Appropriation of accounting information system use under the new IFRS: Impacts on accounting process performance

The newly issued International Financial Reporting Standards (IFRS) have significantly transformed the accounting process and the accounting information system (AIS). Confronting the changes in information technologies (IT), using the AIS appropriately is crucial to derive accurate information from which to process business transactions and report information in compliance with the new IFRS. Built on adaptive structuration theory (AST), this study is aimed toward investigating how accounting regulatory changes influence AIS use, which consequently affects accounting process performance. Data are collected through a questionnaire survey of 250 accountants from 36 countries currently using the IFRS as their accounting standards. The results show that perceived system restrictiveness, IT professional support, and accountant's self-efficacy significantly explain faithfulness of appropriation (FOA) whereas perceived effectiveness of controls on IT use does not. FOA influences exploitive and exploratory task adaptations, which subsequently predict accounting process performance under the new IFRS. This study enriches the AST literature and contributes to both the accounting and IT domains. Our findings provide organizations with new insights into how to maintain the efficiency of accounting practice and business operations under the new IFRS.