Keywords

Information Technology Governance, Internal Auditors, Electronic Accounting Information Systems.

Introduction

Governance is a set of policies, procedures and practices aimed at directing and managing institutions in an effective and transparent manner, and ensuring that decisions taken are based on correct and reliable information. Governance includes many principles and standards aimed at ensuring a balance between the interests of the various stakeholders in the organization, such as shareholders, executives, employees, customers, and suppliers. One of the main aspects of governance is its role in enhancing the quality of accounting information. Accounting information is essential to the decision-making processes in institutions, whether investment, financing or management decisions. It is important that this information is accurate, transparent and comparable, and that it is made available in a timely manner to the persons concerned. Governance plays an important role in achieving the quality of accounting information in several ways, including: (Abu-Musa, 2009).

Establishing policies and procedures: Governance sets the necessary policies and procedures to ensure that accounting information is properly and regularly collected and recorded in accordance with recognized accounting standards.

Promoting responsibility: Governance enhances responsibility and transparency in the organization, as management and members of the board of directors must be responsible for the correctness and presentation of accounting information.

Research Problem

Governance is very important in enhancing the quality of accounting information. The term "governance" refers to the framework that organizes the decision-making process and management of the organization in general. The main objective of accounting governance is to ensure the availability of accurate and reliable accounting information for making the right decisions.

The problem of governance in enhancing the quality of accounting information is related to the control and supervision of the preparation, submission, documentation, evaluation and financial reporting processes. Accounting governance aims to ensure the transparency, credibility and reliability of financial and accounting information provided by institutions (Aditya & Nugroho, 2018).

Many organizations suffer from problems in achieving the quality of accounting information due to several reasons related to governance, and the most important of these problems are:

1. Weak organizational structures and lack of supervision: Weak organizational structures and lack of supervision occur when there is no clear distribution of responsibilities and powers between individuals and departments in the organization. This may lead to ambiguity of responsibilities and lack of adequate supervision, which increases the chances of errors and manipulation of accounting information.

2. Lack of training and skills: There may be a lack of training and accounting skills for employees, and this negatively affects their ability to properly prepare, analyze and present accounting information. In addition, continuous changes in accounting standards and laws may require the development of accounting skills and knowledge on an ongoing basis.

3. Weak internal control procedures: Weak internal control procedures mean that there may not be adequate mechanisms for monitoring and evaluating accounting information. This may result in the formation of errors, whether intentional or unintentional (Chandra et al., 2003).

The Importance of the Research

The importance of the study stems from the importance of the role that electronic governance plays in supporting and improving the quality of accounting information by providing the necessary accounting solutions and treatments. The importance of the study can be clarified through a set of points, as follows: (Alramahi et al., 2014).

1. Electronic Documentation: The application allows the use of electronic documents to record accounting operations and related information. These electronic documents can be relied upon to ensure the correctness and integrity of accounting information.

2. Access control: The application provides mechanisms to control access to accounting information. Access levels and permissions can be defined for different users based on their role and responsibilities. This protects accounting information from unauthorized access and enhances security.

3. Tracking and Auditing: The application can be used to record and track all accounting operations. This tracking allows accurate analysis and review of accounting information, which enhances transparency and credibility (Cashell et al., 2002).

4. Automation: Repeated accounting operations can be automated using the application, which reduces human error and improves accuracy and reliability. For example, the application can be programmed to automatically generate financial reports according to accounting laws and standards.

5. Analysis and reports: The application provides the ability to analyze accounting information and generate advanced reports. These reports can be used to derive key data and financial trends (De Haes et al., 2007).

Research Objective

The study seeks to demonstrate the role of governance in improving the quality of accounting information from the perspective of internal auditors and financial experts. By clarifying the role of governance in improving the quality of accounting information, and thus by highlighting the role of governance in improving the quality of accounting information from the point of view of internal auditors and financial experts (Heera et al., 2008).

Research Hypothesis

The basic hypothesis of the research is that there is a positive statistically significant relationship between governance and the quality of accounting information from the point of view of internal auditors and financial experts (Jordan, 2004; Jordan, 2005).

