The Impact of Strategic Alignment of Accounting Information Systems on a Firm's Performance

회계정보시스템 전략적 연계의 기업성과에 대한 영향

  • Published : 2006.12.31


Using structural equation modeling, this study empirically examined the causal relationships among the level of advanced manufacturing technology (AMT), facilitation of alignment, the degree of strategic alignment of management eccounting Information systems (MAIS), and the improvement of production performance. The causal relationships between MAIS strategic alignment and information characteristics of MAIS were also investigated. The results showed that the level of AMT has a significant and positive impact on alignment facilitation. A significant causal relationship between alignment facilitation and MAIS strategic alignment was also found. It was shown that under high degrees of MAIS strategic alignment, MAIS must provide broad-scope and integrated types of Information. The causal relation-ships between MAIS strategic alignment and organizational performance were significant and positive. Thus, it is concluded that under high levels of AMT, a high degree of MAIS strategic alignment positively contributes to the improvement of production performance.



  1. Agarwal, D., An Empirical Investigation of the Impact of Advanced Manufacturing Technology on Business Performance, Ph.D DISertation, The City University of New York, 1997
  2. Aldenderfer, M.S. and R.K. Blashfield, Cluster analysis, Beverley Hills : Sage Publications, 1984
  3. Anderson, C. and A. Narus, 'A Model of Distributor Firm and Manufacturer Firm Working Partnerships,' Journal of Marketing, Vol.54(1990), pp.42-58
  4. Arbuckle, L. and W. Wothke, AMOS 4.0 User's Guide, SmallWaters Corporation, 1999
  5. Baets, R.J., 'Some Empirical Evidence on IS Strategy Alignment in Banking,' Information and Management, Vol.30(1996), pp. 155-177
  6. Broadbent, M. and P. Weill, 'Developing Business and Information Strategy Alignment,' Proceedings of International Conference on Information Systems, (1991), pp. 293-306
  7. Bruggeman, W. and R. Slagmulder, 'The Impact of Technological Change on Management Accounting,' Management Accounting Research, Vol.6(1995), pp.241-252
  8. Carmines, E. and J. McIver, Analyzing Models with Unobserved Variables, Social Measurement: Current ISues, Beverly Hills : Sage, 1981
  9. Chan, Y. and S. Huff, 'Investigating Information Systems Strategic Alignment,' Proceedings of International Conference on Information Systems, (1993), pp.345-363
  10. Chan, Y., S. Huff, D. Barclay, and D. Copeland, 'Business Strategic Orientation, Information Systems Strategic Orientation, and Strategic Alignment,' Information Systems Research, Vol.8(1997), pp, 125-150
  11. Chenhall, R.H. and D. Morris, 'The Impact of Structure, Environment, and Interdependence on the Perceived Usefulness of Management Accounting Systems,' The Accounting Review, Vol.21(1986), pp,16- 35
  12. Choe, J.M., 'The Effects of User Participation on the Design of Accounting Information Systems,' Information and Management, Vol.34(1998), pp,185-198
  13. Chong, V.K., 'Management Accounting Systems, Task Uncertainty and Managerial Performance: a Research Note,' Accounting, Organizations and Society, Vol.21(1996) , pp.415-421
  14. Chong, V.K. and K.M. Chong, 'Strategic Choices, Environmental Uncertainty and SBU Performance : a Note on the Intervening Role of Management Accounting Systems,' Accounting and Business Research, V ol..27 (1997), pp.268-276
  15. Das, T.K. and B. Elango, 'Managing Strategic Flexibility: Key to Effective Performance,' Journal of General Management, Vol.20(1995), pp.60-75
  16. Das, S.R., S.A Zahra, and M.E. Warkentin, 'Integrating the Content and Process of Strategic MIS Planning with Competitive Strategy,' Decision Sciences, Vol.22(1991), pp.953-982
  17. Earl, M., 'Experiences in Strategic Information Systems Planning,' MIS Quarterly, (March 1993), pp,1-24
  18. Everitt, B.S., Cluster analysis, (3rd edn.) London: Heinemann, 1993
  19. Ferrara, W.L., 'More Questions than Answers,' Management Accounting, (October 1990), pp.48-52
  20. Fisher, C., 'The Impact of Perceived Environmental Uncertainty and Individual Differences on Management Information Requirements : a Research Note,' Accounting, Organizations and Society, Vol.21, No.4(1996), pp.361- 369
