Designing With Best Practices OverviewShah presents 23 best practices to implement and examine how the shape of regulatory data collection process may change in the future through using extensible business reporting language (XBRL)

AIS AND XBRL – DESIGNING WITH BEST PRACTICESAIS and XBRL – Designing With Best Practices OverviewShah presents 23 best practices to implement and examine how the shape of regulatory data collection process may change in the future through using extensible business reporting language (XBRL).Read this article before you begin your assignment:The Road to Making Regulation More Efficient: A Case Study in the Application of Best Practices and Data Standards in Regulatory Reporting.InstructionsWrite a 4–5-page paper in which you:Research an existing small to medium-sized business that does not have an established accounting information system (AIS). Make sure you clearly identify what business line, product type, and market position.Implement at least 5 of the 23 best practices in the reporting process within the organization. Provide details to either enforce existing practices or introduce them if they do not exist. You can select any practices you like.Explain the impact of the best practices you selected on the reporting process. Describe how the best practices align with the XBRL application.Explain how the best practices would impact the business’s operations and decision-making processes.Use at least five quality resources in this assignment. Note: Wikipedia and similar websites do not qualify as quality resources.This course requires the use of Strayer Writing Standards. For assistance and information, please refer to the Strayer Writing Standards link in the left-hand menu of your course. Check with your professor for any additional instructions.The specific course learning outcomes associated with this assignment is:Propose recommendations for implementing XBRL to benefit a company’s financial reporting.

1 attachmentsSlide 1 of 1attachment_1attachment_1.slider-slide > img { width: 100%; display: block; }
.slider-slide > img:focus { margin: auto; }

Unformatted Attachment Preview

International Journal of Business and Management Science
(ISSN 1985-692X)
www.safaworld.org/ijbms12
Submission email: ijbms.submission@safaworld.org
Chief Editor
Mohammad Safa
Special Issue Editor
Zuraidah Mohd Sanuasi
Universiti Teknologi MARA, Malaysia
Forces of Accounting Information System:
Organizational Change and Governance of
A Malaysian Agricultural Company
a
Kamaruzzaman Muhammad, bNor’Azam Mastuki, cFaizah Darus,
d
Erlane K Ghani*,
abcd
Universiti Teknologi MARA, Malaysia
*Corresponding author: erlanekg@salam.uitm.edu.my
1
Copyright @ 2017, Mohammad Safa: Unless otherwise noted, copyrights for the texts which comprise all issues
of the International Journal of Business and Management Science (IJBMS) are held by the copyright owner.
Items published by IJBMS may be freely shared among individuals, but they may NOT be republished in any
medium without written consent from the copyright owner. In order to discuss any relevant issues or acquire
permission for reprint or reuse of data, please contact the editors at ijbmseditors@safaworld.org.
2
Disclaimer: Facts and opinions published in the International Journal of Business and Management Science
(IJBMS) express solely the opinions of the respective author(s). Author(s) are responsible for citing sources and
the accuracy of their references. The editors cannot be held responsible for any lacks or possible violations of
third parties‟ rights. If any misconduct found in any published items, the relevant party may contact the editors for
suggestions.
Published by the Society for Alliance, Fidelity and Advancement (SAFA)
171
Forces of Accounting Information System
ISSN 1985-692X
Abstract: Understandably, organisation that experiences organisational change
faces different ways of change and means of solving issues surrounding such
change. Specifically, this study focuses on the change of accounting information
system (AIS) and governance in an agricultural company. A case study approach
using triangulation method is employed. A key finding in this study is that the
external forces; government‟s economic decision and regulator‟s guidelines wields
a significant impact on organisational stability and good governance. This impact is
not limited to a small fraction of an organisation, such as AIS, but extends to a
bigger fraction, such as the business model, corporate structure and listing of the
organisation.
Keywords: Accounting Information System; Organisational Change; Isomorphism,
Agricultural Company; Malaysia
INTRODUCTION
Organisational change arises when an organisation undergoes a transformation in
its operational structure and activities to improve performance. Understandably,
each organisation that experiences organisational change faces different ways of
change and means of solving issues surrounding such change. Organisational
change can be triggered by external forces, such as a government policy on a
particular industry. It can also be triggered by a change in the standards and
procedures of regulatory bodies, consistent with the coercive isomorphism of
institutional theory, which suggests an organisational change is often triggered by
the external parties they depend on (DiMaggio and Powell, 1983). Organisational
change can also be influenced by professionals and consultants who create norms
of practices, consistent with the normative isomorphism. In addition,
organisational change can be triggered by internal forces that occur within a
company, such as the implementation of new business strategies or the
restructuring of major functions, owing to the pressure of maintaining a
competitive edge and new ideas or practices. This situation is consistent with
mimetic isomorphism, which argues that an organisation tends to imitate another
organisation’s practices because it believes the practices of the latter are more
efficient and beneficial. The effect of organisational change in a company, when
applied accordingly, often leads to desirable consequences for the users,
organisations and other interested parties, and ultimately, organisational success.
