IDEAS home Printed from https://ideas.repec.org/a/ids/ijbisy/v12y2013i3p271-295.html
   My bibliography  Save this article

Performance measurement systems and environmental uncertainty effect on profitability

Author

Listed:
  • Aapo Länsiluoto
  • Adebayo Agbejule
  • Noora Kataja

Abstract

This study analyses how the changes in financial and non-financial measures, the scope of PMS and environmental uncertainty are associated with financial performance in accounting information system (AIS). The empirical data was collected by a survey which was sent to 464 manufacturing companies with over 50 employees. We received 98 (response rate 21.1%) utilisable responses from the respondents with financial responsibility (i.e., CEOs and CFO). According to statistical analysis, environmental uncertainty, PMS change and scope of PMS have an interactive association with performance. This association was found only after classifying aggregate PMS into three perspectives, i.e., customer, internal business process and employee. The highest performance occurred during changes in financial PMS, the emphasis on the customer or employee (internal business process) perspectives under low (high) environmental uncertainty.

Suggested Citation

  • Aapo Länsiluoto & Adebayo Agbejule & Noora Kataja, 2013. "Performance measurement systems and environmental uncertainty effect on profitability," International Journal of Business Information Systems, Inderscience Enterprises Ltd, vol. 12(3), pages 271-295.
    • Handle: RePEc:ids:ijbisy:v:12:y:2013:i:3:p:271-295
    as

    Download full text from publisher

    File URL: http://www.inderscience.com/link.php?id=52451
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

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

    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:ids:ijbisy:v:12:y:2013:i:3:p:271-295. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: Sarah Parker (email available below). General contact details of provider: http://www.inderscience.com/browse/index.php?journalID=172 .

    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.