Intellectual Capital and Activity-Based Management (ABM) Mediate the Effect of Accounting Information Systems (AIS) on SME Non-Financial Performance

Current study aimed at highlighting the mediating effect of intellectual capital and activity-based management on the relationship between accounting information system and non-financial performance. Quantitative approach was adopted in order to reach results of study, an online questionnaire was distributed on (389) employees within (43) SMEs in Jordan during the fiscal year 2022-2023. AMOS and SPSS were employed in order to go through primary data. Results of study indicated AIS has the ability to influence intellectual capital, activity-based management and non-financial performance, this hypothesis was accepted because intellectual capital and activity-based management influences non-financial performance. This led to the final result which indicated that intellectual capital and activity-based management mediate relationship between AIS and non-financial performance. Study was limited to some obstacles that included a difficulty linking financial and non-financial metrics in addition to that absence of a causal link between the non-financial measurement indicators and the level of performance to be achieved, which reduces the objectivity of these indicators. Current study is expected to help managers of SMEs to learn how to align AIS application in order to achieve better non-financial performance. However, study recommended the need to update the management information system used within the framework of technological development, and attention to the quality of accounting information used in evaluating the performance of the institution.