A question arises at the organisational level (OL). In reality, will a change at
the economic and political (PE) level, such as a government policy, affect an
organisation and lead to organisational change? If yes, does it impact the small
functions of the organisation, such as the structure of the accounting information
system (AIS)? In organisational change literature, studies have mainly focused on
organisational change from the management accounting perspective. These studies
provided some evidence from the perspective of the impact of adopting a new
management accounting system to the patterns of human behaviour within an
organisation (Anderson and Young, 1999; Shields, 1995; Argyris and Kaplan,
1994). Other studies on organisational change also discussed the evidence on the
obstacles to accounting change, such as human resistance to management
accounting change. Some studies examined the effect of privatisation on
172
International Journal of Business and Management Science, 9(2): 171-193, 2019
Forces of Accounting Information System
ISSN 1985-692X
accounting change (Yonnedi, 2009). However, the impact of the government‟s
policy on a small function of an organisation, such AIS, remains largely
unexplored.
This study aims to increase our understanding on the forces of AIS
change in an agricultural company in Malaysia. The findings serve as
guidelines for business practices and contribute to the academic knowledge
and literature. The findings of this study provide insight to practitioners on
how the government involves private companies in stimulating the nation‟s
economic growth through changes in the economic fundamentals. This
study becomes more interesting because the economic policy reforms that
are being carried out through the ETP are drastic changes that have never
been undertaken in other countries. In addition, the findings in this study
also contribute to the information systems literature, particularly, on AISs.
Most of the studies that have focused on organisational change are within
the management accounting literature. Studies that have examined
organisational change and its impact on the AIS are sparse in number;
hence, there is a significant research opportunity in this area. The present
study has not only contributed to the accounting literature by introducing a
new dimension of organisational change from the AIS perspective but also
contributes to the AIS literature by incorporating the theories commonly
used in the management accounting literature. This study also goes beyond
the commonly examined issues relating to individual behaviour and extends
to organisational behaviour.
The remainder of this paper is structured as follows. Section 2 provides the
literature review. Section 3 presents the overview of the company under study.
Section 4 discusses the research framework. Section 5 outlines the research design.
Section 6 analyses and discusses the findings. Section 7 concludes this study.
LITERATURE REVIEW
Research on organisational change has recently expanded to the AIS because of
the realisation that AIS encompasses technical and social contexts. Such
realisation has caused researchers to examine the impact of the organisational
change on not only the technical aspects of the AIS but also on the behaviours and
attitudes of people within the organisation. Organisational change in AIS can be
caused by many reasons (Yazdifar and Tsamenyi, 2005; Scapens, Ezzamel, Burns,
and Baldvinsdottir, 2003). A response to external forces, such as government laws
and political change, or internal pressures, such as the nature and complexity of
the organisation, can cause the AIS to change (Greenwood and Hinings, 1996).
Change is regarded as pressure from an organisation‟s external environment and
the actions of people in the organisation (Greenwood, Diaz, Li, and Lorente,
2010). The interaction between external and internal pressures shapes the process
of AIS change (Moll and Hoque, 2008; Scapens, 2006). Such outcome leads to the
interplay between internal and external pressures as a key element in the
accounting information change in an organisation.
International Journal of Business and Management Science, 9(2): 171-193, 2019
173
Forces of Accounting Information System
ISSN 1985-692X
A body of organisational change literature identified that the interplay between
the external and internal pressures is important in understanding change. This body
identified the differences between exogenous and endogenous forces affecting
change (Liguori and Steccolini, 2012). The studies in this body of literature used
various frameworks to understand change. For example, Burns and Scapens (2000)
extended their framework to include the external environment and explained the
interaction between internal and external forces of change (NorAziah and Scapens,
2007; Ribeiro and Scapens, 2006). These studies, which are valuable contributions
to the field of management accounting change, focused on the process of change,
such as power, politics (Ribeiro and Scapens, 2006) and trust (NorAziah and
Scapens, 2007). However, they did not explain how the criteria and practices at the
inter- and intra-organisational levels are linked.
