Technology Executives in the Changing Accounting Information Environment: Impact of IFRS Adoption on CIO Compensation
Information and Management, Forthcoming
42 Pages Posted: 8 Mar 2018 Last revised: 22 Apr 2018
Date Written: June 19, 2017
Accounting regulatory changes that affect the information technology (IT) infrastructure of firms have prompted Chief Information Officers (CIOs) to take the lead in aligning IT changes with new reporting requirements. This study investigates the associations between the mandatory adoption of International Financial Reporting Standards (IFRS), one significant global accounting reform, and CIO compensation. We show a significant increase in CIO compensation in the post-IFRS period, which is higher in non-IT firms than in IT firms. Moreover, pay is at a premium for CIOs equipped with business education. We discuss the implications of our research and offer suggestions for future research.
Keywords: Chief Information Officer, Executive Compensation, Regulatory Reform, International Financial Reporting Standards
JEL Classification: M12, M15, M48
Suggested Citation: Suggested Citation