Hany Elbardan, Donald Nordberg and Vikash Kumar Sinha
This study aims to examine how the legitimacy of internal auditing is reconstructed during enterprise resource planning (ERP)-driven technological change.
Abstract
Purpose
This study aims to examine how the legitimacy of internal auditing is reconstructed during enterprise resource planning (ERP)-driven technological change.
Design/methodology/approach
The study is based on the comparative analysis of internal auditing and its transformation due to ERP implementations at two case firms operating in the food sector in Egypt – one a major Egyptian multinational corporation (MNC) and the other a major domestic company (DC).
Findings
Internal auditors (IAs) at MNC saw ERP implementation as an opportunity to reconstruct the legitimacy of internal auditing work by engaging and partnering with actors involved with the ERP change. In doing so, the IAs acquired system certifications and provided line functions and external auditors with data-driven business insights. The “practical coping mechanism” adopted by the IAs led to the acceptance (and legitimacy) of their work. In contrast, IAs at DC adopted a purposeful strategy of disengaging, blaming and rejecting since they were skeptical of the top management team's (TMT's) sincerity. The “disinterestedness” led to the loss of legitimacy in the eyes of the stakeholders.
Originality/value
The article offers two contributions. First, it extends the literature by highlighting a spectrum of behavior displayed by IAs (coping with impending issues vs strategic purposefulness) during ERP-driven technological change. Second, the article contributes to the literature on legitimacy by highlighting four intertwined micro-processes – participating, socializing, learning and role-forging – that contribute to reconstructing the legitimacy of internal auditing.
Details
Keywords
Lindsay J. Hastings and L.J McElravy
Considering the substantial upcoming transfer of leadership to younger generations, it is critical to study the unique trait, skill, and behavioral associations of youth leaders…
Abstract
Considering the substantial upcoming transfer of leadership to younger generations, it is critical to study the unique trait, skill, and behavioral associations of youth leaders. The purpose of this two-phase study was to quantitatively examine the relationship between positive psychological capacities (PsyCap), personality, and empathy with leadership skills in youth. Regression results from both phases revealed cognitive empathy and academic PsyCap as significant predictors of youth leadership life skills. These results follow earlier research that identified trait-based emotional intelligence as a significant predictor of leadership skills in youth. The combined results offer important considerations as leadership scholars and practitioners attempt to accurately predict and plan for the leadership transfer landscape over the next two decades. These combined results also serve as helpful considerations for youth leadership practitioners as program outcomes, learning objectives, and activities targeting the development of cognitive empathy and PsyCap will perhaps allow for more productive youth leadership development efforts and better documentation of their impact.