The Effect of Organizational Culture on the Quality of Accounting Information Systems: Evidence From Vietnam

Abstract

One of the approaches to assessing the organizational culture is to understand its effect on management functions, including the quality of accounting information systems. However, empirical studies about the influences of organizational culture on accounting information system quality, especially in the context of emerging countries like Vietnam, where accounting information is not reliable enough for decision making, have not yet provided enough evidence to confirm this relationship. This paper aims to investigate the effect of innovative organizational culture on the quality of accounting information systems by using the Structural Equation Model. A questionnaire was sent to the CEO, CFO, managers, and accounting staff of non-financial enterprises in Vietnam. With 649 valid respondents, the two-step approach was carried out, including exploratory factor analysis and confirmatory factor analysis and examining the significance of the coefficient through a path analysis. Our findings identified that organizational culture is an essential factor in enhancing the quality of accounting information systems of Vietnamese firms. Implementing an innovative corporate culture will improve system quality and information quality of the accounting information systems that help accounting information more sufficient for making decisions.

A Systematic Literature Review of Accounting Information Systems Implementation Success Factors

“…Moreover, organizational culture impacts the operational activities and information security management practices of an enterprise, making it a critical factor for guiding and supporting information security management practices (Chang & Lin, 2007;. Binh et al, 2022) highlighted the importance of traits like innovativeness in organizational culture in influencing the quality of accounting information systems (Binh et al, 2022).…”

“…Accounting Information Systems (AIS) are crucial in fostering various types of innovation within organizations. Research by Binh et al (2022) demonstrates that an innovative organizational culture significantly impacts the quality of AIS, indicating that organizations valuing innovation are more likely to have effective AIS. Additionally, Miftah & Julina (2020) suggest that Management Accounting Information Systems mediate the relationship between innovation and firm performance, highlighting the importance of AIS in translating innovative ideas into tangible outcomes.…”

“…The study underscores how factors like perceived relative advantage, compatibility, managerial commitment, and knowledge dissemination significantly influence implementation success. Moreover, Binh et al (2022) stress the role of an innovative organizational culture in determining the quality of AIS. They found that an innovative culture positively impacts the quality of AIS, showcasing the link between organizational culture and system quality.…”

The role of organizational culture in the performance of SMEs in Vietnam during the economic crisis

“…Several empirical studies indicate that OC significantly and directly impacts AIS (Ha, 2020;Kwarteng & Aveh, 2018;Silwal, 2022) the quality of AIS (Binh, Tran, & Vu, 2022;Nurliyani, Darma, & Ikhsan, 2020), and the outcome of AIS (Qatawneh, 2023). Thus, the majority of empirical studies provide evidence that OC has a significant influence on information systems in organizations.…”

The Influence of Business Strategy and Organizational Culture on Management Accounting Information Systems

“…In this research, the effectiveness of accounting information systems is captured by the qualitative metric of quality. By measuring how much gets done in a given time period while still meeting user requirements, a high-quality management accounting information system may be evaluated (Binh et al, 2022). According to Astuti et al (2019), the role of information is so high for the organization that the organization is very dependent on management accounting information systems.…”