Dillard, Rigsby, and Goodman (2004) developed a theoretical framework
which incorporates institutional theory and Weber‟s ideas on rationality and power
and structuration theory. Dillard et al. (2004) model is particularly useful in
explaining the interplay between external and internal organisational forces in the
process of change. The framework provides a theory that explains how external
and internal forces are interlinked and shape the process of management
accounting change (Wanderley, Cullen and Tsamenyi, 2011; DiMaggio and
Powell, 1983). Dillard et al. (2004) suggested that the process of
institutionalisation moves in a cascading manner through three levels of sociohistorical relationships, namely, PE level, organisational field (OF) level and OL.
Their framework considers institutional theory by treating institutionalisation as a
political process that reflects the relative power of organised interests and the
actors around them. The first element of institutional theory argues that
organisations tend to conform to beliefs and values of other organisations which
would lead to homogenisation within an OF through isomorphism (Dillard et al.,
2004; DiMaggio and Powell, 1983). Isomorphism refers to a constraining process
that forces one unit in a population to be similar to other units (DiMaggio and
Powell, 1983), comprising of coercive, mimetic and normative isomorphism. The
second element of institutional theory is decoupling, which relates to organisations
varying their activities in response to practical considerations to resolve conflicts
between ceremonial rules and efficiency (Dillard et al., 2004).
CASE STUDY
ALPHA3 company is used as the case in this study. The company is principally an
investment holding company with investments primarily in oil palm plantation and
its related downstream activities, sugar refining, trading, logistics, marketing,
rubber processing, research and development activities and related agribusiness
activities. ALPHA was established in 2007 initially as the commercial arm for the
overseas market of BETA4 group. ALPHA has embarked on global expansion
3
For reasons of confidentiality, the real name of the company under case study is not disclosed and
„ALPHA‟ is used as a pseudonym instead.
4
BETA was established on July 1, 1956 under the Land Development Ordinance of 1956 as part of
the social engineering programme to eradicate poverty in rural communities through the land
resettlement scheme. BETA was initiated by the second Malaysian Prime Minister, the late Tun
174
International Journal of Business and Management Science, 9(2): 171-193, 2019
Forces of Accounting Information System
ISSN 1985-692X
across several countries through share acquisition in foreign and local companies.
From 2009 to 2012, ALPHA invested in several foreign countries through the
share acquisition of foreign companies involved in fatty acids, oilseed crushing
facility and food-grade oil refinery. ALPHA‟s international operations are in the
upstream and downstream oil palm chain as well as diversified across the agribusiness value chain, particularly in the areas of oleo chemicals, soybean and
canola crushing. Through a foreign joint venture company, ALPHA has interests
in palm oil refineries and downstream processing facilities in Indonesia, China,
Turkey and South Africa.
Investment in Indonesia was made through an investment in a related
company which owns 42,000 hectares of oil palm estates in East and Central
Kalimantan, Indonesia. ALPHA also acquired shares in another company that
owns 14,385 hectares of land in West Kalimantan, Indonesia which was initially
intended for the development of an oil palm plantation. In Canada, ALPHA is
involved in processing canola seed and soybean and their related by-products
through its related companies. In the United States, ALPHA is involved in the
procurement, processing and supply of fatty acids through its related companies,
and it has sales and marketing offices in France and Spain. In Malaysia, ALPHA‟s
business is involved in plantation activities, mainly in operations of oil palm
plantation and rubber estates. ALPHA is also involved in downstream oil palm
refining activities. It is the leading refined sugar producer in Malaysia through its
subsidiary company.
ALPHA was listed on Bursa Malaysia through initial public offerings (IPO)
on 28 June 2012. Since then, ALPHA has been entrusted to take over the entire
business of BETA, which was previously handled by FAB. FAB was established
in 1995 as a subsidiary of BETA to rationalise its business activities as a
commercial land developer. FAB was also responsible for assisting the
settlers in replanting and providing management services to oil palm
holdings, such as terracing, replanting, crop establishment, fertilising, crop
management, harvesting and transportation of FFB to oil palm mills.
ALPHA aims to be a leader in the global arena, with various diversified agrobusiness activities. Consequently, the listing exercise led to a significant
organisational change in ALPHA.
