Carolyn Strand Norman

How culture affects the use of information technology

Multinational enterprises (MNEs) must be able to communicate and process data efficiently and effectively throughout the firm. The use of information technology is often affected by the various cultures in which MNEs operate. Technological advances have altered the methods by which MNEs conduct both their domestic and international operations. Advances such as e-business, information security, and electronic financial reporting are among the most significant technological changes facing accountants. As accountants confront and resolve these challenges, they will need to consider the effects of culture on implementation and use of technology. The purpose of this study was to examine differences in cultural and organizational environments of MNEs. Based on these cultural differences, we formed and tested hypotheses regarding the utilization of information technology by accountants. The findings indicate that impediments to international data flow are significantly related to culture.

Textbook websites: user technology acceptance behaviour

Compared with course management software (e.g. Blackboard and WebCT), the content and technology offered by a textbook website (TBW) is relatively costless to universities and professors, and is a potentially valuable tool that can be leveraged to help students learn course material. The present study uses the extended Technology Acceptance Model (TAM2) and structural equation modelling to examine characteristics associated with the voluntary usage behaviour (UB) of TBW by students in entry-level accounting courses. Analysing survey data from 231 participants, our results indicate that perceptions of usefulness, the ability to demonstrate or explain the benefits of usage and peer usage of the TBW are all positively associated with UB. However, our findings also suggest that notwithstanding the potential benefits accruing to students, faculty encouragement is a critical enabling factor for use of the TBW. Because of persistent concerns on the part of students, educators, administrators, textbook publishers, and legislators regarding the cost and quality of higher education, we discuss the implications of our results for these stakeholders.

A Service‐Learning Course in Accounting Information Systems

This study reports the results of a quasi‐experiment involving 90 master of accounting students. The students participated in one of three course types: full‐immersion service learning with a supporting textbook, full‐immersion service learning without a supporting textbook, or nonservice learning using case‐based projects with deliverables identical to those in the service‐learning courses. Results indicate that full‐immersion service learning increased student satisfaction, student perceptions of ability, self‐confidence in chosen careers, desire to study accounting information systems, and performance on complex data modeling tasks. The only performance decrement noted was in performance on a topic that was loosely related to the service‐learning project. These results should be of interest to faculty and administrators who might be contemplating the value of integrating service learning in the accounting curriculum.

An investigation of the impact of media capabilities and extraversion on social presence and user satisfaction

A significant body of research examines media use and user satisfaction, and these studies are mostly focused on the choice of a specific media. The purpose of the present study is to investigate the effects of media capabilities and individual characteristics on social presence, and the subsequent impact on user satisfaction. Drawing on Media Synchronicity Theory, we propose a research model that identifies five physical media capabilities as the determinants of social presence (i.e. the degree to which individuals feel connected to others in online communities), and we then assess the effect of social presence on user satisfaction. Our results suggest that (1) certain media capabilities and (2) extraversion have a positive impact on whether individuals feel connected to others in online communities (i.e. computer-mediated communications). In addition, our moderation analysis shows that extraversion affects social presence differently across communication tasks, suggesting that social presence is a result of the dynamic interaction between media capabilities, the individual, and the task. These results should be of interest to organisations that rely upon virtual meetings to accomplish tasks, as well as to media developers who seek media capabilities that promote a feeling of connected communication between individuals in virtual space.

Teaching Business Students to Recognize a Firm in Distress: What Information Is Important to Experts?

Business failures are the result of many decisions within individual companies—Can business students be taught to recognize a firm that is in financial distress? If it can be known and understood how professionals acquire expertise in evaluating the financial health of a firm, then it follows that structuring both the college classroom experience and the corporate training environment to enhance learning will be easier. In this article, the authors investigated the amount and types of information and tests requested by professionals concerning a firm in distress compared to those requested by intermediates and novices. The authors found that the amount and kinds of information and tests requested by novices differed significantly from that requested by experts in the field. Based on the results, the authors make recommendations to help business educators better prepare business students to recognize a firm in financial distress.

The Evaluation of Application Controls in Accounting Software: A Short Instructional Case

Internal control is a central topic in auditing and accounting information systems courses and is even more important since enactment of the Sarbanes‐Oxley Act of 2002. The purpose of this case is to help students identify whether appropriate controls exist by attempting to execute unauthorized or improper transactions in a popular accounting software package. Students then compose a memo to summarize and explain the results of their transactions. This case helps students (1) identify application controls, (2) think about controls that may be weak, missing, or violated by an employee, and (3) consider and document potential risk exposures to an organization.

A Postmodern Stakeholder Analysis of Telework

Telework is becoming a viable and appealing work option in the accounting profession (Hunton, 2005). Many accounting firms have implemented telework arrangements to provide flexibility and support for employees who seek an acceptable balance between career and family. This form of work also supports business sustainability in the event of acts of terrorism or natural disasters. Increased reliance on various forms of telework gives rise to questions of appropriate ethical treatment of affected workers. The objectives of the present study are to examine the ethical implications of telework and identify policies for telework that might help organizations implement this type of work arrangement for their employees in an ethically informed manner. Our analysis draws upon a framework proposed by Yuthas and Dillard (1999) that combines postmodern ethics with stakeholder theory. Although this framework was developed to study the ethical design of information technology systems, we maintain that this structure is equally useful to study the ethical issues inherent with telework. Legislators, regulators, unions, and employers can use the telework policy considerations presented herein as guidelines as they deliberate, design, and implement ethical telework strategies.

Exploring perceptions of data analytics in the internal audit function

ABSTRACT The objective of our study is to understand the use of data analytics within the internal audit function (IAF) and to investigate the types of tools internal auditors use, given the large amounts of data available to them for analytic purposes. We interview the Chief Audit Executive (CAE) in six for-profit and six not-for-profit organizations across several industries, including manufacturing, government services, energy, banking, and higher education. Our intent was to gather descriptive information with respect to the IAF, as well as quantifiable responses to specific questions about the role of data analytics in each CAE’s IAF. Our findings indicate that CAEs value professional certifications and the use of data analytics in the IAF. CAEs report that they employ data analytics at different times and for different purposes and that they are dedicating a considerable amount of the IAF budget in support of data analytics. Our findings should be of interest to CAEs as they consider various possible tools and training to support data analytics within their organisations and to academics who wish to include data analytics courses or topics in the accounting and information systems curricula to prepare students for the workplace.

Are Engagement Quality Reviews Really Objective

We investigate auditor objectivity as it relates to engagement quality reviews by examining whether engagement quality reviewers (EQRs) exhibit lower levels of objectivity when they have administrative, economic, or social ties with the audit engagement partner. Motivated reasoning theory suggests that EQRs with ties to the engagement partner will reach less conservative conclusions and be more willing to accept an engagement partners decision relative to reviewers who have no connections with the engagement partner. We conduct an experiment where EQRs must review a decision by an engagement partner related to a contingent liability. Results suggest that engagement quality reviews are an effective mechanism for reducing the effects of engagement partner biases to accept client-favored accounting choices. Participants with ties to the engagement partner (i.e., from the same office) and without ties (i.e., from the national office) both challenged the decision of the engagement partner and recommended disclosure of a contingent liability, which client management opposed. We also find an interaction of ties with the engagement partner and the probability of the contingent liability. National office EQRs were less likely to decide that disclosure was necessary than were local office partners when the probability of the contingent liability was low. With regard to the need to recognize a liability, EQRs with and without ties to the engagement partner concurred with the decision of the engagement partner.