Social Reporting and the Disclosure of Non-Financial Information: Useful or Useless Information?

• In Event: Doctoral Road Papers

Abstract

This summary serves as an overview of my dissertation project. The first paper in my dissertation project proposes a conceptual framework that can be used to assess the usefulness of non-financial information in decision-making. The conceptual framework is referred to as the Information Assessment Model (IAM) and it is derived from constructs within the Theory of Planned Behavior (TPB) (Ajzen, 2012; Ajzen, 2005; Ajzen, 1991; Ajzen, 1985) and the Technology Assessment Model (TAM) (Davis, 1989; Davis, 1989; Davis, 1986). The IAM model posits that information specific, individual specific and decision specific factors can be used to assess an individual’s utilization of information in their decision-making. The second paper in my dissertation uses the IAM to assess the usefulness non-financial information reported in supplier diversity disclosures. Information related to diversity within an organization’s supply chain is voluntarily disclosed in sustainability and Corporate Social Responsibility (CSR) reports. Since this information varies between organizations and within organizations over time, taking a macro level approach to assessing the usefulness of the information will help reduce the information asymmetries between management and its investors. The third paper in my dissertation uses structural equation modeling (SEM) to test the IAM’s ability to assess the usage of non-financial information in decision-making. This dissertation project contributes to the literature by introducing and testing a novel conceptual framework. Although this project specifically assesses non-financial information related to supplier diversity, the IAM is applicable to other social accounts.

Author

• Andria Hill, University of Central Florida