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“In addition, organizational performance can be enhanced by an IT-based system, such as AIS capability, with the organization’s ability to optimize BP and improve BP management. Despite being a valuable resource in improving organizational performance, AIS on its own might not be able to help in sustaining that performance. This is consistent with the RBT essence, which indicates that the effects of AIS as a valuable resource might still be dependent on intangible factors such as BPC. However, better performance can be generated through the synergism of the corresponding tangible and intangible resources” (Al-Matari, et al.).

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1. Accounting Information System: “AIS is not a component of IT only, as it also deals with procedures and structures, internal control, and processes and people in order to manage the information effectively” (Al-Matari, et al.).

2. Business Process Capabilities: “refer to the ability of an organization to create market value by utilizing resources in a unique way”  (Al-Matari, et al.).

3. Dynamic Accounting Information System: “a unique sort of resource, specifically an organizationally embedded non-transferable organization-specific resource that necessitates an examination of its impact on business process capabilities (BPC)” (Al-Matari, et al.).

4. Organizational dynamic capabilities: “an organization’s overall ability to integrate, build, and reconfigure internal and external competencies in order to respond to quickly changing circumstances” (Al-Matari, et al.).

5. Spanning capabilities: “The ability of an organization to handle information flow across functional areas of the supply chain (buying, order processing, strategy development, and information dissemination)” (Al-Matari, et al.).

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Background Information on accounting information system

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Background Information on accounting information system

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1. The manual process model is often referred to as the oldest and traditional model of the accounting information system that was used to document business processes physically by hand without the use of computers and IT systems. The significance of the manual process models is it helps accounting students to understand the basis of the accounting information system on how data are both collected and recorded in an accounting system that can later be used to help entrepreneurs to make informed decisions for the operations of businesses (Lusianah).

2. The Flat-File Model which is also known as the legacy systems, is also one of the earliest models of accounting information systems that had limitations on the amount of business data that it can handle due to the capacity on the amount of business data that can be stored in the system. The flat- file also took up a lot of time to update business data within the model, and the model also had a difficult time keeping up with changes in business status that needed to be reflected on the model. The significance of the file-flat model is that the model led to the development of the database model that had the capability of storing multiple data and also keeping with changes in status of businesses like being able to update data as a result of the changes in status.(Lusianah).

3. The database model is a model that resolves many issues that the flat-file model had which were the flat-file models inability to store multiple data, taking up huge amounts of time to update business information, and lack the ability to keep up to date with changes in status of businesses. The significance of the database model is that it can guarantee businesses easy access to business information stored in the database. The database model also guarantees data integrity meaning it has the ability of preventing unauthorized users from having access to business data (Lusianah).

4. The REA model is one of the earliest models of the accounting information system used to frame the relationship between an organization’s resources, upcoming events and agents to help entrepreneurs to maintain stability within businesses. The significance of the REAREA system model is it provides the entrepreneurs data on the recent business activities and resources to help entrepreneurs to make better decisions on ways that their business can operate more efficiently (Lusianah).

5.The ERP system is a software tool that provides entrepreneurs with the ability to carry out business processes through the use of existing data to ensure their businesses are operating efficiently with the amount of resources that an organization has. ERP system model plays an important role in businesses because it allows entrepreneurs to access existing data within their business to make informed decisions on ways to produce products at an efficient cost (Lusianah).

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Subtopics that can lead to further exploration of accounting information system

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Subtopics that can lead to further exploration of accounting information system

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Studies have discovered that accounting information system is capable of coping with unexpected changes in the business environment which can help guide businesses in the right direction to survive in an competitive market

Accounting information system has also been found be effective in providing business owners with relevant information needed to cut production cost to improve the efficient use of resource

In a market that’s competitive, accounting information system has been discovered to have the ability to prevent business data from being replicated by competitors and unauthorized users through the use of database

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Accounting Information System(AIS), which is a software tool used by business owners to record financial data for their businesses has shown to have impacted their businesses positively by helping businesses to compete against others by preventing business data being stolen from competitors that want to dominate the market. The software tool has been found to be useful for businesses because it helps boost overall performances by providing business owners with relevant information that's needed to improve efficiency like reducing the production cost of some products. AIS has also been found to have capability to cope with rapid changes in the business environment which is good for businesses since businesses need to be up to date with the world to meet the demands of consumers.

