Showing papers in "Journal of Information Systems in 2012"

Alone Together: Why We Expect More from Technology and Less from Each Other.

Abstract: The article reviews the book "Alone Together: Why We Expect More From Technology and Less From Each Other," by Sherry Turkle.

The Effect of First Wave Mandatory XBRL Reporting across the Financial Information Environment

Abstract: This study examines the effect of mandatory XBRL disclosure across various aspects of the financial information environment. Our findings show an increase in information efficiency, a dec...

Consequences of XBRL Standardization on Financial Statement Data

Abstract: XBRL (eXtensible Business Reporting Language) has become an important element of the financial reporting landscape. This paper provides a discussion of the effects of XBRL on the usefulness of financial data. Using the theoretical framework of the technology acceptance model (TAM), we examine XBRL's potential to improve the usefulness of reported financial information. As XBRL gains wider acceptance, we examine five axes along which XBRL standardization will propagate: current data, disclosure format, historical data, data fidelity and assurance, and third-party data. We also call attention to new research opportunities that may arise as XBRL and related technologies mature.

Cloud Computing: Overview and Risk Analysis

Abstract: : We provide an overview of cloud computing: evolution, benefits, and challenges. Then we examine the risk characteristics identified in accounting and auditing literature by comparing a ...

The Updated COSO Internal Control—Integrated Framework: Recommendations and Opportunities for Future Research

Abstract: : To address the changing business environment and increased shareholder interest, the Committee of Sponsoring Organizations of the Treadway Commission (COSO) recently issued an exposure draft updating its 1992 Internal Control—Integrated Framework. We review the updated Framework and discuss the comments we (as the Environmental Scanning Committee of the American Accounting Association's Information Systems Section) offered COSO regarding how to improve the Framework. In addition, we identify research opportunities for accounting information system scholars related to the new Framework.

XBRL Implementation: A Field Investigation to Identify Research Opportunities.

Abstract: The Securities and Exchange Commission (SEC) recently mandated that publicly traded companies furnish their financial statements in XBRL format. However, researchers and practitioners question whether companies are adequately prepared to implement XBRL, and whether software tools and guidance exist to lead preparers through the process of creating XBRL-related documents. This paper describes how early mandate adopters implemented XBRL reporting. Four themes emerged from our analysis: management support and involvement, implementation approach, organizational readiness or expertise, and control over the XBRL reporting process. Our study contributes to a more complete understanding of how companies implement XBRL by providing a basis for accounting researchers to identify current implementation issues and future research opportunities. Furthermore, we provide educators with a characterization of how companies implement XBRL, thereby facilitating their classroom coverage of this important topic. D...

Factors Influencing the Planned Adoption of Continuous Monitoring Technology

Abstract: The article discusses a study which explored the key factors that influence an organization's plan to adopt continuous monitoring technology (CMT). A brief introduction to the Unified Theory of Acceptance and Use of Technology (UTAUT) framework used in the study is presented. Findings suggest that the key perception that drives whether a non-adopter decides to adopt CMT is performance expectancy. It also revealed that effort expectancy is a non-significant factor.

Acceptance of E-Prescriptions and Automated Medication-Management Systems in Hospitals: An Extension of the Technology Acceptance Model

Abstract: The serious repercussions of heath care errors on patient safety have led hospitals to deploy corrective information technologies. Hospitals are moving away from traditional paper-based systems and focusing on designing new methods that reduce errors, using information technology to catalyze the reengineering process. This paper analyzes the intention of health care personnel (physicians and nurses) to use e-prescriptions and automated medication-management systems (EPAMMS), identifying influencing factors. Understanding these factors provides the opportunity to explore which actions might be carried out to boost adoption by potential users. The theoretical grounding for this research is the Technology Acceptance Model (TAM). TAM specifies the causal relationships between perceived usefulness, perceived ease of use, and actual usage behavior. The proposed model has seven constructs; we have generated 11 hypotheses from connections among these seven constructs. These constructs include perceived...

