information Systems, Elsevier, vol. 15(1), pages 1-25.
    19. Martin Hiebl, 2014. "Upper echelons theory in management accounting and control research," Metrika: International Journal for Theoretical and Applied Statistics, Springer, vol. 24(3), pages 223-240, January.
    20. Chenhall, Robert H., 2003. "Management control systems design within its organizational context: findings from contingency-based research and directions for the future," Accounting, Organizations and Society, Elsevier, vol. 28(2-3), pages 127-168.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jochen Fähndrich, 2023. "A literature review on the impact of digitalisation on management control," Journal of Management Control: Zeitschrift für Planung und Unternehmenssteuerung, Springer, vol. 34(1), pages 9-65, March.
    2. Martin Hiebl, 2014. "Upper echelons theory in management accounting and control research," Metrika: International Journal for Theoretical and Applied Statistics, Springer, vol. 24(3), pages 223-240, January.
    3. Per Ståle Knardal & Trond Bjørnenak, 2020. "Managerial characteristics and budget use in festival organizations," Journal of Management Control: Zeitschrift für Planung und Unternehmenssteuerung, Springer, vol. 31(4), pages 379-402, December.
    4. Jafar Ojra & Abdullah Promise Opute & Mohammad Mobarak Alsolmi, 2021. "Strategic management accounting and performance implications: a literature review and research agenda," Future Business Journal, Springer, vol. 7(1), pages 1-17, December.
    5. Nora Haas & Gerhard Speckbacher, 2017. "Everything Under My Control: CEO Characteristics and the Evaluation of Middle Manager Performance in Small and Medium-Sized Firms," Schmalenbach Business Review, Springer;Schmalenbach-Gesellschaft, vol. 18(2), pages 109-128, May.
    6. Fábio Albuquerque & Paula Gomes Dos Santos, 2023. "Recent Trends in Accounting and Information System Research: A Literature Review Using Textual Analysis Tools," FinTech, MDPI, vol. 2(2), pages 1-27, April.
    7. Robalo, Rui C. & Moreira, José António, 2020. "The influence of power strategies in AIS implementation processes," International Journal of Accounting Information Systems, Elsevier, vol. 39(C).
    8. Liem Tan Vo & Nhi Van Vo & Toan Ngoc Pham & Nguyen Ngoc Hien, 2023. "The Impact of Historical Performance and Managerial Risk-taking Propensity on the Behavior of Choosing Prospector Strategy and Using Strategic Management Accounting Information in Viet Nam Manufacture," SAGE Open, , vol. 13(4), pages 21582440231, December.
    9. Marco Morelli & Francesca Lecci, 2014. "Management control systems (MCS) change and the impact of top management characteristics: the case of healthcare organisations," Metrika: International Journal for Theoretical and Applied Statistics, Springer, vol. 24(3), pages 267-298, January.
    10. Belete J. Bobe & Ralph Kober, 2020. "Does gender matter? The association between gender and the use of management control systems and performance measures," Accounting and Finance, Accounting and Finance Association of Australia and New Zealand, vol. 60(3), pages 2063-2098, September.
    11. Roy-Ivar Andreassen, 2020. "Digital technology and changing roles: a management accountant’s dream or nightmare?," Journal of Management Control: Zeitschrift für Planung und Unternehmenssteuerung, Springer, vol. 31(3), pages 209-238, September.
    12. Peters, Matt D. & Wieder, Bernhard & Sutton, Steve G. & Wakefield, James, 2016. "Business intelligence systems use in performance measurement capabilities: Implications for enhanced competitive advantage," International Journal of Accounting Information Systems, Elsevier, vol. 21(C), pages 1-17.
    13. Rikhardsson, Pall & Yigitbasioglu, Ogan, 2018. "Business intelligence & analytics in management accounting research: Status and future focus," International Journal of Accounting Information Systems, Elsevier, vol. 29(C), pages 37-58.
    14. Adriana Tiron-Tudor & Delia Deliu, 2021. "Big Data’s Disruptive Effect on Job Profiles: Management Accountants’ Case Study," JRFM, MDPI, vol. 14(8), pages 1-26, August.
    15. Rodney Coyte & Martin Messner & Shan Zhou, 2022. "The revival of zero‐based budgeting: drivers and consequences of firm‐level adoptions," Accounting and Finance, Accounting and Finance Association of Australia and New Zealand, vol. 62(3), pages 3147-3188, September.
    16. Frerich Buchholz & Kerstin Lopatta & Karen Maas, 2020. "The Deliberate Engagement of Narcissistic CEOs in Earnings Management," Journal of Business Ethics, Springer, vol. 167(4), pages 663-686, December.
    17. Macinati, Manuela S. & Anessi-Pessina, E., 2014. "Management accounting use and financial performance in public health-care organisations: Evidence from the Italian National Health Service," Health Policy, Elsevier, vol. 117(1), pages 98-111.
    18. Sophie Hoozée & Falconer Mitchell, 2018. "Who Influences the Design of Management Accounting Systems? An Exploratory Study," Australian Accounting Review, CPA Australia, vol. 28(3), pages 374-390, September.
    19. Zhang, Chao & Zhu, Weidong & Dai, Jun & Wu, Yong & Chen, Xulong, 2023. "Ethical impact of artificial intelligence in managerial accounting," International Journal of Accounting Information Systems, Elsevier, vol. 49(C).
    20. David Naranjo-Gil, 2016. "The Role of Management Control Systems and Top Teams in Implementing Environmental Sustainability Policies," Sustainability, MDPI, vol. 8(4), pages 1-12, April.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:ijoais:v:51:y:2023:i:c:s1467089523000325. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: https://www.journals.elsevier.com/international-journal-of-accounting-information-systems/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.