Integrating Technology and Behavioral Accounting for Public Sector Fraud Prevention in the Digital Era

Abstract

Changes towards the digital era have changed the paradigm of public sector accounting by strengthening efficiency, transparency, and accountability in the management of state finances. However, technological advances have not completely eliminated the risk of fraud because human behavior factors are still the main determinants that affect the effectiveness of accounting systems. This research uses a literature study method by analyzing several Google Scholar-indexed scientific articles published in the last five years. The results of the study show that the success of fraud prevention in the digital era is determined by the balance between the application of technology such as artificial intelligence, data analytics, and blockchain with strengthening aspects of behavior, ethics, and organizational culture. An effective internal control system must integrate the dimensions of technology and human behavior in order to create public governance that is transparent, accountable, and has high integrity. The main conclusion confirms that digitalization is not only a technical process, but also a transformation of organizational morals, behaviors, and values towards a public accounting system that is sustainable, adaptive to change, and free from fraudulent practices.