Research Sample

The research cohort consisted of many internal auditors and financial experts to demonstrate the role of electronic governance in improving the quality of accounting information during the study period (2020-2024).

The Importance of Electronic Information Governance

Flesher et al., (2000). Establishments have become increasingly dependent on information technology, which reflects the interaction of computers and communication networks in collecting, classifying, processing, storing, and communicating data and information to all relevant parties. This serves the strategic objectives of the establishment, and in light of the rapid and successive developments of information technology, a new term for governance has emerged. IT Governance This term includes a set of organizational frameworks and processes that ensure that information technology is able to enhance the strategic objectives of the organization and achieve an appropriate return from its technological investments, that is, that governance can achieve a balance between information technology risks - as a necessary evil Necessary Evil, such as damage or failure of physical assets of computers, improper record keeping, increased risk of fraud, loss of competitive advantages in the event of the wrong choice of information technology, data theft, violation of privacy, disruption of business, on the one hand, - and between the strategic objectives and benefits that should be achieved by using Information technology on the other hand, and then the need to adopt good governance practices, leading to support strategic performance through ITG governance as one of the important strategic determinants of the success or failure of enterprises (IT Governance Institute, 2008).

Corporate governance is one of the responsibilities of the Board of Directors and the executive management to provide the structure through which goals are set and the means of achieving those goals are set, with clarification of organizational structures, executive policies and procedures, defining responsibility, directing and controlling the current and future uses of information technology, directing plans for using information technology to support the establishment, and following up on this use To accomplish the established plans, with the aim of organizing and harmonizing the information technology strategy with the strategic objectives of the establishment to cover areas of compatibility with the establishment's strategies, performance measurement, resource management, risk management, adding value to the establishment, increasing productivity and gaining competitive advantages for the establishment (Hafez, S., 2015).

The Concept of Information Governance

Information technology governance, which is the responsibility of the board of directors and executive management of the facilities. It is not an activity or an independent system in itself, but rather it is an integral part of corporate governance, and in this context the definitions were numerous and differed according to the interests of the researchers and their attitudes towards the subject of the research and others gave importance to information technology governance in adding real value to the enterprise and creating competitive advantages Grembergen (2005), and there are definitions that indicated that information technology governance. A framework for decision-making related to information technology, with an explanation of the authority and responsibilities of decision-makers and those to whom authority is delegated. Finally, there are those who are interested in information technology governance as a means to address the gap between regulatory requirements, technological and technical procedures, and business risks (Harb et al., 2016).

Methods used in Innovative Accounting

Corporate governance is one of the responsibilities of the Board of Directors and the executive management to provide the structure through which goals are set and the means of achieving those goals are set, with clarification of organizational structures, executive policies and procedures, defining responsibility, directing and controlling the current and future uses of information technology, directing plans for using information technology to support the establishment, and following up on this use To accomplish the established plans, with the aim of organizing and harmonizing the information technology strategy with the strategic objectives of the establishment to cover areas of compatibility with the establishment's strategies, performance measurement, resource management, risk management, adding value to the establishment, increasing productivity and gaining competitive advantages for the establishment (Fogarty et al., 2006).

Criteria for the Success of the Application of Information Technology Governance

The success of information technology governance requires the availability of several integrated elements for the success of its application, represented in: (Lanz, 2002).

1. Alignment between the general strategy of the establishment and the operating plans necessary to achieve the objectives of that strategy and the strategic plan for information technology.

2. The commitment and support of the administrative leadership and the clarity of its strategic vision to enter the information age and develop services for the beneficiaries, as well as its comprehensive understanding of the concept of information technology governance in terms of planning, implementation and follow-up, and deepening the role of control over information technology and its outputs.

3. Setting clear objectives for the governance of information technology, enacting regulating legislation, and continuously updating the use of modern technology, such as electronic signature and means of communication (Lotto, 2013).

4. Relying clearly on information technology as a prerequisite imposed by the regulatory and supervisory authorities, good applications of information technology governance and increasing the competitiveness of enterprises.

