Moderating Environmental Uncertainty on The Effect of Accounting Knowledge and Accounting Information Systems on the Performance of SMES

Abstract

The purpose of this research is to analyze the influence of accounting expertise and accounting information systems on the performance of MSMEs using environmental uncertainty as a moderating variable. The research method used is quantitative with data collection techniques through questionnaires. A total of 97 respondents were collected from various MSMEs in the Lagoa sub-district, Jakarta, Indonesia. The sample was tested for validity and reliability as well as hypothesis testing through the Smart PLS software application. The findings indicated that accounting expertise had no discernible influence on MSMEs' performance. Accounting information systems have a substantial impact on the performance of micro, small, and medium-sized enterprises (MSMEs). Uncertainty in the environment might mitigate the influence of accounting expertise on the performance of MSMEs. Environmental uncertainty may mitigate the influence of accounting information systems on the performance of small and medium-sized businesses.

The Influence of Digital Technology on Indonesian Micro Companies’ Financial Performance

“…This means that the utilisation of AIS software presents a positive and substantial effect on MSMEs' financial performance, hence confirming the acceptance of hypothesis 2 (H2). These findings are corroborated by prior studies which assert that the utilisation of AIS software yields a positive influence on MSMEs' financial performance, exerting a significant impact (Olawole et al, 2021;Renaldo & Yulia Putri, 2021;Putra & Holisoh, 2022;Sabri et al, 2022). The findings of this research are also consistent with the TAM proposed by (Davis, 1989).…”

“…Researchers claim that the utilisation of AIS software would enhance businesses' performance by enabling managers to make more judicious financial choices. Recent studies indicate that using accounting information system software has favour businesses' financial performance, particularly for MSMEs (Harash, 2017;Olawole et al, 2021;Renaldo & Yulia Putri, 2021;Putra & Holisoh, 2022;Sabri et al, 2022).…”