The Impact of Computerized Accounting Systems on Financial Reporting: A Case of Chitungwiza Central Hospital
- Author
- Muganhu, Nyasha M.
- Title
- The Impact of Computerized Accounting Systems on Financial Reporting: A Case of Chitungwiza Central Hospital
- Abstract
-
The rate and magnitude of fraudulent activities and embezzlement of funds triggered interest on the need to ensure effective and efficient financial reports for medical institutions. This has led to the medical institutions migrating from manual to computerized accounting systems, with the aim of improving financial reporting among other benefits.
The target population consisted of the Financial Director or a representative, 5 Accounting Officers. 5 Administrative Clerks and 4 information systems personnel from Chitungwiza Central hospital and this was complemented by stakeholders consisting of the Auditor
General’s Officials, the Ministry of Health Officials and the officials from Auditing companies. From these the sample derived consisted of the Finance Director or
representative, 3 Accounting Officers, 3 Administrative Clerks, 2 information systems personnel 5 Officials from the Auditor General’s Office, 5 Ministry of Health Officials and
5 Officials from Auditing companies. The study results, noted several benefits realized
through the use of the computerized accounting system at Chitungwiza Central hospital.
The benefits realized included the minimization of arithmetic errors, provision of security
for financial reports and the generation of reports timeously. The research also noted the
need to continuously use various forms of security to safeguard the CAS financial reports.
The study also concluded that high financial costs for the SAP installation, maintenance
and lack of skilled expertise in using the accounting software, security threats and the need
for relevant government policies were major challenges for the implementation of the SAP
accounting software. Finally, the research noted that the hospital was capable of designing
its own strategies such as the use of discounts to reduce maintenance costs of the SAP
software, making bulk once of payments and through the hiring of skilled personnel. From
the study it has been recommended that the government should set up reasonable budgets
for continuous training and development of the accounting officers is recommended for
the health institutions. A similar research is also recommended at a wider scale covering
many hospitals in Zimbabwe. Continuous training and development for the accounting
officers is also recommended given the constant updates of the SAP accounting system
being used.
- Date
- 2021
- Publisher
- BUSE
- Keywords
- Computerized Accounting Systems
- Financial Reporting
- Supervisor
- N/A
- Item sets
- Department of Accountancy
