The Impact of The Main Characteristics of Accounting Information on Improving Corporate Sustainability

Abstract

The study aims to provide a concrete framework that enables Saudi industrial companies in the Eastern Province to significantly improve their operational efficiency and current performance, as well as enhance their ongoing resilience and long-term sustainability. Primary data were collected primarily through the distribution of a structured questionnaire, conducted as part of a comprehensive survey. This survey targeted a large and diverse sample of 321 industrial companies. The study used partial least squares structural equation modeling (PLS-SEM), a powerful multivariate statistical technique suitable for examining complex causal relationships and testing theoretical models using latent variables. The study results indicate that the key characteristics of accounting information play a significant role in improving the economic, environmental, and social performance of the industrial sector in the Kingdom of Saudi Arabia. The results confirm that through this accounting information and its strategic adaptation, industrial companies can not only enhance their financial viability and operational efficiency, but also significantly reduce their environmental footprint and enhance their social responsibility. The specialized knowledge of strategic planners enables them to make predictions to improve economic, environmental, and social sustainability by linking them to accounting information. This study encourages strategic decision-makers in industrial companies in Saudi Arabia to strive to improve the relevance and reliability of accounting information and maximize the sustainability of their economic, environmental, and social performance.