Accounting and Auditing Studies

Accounting and Auditing Studies

The Function of Managers’ Organizational Identity in Assessing the Consequences of Opportunistic Financial Reporting: an extension of the raphography process

Document Type : Original Article

Authors
Behdad Goshtasbi 1
Javad Ramezani 2
Mehdi Safari Gerayli 3
Mehdi Khalilpour 2
1 Ph.D Student Department of Accounting, Noor Branch, Islamic Azad University, Noor, Iran.
2 Assistant Prof Department of Accounting, Noor Branch, Islamic Azad University, Noor, Iran
3 Associate Professor Department of accounting, Bandargaz Branch, Islamic Azad University, Bandargaz, Iran
10.22034/iaas.2024.204872
Abstract
Objective: Financial reporting is considered as one of the most important sources of information available in the capital markets, which should meet the expectations arising from reality and social contexts, and plays an effective role in the development of investment and increasing the efficiency of the capital market. Therefore, the organizational identity of managers can be considered an important factor in improving the quality of financial reporting, because it is the approach of managers that makes timely and reliable performance facts available to stakeholders. The purpose of this study expanding the process of graphing rough sets the function of manager’s organizational identity to evaluate the opportunistic financial reporting consequences.
Methods: In this study, which is considered to be a combination in terms of data collection, first, through meta-combination, the identification of the organizational identity dimensions of managers and the consequences of opportunistic financial reporting is done, and then, based on the fuzzy Delphi analysis, the reliability level of the identified dimensions is investigated. In the quantitative part, in order to determine the most important influencing axis of the managers organizational identity in evaluating the consequences of opportunistic financial reporting was used Rough and VIKOR process sets. The statistical population of this research was 15 accounting experts in the qualitative part and 30 managers with experience in capital market companies participated in the quantitative part.
Results: The results of the research in the qualitative part indicate the determination of 5 driving dimensions in the managers’ organizational identity and 5 opportunistic financial reporting consequences. On the other hand, the results in the quantitative section showed that the instrumental support of managers due to the strengthened organizational identity can probably prevent the reduction of investment efficiency of companies as a negative consequence of opportunistic financial reporting.
Conclusion: This result shows that the existence of such a patronizing approach by the managers makes the company's strategic procedures in providing organizational knowledge to be strengthened instrumentally and the management should act on the development of such systems with the aim of reducing operating costs and in this way help to maintain the balance of the company's investment efficiency.
Keywords
Managers’ Organizational Identity
Graphing Rough Sets
Opportunistic Financial Reporting
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Accounting and Auditing Studies
Volume 13, Issue 50
Summer 2024
Pages 5-26