IDEAS home Printed from https://ideas.repec.org/a/usm/journl/aamjaf01002_147-173.html
   My bibliography  Save this article

Perceived Environmental Factors And The Intention To Adopt A Standard Business Reporting Facility: A Survey Of Australian Corporate Cfos

Author

Listed:
  • Saiful Azam

    () (School of Accounting, RMIT University, GPO Box 2476 Melbourne, 3001, Australia)

Abstract

The Australian government's extensible business reporting language (XBRL)-derived reporting facility, called Standard Business Reporting (SBR), went 'live' to companies in 2010. Its voluntary take-up by companies has been poor following a promotion that emphasised its technological benefits. This study seeks to identify a set of perceived environmental factors and examine how these factors influence managerial intention to adopt SBR. A survey instrument is developed to measure the extent of the competitive pressure, government pressure and external communication perceived by the Chief Financial Officers (CFOs) of listed companies as influences on their firms' intention to adopt SBR. Based on 54 usable responses by CFOs of relatively large listed companies, the survey results reveal that, contrary to the expectation, no significant association exists between perceived competitiveness in the industry and the intention to adopt SBR. However, CFOs regard becoming a leader or an early follower as a significant consideration influencing their firms' intentions to adopt SBR. As the paper reports, CFOs believe that they do not have adequate information about SBR from external sources. Communication about SBR is found to be significantly related to the intention to adopt SBR. Interestingly, government pressure is not found to relate to the intention to adopt SBR. Implications of these environmental influences for the successful voluntary take-up of SBR in Australia are discussed.

Suggested Citation

  • Saiful Azam, 2014. "Perceived Environmental Factors And The Intention To Adopt A Standard Business Reporting Facility: A Survey Of Australian Corporate Cfos," Asian Academy of Management Journal of Accounting and Finance (AAMJAF), Penerbit Universiti Sains Malaysia, vol. 10(2), pages 147-173.
  • Handle: RePEc:usm:journl:aamjaf01002_147-173
    as

    Download full text from publisher

    File URL: http://web.usm.my/journal/aamjaf/vol%2010-2-2014/AAMJAF%2010-2-7%20%28147-173%29.pdf
    Download Restriction: no

    References listed on IDEAS

    as
    1. Sree Nilakanta & Richard W. Scamell, 1990. "The Effect of Information Sources and Communication Channels on the diffusion of Innovation in a Data Base Development Environment," Management Science, INFORMS, vol. 36(1), pages 24-40, January.
    2. Dong, Yan & Xu, Kefeng & Dresner, Martin, 2007. "Environmental determinants of VMI adoption: An exploratory analysis," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 43(4), pages 355-369, July.
    3. Lopes, Patricia Teixeira & Rodrigues, Lucia Lima, 2007. "Accounting for financial instruments: An analysis of the determinants of disclosure in the Portuguese stock exchange," The International Journal of Accounting, Elsevier, vol. 42(1), pages 25-56.
    4. Ahmed Riahi-Belkaoui & Fouad K. AlNajjar, 2006. "Earnings opacity internationally and elements of social, economic and accounting order," Review of Accounting and Finance, Emerald Group Publishing, vol. 5(2), pages 189-203, May.
    5. Robert D. Dewar & Jane E. Dutton, 1986. "The Adoption of Radical and Incremental Innovations: An Empirical Analysis," Management Science, INFORMS, vol. 32(11), pages 1422-1433, November.
    6. Thomas, Andrew P., 1986. "The contingency theory of corporate reporting: Some empirical evidence," Accounting, Organizations and Society, Elsevier, vol. 11(3), pages 253-270, May.
    7. Tarun Khanna & Krishna G. Palepu & Suraj Srinivasan, 2004. "Disclosure Practices of Foreign Companies Interacting with U.S. Markets," Journal of Accounting Research, Wiley Blackwell, vol. 42(2), pages 475-508, May.
    8. Kulviwat, Songpol & Bruner II, Gordon C. & Al-Shuridah, Obaid, 2009. "The role of social influence on adoption of high tech innovations: The moderating effect of public/private consumption," Journal of Business Research, Elsevier, vol. 62(7), pages 706-712, July.
    9. R.M. Haniffa & T. E. Cooke, 2002. "Culture, Corporate Governance and Disclosure in Malaysian Corporations," Abacus, Accounting Foundation, University of Sydney, vol. 38(3), pages 317-349.
    10. Joanne Locke & Alan Lowe, 2007. "XBRL: An (Open) Source of Enlightenment or Disillusion?," European Accounting Review, Taylor & Francis Journals, vol. 16(3), pages 585-623.
    11. Yoon, Hyungwook & Zo, Hangjung & Ciganek, Andrew P., 2011. "Does XBRL adoption reduce information asymmetry?," Journal of Business Research, Elsevier, vol. 64(2), pages 157-163, February.
    Full references (including those not matched with items on IDEAS)

    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:usm:journl:aamjaf01002_147-173. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Journal Division, Penerbit Universiti Sains Malaysia). General contact details of provider: http://edirc.repec.org/data/aammmea.html .

    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 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.

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.