Universal Journal of Accounting and Finance Vol. 9(3), pp. 285 - 294
DOI: 10.13189/ujaf.2021.090302
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Internal Control System Quality and Decision-Making Success: The Role of the Financial Information Quality


Albertina Paula Moreira Monteiro 1,*, Joana Andreia Machado Vale 2, Catarina Libório Morais Cepêda 2, Eduardo Manuel de Almeida Leite 3
1 Porto Accounting and Business School, Polytechnic of Porto, CEOS.PP, Porto, Portugal
2 Porto Accounting and Business School, Polytechnic of Porto, Porto, Portugal
3 Higher School of Technology and Management, University of Madeira, CiTUR, Portugal

ABSTRACT

This study aims to develop and evaluate a Decision-Making Success contingency model to assess its dependency on Internal Control System Quality and Financial Information Quality. The authors developed a study based on a sample of 381 Portuguese managers. The structural equations model was used in the analysis of causal relationships between different constructs. Results show that Internal Control System Quality contributes directly to Decision-Making Success. Moreover, Internal Control System Quality and Financial Information Quality are determining factors for Decision-Making Success since Internal Control System Quality has a significant direct impact on Financial Information Quality (with a 64% coefficient of determination) and indirect on Decision-Making Success. The model justifies 67% of the variance of the dependent variable. This research covers a literature gap, since it identifies innovatively, two independent variables that are determinant for Decision-Making Success from the Portuguese companies' manager perspective. This study is relevant to literature development, as it develops and evaluates an original model, and to managers, in the sense that it identifies factors that contribute to Portuguese companies' success.

KEYWORDS
Contingency Theory, Decision-Making Success, Financial Information Quality, Internal Control System Quality

Cite This Paper in IEEE or APA Citation Styles
(a). IEEE Format:
[1] Albertina Paula Moreira Monteiro , Joana Andreia Machado Vale , Catarina Libório Morais Cepêda , Eduardo Manuel de Almeida Leite , "Internal Control System Quality and Decision-Making Success: The Role of the Financial Information Quality," Universal Journal of Accounting and Finance, Vol. 9, No. 3, pp. 285 - 294, 2021. DOI: 10.13189/ujaf.2021.090302.

(b). APA Format:
Albertina Paula Moreira Monteiro , Joana Andreia Machado Vale , Catarina Libório Morais Cepêda , Eduardo Manuel de Almeida Leite (2021). Internal Control System Quality and Decision-Making Success: The Role of the Financial Information Quality. Universal Journal of Accounting and Finance, 9(3), 285 - 294. DOI: 10.13189/ujaf.2021.090302.