This study uses the framework developed by Dillard et al. (2004) to explain the
interplays between forces of AIS change in ALPHA. The framework was
developed based on institutional theory. The current study stems from old
institutional economics (OIE) and new institutional sociology (NIS) to explain the
forces that eventually caused significant changes in the AIS structure of ALPHA.
It uses OIE to understand the development and modification of the AIS structure
within ALPHA. This study also relies on NIS, which focuses on the organisation
and its systems and practices (DiMaggio and Powell, 1991) and assumes that intraorganisational structures and procedures are largely shaped by external factors.
Figure 1 exibits Dillard et al.‟s (2004) framework, which suggests that the
institutionalisation process moves in a cascading manner through three levels of
Abdul Razak, with technical and financial assistance from the World Bank to support the land
resettlement schemes (Scudder, 1985). The real name of BETA is not disclosed for confidential
reasons.
International Journal of Business and Management Science, 9(2): 171-193, 2019
175
Forces of Accounting Information System
ISSN 1985-692X
socio-historical relationships, namely, PE, OF and OL. The PE level refers to
dissemination of general taken-for-granted norms throughout the society. The OF
level refers to translation of the social, PE parameters which are expressed in the
general taken-for-granted norms into the OF criteria. On the other hand, the OL
refers to OF practices which have provided the legitimacy and regulative basis for
action (Cruz, Perez, and Cantero, 2009).
Economic & Political Level (PE)
Power
Distribution
CPE
C‟PE
Power
Distribution
Organisational Field Level (OF)
COF = f(CPE)
POF = f(COF)
P‟OF
C‟OF
Organisational Level
Innovators (I)
PI = f(POF) &/or
f(COF)
Later Adoptors (LA)
PLA = f(PI) &/or
f(COF)
Ci = criteria
Pi = practice
Additional Key for the Dillard et al. (2004) Framework:
CPE
: Criteria at (Socio) Economic and Political Level
COF
: Criteria at Organizational Field Level
POF
: Practice at Organizational Field Level
PI
: Innovators‟ Practice (at organizational level)
PLA
: Late Adopters‟ Practice (at organizational level)
f
: Function of
P‟OF
: Reinforced/Revised/New Practice at Organizational Field Level
C‟OF : Reinforced/Revised/New Criteria at Organizational Field Level
C‟PE
: Reinforced/Revised/New Criteria at (Socio) Economic and Political
Level
Figure 1: Research framework
Dillard et al. (2004) framework proposes that „the institutionalization process
occurs hierarchically by linking the PE level with the OF level. The PE level
establishes the most general and widely accepted norms and practices (taken-for-
176
International Journal of Business and Management Science, 9(2): 171-193, 2019
Forces of Accounting Information System
ISSN 1985-692X
granted norms) influenced by politically developed symbolic criteria (CPE), such
as accounting principles, laws and regulations. These norms and practices tend to
be strongly influenced by power distribution and represent macro context for
resource allocation (Dillard et al., 2004, p. 512). The OF level includes
socioeconomic configurations, such as industry groups, professional bodies and
consultants. The social PE factors embedded in the PE level enter the OF level
through the OF criteria (COF), which are functions of the societal-level criteria
(CPE). COF grants legitimacy for the actions at the OF level, while CPE supports
a legitimacy for COF existence. The practices within the OF are functions of the
COF and provide a legitimate regulative base for action at OL.
The proposed research framework developed in this study explains that the
organization practices in an organization are not only confined to internal factors
such as task-related or organizational operations but also extend to external factors
such as at the economic, political and organization field levels, which infuse the
organizational structures and procedures. The framework shows that the process of
organizational change moves in a sequential manner through the three levels of
socio-historical relationship. The organizational change starts with the pressure for
change from the PE level, which influences the actions of parties at the OF level
(external forces) and, subsequently, the intra-organizational level (internal forces)
(Wanderley et al., 2011).
METHODOLOGY
Qualitative research method was chosen to achieve the aim of this study. The
qualitative research method is appropriate for this study because the change in
status from a government-linked private company to a publicly listed company is
involved in a complicated socio-economic and political philosophy (Shanikat,
2008). The present research adopted a single-case study to focus on describing and
understanding the phenomenon in the organisational change. It chose the
explanatory case study approach to provide an in-depth explanation of the events
of organisational change, particularly the forces of transformation process in the
AIS structure of the company.
Multiple Data Sources
This study used archival records and documentation, such as the New
Economic Model (NEM) report, Economic Transformation Programme (ETP)
reports, history books of the company annual reports and company prospectus.
