Human-Enabled Digital Accounting and Cultural Amplification for Financial Reporting Performance

Tutik Siswanti; Dian Wijayanti; Eneng Sugihyanty; Putu Rani Adnyani Asak

doi:10.32535/ijafap.v9i3.4580

Human-Enabled Digital Accounting and Cultural Amplification for Financial Reporting Performance

Tutik Siswanti, Dian Wijayanti, Eneng Sugihyanty, Putu Rani Adnyani Asak

Abstract

This research investigates the influence of digitalization in accounting systems and human resource quality on financial reporting performance, with organizational culture serving as a moderator. A quantitative method was employed through a survey of 157 SMEs in Jakarta that had adopted digital accounting systems, and the data were analyzed using PLS-SEM. The findings show that digitalization of the accounting system positively and significantly affects financial reporting performance (b = 0.136; p = 0.003), while human resource quality also has a positive and significant effect (b = 0.072; p = 0.045). Organizational culture significantly strengthens both relationships, with interaction coefficients of 0.079 (p = 0.009) and 0.085 (p = 0.004), respectively. The model demonstrates strong predictiVe power (Adjusted R²= 0.831) and acceptable fit (SRMR = 0.076). Sensitivity testing using the conventional three-dimensional, seven-indicator digital accounting systems measurement produced an Adjusted R² of 0.816 and an SRMR of 0.080. The findings highlight the complementary roles of digitalization, human quality, and organizational culture in financial reporting, while extending DSA measurement to five dimensions and twelve indicators. SMEs should integrate digital adoption, employee quality, and an accountability-oriented culture.

Keywords

Digital Accounting Systems; Financial Reporting Performance; Human Resource Quality; Organizational Culture; Small and Medium Enterprises

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DOI: https://doi.org/10.32535/ijafap.v9i3.4580