DEVELOPMENT OF AN INTERNAL AUDITORS' WHISTLEBLOWING MODEL AT REGIONAL INSPECTORATES ACROSS THE PROVINCE OF BANGKA BELITUNG ISLANDS, WITH SOCIAL INFLUENCE AS A MODERATOR

Erwandy Erwandy; Aris Setyanto Nugroho; Harnovinsah Harnovinsah; Darmansyah Darmansyah

doi:10.53625/ijss.v4i5.9510

Authors

Erwandy Erwandy Fakultas Ekonomi dan Bisnis Universitas Pancasila
Aris Setyanto Nugroho Fakultas Ekonomi dan Bisnis Universitas Pancasila
Harnovinsah Harnovinsah Fakultas Ekonomi dan Bisnis Universitas Pancasila
Darmansyah Darmansyah Fakultas Ekonomi dan Bisnis Universitas Pancasila

DOI:

https://doi.org/10.53625/ijss.v4i5.9510

Keywords:

Whistleblowing behavior, Theory of Planned Behavior, Social Influence, Internal Auditor

Abstract

This study aims to develop an effective whistleblowing model for internal auditors at regional inspectorates across the Province of Bangka Belitung Islands. The development of the whistleblowing model is based on the Theory of Planned Behavior, with social influence serving as a moderating variable. Social influence is measured through the dimensions of conformity, compliance, and obedience. The study involved 227 auditors and Regional Government Administration Supervisors (P2UD). Data were collected using Google Forms and analyzed using the Structural Equation Modeling-Partial Least Squares (SEM-PLS) method to test the hypothesized relationships between variables. The results show that attitude towards behavior has a positive and significant effect on whistleblowing intention. Subjective norms also have a positive and significant effect on whistleblowing intention, as does perceived behavioral control. Whistleblowing intention has a positive and significant effect on whistleblowing behavior. Whistleblowing intention mediates the effects of attitude towards behavior, subjective norms, and perceived behavioral control on whistleblowing behavior. The dimensions of conformity, compliance, and obedience significantly manifest the construct of social influence. Social influence has a direct positive and significant effect on whistleblowing behavior. However, social influence does not significantly moderate the effect of whistleblowing intention on whistleblowing behavior.

References

Ajzen, I. (2012). The theory of planned behavior. In P. A. M. Lange, A. W. Kruglanski, & E. T. Higgins (Eds.), Handbook of theories of social psychology (Vol. 1, pp. 438–459). London, United Kingdom: SAGE.

Ajzen, I. (2005). The Theory of Planned Behavior. Organizational Behavior and Human Decision Processes. Vol. 50, h.179- 211.

Ali, M., Evana, P D E., & Gamayun, P D R R. (2023, February 1). Development of the Determinants of Fraud in the Government Sector in Indonesia.

Association of Certified Fraud Examiners (2022), Occupational Fraud 2022: A Report to the Nations, Association of Certified Fraud Examiners (ACFE) Fraud survey, pp 1-95, 2022 [Online]. Available: www.legacy-acfe-com

Hair Jr, J. F., Hult, G. T. M., Ringle, C. M., & Sarstedt, M. (2021). A primer on partial least squares structural equation modeling (PLS-SEM)-Third Edition.

Hair Jr, J., Hult, G. T., Ringle, C., & Sarstedt, M. (2017). A Primer on Partial Least Squares Structural Equation Modeling (PLS-SEM) (Second). SAGE, Publication, Inc.

Indonesia Corruption Watch (ICW).(2023). Laporan Hasil Pemantauan Trend Penindakan Kasus Korupsi Tahun 2022 “ Korupsi Lintas Trias Politika”. ICW. Jakarta.

Murtanto, M., Banjarnahor, E., & Ferisanti, F. (2022, August 23). Determinants of Fraud Prevention in Village Fund Management with Organizational Justice as Moderator. https://doi.org/10.25105/imar.v21i1.13221

PwC, Protecting the Perimeter: “The Rise of External Fraud” . PWC Fraud Survey., pp. 1–14, 2022, [Online]. Available: www.pwc.com/fraudsurvey

Sari, F S., & Kamayanti, A. (2021, January 1). Prevention of Accounting Fraud in the Village Government. https://doi.org/10.2991/aebmr.k.210717.038

Sekaran, U., & Bougie, R. (2016). Research Methods for Business: A Skill-Building Approach (Seventh). John Wiley & Sons.

Setyaningsih, P R., & Nengzih, N. (2020, July 8). Internal Control, Organizational Culture, and Quality of Information Accounting to Prevent Fraud: Case Study From Indonesia's Agriculture Industry. https://doi.org/10.5430/ijfr.v11n4p316

TI Indonesia. (2023). Indeks Persepsi Korupsi Indonesia 2022 – Transparency International Indonesia.

Transparency International, (2023). Transparency International Corruption Perceptions Index 2022. Diakses pada 27 Desember 2023, dari www.transparency.org/en/cpi/2022.

Tuan Mansor, T. M., Ariff, A. M., & Hashim, H. A. (2020). Whistleblowing by auditors: the role of professional commitment and independence commitment. Managerial Auditing Journal, 35(8), 1033–1055.

https://doi.org/10.1108/MAJ-11-2019- 2484

Tuan Mansor, T. M., Ariff, A. M., Hashim, H. A., & Ngah, A. H. (2022b). Whistleblowing intentions among external auditors: an application of the moderated multicomponent model of the theory of planned behaviour. Meditari Accountancy Research, 30(5), 1309–1333.

Tversky, A., & Kahneman, D. (1981). The framing of decisions and the psychology of choice. Science, 211(4481), 453-458. Volokh, E. (2003). The Mechanisms of the Slippery Slope.

Harvard Law Review, 116(4), 1026-1137.

Wahyuni, L., Chariri, A., & Yuyetta, E. A. (2021). Whistleblowing Intention: Theory of planned behavior Perspectives. Journal of Asian Finance, Economics and Business, 8(1), 335–341. https://doi.org/10.13106/jafeb.2021.vo l8.no1.335

Waldron, J. (1994). Slippery Slope Arguments. The Journal of Legal Studies, 23(1), 27-60.

Zakaria, M., Omar, N., Rosnidah, I., Bustaman, H. A., & Hadiyati,

S. N. (2020). Adopting the planned behavioural theory in predicting whistleblowing intentions among indonesian public officials. Management and Accounting Review, 19(3), 25–47. https://doi.org/10.24191/mar.v19i03-02

Zhang, Y., & Ariely, D. (2014). The slippery slope: How small ethical transgressions pave the way for larger future transgressions. Journal of Applied Psychology, 99(4), 725- 738.

Zulvina, F. (2022, February 8). Internal control mechanism in mitigating fraud risk cases at account representatives at KPP Pratama X. https://doi.org/10.33021/icfbe.v2i1.3517