The Impact of Data Visualization in Management Accounting Reports on Managers Decision-making
Subject Areas : Management AccountingSonya Zaree 1 , Elaheh Barzegar 2
1 - دانشجوی کارشناسی ارشد، گروه حسابداری، واحد شیراز، دانشگاه آزاد اسلامی، شیراز، ایران
2 - عضو هیات علمی، گروه حسابداری، واحد شیراز، دانشگاه آزاد اسلامی، شیراز، ایران
Keywords: management accounting, Visualisation of Data, Management reports, Decision quality,
Abstract :
Managers are confronted with increasing information overload and growing pressure foreffective and efficient decision making. The visualisation of data represents a way to overcome this dilemma and to improve management decision quality. The purpose of this paper is to transfer insights from visualisation research to the managerial accounting context and clarify the impact of visualisation on management accounting reports and decision making. In order to answer the research question, three hypotheses are tackled. Study sample includes experienced managers and accounting students. The empirical results show that supplementary graphs improve decision quality, especially within the manager sample but do not affect decision confidence in a performance evaluation task. Based on results, managers perform poorly when only provided with tables, and they achieve the overall best score when provided with both tables and graphs. Furthermore, the findings showed that managers were more confident in their decisions than students, irrespective of the information presentation
* دستگیر، محسن، جمشیدیان، مهدی و جدیدی، عباس. 1382. بررسی تأثیر ویژگیهای سیستم اطلاعات حسابداری بر بهبود تصمیمگیری مدیران: مورد گروه بهمن، مجله بررسیهای حسابداری و حسابرسی، شماره 34،صص. 50-27.
* شکرخواه، جواد، قربانی، محمود و فلاح، هادی. 1393. نقش تجربه در تصمیمگیری مدیریت و جایگاه حسابداران مدیریت، فصلنامه علمی پژوهشی دانش حسابداری و حسابرسی مدیریت، شماره 10،صص.116-107.
* Blocher, E., Moffie, R.P. and Zmud, R.W. 1986. Report Format and Task Complexity: interaction in risk judgments, Accounting, Organizations and Society, Vol. 11, No. 6, pp. 457-470.
* Bricker, R. and Nehmer, R. 1995. Information Presentation Format, Degree of Information Processing and Decision Quality, Advances in Accounting Information Systems, Vol 3, pp. 3-29.
* Cardinaels, E. 2008. The Interplay between Cost Accounting Knowledge and Presentation Formats in Cost-Based Decision-Making, Accounting. Organizations and Society, Vol. 33, No. 6, pp. 582-602.
* Charron, J. and S. Separi. 2010. Management. (2nd edition) Paris: Francis Lefebvre, Dunod.
* Chen, Y., Jermias, J., and Panggabean, T. 2016. The Role of Visual Attention in the anagerial Judgment of Balanced-Scorecard Performance Evaluation: Insights from Using an Eye-Tracking Device. Journal of Accounting Research, Vol. 54, No. 1, pp. 113-146.
* Deaves, R., Lüders, E. and Schröder, M. 2010. The Dynamics Of Overconfidence: evidence from stock market forecasters. Journal of Economic Behavior & Organization, Vol. 75 No. 3, pp. 402-412.
* DeSanctis, G. 1984. Computer Graphics as Decision Aids: Directions for Research, DecisionSciences, Vol. 15, No. 4, pp. 463-487.
* DeSanctis, G. and Jarvenpaa, S.L. 1989. Graphical Presentation of Accounting Data for Financial Forecasting: an Experimental Investigation. Accounting, Organizations and Society, Vol. 14, Nos 5/6, pp. 509-525.
* Dilla, W.N. and Steinbart, P.J. 2005. The Effects of Alternative Supplementary Display Formats on Balanced Scorecard Judgments. International Journal of Accounting Information Systems, Vol. 6, No. 3, pp. 159-176.
* Dilla, W.N., Janvrin, D.J. and Jeffrey, C. 2013. The Impact of Graphical Displays of Pro forma Earnings Information on Professional and Nonprofessional Investors’ Earnings judgments. Behavioral Research in Accounting, Vol. 25, No. 1, pp. 37-60.
* Dilla, W.N., Raschke, R.L. 2015. Data visualization for fraud detection: Practice implications and a call for future research. International Journal of Accounting Information Systems, Vol. 16, No. 1, pp. 1-22.
* Falschlunger, L., Treiblmaier, H., Lehner, O., and Elisabeth Grabmann. 2015 . Cognitiv Differences and Their Impact on Information Perception: An Empirical Study Combining Survey and Eye Tracking Data. Information Systems and Neuroscience, Lecture Note in Information Systems and Organisation, Vol. 10, pp. 137-144.
* Fischhoff, B. and MacGregor, D. 1982. Subjective Confidence in Forecasts. Journal of Forecasting, Vol. 1, No. 2, pp. 155-172.
* Frederickson, J., Peffer, S. & Pratt, J. 1999. Performance Evaluation Judgments: effects of prior experience under different performance evaluation schemes and feedback frequencies. Journal of Accounting Research, Vol. 37, pp. 151–165.