Other methods, such as informal observations of the operationalization of ALPHA,
were also employed. This study chose a semi-structured face-to-face interview to
facilitate understanding, allow flexibility and produce more relevant data (Smith,
Flowers, and Osborn, 1997). This interview method obtained a description of the
organisational change in relation to the AIS structure of the company. A semistructured interview comprises the discussion session where interviewees are
provided specific questions but are free to respond beyond the questions to
elaborate their opinions, knowledge, experience and argument on an issue relevant
International Journal of Business and Management Science, 9(2): 171-193, 2019
177
Forces of Accounting Information System
ISSN 1985-692X
to the questions (Schram and Steen, 2001). Ten ALPHA officers from the middle
and top management positions participated in this study.
The questionnaire and the themes were developed based on a pilot study
wherein a preliminary content analysis of related documentations and
interview with the chief financial officer of ALPHA was conducted. A pilot
study was conducted in July 2013. The purpose of the pilot study was to get
some ideas in improving the design of the semi-structured questionnaire
that was to be used in the interviews. Open-ended questions were designed
in order to allow the interviewee in the pilot study to provide more ideas,
leading the researcher to incorporate these into the final questionnaire. An
appointment was made with one of the officers in a managerial position of
ALPHA in June 2013. Specifically, the officer holds the position of a
general manager of finance that has a vast knowledge and experience in
ALPHA. The officer has been working with ALPHA before and after
implementation of ETP and its listing. Emails were sent, and a series of
telephone conversations were undertaken with the officer prior to the
interview session. Documents stating the background of the research, the
research objectives, and the contents of the questionnaire were sent to the
officer before the interview session, for his easy reference. The officer
agreed to be interviewed and the interview session was carried out in his
office. The pilot study lasted for about one hour. The officer provided his
opinion on the questions posed in the semi-structured questionnaire. He
also expressed his views and opinions on the impact of listing on the
company’s business model and its corporate structure. In addition, he
informed the researcher that AIS change had occurred. Upon completion of
the pilot study, the semi-structured questionnaire was further modified and
improved after taking into account the comments from the officer. The
outcome of the pilot study enhances the validity and relevancy of the
questions in the semi-structured questionnaire and, hence, increases the
ability to achieve the research objectives of this study.
Developing a questionnaire according to the specific theme is a crucial step in
any qualitative research to produce useful, focused and robust findings. This
finding is consistent with Penn and Kyle (2007), who suggested that the
questionnaire is normally prepared according to a specified theme before the
interviews. The semi-structured questionnaire of this study consisted of three
sections which were prepared and segregated into specific themes to address the
research objective. Section A was composed of general questions related to the
interviewees‟ demographic profile. Section B dealt with the evolution of the
business model and corporate structure of BETA and ALPHA since their
incorporation. Section C focused on changes in the AIS structure, where the
interviewees were requested to describe the transformation of the AIS structure in
ALPHA. In this section, interviewees were asked to compare the AIS structure of
ALPHA before and after 2012, the year ALPHA was listed on Bursa Malaysia.
The interviewees were also asked to respond on the internal and external factors
that forced ALPHA to change its existing AIS structure.
178
International Journal of Business and Management Science, 9(2): 171-193, 2019
Forces of Accounting Information System
ISSN 1985-692X
Data Collection
The data collection process involved three phases. The first phase involved the
pilot study to obtain information for designing the semi-structured questionnaire.
The second phase was a content analysis which was conducted on an on-going
basis throughout the study. The last phase was related to the actual interviews with
the interviewees. A pilot study was conducted in July 2013 to gather some ideas
for improving the design of the semi-structured questionnaire to be used in the
interviews. Open-ended questions were implemented to allow the interviewee of
the pilot study to provide additional ideas, which would lead the researcher to
other ideas emerging from the response of the interviewee.
This study also conducted a content analysis of related documents. Conducting
content analysis in this study not only allowed the researcher to confirm the
findings from the interviews but also provided further findings which were not
given by the interviewees in the interview session. The documents retrieved by the
researcher in this study were in the forms of hard and soft copies.
The semi-structured face-to-face interviews were conducted from September
2015 to October 2016. The interviews conducted were open, interactive and
conversational in nature. Permission was obtained before the interviewees were
approached. The interviewees were given a summary of the research objectives
and the lists of questions before the actual interview session. Each interview
session lasted between 35 minutes to 1 hour 20 minutes, depending on the issues
raised by the interviewees. All interviews were recorded on tape. A total of 10
interviews were undertaken with 10 individuals in eight separate visits. The
number of respondents in this study was appropriate because previous studies also
used approximately the same number of respondents. In addition, the respondents
were the AIS users who participated in developing accounting systems in ALPHA
in terms of providing feedback in the development stage of the systems.
