Assessment of the Effectiveness of Computerized Accounting Information Systems(CAIS) in Measuring and Controlling Economic Activities of an Enterprise Timely: The Case of Ethiopian Industrial Inputs Development Enterprise(EIIDE)
No Thumbnail Available
Date
2017-05
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Addis Ababa University
Abstract
This paper presents an empirical study of assessments of effectiveness of CAIS in measuring
and controlling economic activities of an enterprise. The purpose of this study is to know
benefits of computerised accounting information systems of EIIDE; to assess the effectiveness
of using computerised accounting information systems in EIIDE; to identify the challenges as
well as problems associated with the use of these computerised accounting information
systems. Primary and secondary data were used in this study. The primary sources include
the use of questionnaires and personal interview while the secondary data were include text
books, article and other important write-up in various journals. A survey method of data
collection was used and the collected data were analysed qualitatively and quantitatively
through descriptive statistical mean and cross tabulation analysis using SPSS version20
computer software. Generally, based on all the intended variables (Perceived usefulness,
Infrastructure, HR Capability, Ease of use, Internal Controlling System, Flexibility,
Completeness, Security and comprehensive) effect, the findings imply that CAIS of EIIDE is
moderately effective in measuring and controlling the economic activities of the
enterprise.Pertaining to the research questions, the results revealed that CAIS moderately
helped the EIIDE to improve internal controlling systems that reflected as segregation of
accounting duties, facilitate accounting duties and follow up, process large amounts of
financial information, strengthen the responsibility and accountability and also improved the
reliability of financial reports of the Enterprise. But the EIIDE did not get the necessary
benefits (showing and generating real time financial position) that it has to get from CAIS.
The challenges that hinder the enterprise to get the necessary benefits of CAIS are no
adequate and necessary IT infrastructures, No strong enough internal controlling system, no
competent enough HR skills (IT specialists and the users) and incompleteness of the system
with the necessary accounting modules .To mitigate the above challenges and get full
necessary benefits of CAIS the EIIDE recommended to invest on development IT fields by
forming a committee of all the beneficiary directorate workers, Skill upping the HR
competency of those users and administrators of the system through training accordingly and
there should be alert enough about the upcoming IT security breach problems and its effects
on the enterprise regularly. Prospect is kept open for further research regarding cost wise
effectiveness and efficiency of CAIS of the enterprise.
Keywords: accounting system, information system, computerized accounting information
system, IT infrastructure
Description
Keywords
Accounting system; information system; computerized accounting information system; IT Infrastructure.