Level of AIS Alignment and Non-Financial Performance in Indonesian Small Firm

The purpose of this study is to explore the relationship between the levels of Accounting information systems (AIS) alignment (initiation, diffusion, and integration) on non-financial performance in a small firm. The fit between AIS requirement and AIS capacity (AIS alignment) is important because previous studies suggest that AIS alignment is deemed crucial in increasing firm performance. This study using a questionnaire to gather data from SMEs owner in Yogyakarta. The survey was distributed to 90 SMEs owner with the purposive sampling method. This study uses a moderating approach to measure the fit between the AIS requirement and AIS capacity. The results revealed that there is a significant relationship between levels of AIS alignment on non-financial performance. The test of mean shows that the higher the AIS alignment level, the better is the owner's perception of performance. This study provides new evidence of the relationship between AIS alignment level (initiation, diffusion, and integration) with organizational performance.