Guiding Organizational Performance towards Digitalization on internal Audit: Leveraging Value of Public Sector Scorecard

Abstract

Purpose: This research aims to establish and empirically validate how performance management of digitalization on internal audit via public sector scorecard adoption (PDIP) impacts sustainable organizational performance (SOP) for achievement of the Sustainable Development Goal 8 (SDG_8). Additionally, it also delves into the mediating role of Sustainable and Smart Service Innovation Ecosystem (SSSIE) in this relationship. Design/methodology/approach: The statistical data obtained from convenience and snowball sample of accountants in public sector organizations (PSOs) was analyzed by structural equation modeling. Findings: The acquired findings reveal that PDIP significantly and positively impacts SOP. This relationship is partially mediated by SSSIE. Research limitations/implications: This study's findings offer novel theoretical implications to enhance the literature on digitalization in internal auditing inside PSOs in developing countries. Originality/value: The study notably develops and evaluates the public sector scorecard as an effective performance management tool for internal auditing practices in PSOs. This study highlights the significant importance of SSSIE in assisting PSO in managing internal auditing performance to attain SOP.