5. Developing a financial, financing and operational plan for information technology.

6. Management of the information technology infrastructure, including the type of hardware and software of all kinds, the construction of networks and data used within the facility, and the special standards in developing its information technology assets.

7. Forming specialized committees in directing information technology and setting its own strategy.

8. Protection of information security and privacy.

9. The multiplicity of departments that use information technology within the facility in light of the effective management of the desires and needs of customers within the framework of the general strategy of the facility (Lunardi et al., 2014).

Obstacles to Implementing Information Technology Governance

There are many obstacles facing establishments that rely heavily on the application of information technology, so they must identify the challenges and obstacles that they may face in order to be able to raise the level of quality of electronic services provided to beneficiaries, and these obstacles facing information technology governance can be clarified in the points The following: (Chapman et al., 2015).

1. The unwillingness of senior management to rely on information technology in decision-making is considered one of the main issues that prevent the success of information technology projects.

2. Weakness or lack of strategic compatibility between the information technology strategy and the organization's strategy.

3. Inefficient and effective management of information technology resources, in terms of ensuring that there are sufficient hardware, software and human resources that provide information technology services.

4. The difficulty of creating a legislative and legal environment suitable for information technology governance applications, as this requires time and effort.

5. The high costs of networks, communications, and access to Internet services, as well as the lack of qualified human resources administratively and technically to deal with IT governance applications, as well as the lack of financial capabilities to keep abreast of developments, modernization of computers, and software development.

6. Poor risk management is the main obstacle to the success of most IT projects, and risk management includes assessing and mitigating all potential threats to the project.

7. The lack of sufficient guarantee to maintain the security, confidentiality and privacy of data and information available on the Internet, the fear of leaking information that others should not see, and the lack of information encryption programs necessary for its transfer.

8. Inadequate standards for the good performance of information technology, as well as problems resulting from data management (Robles et al., 2008).

Summary of the Research Sample

Study Population and Sample

The study population identified by the researcher is as follows:

1. Internal auditors and accounting experts who have experience in accounting information governance.

2. Accounting and auditing clerk who have programs to apply electronic auditing.

In obtaining the necessary data for the field study, the researcher relied on the method of the survey list, supported by personal interviews, in order to test the research hypotheses through the opinions of those surveyed, with an explanation of the survey list, answering some related inquiries and receiving responses. This survey list consisted of three axes, covering all data necessary to test the validity of research hypotheses (Lindow et al., 2002).

Statistical Analysis and Hypothesis Tests

After re-assembling the survey lists and reviewing them to ensure their validity for statistical analysis, the researcher encoded the questions contained therein, downloaded the data of each questionnaire on the computer, and ran it. The validity and reliability of the dimensions of the survey lists, determining the appropriate statistical analysis methods for the data, and testing the research hypotheses as follows: (Popescu et al., 2011).

The average of all expressions is greater than three (3), which indicates that the respondents generally agree with the expressions of this dimension, which is that there is a significant electronic governance in improving the quality of accounting information by using electronic information management to establish accounting information systems. The standard deviation ranges are shown in the previous Table 1. The coefficient of variation for all statements is less than 50%, which confirms the low percentage of standard deviation with respect to the arithmetic mean. In addition, the coefficient of difference for all statements is less than (0.836: 1,020), which is a small percentage and indicates a low dispersion in the respondents' responses to these statements, which confirms the importance of the role of governance in improving the quality of information Table 2 (Robles et al., 2008).

