The Management Perception on the Effectiveness of Accounting Information Systems in Sri Lankan Banks

Abstract

The purpose of this study is to investigate the extent of accounting information systems effectiveness in Sri Lankan Banks. Today, organizations are trying to increase their investments in information technology tools to enhance their efficiency, effectiveness, and their overall performance. Therefore, an effective accounting information system helps managers of organizations to make suitable and informed decisions. Effective accounting information systems should ensure that all levels of management get sufficient, adequate, relevant, and accurate information for their day-to-day operations. Banks should have effective accounting information systems since Banks play a critical role within the Sri Lankan financial system. This study aims to examine the extent of accounting information systems effectiveness in Sri Lankan Banks in terms of responsiveness to the management requirements of the functions of planning, observation, and decision-making. This research was carried out by quantitative methodology as the research design, to collect primary data, 45 questionnaires were distributed to 30 Sri Lankan banks. The statistical package for social sciences (SPSS) program was used to analyse and examine the hypotheses of this study. The results of the study emphasized that when compared to the planning and observation process, accounting information systems are more effective in meeting the management requirements of the decision-making process. From the findings of this study, it is recommended that continuous improvement of accounting information systems reflects positively on banks administrative jobs namely planning, observation, and decision-making process.