Information Systems Quality and Corporate Sustainability: Unpacking the Interplay of Financial Reporting, Artificial Intelligence, and Green Corporate Governance
Abstract
1. Introduction
2. Theoretical Framework
2.1. Underpinning Theories
2.2. Accuracy of Financial Data Reporting
3. Research Questions and Hypotheses Development
- RQ1. To what extent is the implementation of ISQMA associated with CS performance in the context of commercial banks?
- RQ2. Does AFDR serve as a mediating mechanism in the relationship between ISQMA and CS?
- RQ3. Does AI moderate the association between ISQMA and AFDR?
- RQ4. Does GCG moderate the association between ISQMA and CS?
3.1. Information Systems Quality in Management Accounting and Corporate Sustainability
3.2. Information Systems Quality in Management Accounting and Financial Reporting Accuracy
3.3. The Mediating Mechanism of Financial Reporting Accuracy
3.4. The Moderating Role of Artificial Intelligence
3.5. The Moderating Role of Green Corporate Governance
3.6. Conceptual Framework
4. Research Design and Methods
4.1. Sampling and Data Collection
4.2. Measures
5. Data Analysis and Results
5.1. Demographic Profile
5.2. PLS-SEM Analysis
5.3. Measurement Model Assessment
5.4. Structural Model Assessment
5.5. Moderation Analysis
6. Discussion and Implications
6.1. Discussion of Key Findings
6.2. Theoretical Implications
6.3. Managerial Implications
6.4. Limitations and Future Research Directions
6.5. Conclusions
Author Contributions
Funding
Institutional Review Board Statement
Informed Consent Statement
Data Availability Statement
Conflicts of Interest
Appendix A
Construct | Sample Items | Source | Related Hypotheses |
---|---|---|---|
Information Systems Quality in Management Accounting (ISQMA) | 1. Fast access and calculation times 2. User-friendliness 3. Automation and standardization 4. Flexibility/customization 5. Full integration of the IT system 6. Data quality | Knauer et al. [52]; Papiorek and Hiebl [47] | H1, H2, H4, H5, H6 |
Accuracy of Financial Data Reporting (AFDR) | 1. The accuracy of financial information helps decision-making 2. FI is carefully prepared to ensure its reliability 3. FI is easily understood by its user 4. FI represents in a reliable way what you want to portray | Johri [9] Monteiro et al. [115] | H2, H3 |
Artificial Intelligence (AI) | 1. AI can help me find lost data 2. AI provides accurate data 3. AI supports important decisions 4. AI can display hard-to-measure data 5. AI protects privacy 6. AI helps complete tasks 7. AI is auditable | Paschen et al. [116]; Wijayati et al. [117] | H5 |
Green Corporate Governance (GCG) | 1. Green corporate governance encourages economic growth 2. Green corporate governance enhances cost efficiency and investor confidence | Peng [113]; Subedi [114]; Wang et al. [100] | H6 |
Corporate Sustainability (CS) | 1. Our company’s profitability is in good standing 2. Our firm has a good competitive position 3. We are successful in reducing costs 4. We have a high brand value 5. Our financial condition is good | Bağış et al. [118]; Svensson and Wagner [119] | H1, H3, H6 |
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Construct | Items | Outer Loadings | VIF | CA | CR | AVE |
---|---|---|---|---|---|---|
