Indonesia Auditing Research Journal

Audit risk assessment in small enterprises gaps and challenges

Tina Indriana, Agus Widarsono — Mon, 03 Aug 2026 00:00:00 +0000

The study is intended to explore the implementation of audit risk assessment in small enterprises and to identify the gaps and practical challenges that auditors face. A qualitative descriptive approach was adopted with data collection through interviews, observations and document analysis of public accountants. The findings suggest that although the risk assessment procedures are conceptually in line with auditing standards, their implementation in practice is still sub-optimal. There are material deficiencies in knowledge of the entity, assessment of internal controls, setting of materiality and retention of adequate audit documentation. Small enterprises are more likely to have higher inherent and control risks due to weak internal control systems, limited financial records and low accounting competence. All these factors increase the probability of material misstatements. Auditors are also faced with unreliable data and unstructured business processes, which hinder the effective implementation of risk-based auditing. Under such circumstances the auditor may have to rely more on professional judgment which may impact on the consistency and reliability of the audit. The research stresses the importance of more adaptive and context-sensitive audit approaches that are more relevant to the specific features of small enterprises and pragmatic insights to improve the quality of the audit and the effectiveness of the risk assessment practices.

The relationship between job satisfaction and psychological safety and job commitment among employees of PT Perkebunan Nusantara IV Regional I Medan

Erika Rahmadani, Nurul Jannah, Nur Ahmadi Bi Rahmani — Wed, 19 Aug 2026 00:00:00 +0000

This research investigates the extent to which workplace well-being and psychological safety are linked to work engagement among staff at PT Perkebunan Nusantara IV Regional I Medan. Using a quantitative approach, 84 employees were recruited through purposive sampling, and their questionnaire responses were analyzed in IBM SPSS Statistics 25 by descriptive statistics, validity and reliability checks, classical assumption testing, multiple regression, partial and simultaneous significance tests, the coefficient of determination. These results show that although workplace well-being is positively related to work engagement, the relationship does not reach statistical significance (t = 1.593; Sig. = 0.115 > 0.05). Psychological safety, by contrast, is positively and significantly related to work engagement (t = 6.492; Sig. = 0.000 < 0.05). When examined together, both variables significantly predict work engagement (F = 120.246; Sig. = 0.000), explaining 74.8% of its variance (R² = 0.748), with the remaining 25.2% attributable to factors outside the model. These findings suggest that psychological safety is the more influential factor, whereas workplace well-being on its own is not a statistically significant predictor though combined, the two variables play a meaningful role in shaping work engagement among PTPN IV Regional I Medan employees.

The influence of cashless lifestyle and financial literacy on the financial behavior of gen z students at the state Islamic University of North Sumatra

Gilang Saka Maulana, Juliana Nasution, Atika Atika — Sat, 08 Aug 2026 00:00:00 +0000

This research was evaluated to examine how a cashless lifestyle and financial literacy impact the financial management of Generation Z students. In this context, financial management is reflected in an individual's ability to manage expenses, develop financial plans, develop savings habits, and make wise long-term financial decisions. Sampling was conducted using a purposive sampling technique based on the Slovin formula, resulting in 100 respondents. The data collection instrument utilized a Likert-scale questionnaire, which was then processed using multiple linear regression techniques. Based on data analysis, it was found that the convenience of cashless transactions and financial literacy contributed positively and significantly to students' financial behavior. Digital payments proved to be the most dominant factor compared to financial literacy levels, as indicated by the coefficient value. The combined assessment showed a determination value of 68.7%, while the remaining 31.3% was explained by variables outside this research model. These results indicate that the acceleration of transaction technology can encourage rational and measurable financial habits when balanced with adequate financial knowledge

The influence of green lifestyle, green awareness, and eco-labels on the interest in purchasing environmentally friendly products among FEBI UINSU students

Intan Vilja Aura Fazia, Fauzi Arif Lubis, Nur Ahmadi Bi Rahmani — Mon, 03 Aug 2026 00:00:00 +0000

Focusing on the consumption behavior of FEBI UINSU students, this associative quantitative research examines the relationship between green lifestyle, green awareness, and eco-labeling on the purchase intention of environmentally friendly products. Involving 100 students selected through purposive sampling, a questionnaire instrument was used as the primary data collection medium, which was then analyzed using the SEM-PLS algorithm via SmartPLS 4.0. Field findings show that a green lifestyle is not yet a strong predictor in significantly predicting purchase intention, even though the relationship is positive. In contrast, indicators of green awareness and eco-friendly labels show a substantial positive impact. These findings underscore the importance of environmental education and the effectiveness of product labels in stimulating sustainable purchasing decisions among academics