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The Impact of Dynamic Accounting Information System on Organizational Resilience: The Mediating Role of Business Processes Capabilities

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The Impact of Dynamic Accounting Information System on Organizational Resilience: The Mediating Role of Business Processes Capabilities

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Citation:

Al-Matari, Ahmed Saleh, et al. “The Impact of Dynamic Accounting Information System on

Organizational Resilience: The Mediating Role of Business Processes Capabilities.” Sustainability(Basel, Switzerland), vol. 14, no. 9, 2022, pp. 4967-, https://doi.org/10.3390/su14094967.

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School of Accounting, Faculty of Economics and Management, Universiti Kebangsaan Malaysia (UKM), Bangi 43600, Selangor, Malaysia

Faculty of Commerce and Economics, Sana'a University, Sana'a 15542, Yemen

Department of Information Systems, Azman Hashim International Business School, Universiti Teknologi Malaysia, Skudai 81310, Johor, Malaysia

Authors to whom correspondence should be addressed.

1. Introduction

Crises are unavoidable in today's turbulent business climate, but there are significant variances in how organizations deal with problems or disruptions, both internal and external, that could lead to a crisis [ 1]. According to the United Nations trade and development organization, the economic uncertainty generated by the coronavirus outbreak is expected to cost the world economy USD 1 trillion by 2020. These crises have become one of the most important predictors of volatility impacting an organization's performance as well as one of the leading causes of insolvency or bankruptcy [ 2]. During all crises, organizational activities are disrupted by a multitude of strategic, environmental, financial, or political causes. Thus, while interruptions and other crises are unavoidable, there are significant variances in how organizations deal with them. Information systems (IS) academics have recently advocated that organizations should enhance their IS capability to obtain a competitive advantage and face the dynamic and turbulent character of the organization environment based on the resource-based view (RBV) and dynamic capabilities theory [ 3, 4, 5]. The concept of dynamic accounting information system capability, at its core, emphasizes the necessity of integrating, creating, and reconfiguring IT-based resources alongside and leveraging the value of other resources and capabilities to reorganize accounting activities and processes quickly. Dynamic capabilities, according to empirical research, contribute to organizational performance [ 6, 7, 8].

In today's fast-paced and chaotic business climate, having a dynamic AIS capability is critical [ 9]. This necessitates organizations focusing more on day-to-day operational demands at the price of long-term resilience and digital business innovation [ 10]. As a result, AIS and IT have evolved into metaphors for many tools and approaches that organizations might use to tackle the challenges of these environments. As a result, many investments in information systems (ISs) are undertaken in the belief that certain technologies, such as accounting information systems (AIS), would pay off, proving essential to an organization's competitive survival [ 11]. These crises affect organizations' continuity and threaten their survival and competitiveness, increasing their chances of collapsing [ 12]. They are also a major challenge for management and for information systems. Thus, the lack of resilience among organizations may be a result of the lack of dynamic AIS capability among the organizations [ 13, 14, 15]. This subject is somewhat unexplored in the context of major corporations and the importance of dynamic AIS capability. As a result, the impact of dynamic AIS capacity on organizational resilience is investigated in this research [ 16, 17]. This study focuses on enhancing the AIS's dynamic potential through the collaboration of a flexible AIS, a complementing BI system, and AIS-related human competencies.

A significant amount of IS research has focused on either IT investment or IT capability, which is described as Information Technology and associated hardware, software, and services [ 22]. However, AIS is not a component of IT only, as it also deals with procedures and structures, internal control, and processes and people in order to manage the information effectively [ 23]. The actual usage of such systems is important, and it is the missing link between IT/IS and firm performance [ 24, 25, 26]. Two of the most critical areas indicating the effective usage of AIS and its impact on firm performance are the decision-making processes and business processes capabilities [ 27]. Therefore, to explore the strategic role of dynamic AIS capability, this study investigates the relationship between dynamic AIS capability and business-process capabilities. In addition, a number of studies have demonstrated the positive effects of information systems capability on overall organizational performance [ 28, 29, 30, 31], but our understanding of the business processes capabilities through which such gains are achieved remains limited due to a lack of focus on the turbulent business environment.

