IDEAS home Printed from https://ideas.repec.org/a/gam/jscscx/v7y2018i8p124-d160747.html
   My bibliography  Save this article

Information Technology Governance on Audit Technology Performance among Malaysian Public Sector Auditors

Author

Listed:
  • Farida Veerankutty

    (National Audit Department of Malaysia, Putrajaya 62518, Malaysia)

  • Thurasamy Ramayah

    (School of Management, Universiti Sains Malaysia, Gelugor Penang 11800, Malaysia)

  • Noor Azman Ali

    (Faculty of Economics and Management, Universiti Putra Malaysia, Serdang Selangor 43400, Malaysia)

Abstract

The concept of Industry 4.0 has considerably altered the way organisations operate and has impacted every aspect of life. Furthermore, the fast-growing trend of information technology (IT) transformation in organisations and huge IT investment by Malaysian government have triggered the significance of IT risk and its related controls. Besides, technology-enabled auditing and IT-oriented audit procedures have become crucial when performing audit tasks in an electronic environment. Although many initiatives are being implemented to improve technology usage, audit technology use among auditors is still low and auditors are not attaining sufficient progress in the use of technology. This implies the current strategies and policies may not effectively support technology implementation. In the same vein, the under-utilisation of technologies was reported due to inadequate governance. Thus, this study intends to investigate the impact of IT governance on audit technology performance. IT governance is a mechanism to stimulate anticipated behavior in the use of technology among the employees of an organisation. Surveys using closed-ended questionnaires were distributed to approximately 309 Malaysia public sector auditors. The results show that IT governance mechanisms such as IT strategy and management support significantly influence the audit technology performance. IT governance does play a significant role in assuring the successful utilisation of audit technology.