Information Fusion in Continuous Assurance

Abstract: : We extend continuous assurance research by proposing a novel continuous assurance architecture grounded in information fusion research. Existing continuous assurance architectures focus primarily on methods of monitoring assurance clients' systems to detect anomalous activities and have not addressed the question of how to process the detected anomalies. Consequently, actual implementations of these systems typically detect a large number of anomalies, with the resulting information overload leading to suboptimal decision making due to human information processing limitations. The proposed architecture addresses these issues by performing anomaly detection, aggregation, and evaluation. Within the proposed architecture, artifacts developed in prior continuous assurance, ontology, and artificial intelligence research are used to perform the detection, aggregation, and evaluation information fusion tasks. The architecture contributes to the academic continuous assurance literature and has implicat...

The AICPA Assurance Services Executive Committee Emerging Assurance Technologies Task Force: The Audit Data Standards (ADS) Initiative

Abstract: Data acquisition difficulties have hindered the application of advanced audit technology and audit analytics, and accentuated the challenges to meet growing audit demands. To alleviate this problem, this paper discusses the main drivers to evolve the audit process: data standards, data access, audit applications, and continuous audit. As a joint effort between the AICPA and academia, this paper provides guidance and suggestions to internal and external auditors, as well as scholars to develop knowledge for leading edge practice (Kaplan 2011).

Enterprise Risk Management as a Strategic Governance Mechanism in B2B-Enabled Transnational Supply Chains

Abstract: As organizations increasingly face the need to compete for market share by building highly integrated global supply chains, governance of these complex relationships becomes a major strategic challenge Research reporting high failure rates for collaborative alliances with supply chain partners makes formation of global supply chains a high-risk venture This study examines the influence of strategic enterprise risk management (ERM) processes on improving supply chain capability while mitigating risks ERM has become a major strategic management focus, and researchers suggest this momentum arises from the need for governance mechanisms that counter the ineffectiveness of government intervention and cooperation in cross-border relationships We survey 207 organizations on their perceptions of their own ERM processes and a specific supply chain partner's absorptive capacity, B2B e-commerce business risk, and the global business risk associated with that partner relationship The results support th

A Relative Cost Framework of Demand for External Assurance of XBRL Filings

Abstract: There has been much discussion in the academic literature and in the XBRL community on the role of audit firms in providing assurance services for XBRL filings, especially now that the use of XBRL has been mandated in the United States. This paper presents the development of a framework of the demand for external assurance of XBRL filings predicated on two relative cost arguments. First, that in the absence of a mandate for XBRL filings to be assured by an external auditor, a manager will compare the cost of obtaining external assurance against the cost of obtaining confidence on the filings internally. Second, managers will be reluctant to pay more for external assurance on an XBRL filing than they paid to prepare it. The former is called the external cost relative to internal cost comparison, and the latter the external cost relative to preparation cost comparison. Based on our relative cost framework, it is predicted that there will only be a role for externally provided assurance of XBRL fil...

The Competitive Advantage of Audit Support Systems: The Relationship between Extent of Structure and Audit Pricing

Abstract: This study investigates if different audit support system designs provide firms with competitive advantages when competing in the market for audit services. We examine the association between the extent of structure a system imposes on the audit process and audit pricing. We find that audit firms with systems that impose more structure on the audit process compete as lower-cost producers in industries more suited to a structured audit approach. However, when these audit firms are also national industry specialists, they retain a fee premium. This study provides evidence that audit support system design is associated with economic consequences for audit firms and clients. We include suggestions for future research. Data Availability: Data are available from sources described in the text with the exception of the level of structure embedded within a firm's audit support system, which the audit firms provided on the condition of anonymity.

