Each ofconstruction join stock companies should establish an accounting informationsystem applicable to characteristics and demand of economic management.Research findings of accounting
Trang 1-TRAN THI KIM PHU
IMPROVEMENT OF ACCOUNTING INFORMATION SYSTEMS OPERATED BY CONSTRUCTION JOINT STOCK
COMPANIES IN VIETNAM
Major: Accounting No.: 62.34.03.01
Abstract of PhD thesis in Economics
Hanoi, 2019
Trang 2Supervisors:
1 Assoc Prof PhD TRAN THI HONG MAI
2 Assoc Prof PhD PHAN DUC HIEU
First member of Thesis Committee:
Thesis can be found at:
National Library of Vietnam
Library of Vietnam University of College
Trang 31 Essential of thesis
Nowadays, construction join stock companies in Vietnam search their newworks through tendering methods It is shown that the competitiveness inconstruction is very drastic under criteria, such as competitive price, financialability, etc Each of construction joint stock companies is required to positivelyapply applicable management tools in order to improve their competitiveness, inwhich accounting information system plays one of the significant factors A goodaccounting information system is a key for planning a strategy for managementand improving operation efficiency of the companies (Chang, 2001) Each ofconstruction join stock companies should establish an accounting informationsystem applicable to characteristics and demand of economic management.Research findings of accounting information system in line of businessand type of business in Vietnam have shown that the accounting informationsystems operated by construction joint stock companies are improving in a betterway Such systems not only operate in financial accounting, but also inmanagement accounting; Application of Information Technology in accountingmay help provide a timely accounting information However, the drawbacks ofaccounting information systems operated by some of construction joint stockcompanies in Vietnam have been found which constrain the competitiveness andoperation efficiency of the companies; on the other hand, not many of researchpapers of accounting information system has been performed as improvement ofsome accounting information system has been performed by the companies listed
on Vietnam securities market Therefore, the implementation of a research paper
of actual state of accounting information systems operated by the constructionjoint stock companies in Vietnam is essential to find out drawbacks and suggestsome of improvement solutions
Due to such reasons, the author of thesis has selected “Improvement of
accounting information systems operated by construction joint stock companies in Vietnam”.
2 Overview of research into accounting information systems
2.1 Research into accounting information systems: In recent years, a direct
research into Accounting Information System has been implemented and isknown with the following four ways of approach:
Approach of accounting information system by accounting practices: This
approach is popular and is used by many researchers for their theory specified inaccounting textbook in computers, such as accounting textbook written by TranSong Minh (2012), etc Besides, there is an experimental research performed byNguyen Thanh Quy in 2004 It is a tradition way of approach that the companiescan apply to management of input and output based on accounting entities Theapproach of accounting information system by accounting practices has found itslargest drawback, in which it causes a division in works of accounting; such
Trang 4approach does not follow the “information system” Therefore, it cannot find theconnection between accounting practices in an accounting information system.
Approach of accounting information system by cycle: Some of the
authors, such as Nguyen The Hung (2006), Nguyen Manh Toan with his workers (2011), Hall, J.A., & Bennett, P.E, 2011, etc have published theirresearch papers of accounting information system in textbooks Or experimentalresearch by Huynh Thi Hong Hanh (2014) Such research papers have pointedout the targets of each cycle, and emphasize the efficiency of accountinginformation system made by divisions and personnel in a business cycle; theefficiency of data collection and information exchange between the accountingand other divisions, helping to create a platform for ERP application in thecompanies However, such research papers have failed to emphasize theefficiency of data processing
co-Approach of accounting information system by progress of information system: The approach of accounting information system by progress of
Information System has many research papers by the authors such as NguyenManh Toan with his coworkers (2011), Hall, J.A., & Bennett, P.E (2011), etc.Additionally, there are some authors, such as Hoang Van Ninh (2010), NguyenThi Thu Thuy (2017), whose experimental research papers have contributed tosuch approach Those research papers have elucidated the data processing of anaccounting information system, from input, data processing, to output to provideinformation to the users However, a completed accounting information system iscomprised of multiple factors, so that the approach of accounting information
system by progress of Information System will not provide a full detail.
