An analysis of how electronic accounting is affecting the Financial performance of Small-to-medium enterprises in Zimbabwe. A case study of Siyaso Mbare Harare.
- Author
- Chipara, Last
- Title
-
An analysis of how electronic accounting is affecting the Financial performance of Small-to-medium enterprises in Zimbabwe. A case study of Siyaso Mbare Harare.
- Abstract
-
The business of today is now moving to paperless environment due to the introduction computers.
The accounting and the auditing work is now becoming easier where technological advancements
are improving the financial performance of companies. These introductions of e-accounting have
got different implications among small-to-medium enterprises in developing countries like
Zimbabwe. After the adoption of online accounting, a company could enjoy a number of benefits
which includes, quick preparation of reports, mathematical accuracy, security of company
information, to mention a few. Enterprises in Siyaso Mbare Harare were selected randomly when
drawing the participants for sampling. The researcher had used both the secondary and primary
methods of gathering data, thus the, published articles, interviews and questionnaires. The research
findings had then revealed that, most of the enterprises were facing challenges of power cuts, lack
of technical skills and knowledge on how the accounting packages works. Other major findings
also revealed that, the adoption of e-accounting has led to a great improvement on the financial
performance of SMEs in Mbare. Although there was still some other complications with the
system. This study was only focusing on the effects of e-accounting on financial performance
while there are some other technological changes other than e-accounting that affects financial
performance so these determinants also need to be investigated in other researches. This study has
added something to the literature through examining the effects of electronic accounting practices
in relation to the financial performance of an organization. This study might contain some relevant
information that could give benefits to a number of SMEs relating to their current accounting
practices. In addition to the above, conducting such a research in the accounting field provides
new insight to the literature on both the developed and emerging enterprises. Types of accounting
software packages mostly used were, Quickbooks, Sage and Freshbooks. In order to set up a
proficient accounting systems, firms have to set up adequate training programs to equip employees
who uses computer systems with more skills, techniques and knowledge about the packages.
Enterprises could also maximise their benefits they are enjoying by setting up a local network to
speed up their processes and also to have power backups to curb off the effects of load shedding. - Date
- June 2022
- Publisher
- BUSE
- Keywords
- SMEs
- Financial performance
- Supervisor
- N/A
- Item sets
- Department of Accountancy
