IFIP Conference on e-Business, e-Services and e-Society

2016

Exploring XBRL-Based Reporting System: A

Conceptual Framework for System Adoption and
Implementation
(Dhata Praditya, Reni Sulastri, Nitesh Bharosa, and Marijn Janssen)

Dhata Praditya
Faculty of Technology, Policy and Management
Delft University of Technology

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Outline:

1. Problem

2. Research Objective

3. Methodology

4. Result

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 Problem Objective Methodology Result

More inter-organizational system between public and private organizations:

number of data, amount of data, and number of organizations

Various types of implementation strategy in business and financial

reporting

Some implementations have immediate impacts, while others need

more time

Various influencing factors for adoption and implementation

Prior research developed a generic model in other IOS

implementation domains, e.g. in PSN, E-Government applications,
etc.

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 Problem Objective Methodology Result

Research Objective:
To propose a model which can be used to analyze the adoption and
implementation of XBRL-based reporting system

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 What is XBRL?

Flexible framework or Common understanding

Business information Informative reporting
methodology
Standardized
To describe and exchange The exchange of the
The methods can be computerization of business
business information/data informative information
extended or customized reporting language, as the
(includes all of the for the analysis and
according to the derivation of XML. Open
characteristics of the data) decision making
business rules standard

Source: XBRL international Challenge the future 5

Life before XBRL

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Life after XBRL

Standardization of formats
Standardization of
business terms
Normalization and
harmonization of
reporting needs
A faster and reliable
business validation
Governs the relationship
of data semantic

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 Research on XBRL area

Number of publications 1. More than 25000 publications from Google Scholars

222 publications selected based on relevancy and
46 citations.
2. In the last 5 year, the research in XBRL:
30
22 24
27 a) 42% on Impacts
b) 32% on Adoption
11 10 11
5
8 6 6
9 c) 25% on Concepts
2 2 2 1

Research Number of
Description
Theme publications
How XBRL should lead organizations to prepare, distribute, and use financial information effectively and efficiently.
XBRLs The problems and benefits associated with XBRL implementations.
87
Impact Investigate how XBRL facilitates financial information users being able to use the information to lead them to better-
informed decisions.
XBRLs Investigate the drivers and inhibitors of XBRL adoption both at organizational and individual levels, as well as the
69
Adoption characteristics of XBRL adopters.
Concepts of XBRL and the future of XBRL
XBRLs
Examine how XBRL should be technically developed to facilitate enterprise application integration and business processes. 66
Concepts
Study and propose how to increase XBRL awareness among potential users.
Modified from Perdana, Robb et al. 2014

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Problem Objective Methodology Result

Sources: (Yang and Maxwell 2011) (Sayogo and Gil-Garcia 2014)

(Konsynski and Tiwana 2004) (Gil-Garcia and Sayogo 2016) (Brandt 2014)
(Gil-Garcia, Pardo et al. 2016)

Case Sources

EDI (Chwelos, Benbasat et al. 2001) (Angeles, Corritore et al. 2001)

(Iacovou, Benbasat et al. 1995)
PSN (Fedorowicz, Sawyer et al. 2014) (Williams, Dias et al. 2009) (Liu,
Guo et al. 2014)
E-Government (Yang and Wu 2014) (Gil-Garca, Chengalur-Smith et al. 2007)

Supply Chain (de Mattos and Laurindo 2015) (Bharosa, Janssen et al. 2013)
(Denolf, Trienekens et al. 2015)
XBRL (Chouhan 2015) (Troshani and Rao 2007) (Chen 2012) (Henderson,
Sheetz et al. 2012)

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Problem Objective Methodology Result

Advantages and Disadvantage

Ensure the richness of collected data

Collect and assemble the information:

Influencing factors
Level of adoption
System arrangement
Implementation Stages
Actors

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 Problem Objective Methodology Result

Adoption TOE is used to categorize the determinants

Models Level of adoption in XBRL: bold-on, build in and embedded (Sledgianowski, et al. 2010)
Collected from prior research
Influencing Additional factors from IS theories, for example:
Factors Institutional Theory (Dimaggio, P. J., & Powell, W. W.,1983) Environmental
Rational of Choice (Scott, 2004), Diffusion of Innovation (Rodgers, 1995) Organizational
Reporting Parties: mostly Private sectors
Actors Requesting Parties: Public sectors
Intermediaries: Service providers Crucial in users adoption
System Governance: decision making structure, rights, responsibility and formal
System communication among involved actors.
Arrangement System Architecture
Interdependencies: reporting data, process, infrastructure
Implementation stages: pilot, development, expansion
Time
Adoption processes

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 Problem Objective Methodology Result

Proposed model for analyzing XBRL

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 Problem Objective Methodology Result

Research Contribution:
Conceptual Framework
An attempt to help researcher in understanding the uniqueness of each XBRL-
based adoption and implementation.
Presented variables can be useful as checklist for many involved actors.
Confirm the findings from prior research.

Limitations and Future Research

Mainly based on literature review, may overlook some models from past
research Test the framework in empirical cases.
Generalize using quantitative method in Financial Reporting area and other
IOS domains.

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Contact
Email : D.Praditya@tudelft.nl
Phone : +31645690054

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 IT Adoption Evaluation
Considerations: Model Focus Limitations
1. Focus on
TAM 1. Behavioural theories with focus on beliefs, attitudes, and 1. Pays more focus on initial adoption
organization and (Davis Jr, 1986) behaviour rather than continuous adoption
not individual. (Davis, Bagozzi et 2. Provides a room for intervention of individual behavior via 2. Focus on prediction of behaviour on
2. Used by prior al. 1989) external variables the exploitation stage, and lack of
(Premkumar and 3. Reflects mutual relationship between adoption intention focus on possibility of failure on
research in the
Bhattacherjee and attitudes, perceptions, and beliefs development and testing stage
IOS adoption 2008) 3. Deals mostly with the voluntary
area. adoption
3. Not ignoring TOE 1. Provides theoretical perspective of contextual factors 1. Some predictors are more suitable
other models, (DePietro, Wiarda 2. Presents variables that assess project complexity from for large organizations instead of for
relevant variables et al. 1990) theoretical aspects and practical aspects small and medium enterprises
(Bosch-Rekveldt, 3. Supports the assessment to investigate the dynamic of 2. Does not explaining the decision
still used in the Jongkind et al. project complexity process and causality within the
proposed model 2011) (Rui 2007) 4. Includes environmental context in the analysis factors
(Dedrick and West 5. Provides a solid theoretical foundation, consistent 3. Offer not more than a taxonomy for
2003) empirical basis, and the potential of application for IOS categorizing variables and does not
adoption provide an integral conceptual model
6. Free from industry and firm-size restrictions or a comprehensive theory
IASAM 1. Combines socio-economic aspects and socio-technical 1. Relatively too complex
(Aizstrauta, aspect of technology 2. Need extra time to analyse the
Ginters et al. 2. Addresses technology acceptance issue and sustainability findings
2015) issue
(Ginters, Barkane 3. Takes into account technical, social, financial, and
et al. 2010) sustainability assessment
4. Assessing potential failure of a new technology since the Challenge the future 16
development phase
Influencing Factors

12 Organizational Factors Weight and reduce using some

11 Technological Factors available techniques: AHP, meta-
4 Environmental Factors analysis etc

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