Approach of Accounting Information System by factors that constitute such systems
This approach has been studied by the authors, such as Azhar Susanto(2008), Thai Phuc Huy with coworkers (2012), Le Thi Hong (2016), etc Each ofresearch papers has expressed its viewpoint about factors that constitute othertypes of accounting information system Such approach is considered to be morecomprehensive than the above-mentioned ways of approach
2.2 Rating of accounting information system in respect to efficiency
Rating of accounting information system in respect to efficiency may beclassified into the following two popular models:
Model of rating of accounting information systems in respect to efficiency
by direct method, which was published by Yuvaraj & Kibert (2013), H Sajady,
Ph.D with coworkers (2008), Le Ngoc My Hang with coworkers (2012), helps
to prepare efficient and direct measures applied to accounting informationsystems without means of other factors
Model of rating of accounting information systems in respect to efficiency
by indirect method will not provide a direct rating of accounting information
systems in respect to efficiency, but use of means of other factors At themoment, the model of rating of accounting information systems in respect to
Trang 5efficiency by reviewing level of satisfaction of users is more popular This modelwas researched by many researchers, such as DeLone and McLean (1992), Kim(1989), years ago in the world In the next years, the famous research papers ofrating of accounting information systems in respect to efficiency by reviewinglevel of satisfaction of users, which may be used by prospective researchers, wascarried out by DeLone, W.H., & E.R McLean (2003).
2.3 Comments on overview of research work regarding name of thesis and finding research problem
In research into Accounting Information System, the thesis has evaluated
research methodology of each way of approach through research overview ofaccounting information systems The approach of rating of accountinginformation systems by factors, which constitute the accounting informationsystems, has shown full detail of accounting information systems and isapplicable to model of rating of accounting information systems in respect toefficiency at the moment Therefore, the author of thesis has applied suchapproach to use as a research methodology in the thesis However, in order toestablish a theory basis for purpose of research into actual state of accountinginformation systems with solutions, the author of thesis has not only collected theconsequent from approach of rating of accounting information systems by factorsthat constitute the accounting information systems, but also selected theconsequent collected from the above-mentioned three ways of approach
In research into rating of accounting information systems in respect to efficiency, in improvement of the approach of rating of Accounting Information
System in respect to efficiency by direct method, the rating has just been
performed based on benefits of accounting information systems The approach ofrating of accounting information systems by reviewing level of satisfaction of theusers provides a comprehensive view and rating on quality of factors contributed
to accounting information systems in Information Technology applicationplatform Many of published research papers have not performed rating ofaccounting information systems, which are operated by the construction jointstock companies, by level of satisfaction of the users, so that their solutions are
still unilateral From the above comments, the thesis has found out the following
- Study and suggest the solutions that help improve accountinginformation systems operated by the construction joint stock companies, whichapply Information Technology to establishing internal information system in
Trang 6direction of integrating financial accounting and management accounting.
3 Research targets
General target: Complete improvement of accounting information
systems operated by construction joint stock companies in Vietnam
Typical research target: Define theoretical model of accounting
information systems; Study and evaluate actual state of accounting informationsystems; Suggest solutions that help improve accounting information systemsoperated by construction joint stock companies in Vietnam
4 Research questions:
- What detail does research into accounting information systems operated
by construction joint stock companies perform?
- What is the actual state of accounting information systems operated byconstruction joint stock companies in Vietnam?
- What are solutions can be suggest to help improve accountinginformation systems operated by construction joint stock companies in Vietnam?
5 Objects and scope of research
- Objects: Study accounting information systems operated by
construction joint stock companies in Vietnam; Evaluate accounting informationsystems by level of satisfaction of the users working for the construction jointstock companies in Vietnam
- Scope: Perform study and survey into managers, leadership, and heads
of division or Accounting in construction joint stock companies in CentralHighlands of Vietnam which are the primary target of survey Period: from 2015
to 2017
6 Research process: Research process of the thesis is classified into 8 steps:
7 Scientific and real significance of thesis
Theory: This thesis has supplemented and elucidated theoretically
accounting information systems operated by construction joint stock companieswithin five matters; it has summarized and established model of rating ofaccounting information systems in respect to efficiency by reviewing level ofsatisfaction of the users
Real significance: The thesis has evaluated actual state of accounting
information systems within five viewpoints; in which it has reviewed level ofsatisfaction of the users within five factors; and suggested solutions that helpimprove accounting information systems operated by construction joint stockcompanies in Vietnam
