Data analytics competency and religiosity influence on external auditors' performance in Malaysia

Nahariah Jaffar; Abdul Aziz Bin Ahmad; Noor Adwa Sulaiman

doi:10.12688/f1000research.73206.2

Data analytics competency and religiosity influence on external auditors' performance in Malaysia

F1000Res. 2021 Nov 9:10:1133. doi: 10.12688/f1000research.73206.2. eCollection 2021.

Authors

Nahariah Jaffar¹, Abdul Aziz Bin Ahmad¹, Noor Adwa Sulaiman²

Affiliations

¹ Faculty of Management, Multimedia University, Persiaran Multimedia, Cyberjaya, Selangor, 63100, Malaysia.
² Faculty of Business and Accountancy, University of Malaya, Kuala Lumpur, 50603, Malaysia.

Abstract

Background - Data analytics can support the external auditors' judgements. However, little is known about the external auditors' data analytics competency. Likewise, role of religiosity in enhancing the external auditors' performance is also inadequately investigated. This study examined: 1) the effects of data analytics competency on the external auditors' performance, and 2) the moderating effects of religiosity on data analytics competency and external auditors' performance relationship. Methods - Survey was conducted on 201 external auditors. Data analytics competency dimensions, namely, personal capabilities, professional expertise, technical skills, technologies and tools expertise were examined. Religiosity was measured by level and dimension (faith, virtue and optional). Results - Data analytics competency (personal capabilities) has a significant positive effect on the Muslim external auditors' performance, whereas data analytics competency (technologies and tools expertise) has a significant positive affect on the non-Muslim external auditors' performance. Level of religiosity has significant moderating effect on the relationship between data analytics competency (technologies and tools expertise) and Muslim external auditors' performance. Nonetheless, level of religiosity does not moderate the relationship between data analytics competency and the performance of non-Muslim external auditors. Religiosity (virtue) has significant moderating effect on the relationship between data analytics competency (personal capabilities) and Muslim external auditors' performance. Meanwhile, religiosity (faith) has a significant moderating effect on the relationship between data analytics competency (technologies and tools expertise) and non-Muslim external auditors' performance. Conclusion - This study demonstrates that data analytics competency and religiosity can influence the external auditors' performance.

Keywords: Data analytics; Malaysia; Muslim; competency; external auditors; non-Muslim; performance; religiosity.

Publication types

Research Support, Non-U.S. Gov't

MeSH terms

Data Science*
Malaysia
Surveys and Questionnaires

Associated data

figshare/10.6084/m9.figshare.16803472