Information Systems Quality in Management Accounting (ISQMA) | 0.853 | 0.885 | 0.562 | |||
ISQMA1 | 0.706 | 1.514 | ||||
ISQMA2 | 0.768 | 1.798 | ||||
ISQMA3 | 0.774 | 1.539 | ||||
ISQMA4 | 0.793 | 1.847 | ||||
ISQMA5 | 0.779 | 1.764 | ||||
ISQMA6 | 0.771 | 1.722 | ||||
Accuracy of Financial Data Reporting (AFDR) | 0.792 | 0.859 | 0.603 | |||
AFDR1 | 0.783 | 1.548 | ||||
AFDR2 | 0.754 | 1.671 | ||||
AFDR3 | 0.751 | 1.643 | ||||
AFDR4 | 0.816 | 1.639 | ||||
Green Corporate Governance (GCG) | 0.782 | 0.843 | 0.642 | |||
GCG1 | 0.810 | 1.099 | ||||
GCG2 | 0.792 | 1.808 | ||||
Artificial Intelligence (AI) | 0.831 | 0.857 | 0.570 | |||
AI1 | 0.715 | 1.315 | ||||
AI2 | 0.763 | 1.412 | ||||
AI3 | 0.790 | 1.858 | ||||
AI4 | 0.766 | 1.784 | ||||
AI5 | 0.785 | 1.885 | ||||
AI6 | 0.705 | 1.502 | ||||
AI7 | 0.685 | 1.126 | ||||
Corporate Sustainability (CS) | 0.775 | 0.837 | 0.512 | |||
CS1 | 0.812 | 1.778 | ||||
CS2 | 0.779 | 1.745 | ||||
CS3 | 0.786 | 1.719 | ||||
CS4 | 0.646 | 1.228 | ||||
CS5 | 0.717 | 1.204 |
Constructs | AFDR | AI | CS | GCG | ISQMA |
---|---|---|---|---|---|
Heterotrait–Monotrait ratio (HTMT) | |||||
AFDR | 0 | ||||
AI | 0.595 | 0 | |||
CS | 0.695 | 0.631 | 0 | ||
GCG | 0.669 | 0.627 | 0.649 | 0 | |
ISQMA | 0.548 | 0.676 | 0.680 | 0.510 | 0 |
Fornell–Larcker criterion | |||||
AFDR | 0.777 | ||||
AI | 0.629 | 0.775 | |||
CS | 0.695 | 0.665 | 0.716 | ||
GCG | 0.402 | 0.382 | 0.431 | 0.801 | |
ISQMA | 0.684 | 0.686 | 0.631 | 0.418 | 0.750 |
Relationships | β | T- Statistics | p- Values | CIs | VIF | Decision | |
---|---|---|---|---|---|---|---|
2.5% | 97.5% | ||||||
Direct Effects | |||||||
H1 ISQMA → CS | 0.177 | 3.355 | 0.001 | [0.078,0.284] | 2.180 | Supported | |
H2 ISQMA → AFDR | 0.250 | 4.524 | 0.000 | [0.143,0.360] | 2.800 | Supported | |
H3 AFDR → CS | 0.429 | 8.295 | 0.000 | [0.323,0.525] | 1.990 | Supported | |
Mediating Effects | |||||||
H4 ISQMA → AFDR → CS | 0.107 | 3.983 | 0.000 | [0.058,0.164] | 1.000 | Supported | |
Moderating Effects | |||||||
H5 AI × ISQMA → AFDR | 0.039 | 2.672 | 0.008 | [0.014,0.073] | 1.818 | Supported | |
H6 GCG × ISQMA → CS | 0.108 | 3.963 | 0.000 | [0.052,0.160] | 1.530 | Supported |
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Neiroukh, N.; Çağlar, D. Information Systems Quality and Corporate Sustainability: Unpacking the Interplay of Financial Reporting, Artificial Intelligence, and Green Corporate Governance. Systems 2025, 13, 537. https://doi.org/10.3390/systems13070537
Neiroukh N, Çağlar D. Information Systems Quality and Corporate Sustainability: Unpacking the Interplay of Financial Reporting, Artificial Intelligence, and Green Corporate Governance. Systems. 2025; 13(7):537. https://doi.org/10.3390/systems13070537
Chicago/Turabian StyleNeiroukh, Nidal, and Dilber Çağlar. 2025. "Information Systems Quality and Corporate Sustainability: Unpacking the Interplay of Financial Reporting, Artificial Intelligence, and Green Corporate Governance" Systems 13, no. 7: 537. https://doi.org/10.3390/systems13070537
APA StyleNeiroukh, N., & Çağlar, D. (2025). Information Systems Quality and Corporate Sustainability: Unpacking the Interplay of Financial Reporting, Artificial Intelligence, and Green Corporate Governance. Systems, 13(7), 537. https://doi.org/10.3390/systems13070537