Suggested Citation

  • Farida Veerankutty & Thurasamy Ramayah & Noor Azman Ali, 2018. "Information Technology Governance on Audit Technology Performance among Malaysian Public Sector Auditors," Social Sciences, MDPI, vol. 7(8), pages 1-19, July.
    • Handle: RePEc:gam:jscscx:v:7:y:2018:i:8:p:124-:d:160747
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2076-0760/7/8/124/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2076-0760/7/8/124/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Morteza Ghobakhloo & Sai Hong Tang, 2015. "Information system success among manufacturing SMEs: case of developing countries," Information Technology for Development, Taylor & Francis Journals, vol. 21(4), pages 573-600, October.
    2. T. Ramayah & Jason Lee & Julie In, 2011. "Network collaboration and performance in the tourism sector," Service Business, Springer;Pan-Pacific Business Association, vol. 5(4), pages 411-428, December.
    3. Wynne W. Chin & Barbara L. Marcolin & Peter R. Newsted, 2003. "A Partial Least Squares Latent Variable Modeling Approach for Measuring Interaction Effects: Results from a Monte Carlo Simulation Study and an Electronic-Mail Emotion/Adoption Study," Information Systems Research, INFORMS, vol. 14(2), pages 189-217, June.
    4. Nurmazilah Mahzan & Andy Lymer, 2014. "Examining the adoption of computer-assisted audit tools and techniques: Cases of generalized audit software use by internal auditors," Managerial Auditing Journal, Emerald Group Publishing, vol. 29(4), pages 327-349, April.
    5. Syaiful Ali & Peter Green, 2012. "Effective information technology (IT) governance mechanisms: An IT outsourcing perspective," Information Systems Frontiers, Springer, vol. 14(2), pages 179-193, April.
    6. Kim, Hyo-Jeong & Mannino, Michael & Nieschwietz, Robert J., 2009. "Information technology acceptance in the internal audit profession: Impact of technology features and complexity," International Journal of Accounting Information Systems, Elsevier, vol. 10(4), pages 214-228.
    7. Miklos A. Vasarhelyi & Silvia Romero, 2014. "Technology in audit engagements: a case study," Managerial Auditing Journal, Emerald Group Publishing, vol. 29(4), pages 350-365, April.
    8. William H. DeLone & Ephraim R. McLean, 1992. "Information Systems Success: The Quest for the Dependent Variable," Information Systems Research, INFORMS, vol. 3(1), pages 60-95, March.
    9. Bierstaker, James & Janvrin, Diane & Lowe, D. Jordan, 2014. "What factors influence auditors' use of computer-assisted audit techniques?," Advances in accounting, Elsevier, vol. 30(1), pages 67-74.
    10. Havelka, Douglas & Merhout, Jeffrey W., 2013. "Internal information technology audit process quality: Theory development using structured group processes," International Journal of Accounting Information Systems, Elsevier, vol. 14(3), pages 165-192.
    11. Floropoulos, Jordan & Spathis, Charalambos & Halvatzis, Dimitrios & Tsipouridou, Maria, 2010. "Measuring the success of the Greek Taxation Information System," International Journal of Information Management, Elsevier, vol. 30(1), pages 47-56.
    12. Lunardi, Guilherme Lerch & Becker, João Luiz & Maçada, Antonio Carlos Gastaud & Dolci, Pietro Cunha, 2014. "The impact of adopting IT governance on financial performance: An empirical analysis among Brazilian firms," International Journal of Accounting Information Systems, Elsevier, vol. 15(1), pages 66-81.
    13. Nicky J. Welton & Howard H. Z. Thom, 2015. "Value of Information," Medical Decision Making, , vol. 35(5), pages 564-566, July.
    14. Jasmine A. L. Yeap & T. Ramayah & Pedro Soto-Acosta, 2016. "Factors propelling the adoption of m-learning among students in higher education," Electronic Markets, Springer;IIM University of St. Gallen, vol. 26(4), pages 323-338, November.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Russell Tatenda Munodawafa & Satirenjit Kaur Johl, 2019. "Big Data Analytics Capabilities and Eco-Innovation: A Study of Energy Companies," Sustainability, MDPI, vol. 11(15), pages 1-21, August.
    2. Salonee Patel & Manan Shah, 2023. "A Comprehensive Study on Implementing Big Data in the Auditing Industry," Annals of Data Science, Springer, vol. 10(3), pages 657-677, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Siew, Eu-Gene & Rosli, Khairina & Yeow, Paul H.P., 2020. "Organizational and environmental influences in the adoption of computer-assisted audit tools and techniques (CAATTs) by audit firms in Malaysia," International Journal of Accounting Information Systems, Elsevier, vol. 36(C).
    2. Afsay, Akram & Tahriri, Arash & Rezaee, Zabihollah, 2023. "A meta-analysis of factors affecting acceptance of information technology in auditing," International Journal of Accounting Information Systems, Elsevier, vol. 49(C).
    3. Sojung Lucia Kim & Thompson S.H. Teo & Anol Bhattacherjee & Kichan Nam, 0. "IS auditor characteristics, audit process variables, and IS audit satisfaction: An empirical study in South Korea," Information Systems Frontiers, Springer, vol. 0, pages 1-15.
