Bedford, DS, Bisbe, J & Sweeney, B 2019, 'Performance measurement systems as generators of cognitive conflict in ambidextrous firms', Accounting, Organizations and Society, vol. 72, no. Jan, pp. 21-37.
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© 2018 Elsevier Ltd This study explores the decision-facilitating role of performance measurement systems (PMSs) in firms attempting to translate competence ambidexterity (i.e., the simultaneous pursuit of exploration and exploitation) into innovation ambidexterity outcomes (i.e., the achievement of both radical and incremental innovations). Drawing on paradox and organisational conflict literature, this study emphasises the role of cognitive conflict, generated by PMSs, in shaping the relationships between competence ambidexterity and innovation ambidexterity. Based on survey data from a sample of 90 Irish firms, our findings indicate that competence ambidexterity is associated with (a) the choice to have a balanced set of performance measures, and (b) the use of PMSs for frequent and intensive debate between top managers. Furthermore, the study reveals that these choices are interdependent, as they function as complements in generating cognitive conflict, which in turn drives the realisation of innovation ambidexterity outcomes. The results also show that cognitive conflict is not directly associated with the development of competence ambidexterity, but is instead generated through the conjoint action of a balanced PMS design and the use of PMSs for intensive debate. Overall, this study demonstrates the interdependent nature of choices concerning the design and use of PMSs, and the significant role of PMSs as generators of cognitive conflict in firms attempting to achieve ambidexterity.
Bugeja, M, da Silva Rosa, R, Izan, HY & Ngan, S 2019, 'Choice of acquisition form in Australia and the post‐takeover employment of target firm directors on the acquiring firm board', Accounting & Finance, vol. 59, no. 4, pp. 2235-2271.
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AbstractIn Australia, a corporate acquisition can be structured as either a scheme of arrangement or a takeover. We investigate the association between deal structure and the retention of target directors on the merged entity board. We find that the odds of a target director subsequently sitting on the merged entity's board are significantly higher in schemes. The results also show that premiums are lower in schemes of arrangement when additional target directors are appointed to the board of the acquiring firm. The findings indicate that target director appointment is unrelated to the merged entity's post‐acquisition performance.
Czernkowski, R & Lim, S 2019, 'Community Asset Valuations by Non‐profit Government Entities', Australian Accounting Review, vol. 29, no. 3, pp. 556-579.
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AbstractThis paper examines an implication of applying International Financial Reporting Standards to the government sector in Australia. We posit both a self‐interest and a transparency motivation for local governments effecting revaluations of both infrastructure assets and community land. The self‐interest motivation was expected to manifest as a relationship between the amount of revaluation and CEO (or management team) remuneration. The transparency motivation was expected to result in a relationship between revaluation and the extent of spending on these assets, measured as both the quantum of materials and contracts expense, and as the quantum of contracts awarded by the entity above the disclosure threshold. We also speculated that revaluations may be used to signal to state governments a need for additional funds through capital and/or operating grants. At conventional levels of significance, we find no support for these relationships, suggesting that agency motivations at the local government level are either more subtle or non‐existent. As local government authorities in our study follow a reporting framework and standardised accounting procedures prescribed by the state government (in compliance with applicable AASB/IFRS standards), financial and public accountabilities are also likely to be a driver for the valuation of local infrastructure assets at fair value, and this is not likely to be undermined by the opportunistic incentives we have considered.
Czernkowski, R, Kean, S & Lim, S 2019, 'Impact of ASX corporate governance guidelines on sustainability reporting', Accounting Research Journal, vol. 32, no. 4, pp. 692-724.
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PurposeThis paper aims to examine the impact of the Australian Securities Exchange Corporate Governance recommendations on the breadth (amount of items covered) of (environmental and social) sustainability reporting by the firms in the Top 100, around the change from G3.1 to G4 disclosure regimes.Design/methodology/approachThis paper undertakes comparisons of means and regression models to investigate the changes between disclosure scores of 98 listed entities from the 2013 G3.1 to the 2015 G4 disclosure regimes.FindingsThis paper finds that average disclosure levels did not change. Nonetheless, disclosure practices did vary by entity size and performance. Analysis of 2015 disclosures contingent on 2013 disclosure practice indicates that disclosure changes are consistent with a pattern of mean reversion.Practical implicationsEvidence that low disclosers increased disclosure and high disclosers reduced disclosers is consistent with the idea that sustainability disclosure is not so much driven by any ethical considerations, but rather by a desire to not be a disclosure outlier. Reliance on voluntary disclosure to achieve a socially desired level of disclosure is unlikely to bear fruit.Originality/valueThis paper contributes to the literature on sustainability by examining firm responses to change in disclosure regimes, and concluding that size and peer relativities drive the disclosure process.
