FACTORS INFLUENCING BIG DATA ANALYTICS ADOPTION: THE INDIAN MANAGEMENT ACCOUNTANTS’ PERSPECTIVE

Abstract

With advances in computing and informatics, the management accounting domain is undergoing a strategic shift, and the role of management accountants has transformed from a strategic advisor to a strategic partner within businesses. Big data analytics (BDA) is a promising technological innovation with immense potential to improve the entire management accounting value chain. However, it involves several positive and negative factors that drive BDA adoption in real-world applications. This study investigates the influence of key factors driving the adoption of BDA by Indian cost and management accountants (CMAs) in management accounting work practices. Utilizing an online survey instrument, quantitative data from 242 respondents engaged in industry or practice were collected. The research is based on the Technology-Organization-Environment (TOE) framework and uses Partial Least Squares Structural Equation Modelling (PLS-SEM) in R. The results reveal that relative advantage (β = 0.428, p < 0.01), compatibility (β = 0.286, p < 0.01) and vendor support (β = 0.212, p < 0.01) have statistically significant positive effects on BDA adoption. At the same time, complexity shows a negative but statistically insignificant association (β = –0.005) with BDA adoption. The model further demonstrates high explanatory power (R2 = 0.671 and Adj R2 = 0.666), without unnecessary inflation or the inclusion of variables. The outcome of this work has improved understanding of the relevant factors in the technical, organizational, and environmental dimensions of BDA adoption. It provides actionable insights for managers, management accountants, organizations, professional bodies, and third parties engaged in providing BDA technology solutions, helping them tap into the enormous opportunities in BDA.