AIS in a more rapidly evolving Era

Abstract: In 1974, there existed only a few accounting professors listed as ‘‘systems’’ faculty. In the four decades since, at least four major journals have emerged to focus on the progressively evolving discipline that is now known as Accounting Information Systems (AIS). Today, there are over 800 faculty members belonging to the IS and SET sections of the AAA. Within this community, a set of paradigms has been forged which continues to expand and be refined. This body of work sometimes intersects with traditional accounting literature, and yet far too frequently, with a growing regularity, the leading edge of AIS thought runs a course markedly independent from the mainstream of accounting research. If accounting theories stood alone, independent and quarantined from implementation, then having this disparate stream of AIS research may be more defensible, and yet this is not the case. Although the standard-setting authorities define accounting rules, it is the specific implementations of these rules into software (Krahel 2012) that often determine the nuanced norms and key details of the practice, and thereby regulate the instantiated essence of the rules. Furthermore, driven by efficiency and competitive needs, the business world has been rapidly adopting technological innovations into its processes, while classical accounting and audit practices lag far behind. In the extreme, this continued divergence between auditor and client technology will create an assurance vacuum that must inevitably lead to the emergence of a new de facto assurance regime birthed within a non-accounting domain. The present trend toward segregation of AIS from traditional accounting research and practice helps perpetuate various suboptimal practices, delays the refinement and adoption of new best practices, results overall in a substantive cost to the accounting field, and thus in sum acts to the detriment of our modern society as a whole. This lack of integration leads to allocation inefficiencies, operational inefficiencies, fraud, and substantive errors.

Financial Accounting Standards Should Not Matter: It's Just a Layer

Abstract: An introduction to the journal is presented in which the editor discusses various reports within the issue on topics including cloud computing and risk analysis, information fusion in continuous assurance, and the factors influencing the planned adoption of Continuous Monitoring Technology (CMT).

Enhancing and Structuring the MD&A to Aid Investors when Using Interactive Data

Abstract: : In 2008, the SEC issued a mandate requiring the use of interactive tagged data (i.e., eXtensible Business Reporting Language, or XBRL) for all public companies' filings of their annual financial statements. However, the SEC put the mandates in place only for the financial statements and accompanying notes. The SEC specifically excluded the use of interactive tagged data for most narrative aspects of annual reports, including Management's Discussion and Analysis (MD&A), deeming current taxonomies for interactive data tagging inadequate. This study leverages upon the efforts of the Enhanced Business Reporting Consortium (EBRC) to develop a more robust taxonomy for the MD&A. The EBRC effort consists of two parts: (1) expanding the scope of qualitative disclosures, and (2) integrating all of the interactive data tags used by companies during the voluntary disclosure period predating the SEC mandate into a comprehensive set of tags for existing MD&A disclosures. Of particular interest in this resear...

Designing Decision Aids to Promote the Development of Expertise

Abstract: We investigate whether the use of decision aids that integrate experts' knowledge structures into their designs can effectively promote the acquisition of expert-like knowledge and improve future judgments. Results of two laboratory experiments (one involving 115 senior accounting students and one involving 78 master of accounting students) indicate that: (1) novice users of a decision aid that has an expert knowledge structure embedded into its interface make complex fraud risk assessments that are more similar to experts' risk assessments than do users of aids without expert knowledge structures; (2) users of a decision aid that has an expert knowledge structure embedded into its interface develop knowledge structures that are more similar to the knowledge structures of experts than do users of aids without expert knowledge structures; (3) knowledge structures mediate the relationship between decision aid design and judgment performance; and (4) novices develop expertise through decision aid u...

Forensic Analytics: Methods and Techniques for Forensic Accounting Investigations.

Abstract: The article reviews the book "Forensic Analytics: Methods and Techniques for Forensic Accounting Investigations," by Mark J. Nigrini.