The effects of digital literacy and product innovation on MSME marketing performance: The mediating role of digital marketing

Feby Evelyna, Siti Nur Azizah — Tue, 04 Aug 2026 00:00:00 +0000

This study addressed the inconsistent findings and empirical gaps regarding the factors influencing micro, small, and medium enterprises (MSMEs) marketing performance. The investigation examined the direct effects of digital literacy and product innovation on marketing performance, alongside the mediating role of digital marketing. A quantitative approach was deployed, using purposive sampling to collect data from 140 MSME owners in Kebumen Regency who utilized digital applications. Data analysis was conducted using Structural Equation Modeling with the Partial Least Squares (SEM-PLS) approach. The results revealed that digital literacy and product innovation exerted positive and significant direct impacts on both digital marketing and marketing performance. Furthermore, the structural model analysis confirmed that digital marketing successfully mediated the relationships between digital literacy, product innovation, and marketing performance. Major findings indicated that technological readiness and product innovation yielded optimal contributions to business performance when executed through structured digital marketing platforms. Consequently, this study concluded that enhancing digital marketing strategies serves as a vital mechanism for MSMEs to leverage their digital capabilities and innovative products effectively to maximize market reach and boost overall marketing performance

The effectiveness of digital transformation in the administrative governance of the Medan City Regional House of Representative

Devi Tri Saputri Manik, Nurul Jannah, Annio Indah Lestari — Sat, 08 Aug 2026 00:00:00 +0000

Digital transformation is a form of bureaucratic reform aimed at improving the effectiveness of public administration through information technology. This study examined the process, effectiveness, and challenges of digital administrative transformation in the Medan City Regional People's Representative Council (DPRD). A qualitative case study approach was used, with data collected through interviews, observation, and documentation. The findings showed that digital transformation was implemented through the SARANA application, followed by SIMANJA in 2020, which was later renamed SMARTWAN. The system provides features such as e-Invitations, e-Activities, e-Letters, e-Salary, Documentation, Legal Products, e-SPPD, e-Follow-up, and Attendance. Its implementation improved administrative effectiveness by accelerating work processes, simplifying document archiving, increasing transparency, and facilitating integrated data access. However, several challenges remained, including unstable internet connections and the need for approximately 2–3% of employees to adapt from manual to digital systems. Overall, digital administrative transformation in the Medan City DPRD was considered effective, although infrastructure improvements and continuous employee training were still required.

The effect of landscape authenticity, nature-based experiences, tourist participation in the preservation of tourist villages in Sipispis district

Era Rahmadani Damanik, Atika Atika, Nurbaiti Nurbaiti — Tue, 04 Aug 2026 00:00:00 +0000

This study aims to analyze the effect of landscape authenticity, nature-based experience, and tourist participation on the preservation of tourist villages in Sipispis District. This research uses a quantitative approach with Structural Equation Modeling (SEM) based on Partial Least Square (SmartPLS). The sample was obtained through questionnaires distributed to tourists visiting tourist villages.The results show that landscape authenticity, nature-based experience, and tourist participation have a positive and significant effect on the preservation of tourist villages. Landscape authenticity is the most dominant variable. The R-Square value of 0.654 indicates that the model has moderate explanatory power.This study implies that tourist village management should maintain landscape authenticity, improve nature-based tourism experiences, and encourage active tourist participation to support sustainability.

The influence of brand authenticity and open communication on social media on brand trust and brand loyalty: a case study of UINSU students in the era of digital marketing

Tia Nava Utari Tanjung, Imsar Imsar, Faisal Umardani Hasibuan — Sat, 08 Aug 2026 00:00:00 +0000

This study aims to analyze the influence of brand authenticity and communication openness on social media on brand trust, as well as its implications for brand loyalty among students at the State Islamic University of North Sumatra (UINSU). The background of this study is based on the growing use of social media as a primary tool in digital marketing activities, which serves not only as a promotional medium but also as a space for interaction between brands and consumers. The research approach used was quantitative, with data collected through a questionnaire distributed to UINSU students who actively use social media. The data obtained were then analyzed using SPSS to test the relationships between variables. The results show that brand authenticity and open communication on social media have a positive and significant effect on brand trust. Furthermore, brand trust was found to have a positive and significant effect on brand loyalty. These findings indicate that honesty, brand consistency, and open and responsive communication are important factors in building consumer trust, which ultimately fosters brand loyalty