Paper Type

Complete

Paper Number

PACIS2026-2021

Description

This paper examines how Information Systems Orientation (ISO) shapes firms’ ability to produce robust ESG disclosures under mandatory regimes. Although mandatory disclosure frameworks standardize reporting requirements, firms continue to differ in their ability to generate disclosures that are comprehensive and evidentiary. We argue that these differences partly reflect variation in organizational information-production capacity. Drawing on disclosure economics and the digital-options perspective, we distinguish between Functional ISO, which supports localized measurement, and Enterprise ISO, which supports cross-functional integration. Using panel data from firms listed on India’s National Stock Exchange during the transition to mandatory BRSR reporting, we examine how these dimensions influence ESG disclosure outcomes. The findings indicate that Functional ISO is associated with disclosure depth, and Enterprise ISO is associated with disclosure breadth. The study contributes to disclosure economics and IS strategy by explaining how organizational information infrastructures shape firms’ ability to produce robust ESG disclosures under mandatory reporting regimes.

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17-General

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Jul 5th, 12:00 AM

You Can’t Disclose What You Can’t Measure: Information Systems Orientation and ESG Reporting Under Mandatory Disclosure

This paper examines how Information Systems Orientation (ISO) shapes firms’ ability to produce robust ESG disclosures under mandatory regimes. Although mandatory disclosure frameworks standardize reporting requirements, firms continue to differ in their ability to generate disclosures that are comprehensive and evidentiary. We argue that these differences partly reflect variation in organizational information-production capacity. Drawing on disclosure economics and the digital-options perspective, we distinguish between Functional ISO, which supports localized measurement, and Enterprise ISO, which supports cross-functional integration. Using panel data from firms listed on India’s National Stock Exchange during the transition to mandatory BRSR reporting, we examine how these dimensions influence ESG disclosure outcomes. The findings indicate that Functional ISO is associated with disclosure depth, and Enterprise ISO is associated with disclosure breadth. The study contributes to disclosure economics and IS strategy by explaining how organizational information infrastructures shape firms’ ability to produce robust ESG disclosures under mandatory reporting regimes.