Enhancing SME Financial Performance Through Accounting Information System Adoption: A Business-Modified UTAUT2 Approach in Indonesia

A growing body of research has identified the digitization of accounting information systems (AIS) as a significant development that has enhanced the financial performance and transparency of small and medium-sized enterprises (SMEs). This study investigates the effect of AIS digitization on financial performance in Indonesia, where SMEs are essential to the country's economy. This study investigates the influence of AIS digitalization on the financial performance of Indonesian SMEs. A modified UTAUT2 framework and SEM-PLS analysis are employed to achieve this objective. The findings of the study, which were based on an analysis of data from 300 SMEs across a range of industries, demonstrated a statistically significant relationship between AIS and critical financial performance metrics, including revenue growth, cost efficiency, and profitability. Notwithstanding the project's inherent drawbacks, such as a paucity of technical expertise and substantial expenses, the present analysis proffers viable alternatives. Research has demonstrated that incorporating components tailored to SMEs serves to expand the scope of the UTAUT2 model, thereby providing a comprehensive framework for promoting digital transformation in developing countries.