Insights from Indonesia on the Moderating Effect of Problem-Solving Ability on Factors Influencing Auditors’ Performance

This study aims to determine the moderating role of problem-solving ability on the influence of audit structure, understanding of good governance, organizational commitment, emotional intelligence, motivation, and competency on auditors’ performance. This study used a survey approach to collect data from a population of auditors in Indonesia working at public accounting firms in major cities such as Jakarta, Bandung, Semarang, Yogyakarta, and Surabaya between May 1 and November 30, 2021. From 500 questionnaires, 193 were returned. In addition, the hypotheses were evaluated using ordinary least squares and moderated regression analysis on the data. The findings show that understanding of good governance, emotional intelligence, motivation, and competence have a beneficial effect on problem-solving abilities, although audit structure and organizational commitment had no meaningful effect. In addition, understanding of good governance, emotional intelligence, motivation, competence, and problem-solving have a positive influence on auditor performance, whereas audit structure and organizational commitment have little impact. Other findings demonstrate the positive moderating influence of problem-solving ability on the relationship between nearly all factors (i.e., awareness of good governance, organizational commitment, emotional intelligence, motivation, and competence) and auditor performance. Despite several limitations, such as a relatively small sample size, this study makes a significant contribution because it is the first to measure the moderating effect of problem-solving ability on factors influencing auditor performance (i.e., audit structure, understanding of good governance, organizational commitment, emotional intelligence, motivation, and competency).