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Framing numbers - Accounting as discourse: A study of cash flow in banks

Research output: Contribution to conference - Without ISBN/ISSN Conference paperpeer-review

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Publication date4/06/2019
<mark>Original language</mark>English
EventEuropean Group for Organizational Studies Colloquium 2019 in Edinburgh - Scotland, Edinburgh
Duration: 1/07/20193/06/2020

Conference

ConferenceEuropean Group for Organizational Studies Colloquium 2019 in Edinburgh
Abbreviated titleEGOS Colloquium 2019
CityEdinburgh
Period1/07/193/06/20

Abstract

The global financial crisis that started in the USA in 2007 and spread to the rest of the world led to a near collapse of the financial system . The crisis also showed that the analytical substance taken for granted in accounting information was questionable . In this paper we argue for a constitutive communication perspective on discourse as the location of agency in financial accounting failures. In particular we look at framing as the main way of defining, interpreting, evaluating and remembering accounting numbers in the banking sector. Focussing on the Swedish banking sector over a 12 year period including the global crisis years, we find out via the analysis of financial statements and interviews with employees of four major banks that official cash flow numbers published in annual financial statements did not function as signals for potential problems ahead. We call this failure the counterperformativity of cash flow numbers and explain it by focussing on the the communicators and receivers of cash flow numbers and the cultural framings in which all of them exist.