Special Issue of JIS on XBRL

Abstract: It has been a great pleasure to serve as the guest editor for this special XBRL (eXtensible Business Reporting Language) issue of Journal of Information Systems. I thank editor Miklos Vasarhelyi for this opportunity. Thanks are also due to the reviewers for their thoughtful and constructive reviews. Finally, special thanks to the authors for their contributions, without which this issue would not have been possible. In this note we provide a brief history of XBRL research, describe the contribution of this issue, and conclude with some thoughts on potential research opportunities in the field of XBRL. XBRL is an open standard-based reporting language that allows companies to electronically report and exchange financial and nonfinancial information in a standardized, machine-readable format. It can facilitate the reporting process at each part of an organization’s supply chain, handle data presented in different languages and accounting standards, and be adapted to meet different users’ requirements. XBRL is an extension of XML (eXtensible Markup Language), which provides machine-readable tags for individual data elements. The goal of XBRL is to develop a set of standardized XML tags, collectively known as XBRL taxonomies, to meet the specific requirements of business information. The XBRL taxonomy is a description and classification system for the contents of financial statements and other business reporting documents, defining not only individual reporting concepts but also the relationships between concepts. There are three types of XBRL taxonomies: general-purpose financial statement taxonomies, special-purpose regulatory reporting taxonomies, and the general ledger taxonomy (Baldwin et al. 2006). General-purpose financial statement taxonomies are specifically designed for companies preparing their financial reports in XBRL format. Special-purpose regulatory reporting taxonomies represent accounting regulations in different countries. Currently, more than 20 regulatory entities and other public authorities worldwide have adopted XBRL for reporting purposes (Baldwin et al. 2006). For example, the 2012 U.S. GAAP Financial Reporting Taxonomy issued by FASB conforms to U.S. GAAP (FASB 2012). XBRL-GL is a special-purpose taxonomy. It is designed to tag information in enterprise resource planning (ERP) systems ranging from business event to end reporting, enabling efficient handling of business information within an organization, facilitating internal reporting, and leading to an environment of continuous monitoring and continuous auditing (Vasarhelyi et al. 2004). XBRL can ease the preparation, analysis, and exchange of business information. It can also reduce costs, increase efficiency, and improve accuracy and reliability for all parties involved in providing and using business data. For example, compared with manual processes, XBRL can reduce the time and effort necessary for data collection and report generation. In addition, because

The Dark Side of Online Knowledge Sharing (Retracted)

Abstract: : Given the growing trend of electronic networks of practice and the growing propensity of individuals to rely on the Internet for problem solving, we examine whether programmers in a hypothetical situation would be likely to disclose confidential information through an online forum in attempt to solve a programming problem. We hypothesize and find in a survey of 187 programmers that online forum commitment and trust lead to greater online forum participation, which in turn predicts a higher likelihood of confidential information disclosure. We also find that programmers with greater awareness of security policies exhibit a lower likelihood of deciding to risk disclosing confidential information. The study contributes to extant literature by raising and exploring the potentially negative, dark side of knowledge sharing through electronic networks of practice.

Designing Continuous Auditing for a Highly Automated Procure-to-Pay Process

Abstract: : To provide real-time assurance, auditors must rely on continuous auditing. Although the need for continuous auditing is readily apparent, not many auditors have experience in implementin...

Motivating Employees to Share Their Failures in Knowledge Management Systems: Anonymity and Culture

Abstract: : This study investigates the effect of the type of information to be disclosed and the possibility of sharing the information anonymously on the intention to share information through a k...

Using Ontologies for Semantic Text Mining

Abstract: The increasing interest in big data analysis using various data mining techniques indicates that many commercial data mining tools now need to be equipped with fundamental text analysis modules. The most essential prerequisite for accurate analysis of text documents is an understanding of the exact semantics of each term in a document. The main difficulties in understanding the exact semantics of terms are mainly attributable to homonym and synonym problems, which is a traditional problem in the natural language processing field. Some major text mining tools provide a thesaurus to solve these problems, but a thesaurus cannot be used to resolve complex synonym problems. Furthermore, the use of a thesaurus is irrelevant to the issue of homonym problems and hence cannot solve them. In this paper, we propose a semantic text mining methodology that uses ontologies to improve the quality of text mining results by resolving the semantic ambiguity caused by homonym and synonym problems. We evaluate the practical applicability of the proposed methodology by performing a classification analysis to predict customer churn using real transactional data and Q&A articles from the "S" online shopping mall in Korea. The experiments revealed that the prediction model produced by our proposed semantic text mining method outperformed the model produced by traditional text mining in terms of prediction accuracy such as the response, captured response, and lift.

The financial performance of global information and communication technology companies

Abstract: : This study examines the cross-sectional financial performance among firms from the global information and communication technology (ICT) sector over the period 1998–2007. Using a pooled linear regression, the results show that U.S.-based ICT companies are on average underperforming the rest of the world after controlling for firm-specific variables known to affect firm financial performance. The results also show that characteristics of the firm's host country explain a statistically significant portion of the variation in firm performance, incremental to firm-level characteristics. More specifically, firms located in countries with attractive tax environments and high-government subsidies outperform their competitors in countries with less attractive tax environments and subsidies. Firms in financial markets that provide ICT firms with relatively favorable cost of capital underperform those in markets with a cost of capital less conducive to business development, which may suggest the cost of ...

