The mediating effect of data analytics on the relationship between organizational psychological safety and advisory services

Abstract

Purpose Data analytics can change the working of advisory services (AS) that internal auditors routinely carry out. Not getting psychological support from employers and co-workers can cause internal auditors to be reluctant to use data analytics. Based on trait activation theory, this study aims to examine the mediating effect of data analytics on the relationship between organizational psychological safety (OPS) and AS. Design/methodology/approach The authors surveyed inspectorate auditors in government ministries and institutions who are internal government auditors in Indonesia. This study applied the partial least square structural equation modeling method to test the hypothesis. The total respondents involved in this study were 103 auditors. Findings There are two main findings in this study. First, OPS has a direct effect on AS. Second, data analytics mediates the relationship between OPS and AS. Practical implications This study’s finding has implications for leaders in ministries and government agencies to provide psychological support so that inspectorate auditors increasingly take advantage of data analytics in the process of AS that are always carried out. Originality/value To the best of the authors’ knowledge, this is the first study to examine the mediating effect of data analytics on the relationship between OPS and AS.

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“…The PLS method, which emphasizes maximizing variance explained for endogenous variables, is employed in this study instead of traditional SEM that relies on covariance metric, and PLS is advantageous in that it requires fewer restrictions on sample size while still generating reliable results for measurement and structural models (Aguiar-Quintana et al, 2020), making it a suitable approach for achieving the research objectives of this study. Moreover, researchers commonly employ this method in the field of human resource management (Anasori et al, 2023;Sihombing et al, 2023;Verma and Singh, 2022).…”

“…Moreover, researchers commonly employ this method in the field of human resource management (Anasori et al. , 2023; Sihombing et al. , 2023; Verma and Singh, 2022).…”