LEffect of Accounting Information Systems on Corporate Governance in Pharmaceutical Companies in Jordan

Abstract

This study aimed at analyzing the effect of Accounting Information Systems on corporate governance in pharmaceutical companies in Jordan. In the 2000s, the corporate scandals in various countries showcased the loopholes in the financial management of the company where the managers and accountants could infringe the accounting rules to an extent to create financial blunders in the company and affect the economy severely. The loss borne by the economy has made highlighted the need for stringent rules and legislation related to accounting and auditing. As an internal control, auditing, accounting, and financial management is an integral part of a company, it is significant and of utmost importance to assess the association between Accounting Information Systems (AIS) and corporate governance. The study determined the association by conducting a questionnaire survey of 112 financial managers and accountants in the finance department of pharmaceutical companies in Jordan. The results showed a positive impact of accounting information systems on corporate governance.