Fahad, N, Ma, N & Scott, T 2019, 'The Consequences of Discount Rate Selection for Defined Benefit Liabilities', Journal of Contemporary Accounting & Economics, vol. 16, no. 1, pp. 100184-100184.
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© 2020 This paper provides evidence on the use of discount rates for calculating defined benefit liabilities (DBL), and their impact on value relevance and audit fees for Australian listed companies between 2011 and 2016. We document that the average discount rate is 3.96% but the yearly range across companies is 4.03% (2.76% excluding multinationals with multiple plans), despite the fact that AASB 119 provides guidance to use the yield of high quality corporate bonds or, if there is not a deep market, government bonds. We then find that the DBL or unfunded component (DBL less the fair value of the plan's assets) is value relevant, but is less so when a higher discount rate is used. Furthermore, we document that audit fees are higher when the DBL is larger, or the discount rate is higher, consistent with greater audit effort and risk. Overall, this paper contributes to the accounting literature by documenting both the discretion available in discount rate selection and its consequences.
Ferguson, A, Lam, P & Ma, N 2019, 'Further Evidence on Mandatory Partner Rotation and Audit Pricing: A Supply‐Side Perspective', Accounting & Finance, vol. 59, no. 2, pp. 1055-1100.
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© 2017 AFAANZ This study examines effects of mandatory partner rotation (MPR) on audit fees of Australian-listed companies. Using a fee changes approach, evidence of fee increases in year of the MPR driven by smaller offices of non-Big 4 auditors is found, consistent with supply-side resource constraint arguments. Broadly consistent findings are observed using a fee levels approach. Appointment of inexperienced partners to MPR engagements has no discernible effect on fees. Additional analysis of audit reporting lag indicates fee increases reflect additional audit effort as opposed to a pricing strategy. Overall, the evidence supports recent moves by policy-makers to soften MPR requirements.
Ghannam, S, Bugeja, M, Matolcsy, ZP & Spiropoulos, H 2019, 'Are Qualified and Experienced Outside Directors Willing to Join Fraudulent Firms and If So, Why?', The Accounting Review, vol. 94, no. 2, pp. 205-227.
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ABSTRACTWe investigate whether qualified and experienced directors are willing to join firms following the revelation of financial fraud. Specifically, we focus on directors with prior board experience and accounting and legal experts. We find that, notwithstanding the tarnished reputation of fraudulent firms and a higher workload, qualified and experienced directors join the boards of such firms. Subsequent to joining fraudulent firms, directors are rewarded with additional future board seats and benefit from higher compensation. We rule out alternative explanations and verify the robustness of the results by performing a variety of tests, including propensity score matching and difference-in-differences analysis.JEL Classifications: G30; G34.
Ghannam, S, Matolcsy, ZP, Spiropoulos, H & Thai, N 2019, 'The influence of powerful non-executive Chairs in Mergers and acquisitions', Journal of Contemporary Accounting & Economics, vol. 15, no. 1, pp. 87-104.
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He, W, Sidhu, B & Taylor, SL 2019, 'Audit Quality and Properties of Analysts’ Information Environment', Journal of Business Finance & Accounting, vol. 46, no. 3-4, pp. 400-419.
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© 2018 John Wiley & Sons Ltd We consider how audit quality impacts sell-side analysts’ information environment. Using the method outlined by Barron et al., we examine whether higher audit quality is associated with differences in the weight analysts place on common information relative to private information, as well as the extent to which audit quality separately impacts the precision of analysts’ private and common information. Our results show that, in instances where analysts revise their earnings forecasts for year t+1 shortly after the release of year t earnings, higher audit quality results in analysts placing more weight on public information. The precision of private (as well as public) information is improved. These results extend our understanding of how audit quality impacts on attributes of analysts’ forecasts and provides support for the argument that audit quality has important capital market implications.
Lanis, R, Richardson, G, Liu, C & McClure, R 2019, 'The Impact of Corporate Tax Avoidance on Board of Directors and CEO Reputation', Journal of Business Ethics, vol. 160, no. 2, pp. 463-498.