RESULTS AND DISCUSSION
This study reveals that the AIS structure of ALPHA changed significantly after its
listing in 2012. The new AIS structure consists of SAP and the five new systems
with dates of „go live.‟ The development of the new systems started with a
Webcycle system, which was used in the shared service centre and went „live‟ in
April 2012. This was followed by the development of a Sunguard Integrity system
for the treasury function, which went „live‟ in July 2013. The online KPI for
accounting and reporting function was completed in October 2013. ALPHA
subsequently adopted the JustCommodity system for sugar and palm trading
management in March and July 2014, respectively. Lastly, the BPC system, which
was meant to enhance the accounting and reporting capabilities, went „live‟ in
January 2015. A further investigation found two types of forces led to the AIS
change in ALPHA, namely, external and internal.
International Journal of Business and Management Science, 9(2): 171-193, 2019
179
Forces of Accounting Information System
ISSN 1985-692X
External Forces
The external forces of AIS change in ALPHA consist of ETP, the regulators and
the listing consultants hired by ALPHA during the listing process.
Economic transformation programme
The implementation of ETP in 2010 following the introduction of NEM was
the main contributor to the transformation of BETA and ALPHA. ETP is a private
sector-led transformation economic programme with 92% of the investments
coming from the private sector. By 2020, ETP is expected to contribute to the GNI
of approximately RM1.7 trillion across Malaysia by creating 3.3 million new jobs,
over 60% of which will be represented by the medium- or high-income salary
brackets through the implementation of 131 EPPs (Mansor, 2010).
Under the ETP, oil palm NKEA is a sector identified as the key growth engine
for the Malaysian economy. With over 4.9 million hectares of planted area, the oil
palm industry is a significant contributor to the Malaysian economy. Malaysia is
the world‟s largest exporter of oil palm and the second-largest producer of oil
palm after Indonesia (Yuen, 2012). With strong support from the government and
authorities such as the Malaysian Oil Palm Board, the oil palm sector has
experienced steady growth over the years. The rapid expansion of this sector since
the 1960s was encouraged by the Malaysian government to realise its potential. It
was consequently identified as one of the 12 NKEAs and a key growth engine for
economic advancement. Through ETP, the oil palm sector has a new focus to
improve its upstream productivity and enhance its downstream expansion (Yuen,
2012).
The ETP implementation has a direct impact on BETA and ALPHA because
their main activities are in oil palm plantation. ETP has indirectly forced the
companies to undergo major transformation, which involved changes in the
business environment, business model and corporate structure. Consequently, the
new arrangement was established where BETA continues its initial function to
look after the socio-economic benefit and development of the settlers. ALPHA
focuses on the business activities and goes for listing. All the business activities of
BETA previously handled by FAB are now entrusted to ALPHA. As noted by
Officer B:
I f we are busy doing business, ALPHA would not be able to look after the
settlers’ benefits. For this reason, the government needs to look after the
settlers’ socio-economic development, that is, through the BETA. ALPHA, on
the other hand, will focus on the business activities
Regulators and listing consultants
One of the most apparent transformation programmes that BETA has
undertaken is the listing of its subsidiary company, ALPHA, in 2012 on Bursa
Malaysia through an IPO. This move was in line with the GRiB of SRIs, where the
government has identified companies for disinvestment5. The listing of ALPHA
5
Divestment is a process of taking out monies from companies by selling the shares.
180
International Journal of Business and Management Science, 9(2): 171-193, 2019
Forces of Accounting Information System
ISSN 1985-692X
was set to enhance its competitiveness because it had the resources to expand and
improve efficiencies. Through the listing, ALPHA raised capital for growth,
subsequently enabling the shareholders to realise their investment and enhance the
credibility and profile of the company as a publicly listed entity in the eyes of
customers, suppliers and the business environment. Officer A noted that the listing
of ALPHA was in line with Malaysia‟s path to becoming a high-income nation. He
noted that:
We have a clear vision for the coming 10 or 20 years. With ALPHA’s listing,
both local investors like Tabung Haji, PNB, KWSP and foreign investors will
be able to invest, and the profits will not only be shared by ALPHA settlers, but
by all Malaysians as