Global Journal of Management and Business Research, A: Administration and Management, Volume 23 Issue 1

between the different accounting determinations. These inter-connections will be particularly highlighted to facilitate the implementation of a truly integrated information system from the point of view of technical construction and correct global interpretation. The following pages will examine the operational phases for constructing the integrated financial/revenue analysis/programming system d in detail. As a preliminary remark, some observations should be highlighted, which will subsequently be the subject of further in-depth analysis: 1) First of all, it must bear in mind that each index/flow requires a prior reclassification of the values. As will be pointed out in the following paragraph, such a reclassification is not a mere automatic operation to be delegated to inexperienced persons since any reclassification error may render the calculated indicators meaningless or, in the worst case, with values precisely opposite to the real ones. 2) Secondly, it must be understood how distinguishing between income and financial ratios represents a mere illustration of the complexity of interpretation of the various indicators used to analyse financial reporting data. Most indicators are characterised by the coexistence of an "economic" side and a "financial" side. Even in this case, the separation is made only for "didactic" communication of the instruments. The inter-connections and the various facets of the data calculated based on costs/revenues/assets/equity can only be fully understood after understanding the logic of index construction. This initial, admittedly improper separation is helpful to help understand the more obvious elements of the data and aggregates. The complete understanding of the various indexes/flows/aggregates can only occur after having carried out this first step of the study, which, due to the characteristics indicated above, identifies a necessary but not sufficient action. The knowledge of the most evident elements of the data calculated based on the financial reporting values serves to mentally construct that integrated system which, to be effective, after having been explained and been built in an unexceptionable manner, must also permeate the analyst's mind to make possible and logical the correlation between each indicator/flow/aggregate and all the others. 3) Thirdly, it is necessary to point out an obvious consideration that is often underestimated. The financial reporting being examined must reflect the business reality that it is intended to summarise in economic and financial values. If the analysis is carried out on untrue financial statements, it is evident that the results are unreliable. This consideration may be considered trivial and superfluous. To assume that analysing false financial reporting is an absurd operation seems to identify the obvious. In reality, the above reflection captures an element of the analysis that is often underestimated due to the lack of consideration of a particular accounting "distortion" that is very frequent in Italian companies. This is not the right place to deal in depth with the integrity of financial reporting. The Implementation of an Integrated Information System in the Company: From Option to Obligation for Efficient and Effective Management 6 Global Journal of Management and Business Research Volume XXIII Issue I Version I Year 2023 ( ) A © 2023 Global Journals To make correct considerations regarding the analysis of financial reporting, it is necessary to underline, in a particularly marked manner, how the investigation leads to significant results only if the data subject to analysis reflect the company's reality. Financial reporting, as is well known, must be drawn up following the provisions of legal regulations supplemented by national or international accounting standards. The distinction between national standards, IAS/IFRS standards and US GAAP standards (to mention the most widespread international and national standards) makes it clear that the identification of a truth, even a "relative" truth (the absolute truth, in financial reporting, cannot exist by definition), is far from being achieved. Given these differentiations, even approaching the "truth" appears to be a complicated operation. However, the complexity of such a conceptual operation does not prevent us from hypothesising the possibility of drawing up truthful financial reporting insofar as it complies with the (national or international) "accounting standards". One can argue about the appropriateness of using one set of accounting standards rather than another; one can identify gaps and inaccuracies in the various "sets" of accounting standards; one can even identify errors in certain documents drawn up by national and international boards, but, regardless of all this, one can never conclude that such considerations make it advisable not to apply the standards themselves. Accounting standards, whether national, international or country-specific (e.g. US GAAP), represent an element that, although marked by potential or actual limitations, is indispensable for preparing financial reporting characterised by truthfulness and factual correctness. Non-application of the accounting standards must be motivated by exceptional circumstances that apply generally accepted and customarily suggested rules to company preparers of financial statements inappropriate. A very relevant element concerns the potential presence of tax values without income content in financial reporting. Each country has different regulations, but the element that should distinguish all financial statements is that, according to various methodologies, all users outside the company