Business Sustainability of Small and Medium Enterprises during the COVID-19 Pandemic: The Role of AIS Implementation

Abstract

Small and medium enterprises (SMEs) are the pillars on which most businesses worldwide rest. Thus, without the support of qualified information systems, it can be very challenging for them to improve their performance and difficult for them to reach sustainability goals. Despite the essentiality of economic sustenance for a competitive advantage in the postmodern industrial era, Jordanian SMEs are hampered with multiple challenges, such as accounting information quality, which supports various organizational decisions. The prevalence of information technology (IT) optimizes accounting operations through accounting-based information. A computerized accounting system (accounting information system, or AIS) facilitates accurate reporting, processes large-scale transactions, and generates meaningful reporting for subsequent evaluation. Given the lack of AIS implementation in SMEs, despite its notable advantages, this study aims to investigate the AIS-implementation antecedents and their implications towards sustainable business performance among Jordanian SMEs. An integrated model was recommended based on the technology–organization–environment (TOE) framework and resource-dependency theory (RDT) for the incorporation of AIS-implementation elements and sustainable business performance into one model. A self-administered questionnaire was disseminated among 194 respondents within the context of Jordanian SMEs for data collection and evaluation using structural equation modelling (SEM). Based on the study outcomes, external pressure, compatibility, financial support, top management support (TMS), and external assistance significantly impacted AIS implementation, which subsequently catalyzed sustainable business performance. Such results could offer useful insights into how organizations could optimize AIS implementation for sustainable business performance and expand the current body of literature on IS- or IT-implementation antecedents and impacts. The implications of this study are that SMEs should develop effective AIS implementation in order to reach sustainability goals. Therefore, we recommend and encourage SMEs decision makers to utilize AIS for their businesses.

Evaluating the D&M IS Success Model in the Context of Accounting Information System and Sustainable Decision Making

“…Based on AIS studies, its adoption enhances the quality of financial reporting and facilities optimum decision-making while bringing about financial transaction and internal control effectiveness [33][34][35]. According to Lutfi et al [2], IS success can be perceived through various points of view such as output generated as expected, optimum productivity, enhanced performance and improved control over the decisions connected to the information that AIS generates. Aside from this, using AIS has also been evidenced to significantly impact the generated accounting information quality.…”

“…The present modes of businesses have been transformed by the prevailing dynamic digitalization, globalization, knowledge and information competition and dissemination [1,2]. The current era of technology has brought about high investments in data processing computerization in various industries [3][4][5].…”

“…ISs have transformed into the top technologies that enterprises cannot do without when promoting and solving issues related to their businesses [14,15]. In this line of study, Lutfi et al [2] indicated the role of IS in successful business endeavors and, as such, studies such as that by Fadelelmoula [16] defined it as the level to which an information system contributes to organizational goals achievement and influences its performance.…”

“…Accordingly, this study identifies and assesses the influence of AIS on management decision-making sustainability because, regardless of the studies that have been carried out concerning AISs [2,5,26], the step-wise assessment of their impacts on management decision-making sustainability remains controversial. This work is thus based on the review of previous studies that supported the direct relationship between AISs and related IS areas and the quality of decision-making [20,[27][28][29][30].…”

Exposure Detection Applications Acceptance: The Case of COVID-19

“…The COVID-19 outbreak was first reported in Wuhan, Hubei province, China, in December 2019 [ 35 , 36 ]. It has claimed a significant number of lives and is spread extensively through human-to-human contact [ 37 ].…”