Table 1 The Number of Sent and Received Lists, and Statistical Analysis was Conducted on them
N	Statement	The number of listings sent	The number of lists received and statistical analysis was conducted on them
1	Accounting firms and internal auditors who have experience in electronic information governance	70	65
2	The role of electronic information governance in improving the quality of accounting information	80	70
3	Total	150	135

Table 2 Descriptive Statistics for the Subjects of the Study
No.	Statement	The arithmetic mean	Standard deviation	Coefficient of difference	T-Test	Moral
1	Information technology governance requirements are analysed and clarified by the company.	3.70	1.000	0. 1 70	8. 3 56	0.000
2	Projects related to information technology are implemented and organized based on how much they help the business achieve its strategic goals.	3 7 2 . 0	9 4 8 . 0	0. 1 50	10. 2 94	0.000
3	To guarantee that the information technology department delivers the intended results at the lowest costs, its performance is frequently assessed and remedial actions are promptly implemented.	3 9 4 . 0	8 36 . 0	0. 1 43	10. 6 11	0.000
4	The management of the business analyses accounting and information security-related data, looking at things like predicted returns in relation to expenditures for safeguarding technology and raising the standard of data.	3.78	0.986	0. 3 60	9. 4 93	0.000
5	Responsibilities and powers for information technology governance that ensure the achievement of the company's objectives are defined	3.74	0.875	0.233	10.005	0.000
6	As a preventative step against risks, information technology failures and their causes are discovered, defined, and categorized in advance when building technical solutions and producing them with the least amount of hazards.	3.78	1.033	0.262	8.732	0.000

Through the previous results regarding this axis, which emphasizes the role of auditing auditors and accounting experts in activating the security of accounting information as an input to improve the quality of electronic accounting information, we accept the hypothesis that there is a statistically significant effect between auditors, accounting experts and electronic governance to improve the quality of accounting information.

Conclusion

1. Information technology governance is the tool on which management thought is based to realize and support the quality and efficiency of accounting information and work to reduce or minimize those risks, and this requires identifying the nature of risks that threaten accounting information systems and the reasons for their occurrence.

2. It is necessary for companies that depend on the electronic operation of data to apply the principles of services to give confidence to their accounting information system, in order to ensure the achievement of the objectives of governance of information technology systems, as it is an important control tool on which the information system relies in collecting, operating, storing, summarizing and preparing data in the form of financial statements. The role of the governance of information technology systems is to ensure that the information technology of the companies works to support the objectives of the establishment in order to ensure the support and development of the quality of the accounting information system.

3. Internal audit gains its credibility as a profession from the confidence of its beneficiaries in its important and necessary role in the governance of information technology through its activities related to improving the quality of accounting information.

4. The internal auditor must be sufficiently aware of the control tools that companies may use to protect these programs in order to improve the quality of accounting information.

5. The need for adequate and appropriate control over the security and safety of information as a kind of justification for the necessity of continuous spending on tools and means of control over the security and safety of the quality of accounting information.

Recommendations

Appropriate qualification of the internal auditor from the scientific and practical point of view in the field of information technology to avoid deficiencies in the existing technology, which allows fraud, manipulation and fraud in the financial aspects, as well as to improve the efficiency and effectiveness of the internal auditor and show the extent to which it can contribute to improving the quality of the company’s accounting information under the governance of information technology.

1. The need for an accounting standard that reflects the role of the internal auditor as an activity that supports the governance of information technology to improve the quality of electronic accounting information systems in the accounting business environment.

2. Raising the efficiency and effectiveness of the internal auditor in controlling the security of electronic accounting information systems and working on using the latest control methods necessary to save and store data from backup copies and preventive maintenance and conducting permanent training courses and seminars to develop their control skills in this field in order to match the development in the field of information technology.

3. The need to develop internal control and audit systems in light of the governance of information technology in order to be in line with the objectives and policies of companies, and to support the quality of data and accounting information.

4. The need to develop guidelines and directives for the design and implementation of effective electronic information governance for information technology systems in the accounting business environment in a manner commensurate with the capabilities and circumstances of each company and the environmental conditions surrounding it, and to identify and document special policies to create confidence in the electronic accounting information system.

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Received: 04-Jul-2023, Manuscript No. jiacs-23-13760; Editor assigned: 06-Jul-2023, PreQC No. jiacs-23-13760(PQ); Reviewed: 20-Jul-2023, QC No. jiacs-23-13760; Revised: 27-Jul-2023, Manuscript No. jiacs-23-13760(R); Published: 31-Jul-2023