Based on the resource-based view (RBV) and dynamic capabilities views, we propose that dynamic AIS capability can be constructed through flexible AIS, business intelligence (BI), and complementary and associated competencies (DCV). As a result, BI systems, which are one of the dynamic AIS components, are seen as excellent potential for businesses to decrease risks and increase profits [ 32] and give the analytical capabilities required to process data in the required manner [ 9]. Organizations may rely on a flexible AIS to keep their AIS applications up to date in real-time to adapt to the rapidly changing in real-world activity [ 9]. A dynamic capability requires a huge amount of learning [ 33, 34]. As a consequence, IS-related human resource capability can also facilitate this learning in a dynamic AIS capability [ 9] and maintain the dynamic nature of it [ 27]. As a result, dynamic AIS capacity is seen as "a particular sort of resource, namely an organizationally embedded non-transferable organization-specific resource that necessitates an examination of its impact on business processes" in this study.

For this study, the dynamic AIS capacity is defined as "a unique sort of resource, specifically an organizationally embedded non-transferable organization-specific resource that necessitates an examination of its impact on business process capabilities (BPC)". This study also looks at the influence of dynamic AIS capabilities on OR by identifying the research gap in AIS business value and its impact on OR as mediated by its impact on BPC. This study also looks into how dynamic AIS capability affects OR by identifying a research gap in AIS business value and its impact on OR as mediated by BPC.

2. Literature Review

2.1. Dynamic AIS Capability

Despite the fact that various AIS capabilities have been recorded in the literature, this research will concentrate on dynamic AIS capability in core organizational functions. Processing transactions, accounting information display for decision making, and control environment management are examples of such areas, with the flexible AIS, complementary BI system, and AIS-related human resource competency as engaged skills. The capacity of dynamic AIS was chosen for two reasons: To begin with, emphasizing the relevance of dynamic skills would be consistent with earlier IS strategy studies [ 9]; and second, despite their strategic importance, dynamic AIS capability has not been regarded in the OR of organizations' performance research.

In such uncertain and unstable times, organizations need to develop a resilience capability that enables them to deal effectively with unforeseen events, recover from crises and even promote future success, and take advantage of events that could threaten the survival of an organization [ 40, 41]. With organizations facing business continuity, cash flow problems, supply chain challenges, business operations interruption, etc., it is now more important than ever that they have a solid basis for their business systems. A modern suite of IT applications with AIS can provide a comprehensive, agile, secure, and integrated solution in a range of functions, such as finance and accounting, procurement, human resources, and sales, and by adopting this system, its business can continue regardless of interruption. Dynamic technology-based AIS could contribute to building resilient organizations.

2.2. Business Process Capabilities and Accounting Information System

Both RBT and DCV have emphasized the necessity of dynamic capability-building procedures in attaining organizational competitive advantage [ 34, 55]. Similarly, organizational performance can be affected by IS capability in all situations, including during times of crisis, via the mediating role of capabilities such as BPC [ 56]. In addition, organizational performance can be enhanced by an IT-based system, such as AIS capability, with the organization's ability to optimize BP and improve BP management [ 57]. Despite being a valuable resource in improving organizational performance, AIS on its own might not be able to help in sustaining that performance [ 58]. This is consistent with the RBT essence, which indicates that the effects of AIS as a valuable resource might still be dependent on intangible factors such as BPC [ 59]. However, better performance can be generated through the synergism of the corresponding tangible and intangible resources [ 60].

3. Model Development and Hypotheses

3.1. Dynamic AIS Capability (DAISC) and Organizational Resilience (OR)

AIS-IT infrastructure flexibility can influence competitive advantage via OR. A flexible AIS application also positively supports dynamic AIS capability by providing a ready platform for accessing the appropriate data and establishing a network communication system for easy communication with other systems. An AIS, for instance, should have the capability to receive and process information from service delivery channels or new sales. Managers' expectations for a wider range of standard and ad hoc accounting information with changing levels of detail should be addressed by a dynamic AIS capability. All the organization sections should adapt to business needs changes and approaches by adapting and integrating the IT infrastructure. Thus, the infrastructure is an integral aspect of the IS capabilities for reaching every point and covering the range of the organizational boundaries [ 68].

