The impact knowledge management processes on business performance via the role of accounting information quality as a mediating factor

Abstract

Purpose

This study aims to empirically investigate the role of accounting information quality (AIQ) as a mediating factor in the relationship between knowledge management (KM) processes and business performance (BP) of the financial institutions (FI) operating in Jordan.

Design/methodology/approach

Based on a literature review and knowledge-based theory, an integrated conceptual framework has been developed to guide the study. The study’s conceptual framework is constituted of three primary constructs, namely, KM processes (acquisition, integration and utilization), BP (financial indicators and non-financial indicators) and AIQ conceptualized using the International Accounting Standard Board’s (2010) framework fundamental qualitative characteristics (relevance, understandability, faith representation and comparability). Data has been collected through a self-administered questionnaire applied to 247 respondents. The targeted respondents have been FIs (commercial banks and insurance companies) in Jordan.

Findings

The main findings supported accounting information as a mediator factor in enhancing the relationship between the FIs’ KM process and BP (FI) operating in Jordan.

Originality/value

This study contributed to theory by filling a gap in the literature regarding the role AIQ as a mediator factor between the KM process and BP of the FI operating in Jordan as a developing country.

Citation

Al-Dmour, A., Zaidan, H. and Al Natour, A.R. (2023), "The impact knowledge management processes on business performance via the role of accounting information quality as a mediating factor", VINE Journal of Information and Knowledge Management Systems, Vol. 53 No. 3, pp. 523-543. https://doi.org/10.1108/VJIKMS-12-2020-0219