The Impact of Information Technology on Corporate Financial Reporting: A Contingency Perspective

BRITISH ACCOUNTING REVIEW, Vol 28, No 1, March 1996

Posted: 27 Nov 1996

See all articles by Jason Zezhong Xiao

Jason Zezhong Xiao

Cardiff Business School, Cardiff University

John R. Dyson

Napier University at Edinburgh

Philip L. Powell

University of Warwick - Warwick Business School

Abstract

Previous studies investigating IT impact on accounting suffer from a lack of theoretical guidance. An examination of the nature of information technology (IT), financial information and corporate financial reporting (CFR) indicates that the evaluation of IT impact on CFR requires a general, flexible and adaptive framework. Analogous to the contingency theory of organizations (CTO), this paper proposes such a framework. Its general assumptions are that the impact of IT on different aspects of CFR varies and the degree and pattern are contingent upon environmental, organizational, and managerial characteristics. Hypotheses have been developed to expand the framework. An evaluation of the framework against criticisms of CTO shows that it avoids several much criticized problems although care must be taken to ameliorate other pitfalls.

JEL Classification: M41, L22

Suggested Citation

Xiao, Jason Zezhong and Dyson, John R. and Powell, Philip L., The Impact of Information Technology on Corporate Financial Reporting: A Contingency Perspective. BRITISH ACCOUNTING REVIEW, Vol 28, No 1, March 1996. Available at SSRN: https://ssrn.com/abstract=2817

Jason Zezhong Xiao (Contact Author)

Cardiff Business School, Cardiff University ( email )

Aberconway building
Colum Drive
Cardiff, CF10 3EU
United Kingdom

John R. Dyson

Napier University at Edinburgh ( email )

Edinburgh, Scotland EH11 4BN
United Kingdom

Philip L. Powell

University of Warwick - Warwick Business School ( email )

Coventry CV4 7AL
United Kingdom

Register to save articles to
your library

Register

Paper statistics

Abstract Views
2,913
PlumX Metrics