8 Outline of thesis: This thesis is structured into 4 chapters.
CHAPTER 1 THEORETICAL BASIS OF ACCOUNTING
INFORMATION SYSTEMS OPERATED BY CONSTRUCTION JOINT
STOCK COMPANIES 1.1 Theoretical basis
1.1.1 Accounting information system
Trang 7At the moment, some of the different viewpoints over accountinginformation systems has been expressed by, such as Azhar Susanto (2008), inwhich it has expressed that an accounting information system is built frommaterial and non-material used to process transactions related to financialposition of a company One viewpoint has expressed that an accountinginformation system is an organized system that its function is to collect, classify,process and analyze status information, and provide the users in or out of acompany with such information in order to take a decision in respect to economy(Moscove, 1997) A viewpoint by Romney and Steinbart (2006) also expressedthat an accounting information system functioned in collection, data recordingand processing in order to provide the users, who desired to make a decision inrespect to economy, with relevant information.
Viewpoint by the author of thesis: “Accounting information system is a combination of different components which function in collection, storage, processing of data under the typical orders so as to provide the users in and out
of a company with information in respect to finance and non-finance.
1.1.2 Theory of asymmetric information: The asymmetric information is
caused by difference in level and detail of information, and differential purposesfrom leadership of a company to an investor (Nguyen Cong Phuong withcoworkers, 2012) An investor needs providing not only information of afinancial statement, but also information of a management accounting Thistheory should be applied in order to establish an efficient accounting informationsystem and provide the users with useful information
1.1.3 Theory of dynamic capabilities: This theory has been applied by many
authors in their research papers in improvement of competitiveness of acompany In application of such theory, the author of thesis has identifiedInformation Technology systems, economic employees, quality of service, andadministrators’ awareness of usefulness of an accounting information system andrating of an account information system in respect to efficiency by reviewinglevel of satisfaction of the users
1.2 Characteristics of accounting information systems operated by construction joint stock companies
1.2.1 Characteristics of a construction joint stock company which shape accounting information
There are three characteristics which shape an accounting informationsystem, including manufacturing engineering, constructional products andexpenditure management Such characteristics create effect to the followingmatters of an accounting information system: Prepare projected cost ofproduction on each construction or work item; collect information regardingexpenditure and calculate price of a basic constructional product
1.2.2 Role of accounting information systems operated by construction joint stock companies
The accounting information systems play a drastically significant role in
Trang 8contribution to business operation efficiency of a company as it may provide theadministrators and those, who desire to make decisions in respect to economy,
with useful and timely information Such drastically significant role of providing
information to the users, who is not only in construction joint stock companies(management accounting), but also out of the companies (financial accounting) The combination of an accounting information system and otherinformation systems will establish a big database in respect to quantity,processing speed and types of information, which plays an important role inconstruction joint stock companies, units and personnel in and out of thecompanies
1.2.3 Demand in providing accounting information and factors that constitute an accounting information system in construction joint stock company
There are two types of users of an accounting information system,including those who is in or out of a construction joint stock company Due todifferential purposes of the users, the accounting information providing to theusers may not be totally the same However, a completed accounting informationsystem that may act as an accounting information provider to all of the usersconsists of five factors: (1) Input data, (2) Data processing, (3) Output data, (4)Control of accounting information system, (5) Storage of accounting informationand data
1.2.4 Requirements of an accounting information system in construction joint stock company
- Output data: Meet the requirements in regard to accounting informationquality and matters In which, a qualified information should maintain itsaccuracy, time, recapitulation, appropriateness and completion
- Resources participating in an accounting information system: ensure installation, technical devices and personnel
1.3 Matters of accounting information systems operated by construction joint stock companies
1.3.1 Input data
- Content of input data that needs collecting relies on types of informationrequired by the users (Nguyen Bich Lien and coworkers, 2016) However, insummary, types of accounting data include older data and forecast regardingeconomic entities in a company
- Methods and tools for input data collection: The companies may applydifferent methods, including word of mouth, remembering or using accountingrecords and other types of documents
- Accounting division and other functional divisions may participate incollection of accounting data
- There are two popular methods of collecting input data, including theuse of accounting software dependent from other software used by differentfunctional divisions, or the accounting software integrated into management
Trang 9software used by other divisions.
