Proposed Theoretical Research Framework for the Adoption of International Public Sector Accounting Standards: Application of Diffusion of Innovation Theory

Abstract

This paper proposes a theoretical research framework for the adoption of International Public Sector Accounting Standards (IPSAS) in Kaduna State, Nigeria, grounded in the Diffusion of Innovation (DOI) theory. The framework aims to elucidate the process through which IPSAS can be effectively integrated into the public sector accounting practices of Kaduna State. By leveraging DOI theory, which examines how innovations spread within a social system, the proposed framework identifies and analyzes key factors influencing IPSAS adoption, including the perceived attributes of the innovation (relative advantage, compatibility, complexity, trialability, and observability), the role of communication channels, and the influence of social systems and opinion leaders. The framework also considers the stages of adoption, from awareness to full implementation, and the potential barriers and facilitators encountered at each stage. This theoretical framework is designed to offer a comprehensive understanding of the adoption dynamics, providing valuable insights for policymakers, accounting practitioners, and stakeholders involved in advancing public sector financial management reforms. The proposed framework contributes to the academic discourse on public sector accounting by offering a structured approach to the adoption of international standards in a specific regional context.