    4. Ahmad Almagrashi & Abdulwahab Mujalli & Tehmina Khan & Osama Attia, 2023. "Factors determining internal auditors’ behavioral intention to use computer-assisted auditing techniques: an extension of the UTAUT model and an empirical study," Future Business Journal, Springer, vol. 9(1), pages 1-19, December.
    5. Sojung Lucia Kim & Thompson S.H. Teo & Anol Bhattacherjee & Kichan Nam, 2017. "IS auditor characteristics, audit process variables, and IS audit satisfaction: An empirical study in South Korea," Information Systems Frontiers, Springer, vol. 19(3), pages 577-591, June.
    6. Rakipi, Romina & De Santis, Federica & D'Onza, Giuseppe, 2021. "Correlates of the internal audit function’s use of data analytics in the big data era: Global evidence," Journal of International Accounting, Auditing and Taxation, Elsevier, vol. 42(C).
    7. Abdalwali Lutfi & Hamza Alqudah, 2023. "The Influence of Technological Factors on the Computer-Assisted Audit Tools and Techniques Usage during COVID-19," Sustainability, MDPI, vol. 15(9), pages 1-22, May.
    8. Hamood Mohd. Al-Hattami, 2021. "Validation of the D&M IS success model in the context of accounting information system of the banking sector in the least developed countries," Journal of Management Control: Zeitschrift für Planung und Unternehmenssteuerung, Springer, vol. 32(1), pages 127-153, March.
    9. Lingling Gao & Kerem Aksel Waechter, 0. "Examining the role of initial trust in user adoption of mobile payment services: an empirical investigation," Information Systems Frontiers, Springer, vol. 0, pages 1-24.
    10. Wasfi Al-Rawabdah & Adel A. Salloum & Serene Zakaria Tarawneh, 2021. "The Moderating Role Of Factors That Influence User Adoption Of Mobile Health Applications: Evidence From Jordan," Global Journal of Business Research, The Institute for Business and Finance Research, vol. 15(1), pages 1-18.
    11. Zhen, Jie & Xie, Zongxiao & Dong, Kunxiang, 2021. "Impact of IT governance mechanisms on organizational agility and the role of top management support and IT ambidexterity," International Journal of Accounting Information Systems, Elsevier, vol. 40(C).
    12. E. Raguseo & Pigni, F. & Claudio Vitari, 2021. "Streams of digital data and competitive advantage: The mediation effects of process efficiency and product effectiveness," Grenoble Ecole de Management (Post-Print) hal-03323663, HAL.
    13. Lin Li & Kyung Young Lee & Emmanuel Emokpae & Sung-Byung Yang, 2021. "What makes you continuously use chatbot services? Evidence from chinese online travel agencies," Electronic Markets, Springer;IIM University of St. Gallen, vol. 31(3), pages 575-599, September.
    14. repec:dau:papers:123456789/2723 is not listed on IDEAS
    15. Stephanie Schwipper & Severine Peche & Gertrud Schmitz, 2020. "Mobile Location-Based Services’ Value-in-Use in Inner Cities: Do a Customer’s Shopping Patterns, Prior User Experience, and Sales Promotions Matter?," Schmalenbach Business Review, Springer;Schmalenbach-Gesellschaft, vol. 72(4), pages 511-564, October.
    16. Abdalwali Lutfi & Saleh Nafeth Alkelani & Hamza Alqudah & Ahmad Farhan Alshira’h & Malek Hamed Alshirah & Mohammed Amin Almaiah & Adi Alsyouf & Mahmaod Alrawad & Abdelhameed Montash & Osama Abdelmakso, 2022. "The Role of E-Accounting Adoption on Business Performance: The Moderating Role of COVID-19," JRFM, MDPI, vol. 15(12), pages 1-19, December.
    17. Rangarajan Parthasarathy & Monica Garfield & Anuradha Rangarajan & Justin L. Kern, 2021. "The Case of Organizational Innovation Capability and Health Information Technology Implementation Success: As You Sow, So You Reap?," International Journal of Healthcare Information Systems and Informatics (IJHISI), IGI Global, vol. 16(4), pages 1-27, October.
    18. Kim, Changsu & Oh, Eunhae & Shin, Namchul & Chae, Myungsin, 2009. "An empirical investigation of factors affecting ubiquitous computing use and U-business value," International Journal of Information Management, Elsevier, vol. 29(6), pages 436-448.
    19. Mohammad Rokibul Kabir & Md. Aminul Islam & Marniati & Herawati, 2021. "Application of Blockchain for Supply Chain Financing: Explaining the Drivers Using SEM," JOItmC, MDPI, vol. 7(3), pages 1-30, July.
    20. Adriano Olímpio Tonelli & Paulo Henrique Souza Bermejo & Pâmela Aparecida dos Santos & Larissa Zuppo & André Luiz Zambalde, 2017. "It governance in the public sector: a conceptual model," Information Systems Frontiers, Springer, vol. 19(3), pages 593-610, June.
    21. Chi, Maomao & Zhao, Jing & George, Joey F. & Li, Yanhui & Zhai, Shanshan, 2017. "The influence of inter-firm IT governance strategies on relational performance: The moderation effect of information technology ambidexterity," International Journal of Information Management, Elsevier, vol. 37(2), pages 43-53.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jscscx:v:7:y:2018:i:8:p:124-:d:160747. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.