1.3.2 Accounting data processing in construction joint stock data
The personnel participating in accounting data processing are specified byaccounting division, tasks and assignments for each accountant
Methods and accounting data processing are supported by independent orintegrated accounting software
Popular tools: Encryption methods, accounting policies, accountingaccount, and promotion methods for managing accounting information system.The ultimate goal is to obtain information on financial accounting andmanagement accounting There is a difference in such types of information, sothat a certain difference in application of tools may be discovered
1.3.3 Provide accounting information
Accounting report can provide the users in or out of company withaccounting information Depend on different purposes of the users, the content,time and methods of accounting report may be different Including:
- Provide accounting information to external units via financialstatements; prepare and form financial statements in accordance with regulations
1.3.4 Control of accounting information system
The control of accounting information system plays an importance role incontributing to efficiency of accounting information system However, this thesiswill only mention control of applications in an accounting information system.Including: Control of output data; Control of data analysis and processing, andoutput data
1.3.5 Storage of accounting information and data
Storage of accounting information and data includes: (1) Accountinginformation and data classification and sorting; (2) Place of storage; (3) Time ofstorage; (4) Security; (5) Personnel responsible for storage of accountinginformation and data
1.4 Model of rating of accounting information systems in respect to efficiency by reviewing level of satisfaction of users
1.4.1 Viewpoint of rating Accounting Information System in respect to efficiency
The efficiency of an accounting information system is interpreted in way
of achieving certain goals The interpretation of such efficiency has beenexpressed under viewpoints, such as: It is considered as efficiency of accountinginformation system if such system can provide accounting information which canmeet demand of the users (Kim, 1989; Nicolaou, 2000; H Sajady and coworkers,2008), or meet satisfaction of the users (Bailey and coworkers, 1983; William
Trang 10DeLone and coworkers; Huynh Thi Hong Hanh, 2013; Nguyen Tran Ngoc Dieu,2017) Or the approach by reviewing level of satisfaction of the users in a waymore popular and closer to the matters of accounting information system.Therefore, this thesis has selected research methodology in rating of accountinginformation systems in respect to efficiency by reviewing level of satisfaction ofthe users.
1.4.2 Theory of research in to model of rating of accounting information
in respect to efficiency by reviewing level of satisfaction of the users
This thesis has collected research findings and performed analysis onstudy model by DeLone, W.H & E.R McLean (1992, 2003) and other studymodel by Nguyen Tran Ngoc Dieu (2017) In which, a study model by DeLone,W.H., & E.R McLean (1992, 2003), which has been selected by many otherauthors for their experimental research papers, consists of five factors: (1)Quality of accounting information; (2) Quality of accounting information system;(3) Quality of service; (4) Satisfaction of system utilization; (5) Awareness ofhelpfulness in accounting information system However, the fourth factor ofauthor DeLone, W.H.& E.R McLean has not been used in this thesis.Moreover, this thesis has applied additional factor “Qualities of accountants” inresearch paper of author Nguyen Tran Ngoc Dieu (2017)
1.4.3 Viewpoint on approach and assumption
H1: Quality of accounting information has a reversible relationship withlevel of satisfaction of the users
H2: Quality of accounting information system has a reversiblerelationship with level of satisfaction of the users
H3: Qualities of accountants has a reversible relationship with level ofsatisfaction of the users
H4: Awareness of helpfulness in accounting information system has areversible relationship with level of satisfaction of the users
H5: Quality of service has a reversible relationship with level ofsatisfaction of the users
Chart 1.14 Research model
In order to show the relationship between satisfaction of the users and theaforementioned factors, this thesis has suggested the estimated recursive equation
Trang 11under the following formula:
US = β1IQ + β2SQ + β3QA + β4QU + β5SVQ
CONCLUSION OF CHAPTER 1
Theoretical basis of accounting information system provide foundation inresearch into actual state and improvement of accounting information systemsoperated by construction joint stock companies in Vietnam In this chapter, thethesis has performed profound research into essence and role of accountinginformation system; five matters that constitute accounting information system;
an overview of efficiency of accounting information system, and collection ofstudy models in rating of accounting information system in respect to efficiencyand thence suggestion of model of rating of accounting information system inrespect to efficiency by this thesis
CHAPTER 2 RESEARCH METHODOLOGY ON ACTUAL STATE OF ACCOUNTING INFORMATION SYSTEMS OPERATED BY CONSTRUCTION JOINT STOCK COMPANIES