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© 2018 Springer Nature B.V. This study examines the impact of corporate tax avoidance on board of directors and chief executive officer (CEO) reputation. Our regression results show that when firms engage in tax avoidance, both directors and CEOs, on average, are rewarded by improvements in their reputations as proxied by an increased number of outside board seats. In particular, both independent directors and non-CEO executive directors undergo positive changes in reputation. We also find that CEOs of tax-aggressive firms experience enhanced reputations by gaining extra board seats. Our main regression results hold based on additional analyses. Overall, this study provides important empirical evidence confirming an association between tax avoidance and the individual reputations of directors and CEOs.
Lewis, RL, Brown, DA & Sutton, NC 2019, 'Control and empowerment as an organising paradox: implications for management control systems', Accounting, Auditing & Accountability Journal, vol. 32, no. 2, pp. 483-507.
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PurposeThe purpose of this paper is to reframe the debate about the tension between management control and employee empowerment by drawing on a theory of paradox. Reframing the problem in this way draws attention to the variety of ways in which organisations can attend to both control and empowerment simultaneously.Design/methodology/approachThe authors undertake a conceptual examination of the relationship between empowerment and control using a paradox theory lens. First, the authors bring together two dimensions of empowerment – structural empowerment and psychological empowerment – and combine them to produce three new empowerment “scenarios”: illusory empowerment, obstructed empowerment and authentic empowerment. For each of these three scenarios, the central tenets of paradox theory are applied in order to explain the nature of the paradoxical tension, anticipated behavioural responses and the resulting challenges for ongoing management control.FindingsThe authors find that neither structural nor psychological empowerment alone can account for variation in behavioural responses to management control. The conceptual analysis highlights the interplay of socio-ideological control and systems of accountability in generating psychological empowerment and demonstrates that this does not come at a cost to management control but instead results in a reduction in the scale and scope of ongoing challenges.Originality/valueThis paper contributes a new theoretical perspective on the classic problem of tension between management control and employee empowerment. Rather than positioning control a...
Loyeung, A 2019, 'The role of boutique financial advisors in mergers and acquisitions', Australian Journal of Management, vol. 44, no. 2, pp. 212-247.
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This study examines the choice of boutique financial advisors in mergers and acquisitions, and the consequences of this choice on deal outcomes and post-acquisition performance. Boutique advisors often specialize in a particular industry and focus exclusively on providing advice in mergers and acquisitions. The results suggest that boutique financial advisors are preferred when the deal is considered complex and when information asymmetry is high. The study finds that the benefits of hiring a boutique advisor flow to both the acquirers and the target firms. Acquiring firms benefit in terms of improved post-merger performance, while target firms benefit in terms of higher completion of value-enhancing deals and positive cumulative abnormal returns. Overall, these results provide support for the growing popularity of boutique financial advisors in the Australian market. JEL classification: G24, G34
Matthews, LR, Johnstone, R, Quinlan, M, Rawlings-Way, O & Bohle, P 2019, 'Work fatalities, bereaved families and the enforcement of OHS legislation', Journal of Industrial Relations, vol. 61, no. 5, pp. 637-656.
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There has been considerable research and policy debate over the enforcement and decriminalization of occupational health and safety legislation, particularly regarding its capacity to deal with serious harm. Reference has been made to community attitudes to work fatalities, but the perspectives of those most directly affected, the bereaved families, have received little attention. Drawing on evidence from detailed interviews with 44 Australian family members, this article seeks to rectify this omission. Findings highlight the importance of investigative and prosecutorial processes to bereaved families who seek justice, some assurance that culpable behaviours are not condoned, and the implementation of measures to prevent a recurrence. However, reinforcing previous research critical of the degree of enforcement and advocating for a more readily implementable offence of industrial manslaughter, the vast majority of those interviewed were critical of the processes that occurred. Far from assisting, these processes generally left families very dissatisfied with their experiences.
Ribeiro, A, Shan, Y & Taylor, SL 2019, 'Non‐GAAP Earnings and the Earnings Quality Trade‐Off', Abacus, vol. 55, no. 1, pp. 6-41.
