Accounting Information Systems and Organizational Reporting Efficiency Outcomes

Abstract

This research investigates the relationship between accounting information systems (AIS) and organizational reporting efficiency outcomes through a novel methodological lens that integrates principles from cybernetics and information theory.
While prior studies have examined AIS impacts on decision-making or control, this
paper uniquely conceptualizes reporting efficiency as a dynamic, multi-dimensional
construct comprising temporal, qualitative, and resource utilization components.
We develop and test a cybernetic feedback model that posits AIS not only process
transactions but also regulate reporting efficiency through adaptive feedback loops
involving data granularity, integration depth, and user-system interactivity. Employing a mixed-methods approach across three industry sectors—manufacturing,
healthcare, and non-profit—we collect longitudinal data from 42 organizations over
a 24-month period. Quantitative analysis utilizes a time-series cross-sectional design
measuring efficiency metrics before and after AIS modifications, while qualitative
case studies explore the mechanisms underlying efficiency changes. Results reveal
a non-linear relationship between AIS sophistication and reporting efficiency, with
diminishing returns beyond optimal configuration thresholds. Notably, we identify
a previously unreported ’information viscosity’ effect, wherein excessive data integration can impede efficiency by overloading feedback channels. The study also
demonstrates that modular, interoperable AIS architectures yield superior efficiency
outcomes compared to monolithic systems, particularly in volatile environments.
These findings challenge conventional wisdom advocating for maximal system integration and complexity, offering instead a contingency framework for AIS design
aligned with organizational cybernetic capacity. The research contributes original
theoretical insights by applying control theory to accounting systems and provides
practical guidance for configuring AIS to achieve sustainable reporting efficiency
gains.