An Assessment of the Impact of IT on Accounting Infornation Systems

The research theme is based on the impact of IT on the effectiveness of AIS that aims to define the effective performance management in the banks of Jordan. The research has been conducted on the banks in Jordan to know the functions of AIS and the impact of IT on AIS to turn the collected data into valuable and relatable information. The IT used in an organization determines the quality of the AIS for accounting purposes. AIS are capable of converting business data into valuable information for the purpose of decision making, cost reduction, and fulfilling legal reporting obligations.

This study investigated the impact of IT on banks listed on the Jordanian stock exchange, focusing on the hardware, software, and network aspects of IT to determine the qualitative characteristics of AIS that meet the requirements of accounting frameworks. It also determined whether the AIS can distinguish useful information for decision making and its impact on the internal control system that can be used to improve the business management decision making processes. Drawing on accounting theory, the particular qualitative characteristics it focused on are relevance, reliability, consistency, understandability, materiality, objectivity, and comparability of accounting information from IT-based AIS, and whether they provide a faithful representation of business data in AIS to enhance its quality for financial reporting that is consistent with accounting regulatory frameworks.