Furthermore, online business models (such as business-to-business, business-to-consumer, and, more recently, consumer-to-consumer) necessitate a continuous flow and sharing of client data across all channels in order to assure consistency across databases. [ 66]. As such, a flexible AIS could be facilitated for the adaptability and reconfiguration of organizational processes [ 69]. This boosts an organization's ability to innovate and quickly adapt to a changing environment. As a consequence, organizations with more IT infrastructure flexibility are predicted to have better levels of organizational resilience. As a result, we propose the following sub-hypothesis:

3.2. Business Process Capabilities Mediating the Impact of Dynamic AIS Capability on Organizational Resilience (OR)

Organizational competencies or capabilities are resources in themselves or in combination with other resources across organizational divisions [ 87]. Therefore, suggesting the dynamic capability of the AIS depends on the synergies between three competencies: the flexible AIS, the complementary BI system, and AIS-related human resource competency. As mentioned above, the resources are the set of available factors that are controlled by the organization. While the term capabilities refers to the ability to combine resources and implement processes to achieve the intended result of having knowledge, tangible or intangible aspects, and extraordinary business processes as well as complicated relationships between existing resources [ 88].

Business process capabilities, according to the RBT, are the most significant resources that enable organizations to attain a competitive edge. [ 20]. Through the role of mediation of those other assets or capabilities, AIS's dynamic capability can influence an organization's resilience. As a strategic capability, business process capabilities are contingent on an organization's ability to implement and exploit AIS resources [ 39]. The combination of these arguments suggests that the capabilities of the business process mediate the relationship between the dynamic capability of AIS and the organizational resilience of an organization. As a consequence, as demonstrated in the research model, we propose the following hypothesis:

4. Methodology

4.1. Research Context and Data Collection

The targeted respondents are chief executive officer, chief finance officer, director of information, director of IMIS, senior system analysts, director of database administration, IT managers, and senior accountants. The selection was based on the assumption that these individuals are generally involved in resource repurposing and innovation in the organization and thus are likely to have a better understanding of the organization's resource endowments, processes, and capabilities as well as their impact on the organization's innovation performance, suggesting a high level of accuracy in responses [ 98].

Survey questionnaires were distributed to 984 listed companies in Malaysia during the 10-month data collection period from December 2019 to September 2020. The duration of data collection was longer, as difficulties arose due to the COVID-19 pandemic. A total of 162 completed questionnaires were returned, giving a response rate of 16.5 percent. Out of 162 questionnaires received, 13 questionnaires were excluded because the respondent did not fulfill the requirement. The final sample consisted of 144 matched surveys after excluding unmatched and/or missing cases.

The respondents are mainly CFO (45.8%) and others (29.2% includes staff accountant, senior accountant, senior auditor), as shown in Table 1. The remaining respondents were the CIO, director of MIS, senior system analyst, and database administration director. This was not unexpected, as the study included those who are likely to use AIS systems to perform their tasks. Accordingly, the highest number of respondents comprised CFOs and staff of accountants who were more often using the dynamic AIS systems.

4.2. Measurement Items

The questionnaire instrument was developed based on literature reviews. To measure each construct, the questionnaire items were adopted from previous empirical research. Using previously validated and published items increased and guaranteed the content validity and reliability of the items used for this study's constructs. The steps involved in developing the questionnaire are as follows: (1) reviewing literature in research to identify previously validated and published measures, (2) developing the initial draft of the questionnaire, (3) reviewing the questionnaire draft by practitioners and academics at pre-test stage, (4) conducting the pilot test, and (5) improving the questionnaire before sending for actual collection. On a five-point Likert scale, ranging from "strongly disagree" to "strongly agree," all measures were evaluated.

The developed model consists of two reflective constructs, namely BPC and OR. The dynamic AIS capability as a second-order formative construct entails three dimensions: (1) flexible AIS, (2) complementary BI system, and (3) AIS-related human resource competency.

