Examining the relationship between intrinsic motivation and ethical decision-making – the mediating role of individual intellectual capital

Purpose This study seeks to examine the effect of intrinsic motivational factors on accountants’ ethical decision-making (EDM) process, using the self-determination theory (SDT) as the underpinning theory. Further, the study tests the mediating role of individual intellectual capital (IIC) in the relationship between the self-determination factors (SDFs) and EDM. Design/methodology/approach Using the stratified sampling approach, a total of 654 accountants were selected for the study. The cross-sectional survey data gathered was analysed using the partial least squares structural equation modelling technique. Findings The results indicate that autonomy is related to unethical judgement, whereas competence and relatedness are not significantly associated with ethical judgement. Further, the study reveals that IIC significantly mediates the relationship between the SDFs (autonomy, competence and relatedness) and ethical judgement. Practical implications The findings imply that managers and supervisory bodies should encourage accountants to direct their intrinsic motivation towards acquiring dynamic knowledge, which serves as a foundation for sound ethical judgement. Originality/value The study contributes to the literature by highlighting the role of intrinsic motivational factors in the EDM process of accountants. Additionally, the paper explains the EDM process of accountants through the lens of the SDT.