Trang 122.2 Research methodology
2.2.1 Qualitative research
- Methods of data collection include semi-structured interview, structuredinterview, and observation
- Survey methodology and objects: Survey data collection is performed
by using questionnaires Two steps of survey data collection include unofficialsurvey and official survey The survey objects for rating of accountinginformation systems operated by construction joint stock companies in Vietnamare heads of department, deputy heads of department and experiencedaccountants; The survey objects for giving assumption and rating scale ofaccounting information system in respect to efficiency are top men of companies,divisions, building divisions in construction joint stock companies in Vietnam
- Survey forms: Select the typical construction joint stock companies forperforming unofficial survey, and perform profound study into actual state ofaccounting information systems, and establish assumption and rating scale, andimplement profound interview with seven heads, deputy heads and experiencedaccountants in Accounting department, and leadership of seem companiesselected from 90 construction joint stock companies who have good knowledge
of accounting information In case a survey is performed for purpose of analysisand evaluation of accounting information systems, 90 people as heads, deputyheads and accountants in Accounting departments of 90 construction joint stockcompanies may be interviewed
- Methods of survey data collection: Survey data collection may be
performed by using questionnaires, profound interviews, accounting reports and
records Survey data may be processed by Excel
2.2.2 Quantitative research
- Methods of survey data collection, survey objects and forms: In order tomaintain reliability, the survey has been performed by interviewing the users ofaccounting information system, including leadership, divisions and buildingdivisions of 90 construction joint stock companies in Vietnam with 220questionnaires
- Methods of survey data collection: Using SPSS 20.
2.3 Application of research methodology
Application of research methodology is performed in four steps
CONCLUSION OF CHAPTER 2
In order to interpret actual state of accounting information systemsoperated by construction joint stock companies in Vietnam, this thesis hasapplied qualitative research and quantitative research This research methodologyhas been applied to questionnaire design, unofficial survey, unofficial surveydata processing, preparing official survey questionnaires, and official survey dataprocessing by assistance of software
Trang 13CHAPTER 3 ACTUAL STATE OF ACCOUNTING INFORMATION SYSTEMS OPERATED BY CONSTRUCTION JOINT STOCK
COMPANIES IN VIETNAM 3.1 Overview of construction joint stock companies in Vietnam
3.1.1 Basic review of construction joint stock companies in Vietnam
In recent years, the development of building in Vietnam has been rapid inrespect to quality and quantity of construction joint stock companies Therefore,the market share of building has been expanded over the time, especially in 2016,when the statistics in building have increased in comparison with previous years.The construction joint stock companies operate in three fields, including:House building, civil construction engineering and specialized building In 2016,the construction joint stock companies operating in house building made up ahighest proportion
3.1.2 Characteristics of management and organization of business operation in construction joint stock companies in Vietnam
Organization and management: Building operation of the companies
spreads over the local in respect to geography, so that the management andorganization of construction joint stock companies should be flexible, and stickclose to construction sites where their workers are implementing their duty Theorganization of construction joint stock companies is divided into three levels,including company - factory - teams, or two levels, including company - teams orfactory
Business operation: Through survey with 90 construction joint stock
companies, there are 100% companies which operate in both buildingconstruction and paying flat rate of construction/work items to the relevant units.And there are 90 of 90 construction joint stock companies which operate by threetypes of paying flat rate (such as lump-sum pay, expenses pay, joint expensespay)
3.1.3 Characteristics of organization and management of accounting activites in construction joint stock companies in Vietnam
In survey regarding organization and management of accounting activities of 90 construction joint stock companies, it is shown that 29 of 90
companies (a ratio of 32.2%) which organize and manage accounting activitiesunder both concentration model and decentralized model There are 61 of 90companies (a ratio of 67.8%) which organize and manage accounting activitiesunder concentration model
In applied accounting policies (Chart 3.4)
3.2 Research findings of actual state of accounting information systems operated by construction joint stock companies in Vietnam
3.2.1 Actual state of accounting information systems operated by construction joint stock companies in Vietnam
In finding out users’ demand for accounting information, this thesis has
just found out actual demand for accounting information required by