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© 2019 Accounting Foundation, The University of Sydney Using a large sample of earnings press releases by Australian firms, we compare multiple attributes of non-GAAP earnings measures with their closest GAAP equivalent. We find that, on average, non-GAAP earnings are more persistent, smoother, more value relevant, and have higher predictive power than their closest GAAP equivalent. However, the same set of non-GAAP earnings disclosures are also less conservative and less timely than their closest GAAP equivalent. The results are consistent with non-GAAP earnings measures reflecting a reversal of the trade-off between the valuation and stewardship roles of accounting inherent in accounting standards and the way they are applied. We also find that differences in several of these attributes between GAAP and non-GAAP earnings are more evident in larger firms, firms with lower market-to-book ratios, firms with a higher proportion of independent directors, and firms that report profits rather than losses. Our evidence is consistent with the argument that accounting standards impose significant amounts of conditional conservatism at some cost to the valuation role of accounting information. Non-GAAP earnings measures can therefore be seen as a response to the challenges faced by a single GAAP performance measure in satisfying the competing demands of value relevance and stewardship.
Taylor, SL & Tong, A 2019, 'How Efficient Is the Market for Australian Firms’ Earnings Information?', Accounting and Finance.
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© 2019 Accounting and Finance Association of Australia and New Zealand We construct a measure of the speed with which forecasts issued by sell-side analysts accurately forecast future annual earnings. Following Marshall, we label this measure earnings information flow timeliness (EIFT). This measure avoids the aggregation problem inherent in price-based measures of information efficiency. We document large variation in EIFT across firm-years, and show that EIFT is positively associated with the extent of analyst following, consistent with increased analyst coverage improving the speed with which earnings-related information is recognised. We also find that EIFT is higher for firm-years classified as ‘bad news’ (i.e., where analysts’ forecasts at the start of the financial period exceed the reported outcome). However, when we separately consider instances where analysts appear to forecast non-GAAP (or ‘street’) earnings rather than GAAP earnings, we find that the greater timeliness of bad news is concentrated among observations where analysts forecast non-GAAP earnings, where unusual items are typically excluded. We conclude that the market for accounting information is more efficient for negative operating outcomes than for negative outcomes reflecting unusual items.
Thambar, PJ, Brown, DA & Sivabalan, P 2019, 'Managing systemic uncertainty: The role of industry-level management controls and hybrids', Accounting, Organizations and Society, vol. 77, pp. 101049-101049.
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© 2019 We study how multiple firms voluntarily design inter-firm mechanisms to manage industry-level systemic uncertainty. Facing a threat of systemic uncertainty that cannot be addressed by any one firm, we explain how the Australian cotton industry mobilised hybrids and boundary spanners to develop an industry-level solution at the inter-firm level. We apply resource dependence theory to extend Miller, Kurunmäki and O'Leary (2008), and identify a broader range of hybrid characteristics (novel, inter-firm, public/private and open source) than currently acknowledged in accounting studies. We use these characteristics to explain how hybrid organisational forms and hybrid control processes operate at the inter-firm level to develop and share a solution to systemic uncertainty, which are subsequently applied at the firm-level. Our findings also show how boundary spanners can operate with less tension in larger industry-level collaborations, explained using our resource dependence conceptualisation. This responds to Dekker's (2016) calls for more inter-firm research clarifying how controls operate beyond the firm.
Wakefield, J & Thambar, P 2019, 'Applying Target Costing to the Service Sector: Sunline Auto Insurance Case', Issues in Accounting Education, vol. 34, no. 3, pp. 1-19.
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ABSTRACTThe application of target costing in a service firm is rarely taught in managerial accounting courses, in contrast to the focus on manufacturing-related cost topics (e.g., Everaert and Swenson 2014). Educating future managers in the use of service-sector target costing is important because it provides knowledge on how profitability can be improved through a considered approach to cost management. The case study objectives are to improve students' ability to analyze and explain important areas of cost, assess and apply target costing, and strategically consider costs. Our testing indicates support for case efficacy in the context of these objectives. The case uses an auto insurance firm to illustrate how target costing can be applied in the service sector. Students are provided with information on cost data and the target-costing technique, allowing them to assess costs, apply the target-costing techniques, and develop strategic cost management focus and recommendations.JEL Classifications: A22.
Wakefield, J, Tyler, J, Dyson, LE & Frawley, JK 2019, 'Implications of Student‐Generated Screencasts on Final Examination Performance', Accounting & Finance, vol. 59, no. 2, pp. 1415-1446.
