The Role of Integrated Financial Management Information System (IFMIS) in Decision Making, Planning and Controlling: In the Case of Addis Ababa University

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Addis Ababa University


This research study was based on the purpose of investing integrated financial management system and decision making, planning and controlling process by the Addis Ababa University. The main objective is directed towards determining the role of IFMIS on decision making, planning and controlling in Addis Ababa University. Descriptive research design was considered for adoption in the study. Data collection was a primary data collected directly from respondents through questionnaires. Data analysis was done based on descriptive statistics to compute the percentage of outcomes tables to show the role of IFMIS in Addis Ababa University. The Target population in this study was all management and staff in the number 1450 from AAU four campuses deployed IFMIS. The sample population was 314 individuals who have active user of the system in different ranks and fields in the AAU. The IFMIS system helped decision making, planning and controlling process through the following: financial report in IFMIS contributed to decision making, planning and controlling by 52%, while budgeting process in IFMIS contributed about 53%, internal control process in IFMIS contributed to 70%, and procurement process in IFMIS contributed to 90%. The study also concluded that IFMIS provides a wide range of nonfinancial and financial information, it is effective on budgeting process, it is a management tool for internal control and it is facilitated the procurement process is smooth. Because of these it is had more effect on decision making, planning and controlling in AAU. According to Hove and Wynne (2010) An IFMIS assists management in ensuring accountability for the deployment and uses of public resources and in improving the effectiveness and efficiency of public expenditure programs, the study concurs with Hove and Wynne IFMIS system which in turn enhances organizational performance. This study recommended total adoption of IFMIS not only in AAU four campuses but also the colleges all over AAU as it improves the performance of AAU tremendously. The study further recommended that other research conducted in future to indepth with role of IFMIS those other factors that have not been explained by this study. Therefore, additional and representative studies with more diversified variables are welcomed.


A thesis Submitted to Department of Accounting and Finance Addis Ababa University in Partial Fulfillment of the Requirements to the Degree of Master of Social Science Accounting and Finance


Controlling, Decision making, IFMIS