The Theory That Would Not Die: How Bayes' Rule Cracked the Enigma Code, Hunted Down Russian Submarines, and Emerged Triumphant from Two Centuries of Controversy.

Abstract: The article reviews the book "The Theory That Would Not Die: How Bayes' Rule Cracked the Enigma Code, Hunted Down Russian Submarines, and Emerged Triumphant From Two Centuries of Controversy" by Sharon Bertsch McGrayne.

A Study on Customers' Impulsive Buying in Social Commerce Environment: The Role of Flow and Emotion

Abstract: Given to the prevalence of social commerce such as Groupon, Ticketmonster, and Coupang, it has become critical to understand customer purchasing behavior in social commerce environments. When consumers make purchasing decisions in social commerce, they often act impulsively. This is because social commerce is a deal-of-the-day website that features discounted gift certificates usable at local companies. However, the vast majority of social commerce research has viewed consumer decision-making as a rational process. This study develops a theoretical framework to investigate key drivers of customer`s impulsive purchasing in social commerce. This study identifies flow, positive emotion, negative emotion, social commerce attractiveness, and discounted price as the key antecedents of impulsive purchasing. Data collected from 164 users who had prior purchasing experiences with social commerce were empirically tested against the research model using partial least squares analysis. The analysis results indicate that flow plays an important role in facilitating customers` impulsive purchasing in social commerce environments. Moreover, the findings show the exact roles of positive emotion, negative emotion, social commerce attractiveness, and discounted price on consumer`s impulsive purchasing.

The Study on the Difference between the Organization`s Performance and User`s Awareness by the Improvement of Information Quality

Abstract: In the field of education in Korea, University Information Disclosure System was conducted forcibly in December 2008 by Ministry of Education, Science and Technology. As a result, information quality provided to the user has been improved dramatically. Based on the preceding studies of information success model, the purpose of this study was to prove empirically three facts on the organization`s performance, user`s attitude, and gaps between two factors by improvement in the quality of information. To accomplish the purpose, literature review and statistical analysis were done using the university evaluation data published by JoongAng Daily from 2007 to 2011. The results of this study showed that the information quality had positive effect on organization`s performance, user`s attitude like a reputation, and the gaps between two factors. The results of this study had a great expectation for the role of offering useful insight and information in the field of information system and education.

The Effect of the Length of Relationship and Commitment in the Context of Mobile Telecommunication Industry

Abstract: The purpose of this study is to investigate two components of commitment(affective commitment and calculative commitment) and relational equity on loyalty. In addition, The authors analyzed the moderating effect of length of relationship on the effects of commitments and relational equity on switching intention. Major findings can be summarized as follows. It was found that affective commitment made a negative impact on switching intentions and a positive impact on w-o-m. Calculative commitment had no effect on switching intention and w-o-m while it made a negative effect on w-o-m in handset side only. Relational equity appears to bolster a negative effect on switching intention and a positive effect on w-o-m. Also length of relationship seems to moderate the effect of relational equity on switching intention.

Detecting Emerging Technology to Use Social Network Analysis : Focusing on Mobile Telecommunication

Abstract: Social Network Analysis is an increasingly important part of a broader `toolbox` of evaluation methods available to R&D policymakers to support decision-making. The aim of this research is to be an accessible, `beginner`s guide` to social network theory and application in the area of mobile telecommunication research and development (R&D) decision-making. This research suggests the methodology of investigation into new technology, and the methodology suggested by this research is believed to be a meaningful first step toward the establishment of the information analysis structure, which is in desperate need.

Exploring Antecedents of Mobile IPTV Satisfaction : Focusing on Aesthetic Simplicity and Moderating Role of Network Quality

Abstract: This study explores the factors influencing user satisfaction of mobile IPTV and their relationship. We formulate the research model based on characteristics of mobile device and IPTV. Responsiveness, contents satisfaction, price satisfaction, aesthetic simplicity, network quality are proposed as essential antecedents of mobile IPTV satisfaction. We also suggest network quality and gender as moderators. Our data analysis with 297 mobile IPTV users shows contents and price have significant positive effect on mobile IPTV satisfaction. Network quality shows positive moderation effect on the relationship between responsiveness and satisfaction.