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© 2017 AFAANZ. While educational technologies can play a vital role in students' active participation in introductory accounting subjects, learning outcome implications are less clear. We believe this is the first accounting education study examining the implications of student-generated screencast assignments. We find benefits in developing the graduate attributes of communication, creativity and multimedia skills, consistent with calls by the profession. Additionally, we find improvement in final examination performance related to the assignment topic, notably in lower performing students. The screencast assignment was optional, and the findings suggest a tailored approach to assignment design related to students' developmental needs is appropriate.
Bedford, A, Matolcsy, Z, Spiropoulos, H & Vojvoda, K 1970, 'Powerful Chief Executive Officers of Target Firms and Merger and Acquisition Outcomes', American Accounting Association Annual Meeting, San Francisco.
Bedford, A, Matolcsy, Z, Spiropoulos, H & Vojvoda, K 1970, 'Powerful Chief Executive Officers of Target Firms and Merger and Acquisition Outcomes', Accounting & Finance Association of Australia and New Zealand (AFAANZ) Conference, Brisbane.
Bedford, D, Bisbe, J & Sweeney, B 1970, 'The implications of comprehensive performance measurement system design for managing the effects of TMT conflict', American Accounting Association Mid-Year Management Accounting Section Conference, American Accounting Association Mid-Year Management Accounting Section Conference, Florida, USA.
Bedford, D, Pham, H, Sivabalan, P & Sivapalan, T 1970, 'Tight budgetary controls in early stage organisations facing high uncertainty and under-resourced environments: causes and effects', 10th Conference on Performance Measurement and Management Control, Nice, France.
Bugeja, M, da Silva Rosa, R, Izan, HY & Ngan, S 1970, 'Choice of Acquisition Form in Australia and the Post‐Takeover Employment of Target Firm Directors on the Acquiring Firm Board', Accounting & Finance, Twenty-Thrird Annual Conference Multinational Finance Society, Stockholm, SWEDEN, pp. 2235-2271.
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© 2017 AFAANZ In Australia, a corporate acquisition can be structured as either a scheme of arrangement or a takeover. We investigate the association between deal structure and the retention of target directors on the merged entity board. We find that the odds of a target director subsequently sitting on the merged entity's board are significantly higher in schemes. The results also show that premiums are lower in schemes of arrangement when additional target directors are appointed to the board of the acquiring firm. The findings indicate that target director appointment is unrelated to the merged entity's post-acquisition performance.
Dhillon, R & Andon, P 1970, 'OPEN GOVERNMENT AND CITIZEN ACCOUNTABILITY: A CASE STUDY OF THE AUSTRALIAN EDUCATION SECTOR', Nice, France.
Frawley, JK, Wakefield, J, Dyson, LE & Tyler, J 1970, 'Building graduate attributes using student-generated screencasts', ASCILITE 2015 - Australasian Society for Computers in Learning and Tertiary Education, Conference Proceedings, Annual Conference of the Australasian Society for Computers in Learning in Tertiary Education, ASCILITE, Perth, Australia, pp. 100-111.
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There has been an increasing emphasis in recent years on developing the “soft” skills, or graduate attributes, that students need once they finish their university studies in addition to the specific domain knowledge of their discipline. This paper describes an innovative approach to developing graduate attributes through the introduction of an optional assignment in which first-year accounting students designed and developed screencasts explaining key concepts to their peers. Screencasts have been used in recent years for teaching but the approach of students, rather than teachers, making screencasts is far less common. Quantitative and qualitative analysis of student surveys showed that, in addition to improving their accounting knowledge and providing a fun and different way of learning accounting, the assignment contributed to the development and expression of a number of graduate attributes. These included the students' ability to communicate ideas to others and skills in multimedia, creativity, teamwork and self-directed learning.
Grosse, M, Ma, N & Scott, T 1970, 'Is comparative advantage within an industry associated with audit fees?', American Accounting Association Annual Meeting 2020, San Francisco.
Lewis, R, Sutton, N & Brown, D 1970, 'Strategic management system engagement and strategic cognition', 14th International Conference on Naturalistic Decision Making 2019, 14th International Conference on Naturalistic Decision Making 2019, San Francisco.
Pham, H, Brown, P & Soco, S 1970, 'The Role of Environmental Management Accounting for the Control of Energy in Agriculture', European Accounting Association Annual Congress, Paphos.
Thirathon, U, Wieder, B & Ossimitz, ML 1970, 'Antecedents and Performance Impacts of Analytics-Based Managerial Decision-Making', Pacific Asian Conference on Information Systems 2019 - MISQ Editor Workshop, Xi'an China.
