Implementation of digital innovation on sustainability performance: the moderating role of green accounting in the industrial sector

Authors

DOI:

https://doi.org/10.15587/1729-4061.2024.298639

Keywords:

human capacity building, digital innovation, green accounting, sustainability strategy & sustainability performance

Abstract

Innovation is the solution that allows digital transformation to be implemented in many industrial sectors. With digital innovation, companies can move more freely in achieving sustainability performance, because digitalization is a cross-border discipline. Empirical studies that directly link digital innovation, sustainability and accounting are still very limited. To fill this gap, this study aims to examine the role of green accounting in the influence of human capacity building, digital innovation, and sustainability strategy on sustainability performance. This study employs quantitative content analysis on the annual reports and sustainability in the industrial sector listed on the IDX 2021–2022, comprising a total of 792 observational data using the PLS. The research results indicate that an increase of 32 % in human capacity building, 14 % in digital innovation and 12 % in sustainability strategy has a significant impact on sustainability performance. Another finding shows the results that green accounting is only able to strengthen the influence of digital innovation on sustainability performance and the rest weakens and does not even have a role as a moderating variable. The implications of this study are theoretically the development of new measures of digital innovation for the industrial sector. The practical implications suggest that to enhance sustainability performance, digital innovation is needed, starting from a pervasive digital culture extending to various aspects, including digital products, services & solution, digital supply chains, and digital accounting. The implications of implementing green accounting for industries indicate a 6.9 percent increase in the influence of digital innovation on sustainability performance

Author Biographies

Lisna Lisnawati, Universitas Trisakti

Doctoral Student

Department of Doctoral Program in Economic

Titik Aryati, Universitas Trisakti

Doctoral Accounting

Department of Doctoral Program in Economic

Juniati Gunawan, Universitas Trisakti

Doctoral Accounting

Department of Doctoral Program in Economic

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Implementation of digital innovation on sustainability performance: the moderating role of green accounting in the industrial sector

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Published

2024-02-28

How to Cite

Lisnawati, L., Aryati, T., & Gunawan, J. (2024). Implementation of digital innovation on sustainability performance: the moderating role of green accounting in the industrial sector. Eastern-European Journal of Enterprise Technologies, 1(13 (127), 59–68. https://doi.org/10.15587/1729-4061.2024.298639

Issue

Vol. 1 No. 13 (127) (2024): Transfer of technologies: industry, energy, nanotechnology

Section

Transfer of technologies: industry, energy, nanotechnology

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Copyright (c) 2024 Lisna Lisnawati, Titik Aryati, Juniati Gunawan

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