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IMPACT OF COMPUTERIZATION ON PERFORMANCE OF PUBLIC SECTOR ACCOUNTING - A CASE STUDY OF NIGER STATE MINISTRY OF FINANCE, MINNA

                                                                              Abstract

This research work was meant to assess the impact of computerization on public sector accounting with special focus to Niger State Ministry of Finance, Minna as a case study. Both the public and private sector have adopted the use of electronic data processing machine in carrying out some of their activities in the organization. The public sector is sometimes faced with the problems of installations, the danger of computer fraud, inappropriate software and hardware of the computer system as well as delays in the computation and preparation of accounting records and budget estimates. The research work relied on the use of primary sources of data collection which is a questionnaire. Chi-square was used to test the hypothesis. The findings are the organization is fully computerized in carrying out some of its official activities mainly on the financial records, majority of its staff are computer literate. There is a relationship among various units or departments of the ministry, particularly the computer with the accounting department and other transactions. Importance should be attached to the use of computers, as it brings about national development. Despite the early problems that were associated, it is obvious that the computer is not only an instrument for the development of an effective accounting system but the building of a sound public sector.   ...



CHAPTER ONE
INTRODUCTION
1.1     OVERVIEW OF THE STUDY
The Nigeria public sector is made up of three tires of government whose power, responsibilities and relationship are only defined but also guaranteed by the constitution of the land, the three tiers of federal, state and local government. They conduct their activities through two major forms of organization, the ministries/ extra-ministries department and parastatals (public enterprise). The department includes all corporation, authorities, board, council and limited liability companies In which government has full or majority controlling interest in the ministries or departments are referred to as public offices.
Generally, in government there is a considerable standardization of accounting records for internal and external report. This is particularly through the account of the ministries or department where emphasis has been on accountability and control. It should be stated that government accounting is based on principles that are quite different from that of private sector.
The public sector is an organization which are not privately owned and operated by individuals, but which are established, run, operated and financed by the government on behalf of the public as opposed to private sectors, and its objectives involves the provision of services, where profit is not a primary objective. Comparisons between the financial function of the public sector and that of the private sector is difficult to make, this is because the public organization are multipurpose not dealing with a single product or service and they have different motives and presence of intangible services whose benefits are difficult to qualify.
Through accounting records maintained by government institutions and that of private sector have the same principles and meanings. The only noticeable difference is the manner in which information is being presented which normally related to the need of individuals organization users.
The essential facts record all historical cost and income which when processed further becomes useful information necessary for future decision making.



1.2     STATEMENT OF THE PROBLEM 
Before the advent of computer technology data were processed manually, but with growing complexity in technology electronic system of processing data was introduced. The problem that Niger State Ministry of Finance, Minna may likely face are the volume of activities and delay in processing transactions. The volume of activities that are expected to be handed and the central role of the ministry of finance serve as the hurb of activities.
Information need to allocate finance and reports that are supposed to be generated to evaluate the performance of government business. Delay in processing transactions may also delay the information needed to prosecute government business and this will not fast-track the anticipated development need. The delay in processing transactions may be as a result that the information technology was not properly functioning.
The government inability to trace all the items of expenditure (Audit Trail). The pattern of allocation of resources will not be available, once the pattern of allocation is not traceable, that is where committed to definitely it will be impossible to evaluate their performance and if it is impossible their performance then one may not be able to know how far they have been able to achieve the objective the economy, efficiency and effectiveness and then the government will continue incurring expenditure on the same project annually without resources.
1.3     RESEARCH QUESTIONS
The research has carefully coiled out open – ended questions as a sample research questions upon which this study is based.
    i.        How effective is information technology on generating financial report for implementing government programmes
   ii.        How effective and efficient is information n technology on maintenance and record keeping.
1.4     PURPOSE OF THE STUDY
The main purpose of the study is to access the impact of computerization on the activities of public sector accounting the specific objective includes.
    i.        To determine the effect of information technology on generating financial report for implementing government programmes.
   ii.        To ascertain the effectives and efficiency of using information technology on maintenance government and record keeping.
1.5     STATEMENT OF HYPOTHESIS
For the purpose of these studies, the following hypothesis have been put forward.
H0: information technology have been no effect on financial report generated in implementing government programmes.
H1: information technology have no effect and efficient on maintenance and record keeping.
1.6     SIGNIFICANCE OF THE STUDY
The study is carried out to inform both students and the general public on the importance of computer technology to the people and their respective business, data and records of an organization are vital to the organization for effective decision making and the public sector is not exempted especially in its duty to report its operational activities to the government that is funding it. In a nutshell, the study is carried out to enable the management, further researchers and all form of organization to benefit in the following areas.
                    i.        It will broaden the mind of the reader on the impact of computerization most especially in the public sector in their bid to ensure effective reporting on their stewardship
                   ii.        The study will also be of immense benefit to planners, policy makers, and other agencies to appreciate the use of computerization of their operational activities.
                 iii.        The study will serve as a source of information or reference material to their researchers who want to conduct a research on similar related topic.
1.7     SCOPE AND LIMITATION OF THE STUDY
The scope of this research work focused on public sector accounting in relation to computerization adopted within the ministry. 
1.8     DEFINITION OF TERM
Ø Impact: the action of one object coming forcibly into contact with another
Ø Computerization: involve the process of taking activities or tasks not previously done on the computer and shifting them to being done on the computer.
Ø Performance: the amount of useful work accomplished by a computer system compared to the time and resources used. Also performance can simply be explained as more work accomplished in shorter time and/or using less resources.
Ø Public Sector: is the process of recording, communicating, and summarizing, analyzing and interpreting government financial statement in aggregate and in details.

 
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