Forensic Accounting and Risk Management: Exploring the Impact of Generalized Audit Software and Whistleblowing Systems on Fraud Detection in Indonesia

Tarmizi Achmad, Chen-Yuan Huang, Mukhlas Adi Putra and Imang Dapit Pamungkas ()
Additional contact information
Tarmizi Achmad: Department of Accounting, Faculty of Economics and Business, Diponegoro University, Jawa Tengah 50232, Indonesia
Chen-Yuan Huang: Bachelor Program of International Management, College of Management, National Yunlin University of Science and Technology, Yunlin 64002, Taiwan
Mukhlas Adi Putra: Department of Accounting, Faculty of Economics and Business, STIE Semarang, Jawa Tengah 50236, Indonesia
Imang Dapit Pamungkas: Department of Accounting, Faculty of Economics and Business, Universitas Dian Nuswantoro, Jawa Tengah 50131, Indonesia

JRFM, 2024, vol. 17, issue 12, 1-22

Abstract: Purpose—This paper investigates the role of forensic accounting skills in enhancing auditor self-efficacy towards fraud detection in Indonesia. It also examines the moderating effect of the implementation of Generalized Audit Software (GAS) and the whistleblowing system on the relationship between accounting and auditing skills and auditor self-efficacy, as well as their combined role in enhancing fraud detection. Methodology—A cross-sectional survey was conducted with 537 external auditors in Indonesia. Data were analyzed using multiple linear regression with moderation models, employing WarpPLS 8.0 software. Findings—The results indicate that practical communication skills, psychosocial skills, and accounting and auditing skills significantly enhance auditor self-efficacy. However, technical and analytical skills do not show a significant effect on auditor self-efficacy. Furthermore, auditor self-efficacy is found to have a direct and significant impact on fraud detection. This study also reveals that implementing GAS moderates the relationship between auditor self-efficacy and fraud detection, whereas the whistleblowing system does not demonstrate a significant moderating effect. Novelty—This study contributes to the literature by highlighting the role of forensic accounting skills and the implementation of GAS in enhancing auditor self-efficacy and fraud detection in the Indonesian auditing context.

Keywords: forensic accounting; fraud detection; whistleblowing systems; risk management; Generalized Audit Software (search for similar items in EconPapers)
JEL-codes: C E F2 F3 G (search for similar items in EconPapers)
Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.mdpi.com/1911-8074/17/12/573/pdf (application/pdf)
https://www.mdpi.com/1911-8074/17/12/573/ (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:gam:jjrfmx:v:17:y:2024:i:12:p:573-:d:1547720

Access Statistics for this article

JRFM is currently edited by Ms. Chelthy Cheng

More articles in JRFM from MDPI
Bibliographic data for series maintained by MDPI Indexing Manager ().