* Garrison, H., Noreen, W. and Brewer, C. 2010. Managerial Accounting, McGraw Hill, p. 45.
* Hirsch, B., Seubert, A. and Sohn, M. 2015. Visualisation of Data in Management Accounting reports. Journal of Applied Accounting Research, Vol. 16, No. 2, pp. 221-239.
* Horváth, P. 2009. Controlling. Munich: Vahlen.
* Jarvenpaa, S.L. 1990. Graphic Displays in Decision Making: the Visual Salience Effect. Journal of Behavioral Decision Making, Vol. 3, No. 4, pp. 247-262.
* Jarvenpaa, S.L. and G. W. Dickson. 1988. Graphics and Managerial Decision Making: Research Based Guidelines. Communications of the ACM 31, pp. 764-774.
* Kelton, A.S., Pennington, R.R. and Tuttle, B.M. 2010. The Effects of Information Presentation Format on Judgment and Decision Making: a Review of the Information Systems Research. Journal of Information Systems, Vol. 24, No. 2, pp. 79-106.
* Lurie, N.H. and Mason, C.H. 2007, Visual Representation: Implications for Decision Making. Journal of Marketing, Vol. 71, No. 1, pp. 160-177.
* Mahajan, J. 1992. The Overconfidence Effect in Marketing Management Predictions. Journal of Marketing Research, Vol. 29, No. 3, pp. 329-342.
* Martinsons, M., Davison, R. and Tse, D. 1999. The Balanced Scorecard: a foundation for the strategic management of information systems. Decision Support Systems, Vol. 25 No. 1, pp. 71-88.
* Meyer, J., Shinar, D. and Leiser, D. 1997. Multiple Factors that Determine Performance with Tables and Graphs. Human Factors, Vol. 39, No. 2, p. 268.
* Mihăilăa, M. 2014. Managerial accounting and decision making, in energy industry, Procedia - Social and Behavioral Sciences, Vol. 109, pp. 199 – 1202.
* Morabito, V. 2016. Data Visualization. The Future of Digital Business Innovation, Springer International Publishing Switzerland, pp. 61–83.
* Pandey, AV., Manivannan A., Nov O, Satterthwaite M, Bertini E. 2014. The Persuasive Power of Data Visualization. IEEE Trans Vis Comput Graph, Vol. 20, No. 12, pp. 2211–2220.
* Plank, T. and Helfert, M. 2016. Interactive Visualization and Big Data - A Management Perspective. In Proceedings of the 12th International Conference on Web Information Systems and Technologies, Vol. 2, pp. 42-47.
* Ponniah, P. 2001. Data Warehousing Fundamentals a comprehensive Guide for IT Professional. John Wiley and Sons, Inc.
* Shah, P., Freedman, E.G. and Vekiri, I. 2005. The Comprehension of Quantitative Information in Graphical Displays, in Shah, P., Miyake, A. (Eds), the Cambridge Handbook of Visuospatial Thinking. Cambridge University Press, Cambridge, pp.426-476.
* Simon, M. and Houghton, S.M. 2003. The relationship between overconfidence and the introduction of risky products: evidence from a field study, Academy of Management Journal, Vol. 46, No. 2, pp. 139-149.
* Soceaa, A-D. 2012 . Managerial decision-making and financial accounting information, Procedia - Social and Behavioral Sciences, Vol. 58, pp. 47 – 55.
* Steven, G. J. 2003. Data warehousing and the management accountant. The British Accounting Review, Vol. 35, pp. 65–66.
* Vera-Mufioz, S-C., Kinney, Jr. R., Bonner, S- E. 2001. The Effects of Domain Experience and Task Presentation Format on Accountants’ Information Relevance Assurance. The Accounting Review, Vol. 76, No. 3, pp. 405-429.
* Vessey, I. 1991. Cognitive fit: A theory-based analysis of the graphs versus table’s literature, Decision Sciences, pp. 219-240.
* Wallis, JC. 2005. Databases and Data Visualization the State Of the Art. Center for Embedded Networked Sensing. Center for Embedded Networked Sensing, Data Management Team, UCLA. Zacharakis, A.L. and Shepherd, D.A. 2001. The Nature of Information and Overconfidence on Venture Capitalists’ decision making. Journal of Business Venturing, Vol. 16, No. 4, pp. 311-332.
* Weygandt, J., Kimmel, D. and Donald E. 2012. Kieso, Managerial Accounting, John Wiley & Sons, p. 25.
* Zacharakis, A.L. and Shepherd, D.A. 2001. The Nature of Information and Verconfidence on Venture Capitalists’ Decision Making”, Journal of Business Venturing, Vol. 16, No. 4, pp. 311-332.
* Zielinski, M. and Heupel, T. 2016. Influential Factors of Presentation Format Choice: An Analysis Based on the Theories of Cognitive Fit and Self-Determination. SSRN Electronic Journal.