This research looks at a specific set of organizational capabilities known as business process capabilities. These capabilities characterize an organization's ability to create market value in distinctive ways by utilizing resources [ 50] and by analyzing internal and external resources. This spanning capability enables businesses to capitalize on important assets, prevent potential flaws, seize market opportunities, and counteract external threats. BPC is a first-order concept that underpins an organization's activities and signals the beginning of purposeful learning. BPC was assessed on BP outside-in capability, BP inside-out capability, and BP spanning capability with twelve question items.

There are two promising techniques to improving our understanding of OR: (1) process methods, which highlight the dynamic nature of resilience by defining multiple phases of resilience, and (2) resilience capacity studies, which provide an overview of resilience's internal functioning [ 40]. We believe that combining these two approaches will result in a more comprehensive understanding of the phenomena of resilience as well as a solid foundation for empirical study on the creation of resilient organizations. As a result, OR is founded on the concept of "resilience as a process" and the idea of resilience as the only combination of organizational capacity and routine. Based on this, we refer to the three phases of resilience, namely anticipation, adaptation, and recovery, as the measurement for OR.

5. Results

5.1. Common Method Bias

To ensure that the collected data do not contain common method bias (CMB), as recommended by Podsakoff et al. [ 102], In this study, Harman's single factor was used. Exploratory factor analysis was used to examine 42 scale items provided in the final measurement model, which were then measured using an unrotated factor solution. The single factor is not present, as evidenced by the fact that the first factor accounted for 41.647 percent of the variance, which is less than the 50% threshold number [ 102]. Thus, there is no existence for the CMB in the collected data.

5.2. Assessment of the Reflective Measurement Model

We used PLS-SEM to evaluate the structural and measurement model. The assessment of the measurement model was undertaken by evaluating the reliability and validity (including convergent and discriminant validity) of the collected data. The reliability was assessed through Cronbach's alpha and composite reliability (CR) [ 103]. As per the readings in Table 2, no issues were raised in terms of Cronbach's alpha and CR, as all the values were above the threshold value of 0.7 [ 104]. For the convergent validity, it is evident from Table 2 and Figure 1 that the values of factor loading were all above the threshold value of 0.6 [ 104]. However, during measurement model evaluation, BPC9 factor loading was low and affected the BPC's AVE. According to Hair et al. [ 103] instructions, any factor loading that is below 0.60 and affects the construct's AVE should be eliminated from the construct. Thus, removing BPC9 increased the BPC's AVE. In addition, the values of the average variance extracted (AVE) were all above the threshold value of 0.5 [ 103]. Similar threshold values were adopted in previous studies on information systems [ 25, 105, 106, 107, 108, 109, 110, 111, 112]. Therefore, the convergent validity was confirmed.

5.3. Assessment of Dynamic AIS Capability as a Formative Second-Order Construct

The variance inflation factor (VIF) was evaluated to guarantee that there were no collinearity difficulties in the f dynamic AIS capabilities formative construct. The variance inflation factor value should be below 5 [ 117], and the tolerance value should be higher than 0.20 (Hair et al., 2016 [ 104]).

5.4. Assessment of the Structural Model Hypotheses Testing

The structural model was evaluated using coefficients of determination (R ²), t-values, f ² effect sizes, predictive relevance (Q ²), and path coefficient significance [ 103, 116].

The R ² number indicates how well the independent components are able to predict or explain the dependent constructs. The higher the R ², the greater the model's predictive power. Table 6 shows that the R ² of organizational resilience is 0.736. This indicates that dynamic AIS capability, AIS-related human competency, complementary BI system, and fixable AIS accounted for 73.6% of the variance of the organizational resilience. Furthermore, the effect size or f-square can be used to determine the strength of an independent construct's effect on the dependent construct in a model (f ²): f ² = 0.02, which is regarded as a little influence; f ² = 0.15, which is categorized as a medium effect; and f ² = 0.35, which is classified as a significant effect, according to Hair Jr. et al. [ 116]. The results indicate that dynamic AIS capability has a large influence on organizational resilience, with a size effect of 1.037. Meanwhile, AIS-related human competency, complementary BI system, and fixable AIS have a small effect on the organizational resilience, with values of 0.081, 0.138, and 0.098, respectively. In addition, the Q ² value should be considered as an extra metric for determining the magnitude of R ² values. For some reflecting endogenous latent variables, Q ² values greater than zero suggest the route model's predictive importance for this construct [ 103, 116]. For each endogenous construct, a blindfolding process was employed to produce cross-validated redundancy measures. The Q ² predictive value of organizational resilience is 0.376, exceeding zero and thus indicating that the model has predictive relevance for the organizational resilience construct.

