How financial shared services affect corporate operational efficiency: based on the mediating role of accounting information consistency

Abstract

Driven by the rapid advancement of information technology and supportive policy environments, a growing number of Chinese enterprises are establishing financial shared service centers (FSSCs) to standardize and professionalize their internal processes. To evaluate whether the adoption of financial sharing influences operational efficiency and determine the underlying mechanisms through which it exerts its influence, this study tests the hypotheses with data from Chinese A-share listed companies from 2015 to 2023. The empirical results indicate that: (1) Financial shared services significantly enhance corporate operational efficiency; (2) Accounting information consistency serves as a mediating factor between FSSC implementation and operational efficiency, which is retained even after a robustness test. Mediation analysis reveals that financial sharing improves accounting information consistency, thereby boosting operational efficiency. This study contributes to both theory and reality. Theoretically, it enriches theoretical insights into the economic ramifications of financial shared services and the pivotal role of accounting information quality. In terms of practical significance, it provides valuable references for how enterprises utilize financial shared services to improve their operational management decisions.