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This study investigates how organizations can achieve competitive advantage with data analytics. Two dimensions of the value creation process are investigated: (1) the input or antecedents of Big Data analytics (BDA) and (2) the mechanisms required to translate BDA investments into increased organizational performance. The results of survey responses from senior finance managers across a broad range of industries in Australia reveal that analytics-based decision-making (ABDM) is the main mechanism for converting analytic capabilities into competitive advantage. The technical, interaction and business skills of analysts are important antecedents of both BDA sophistication and ABDM, but the strongest driver of the latter business managers’ quantitative skills. We conclude that competing with analytics does not just require investments into analysts’ skills and related tools and IT architectures, but also into quantitative skills of business managers. Finally, our analysis reveals that managers of smaller organizations are more likely to base their decisions on analytics than those in large organizations.
Wakefield, J, Reynolds, M, Wight, R & Tyler, J 1970, 'Undersold and underused: Tailored feedback technology in a large university classroom', RMIT Accounting Educators Conference, RMIT University.
Wieder, B & Ossimitz, ML 1970, 'Management Accounting Information Quality and Firm Performance – the Enabling Role of Business Intelligence and Analytics Systems', 10TH EIASM CONFERENCE ON PERFORMANCE MEASUREMENT AND MANAGEMENT CONTROL, Nice, France.
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Our research investigates the impact of management accounting (MA) information quality on organisational performance by considering the role of business intelligence and analytics (BI/A) systems and environmental uncertainty. By drawing on the resource-based view, dynamic capabilities theory and information and systems quality frameworks, we develop a model which establishes the scope and frequency of MA decision support methods used in an organisation and MA information service levels as performance enhancing aspects of MA information quality. Using survey data collected from accounting and finance executives, the results of our PLS-SEM path model confirm that both of these aspects of MA information quality are positively associated with organisational performance and that such effects are – at least partly – moderated by environmental uncertainty. We also find strong support for the predicted impact of BI/A systems quality on both MA information quality constructs. Finally, the results for our path model analysis also reveal that the effects between BI/A systems quality and MA information quality characteristics also ‘translate’ into a significant indirect effect of BI/A systems quality on performance.
Wieder, B & Ossimitz, ML 1970, 'Performance Impacts of Business Intelligence and Analytics Systems – the Mediating Role of Management Accounting Information Quality', Proceedings of the 16th ICESALM 2019, International Conference on Enterprises, Systems, Accounting, Logistics & Management, International Hellenic University, Chania, Greece, pp. 112-138.
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Our research investigates the impact of management accounting (MA) information quality on organisational performance by considering the role of business intelligence and analytics (BI/A) systems and environmental uncertainty. By drawing on the resource-based view, dynamic capabilities theory and information and systems quality frameworks, we develop a model which establishes the scope and frequency of MA decision support methods used in an organisation and MA information service levels as performance enhancing aspects of MA information quality. Using survey data collected from accounting and finance executives, the results of our PLS-SEM path model confirm that both of these aspects of MA information quality are positively associated with organisational performance and that such effects are – at least partly – moderated by environmental uncertainty. We also find strong support for the predicted impact of BI/A systems quality on both MA information quality constructs. Finally, the results for our path model analysis also reveal that the effects between BI/A systems quality and MA information quality characteristics also ‘translate’ into a significant indirect effect of BI/A systems quality on performance.
Wieder, B & Ossimitz, ML 1970, 'The role of business intelligence/analytics systems quality in translating 'finance transformation' efforts into higher management accounting information service levels', Proceedings of the 23rd Pacific Asia Conference on Information Systems: Secure ICT Platform for the 4th Industrial Revolution, PACIS 2019, Pacific Asia Conference on Information Systems 2019, Xi'an, China.
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Our research investigates the trending topic 'finance transformation' (FT), how FT projects impact on the quality of business intelligence and analytics (BI/A) systems and to what extent such impacts result in higher internal accounting information service levels. Using survey data collected from accounting and finance executives, the results of our SEM-PLS path model indicate that IT and efficiency centric FT projects lead to higher BI/A systems quality via two mediators: system/data integration and adoption of BA tools in management accounting. We also find that the use of ERP systems in management accounting has a complimentary effect in some of those relationships. Finally, we find that FTP projects actually lead to higher internal accounting information service levels via the above-mentioned indirect relationships, thereby providing first systematic evidence of managerial benefits associated with FT projects.