The hypotheses were further confirmed by performing significance tests on path coefficients. The precision of the PLS estimates was estimated using a bootstrapping analysis. The results of path coefficients in Table 6 show that dynamic AIS capability, AIS-related human competency, complementary BI system, and fixable AIS have a significant influence on the organizational resilience.

5.5. Mediation Analysis

In order to evaluate the mediation effect in the proposed model, based on the recommendation of Preacher and Hayes [ 118], bootstrap analysis method was employed as a more recent and statistically robust approach [ 116]. For the indirect effect on the relationship between dynamic AIS capability and organizational resilience for the mediator effect of BPC and CMC, a bootstrapping procedure with 5000 sub-samples was performed. The mediation test results demonstrated that hypothesis H4 was supported: (1) the indirect effect is significant (β = 0.186, t = 3.008, p < 0.001), and (2) neither of the 95% bootstrapped confidence intervals includes zero. Therefore, the findings concluded that there is a mediation effect of BP capabilities between dynamic AIS capability and organizational resilience.

6. Discussions and Conclusions

As regards our empirical results on the impact of dynamic AIS capability on organizational resilience, the business process is consistent with previous studies, but they also offer new findings on the association between dynamic AIS and business process capabilities to improve organizational resilience (such as the relationship between AIS-human resources competency and BPC). Consistent with the RBT and DCV perspective, the findings highlighted the critical role of dynamic AIS capability in improving organizational resilience. The results strongly support the claim that an organization's dynamic AIS capabilities-both flexible AIS, complementary BI system, and AIS-related human resource competency-can help the organization improve its resilience. This finding is in line with previous research that has suggested that IT capabilities might help a business increase its resilience or agility (see [ 94, 119, 120].

The findings of the mediating effect test indicate partial mediation of BPC on the relationship between dynamic AIS capability and organizational resilience. This finding strengthened the idea of a ranking of capabilities, which suggests that lower-level capabilities can help an organization in developing higher-order ones [ 123]. This finding strengthened the idea of a ranking of capabilities, which suggests that lower-level capabilities can help an organization in developing higher-order ones. This view is consistent with previous studies, which have stated that the impacts of IT capabilities (i.e., dynamic AIS capability), such as lower-order capabilities, on organizational resilience are mediated by business processes capabilities, such as higher-order capabilities (see [ 124, 125]).

This study is based on the notion that organizations can rely on dynamic capabilities to remain competitive when facing complex and uncertain business environments to remain competitive by being adaptive. The study also employs RBT, which proposes that dynamic AIS capability is a "resource capability" with tremendous implications for BPC and CMC as well as organizational resilience [ 45]. Our results support the notion that IT resources alone will not have an influence on information or result in a positive improvement in performance unless IT is integrated into the business processes' roles [ 126]. Organizations with improved BPC can easily anticipate market demands, identify external competitors, establish long-term relationships with external stakeholders, and respond quickly to market changes. It also helps organizations sustain competitiveness and use their valuable strengths to identify threats and exploit market opportunities.

Following Mikalef and Pateli [ 127], our study suggests that AIS is not only a resource capacity but also a dynamic capability and a precursor to the business processes of an organization and organizational resilience. As part of business processes, the challenge for organizations is to determine not only how to acquire AIS infrastructure but also how to consider external and internal environments when building dynamic AIS capability. In addition, there is a need for a swift update of the resources that establish the dynamic capability, and the organization of the resources must be in a way that responds rapidly to threats and opportunities. The mediating role of BPC on the indirect relationship between dynamic AIS capability and organizational resilience was also evident. Another indication of the research findings is that the understanding of the mediating role of CMC is crucial towards understanding the impact of dynamic AIS on organizations. AIS exercises its influence on the organization through complementary relations with other assets and capabilities of the organization [ 52]. Despite the impact an AIS system can have on an organization, the focus of many scholars has been on organizational financial performance, but this study observed the positive role of dynamic AIS systems on organizational capabilities and organizational resilience.