  21. Floyd, S. and B. Wooldridge, 'Path Analysis of the Relationships Between Competitive Strategy, Information Technology and Financial Performance,' Journal of MIS, Vol.7(1990), pp.47-64
  22. Gorry, G. and M. Scott Morton, 'A Framework for Management Information Systems,' Sloan Management Review, (Fall 1971), pp. 55-71
  23. Hair, J., Multivariate Data Analysis, Petroleum Publishing Company, Oklahoma, 1979
  24. Harrison, S.P. and M. Poole, 'Customer-focused Manufacturing Strategy and the Use of Operations-based Non-financial Performance Measures: a Research Note,' Accounting, Organizations and Society, Vol. 22, No.6(1997), pp.557-572
  25. Johnston, H. and S. Carrico, 'Developing Capabilities to Use Information Strategically,' MIS Quarterly, Vol.12(1988), pp. 37-48
  26. Ioreskog, K. and D. Sorbom, LISREL: Analysis of Linear Structural Relationships by the Method of Maximum Likelihood, Chicago : International Educational Services, 1981
  27. Kim, J. and C. Muller, Factor Analysis : Statistical Methods and Practical Issues, SAGE University paper 14, SAGE Publications Inc, 1981
  28. King, W. and T. Teo, 'Integration between Business Planning and Information Systems Planning : Validating a Stage Hypothesis,' Decision Sciences, Vol.28, No.2 (1997), pp.279-308
  29. Kirs, P., G. Sanders, R. Cerveny, and D. Robey, 'An Experimental Validation of the Gorry and Scott Morton Framework,' MIS Quarterly, (June 1989), pp.183-198
  30. Korea Production Committee, The Report about the State of Automation in Korean Manujacturing Firms, Korean Production Committee, Seoul, 1999
  31. Krcmar, H. and H. Lucas, 'Success Factors for StrategicInformation Systems,' Irformation and Management, Vol.21(1991), pp. 137-145
  32. Meredith, J.R. and M. Hill, 'Justifying New Manufacturing Systems : a Managerial Approach,' Sloan Management Review Summer, (1987), pp.49-61
  33. Milgrom, P. and J, Roberts, 'Cornplementarities and Fit Strategy, Structure, and Organizational Change in Manufacturing,' Journal of Accounting and Economics, Vol. 19(1995), pp.179-208
  34. Nath, R., 'Aligning MIS with the Business Goals,' Information and Management, Vol. 16(1989), pp.71-79
  35. Parthasarthy, R. and S.P. Sethi, 'The Impact of Flexible Automation on Business Strategy and Organizational Structure,' Academy of Management Review, Vol.17, No.1(1992), pp.86-111
  36. Ping, R.A., 'The Effects of Satisfaction and Structural Constraints on Retailer Exiting, Voice, Loyalty, Opportunism, and Neglect,' Journal of Retailing, Vol.69(1993), pp.320-352
  37. Premkumar, G. and W. King, 'The Evalu-ation of Strategic Information System Planning,' Information and Management, Vol.26 (1994), pp.327-340
  38. Sabherwal, R., 'The Relationship between Information System Planning Sophistication and Information System Success: an Empirical Assessment,' Decision Sciences, Vol. 30, No.1(1999), pp.137-167
  39. Sanchez, R., 'Strategic Flexibility in Product Competition,' Strategic Management Journal, Vol.16(1995), pp.135-159
  40. Sim, K.L. and L.N. Killough, 'The Performance Effects of Complementarities between Manufacturing Practices and Management Accounting Systems,' Journal of Management Accounting Research, Vol.10 (1998), pp.325-346
  41. Specht, P., 'Job Characteristics as Indicants of CElS Data Requirements,' MIS Quarterly, (September 1986), pp.271-287
  42. Spicer, B.H., 'The Resurgence of Cost and Management Accounting: a Review of Some Recent Developments in Practice, Theories and Case Research Methods,' Management Accounting Research, Vol.3 (1992), pp.1-37
  43. Teo, T. and W. King, 'Assessing the Impact of Integrating Business Planning and IS Planning,' Information and Management, V ol.30(1996), pp.309- 321
  44. Teo, T. and W. King, 'Integration between Business Planning and Information Systems Planning : an Evolutionary-contingency Perspective,' Journal of MIS, Vol.14, No.1 (1997), pp.185-214
  45. Van de Ven, A.H. and D. Drazin, 'The concept of fit in contingency theory,' Research in Organizational Behavior, Vol.7(1985), pp. 333-365
  46. Vickery, S., C. Droge, and R. Markland, 'Production Competence and Business Strategy : Do They Affect Business Performance?,' Decision Science, Vol.24(1993), pp.435-455
  47. Weill, P. and M.H. Olson, 'Managing Investment in Information Technology: Mini Case Examples and Implications,' MIS Quarterly, Vol.13(1989), pp.3-17