Effect of Computerized Accounting System on Organisational Performance of Polytechnics in Ogun State Nigeria
DOI:
https://doi.org/10.61143/umyu-jafr.7(1)2024.008Keywords:
Automated Data Processing Component, Automated Data Reporting Component, Computerised Accounting System, Financial Reporting, Operational EfficiencyAbstract
The advent of Information and Communication Technology (ICT) has significantly transformed accounting and financial management practices. This study investigates the effect of a computerized accounting system on the organisational performance of polytechnics in Ogun State, Nigeria, with a focus on financial reporting, accountability, and operational efficiency. Specifically, the computerized accounting system is examined through its components: automated data processing, internal control, and automated reporting, while performance is assessed via financial reporting, accountability, and operational efficiency.The study adopts a survey research design, utilizing simple percentage analysis and regression techniques for data estimation, with statistical inferences drawn at a 5% significance level.The findings demonstrate that the adoption of computerized accounting systems significantly enhances the performance of the studied polytechnics. These systems improve financial reporting by ensuring reliability and generating comparative financial statements. They also bolster accountability through controls that prevent errors and irregularities in reporting. Furthermore, computerized accounting systems positively and significantly enhance operational efficiency.The study concludes that computerized accounting systems have a substantial positive impact on the performance of polytechnics. It recommends that institutions invest in computerized accounting technologies, including automated data processing, internal control, and reporting components, to optimize financial reporting, strengthen accountability, and enhance operational efficiency. Such investments are essential for streamlining operations, reducing costs, and improving overall institutional performance.
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