What shapes AI adoption in financial service-oriented contexts? The game-changing role of innovation climate
Saeed Awadh Bin‐Nashwan & Jackie Zhanbiao Li
What the paper says
Purpose The integration of artificial intelligence (AI) is transforming financial service-oriented industries, reshaping both operational efficiency and decision-making processes. Despite its vast potential, many firms face difficulties in fully adopting AI due to a misalignment between organizational capabilities – such as AI readiness, relative advantage, innovation climate and top management support and external factors, e.g. vendor ecosystems, government support and competitive pressure. Hence, this study aims to empirically explore what shapes AI adoption among professional accounting and auditing firms and its crucial internal and external dynamics. Design/methodology/approach A validated model of technology-organization-environment-resource dependence theory was applied to analyze responses gathered from accounting and auditing firms, using partial least squares structural equation modeling for the analysis. Findings The authors found that AI adoption was shaped by vendor ecosystems, AI readiness, top management support, competitive pressure and relative advantage. Results further revealed that innovation climate-moderated interactions of AI readiness, top management support, government support and competitive pressure on AI adoption are significant. Practical implications The study delivers actionable strategies for stakeholders to maximize accounting and auditing firms’ benefits from adopting this emerging revolutionary technology by determining its crucial dynamics. Embracing new technologies in the financial service-oriented context could improve operational efficiency and the credibility of financial statements, potentially increasing trust and confidence among stakeholders such as investors, regulators and clients. The adoption of AI also helps reduce information asymmetry, ensuring that accurate and timely information is accessible to all relevant parties and promoting transparency and trust in financial reporting. Originality/value These outcomes advance scholarly conversations on AI adoption in the financial service-oriented landscape by exploring drivers that foster adoption within accounting and auditing firms. In addition, this attempt is pioneered by delving into the moderating role of innovation climate in the technology adoption model.
9 citations
Evidence weight
Balanced mode · F 0.40 / M 0.15 / V 0.05 / R 0.40
| F · citation impact | 0.52 × 0.4 = 0.21 |
| M · momentum | 0.72 × 0.15 = 0.11 |
| V · venue signal | 0.50 × 0.05 = 0.03 |
| R · text relevance † | 0.50 × 0.4 = 0.20 |
† Text relevance is estimated at 0.50 on the detail page — for your query’s actual relevance score, open this paper from a search result.