Digitalization accounting information system and servitization in public sector organizations - moderating effect of recoverable slack

The main goal of this research is to explore the relationship between digitalized accounting information system (DAIS) and servitization (SERV). Alternatively, it aims to delve into the mediating role of sustainable innovation ecosystem (SIE) in the interlink between DAIS and SERV. More importantly, it makes several attempts to deepen insight on whether the significance and effect size of the relationships between DAIS, SERV and SIE vary grounded on specific degree of recoverable slack (RS). The theoretical framework based on a questionnaire survey of PSOs is explored using structural equation modeling (SEM) and multigroup SEM for direct, indirect, and moderating effects, respectively. The result analysis highlights the strong positive relationships between the three constructs. More concretely, the findings indicate that SERV is positively impacted by DAIS. Additionally, SIE served as the mediator in this relationship. Moreover, the findings suggest that RS served as a moderator in the relationships between DAIS, SERV, and SIE. The results of this study would allow leaders and policymakers of PSOs to capitalize on DAIS to develop and implement SIE in order to attain SERV.