The outcome of this study suggests the need for a best-fit model of reality that can suit the dynamic accounting environment. Contrary to previous studies that mainly base their conceptuality of IT capabilities on RBT, the creation of dynamic IT-enabled capabilities is more appropriate to describe how integrated IT in organizational business processes can contribute to achieving and maintaining a competitive advantage.

6.1. Theoretical Implications

In general, the development of a model to understand the impact of dynamic AIS capability on organizational resilience is a significant theoretical contribution. This should be a beneficial initial step in furthering our understanding of the resilience capability building process and its performance consequences through the development of dynamic AIS capability based on the RBT and DCV theories. This work makes significant contributions to the field of AIS in particular. More specifically, this work incorporates the RBT and DC theories to give a theoretical foundation for assessing the impact of dynamic AIS capabilities on organizations. Both theories have been discussed comprehensively in ISs management and operations literature; however, they are yet to be detailed on dynamic AIS systems. This study relied on both theories to develop a theoretical framework to evaluate the impact of dynamic AIS capability on BPC and OR.

Finally, the study bridges different studies on dynamic AIS capability, BPC, and organizational resilience. First, it empirically tests their relationships in the resource-based theory and dynamic capabilities context. Second, existing research has looked at the direct and indirect consequences of dynamic capability on organization performance [ 129, 130]. However, limited studies have simultaneously examined dynamic AIS capability and these two types of effects. Hence, this study lends empirical support to the notion of OR being directly or indirectly influenced by dynamic capability.

6.2. Managerial Implications

The empirical results of this study appear to have important implications on individuals (such as managers, accountants) and organizations. First, the findings in this study suggest that organizations can benefit from building a dynamic AIS environment in the following ways. Accounting is indeed considered a support function; however, it may be influenced by a changing business environment. Organizations need to exploit modern IT tools, such as e-Service and web service, mobile devices, cloud computing, environmental scanning, BI, enterprise application integration, BP management, big data, and other tools, to update their business processes and AIS, as these accounting processes require ongoing evaluation. There is a need for a more committed and persistent approach to the control and management of AIS. Again, the concept of complementary assets investment (such as business processes models, decision-making process, and training) is more pertinent in an AIS environment, and AIS staff resources are of special significance in this regard. Hence, organizations must be more liberal during the recruitment and training of AIS staff to ensure they can contribute to the maintenance of the AIS's fit to the organization's demands.

Second, although dynamic AIS capability (flexible AIS, complementary BI, and AIS-related human resource competency) is a fundamental element of final organization performance, it is expected that organizations should improve their BPs for a prolonged period; otherwise, there may be no improvement in organizational performance regardless of the level of capital investments [ 131].

Third, managers also need to devise how to exploit various types of dynamic AIS capabilities in an efficient and effective manner to foster OR. Our results showed significant positive effects of complementary BI system and human IT capability on OR, whereas flexible AIS is low in the presence of high organizational capability to integrate IT, business processes, and strategy [ 132]. These findings can help managers integrate dynamic AISs into their business routines to improve operational capabilities and organizational resilience as well as decipher how to manage a hierarchy of capabilities to achieve excellence in operations.

Fourth, the confirmation that dynamic AIS and business process skills are complimentary in establishing organizational resilience should serve as a reminder to managers that they need to improve their AIS infrastructure's integrative capabilities. Fifth, the results of the study provide managers and policymakers with a practical awareness of the fact that the most crucial resources within an organization for building dynamic AIS are flexible, and the combination of AIS and AIS-related competencies of personnel as well as the use of AIS and BI systems allows a business to become more robust.

Finally, managers in emerging economies such as Malaysia are urged to deploy IT-enabled resources by investigating the context of IT use. In order to survive in today's dynamic business environment, companies must spend in improving their IT capabilities. Most large companies put a great deal of money into capability development initiatives and make good use of IT resources in their business processes. As a result, this research has practical implications for managers in underdeveloped nations who want to improve their operational capabilities and attain OR by incorporating IT resources into their daily operations.

