Integrated reporting and ePBT system implementation in Malaysia local authorities
Integrated Reporting is now trending in advanced countries but in Malaysia, it is still a voluntary practice. The new reporting approach was introduced to overcome the weaknesses in sustainability reporting. This is achieved by including non-financial information in the integrated reporting. Many...
Saved in:
| Main Authors: | , , |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
2019
|
| Subjects: | |
| Online Access: | http://eprints.unisza.edu.my/6396/1/FH02-FPP-19-29118.pdf http://eprints.unisza.edu.my/6396/ |
| Tags: |
Add Tag
No Tags, Be the first to tag this record!
|
| Institution: | Universiti Sultan Zainal Abidin |
| Language: | English |
| Summary: | Integrated Reporting is now trending in advanced countries but in Malaysia, it is
still a voluntary practice. The new reporting approach was introduced to overcome the
weaknesses in sustainability reporting. This is achieved by including non-financial
information in the integrated reporting. Many challenges come with the integrated reporting
implementation and one of them is related to the efficiency of Accounting Information System
(AIS). To improve the public sector reporting quality, investment in AIS has been given the
highest priority by the Malaysian government. An electronic system known as ePBT was
introduced and adopted by the local authorities to address the reporting issues. In the
Malaysian local authorities, reporting quality is still an on-going problem and deserves a
proper study. This study discusses the level of ePBT adoption and its weaknesses. Challenges
to the implementation of integrated reporting at the local authorities were also presented. A
qualitative approach using face-to-face interviews was adopted in order to obtain primary
data from the users of the ePBT system. The sample consists of six selected local authorities
and each of them was represented by an accountant or assistant accountant. Semi-structured
questions were used during the interviews. The results show that only 50 per cent of the
respondents have implemented the ePBT system. Two major weaknesses of the ePBT system
were identified namely, lack of financial support and low level of technical skill for system
integration. This study highlights issues for local authorities to consider in its future
implementation of the new integrated reporting. |
|---|