Model of Digital Transformation Adoption for Governance Enhancement: A Multi Group Analysis

Good governance has become a requirement in various businesses, including in public accounting firms. One of the issues raised to improve governance is by carrying out digital transformation. This study examines the factors that influence the adoption of digital transformation for governance enhancement reviewed from the Technology Organization Environment (TOE) theory. This study is a quantitative study, with data collection through distributing questionnaires to accountants working in public accounting firms. We conducted data analysis using structural equation modeling partial least square, using SMART PLS 4 software. We used multigroup analysis by dividing respondents into two for accountants who were inexperienced and those who were experienced. The results show that the organizational context has an effect on accountants who are inexperienced, while the technology context and environment context have an effect on accountants who are already experienced. In addition, digital transformation adoption has a significant effect on governance enhancement for both those who are inexperienced and those who are already experienced.