6.3. Limitations and Avenues for Future Research

First, the results of this study are in some ways based on cross-sectional data. Since IT-enabled OR development is a gradual process, there is no historical information on the impact of the independent variables on the dependent variable over time. With this cross-sectional design approach, the results can be easily analyzed with care, as there are no chances of causality being inferred from cross-sectional data [ 133]. This cross-sectional study can be used as a foundation for future longitudinal studies to replicate and compare the methods used in this work in different situations (e.g., developed countries). A longitudinal study can be employed to address the study's cross-sectional nature by determining changes before and after the adoption of dynamic AIS systems.

Second, although each component of dynamic AIS capability effectively enhances OR, we measured the dynamic AIS capability using an indirect approach; this aimed to identify the presence of dynamic AIS capability and its relationship with BPC and CMC in order to highlight the significance of this construct. Meanwhile, only three critical dynamic AIS capabilities, namely BI system, flexible AIS, and AIS-related human resource competence, were discussed, as the other dimensions in the broad spectrum of dynamic AIS capability were not discussed. A direct measure of dynamic AIS capabilities will provide opportunities for future research. Meanwhile, future research can also investigate other IT or organizational capabilities that can influence OR.

Finally, while we know much about how organizations cope with unexpected events, we know less about the resilience stages and how dynamic AIS as a source of knowledge may impact them. Therefore, management scholars should focus more on other research fields and incorporate the existing ideas and findings in their studies. Studies on the resilience capabilities in organization and management studies are still lacking [ 40]. The essential role of organizational knowledge (such as dynamic AISs), structure, and culture in organizational capability development towards dealing with unexpected and threatening situations is yet to be acknowledged. To close the OR research gap, future studies can focus on the less-explored aspects of the resilience process, such as clarifying the essential role of organizational knowledge, culture, and structure in organizational capability development. Future studies may also investigate the level of preparation of organizations for unexpected events, how they accept problems, and how they learn from such problems using DAIS.

Author Contributions

Formal analysis, M.A.A.-S.; Supervision, R.A. and K.A.A.; Writing-original draft, A.S.A.-M.; Writing-review & editing, M.A.A.-S. All authors have read and agreed to the published version of the manuscript.

Funding

This research was funded by Universiti Kebangsaan Malaysia, grant number EP-2018-001.

Institutional Review Board Statement

Informed Consent Statement

Acknowledgments

Authors are grateful for financial support from the Universiti Kebangsaan Malaysia (UKM) for supporting this research and providing research facilities.

Conflicts of Interest

The authors declare no conflict of interest.

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# data[].attributes.attachment_link.title
The Impact of Dynamic Accounting Information System on Organizational Resilience: The Mediating Role of Business Processes Capabilities

# data[].attributes.attachment_link.description
For decades, one of the main concerns of both practitioners and academics has been the business value of dynamic accounting information systems (DAIS). A number of studies have demonstrated the positive effects of information systems capability on overall organizational performance, but our understanding of the business processes capabilities through which such gains are achieved remains limited due to a lack of focus on the turbulent business environment.

# data[].attributes.body
Even though an accounting information system is a valuable software tool used by entrepreneurs to ensure sustainability and perfect performances within their businesses, studies have also found that an accounting information system does not guarantee it can help boost overall business performances on it's own due to its reliance on intangible factors needed to provide entrepreneurs with accurate information to take further actions to improve business performance. Intangible factors such as human capital can greatly influence the effectiveness of accounting information system because in order for the accounting information system to be very effective in guiding businesses to succeed in competitive markets, the employees must be able to know to use the system fluently to get the best results of data needed to improve overall business performance.

# data[].attributes.body
The pros of accounting information systems are its a software tool that has the ability to adapt to rapid changes in the business environment, which are beneficial for businesses because the system can help entrepreneurs by providing relevant information needed to succeed in the ever-changing world of business. An example that accounting information systems can help entrepreneurs to survive in competitive markets by providing the entrepreneurs with the information needed to respond to an increase in demand for jackets by increasing production of jackets to meet the needs for consumers.

# data[].attributes.body
How are accounting information system useful in ensuring sustainability within businesses?

# data[].attributes.body
Lusianah. “The Evolution of Information System Models.” Accounting The Evolution of Information System Models Comments, accounting.binus.ac.id/2020/12/17/the-evolution-of-information-system-models/. Accessed 26 Mar. 2024.