THE EFFECTS OF INFORMATION AND COMMUNICATION TECHNOLOGY (ICT) ON ACCOUNTING SYSTEM. (A CASE STUDY OF ACCESS BANK PLC)

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ABSTRACT

The purpose of this research work is to assess the effects of information and communication technology on accounting system a case study of Access Bank PIc, Ikeja branch Lagos.

The first chapter deals with introduction, purpose, significance, scope, limitation of study, statement of research problem, hypothesis and definition of terms.

The second chapter deals with literature review i.e. the explanation of various texts, past research on ICT development, problems, relevance of ICT to Accounting, Banking, Associated Risks of lCT and Challenges.

The third chapter is focused on the research methodology such as sources of data and method of data collection, Description of population, Research Design, Data collection and scoring

Chapter four deals with presentation, analysis and interpretation of data.

Finally, chapter five concentrates summary of findings, conclusion, Recommendation and Suggestion for further studies.


 

 

 

 

 

 

 

TABLE OF CONTENTS

CHAPTER ONE: INTRODUCTION

1.0        Introduction                                                                  

1.1     Historical Background of international Bank Plc  

1.2     Statement of problem                                          

1.3     Research Questions                                                      

1.4     Scope and limitation of study                              

1.5     Purpose of Study                                                           

1.7     Significance of study                                           

1.8     Hypothesis                                                                    

1.9     Definition of Terms                                                       

          References                                                           

 

CHAPTER TWO : LITERATURE REVIEW

2.1     Development of information and communication Technology (ICT) IN Nigeria.                                             

2.2     The Nigerian National Information Technology Policy

2.3     Communication / it Bodies in Nigeria                          

2.4     Problems Facings ICT in Nigeria                                   

2.5     Measures against Information and communication      

2.6     Relevance of information and Communication Technology to Accounting                                      

2.7     Area of information and communication technology Development in Accounting                             

2.8     Areas of information and communication Technology Development, Innovation and Banks            

2.9     Relevance of ICT in Accounting Department in Access Bank.

2.10   Risk Associated With Development of ICT              

2.11 Challenges of information and Communication Technology (ICT) TO Accountants                                     

 

CHAPTER THREE: RESEARCH METHODOLOGY

3.0     Introduction                                                                  

3.1     Statement of Research Questions                                  

3.2     Research Design                                                           

3.3     Research Design                                                             

3.4     Sources of Data/Method of Data Collection                  

3.5     Description of the Population                                        

3.6     Data Collection and Scoring                                         

          References

 

CHAPTER FOUR

PRESENTATION, ANALYSIS AND INTERPRETATION OF DATA

4.1     Introduction

4.2     Presentation, Analysis and Interpretation of Data

4.3     Testing Of Hypotheses

 

CHAPTER FIVE :

SUMMARY, CONCLUSION AND RECOMMENDATION

5.1     Introduction                                                                  

5.2     Summary                                                                        

5.3     Conclusion                                                                      

5.4     Recommendations                                                         

5.5     Suggestion for Further research                                    

          Bibliography                                                                 

          Websites                                                                        

          Questionnaire                                                                         

                                     

 

 





 

CHAPTER ONE

 

1.0   INTRODUCTION

Information and communication technology is important for the survival of any organization most especially in accounting profession. This is why the entire world now turned to technology to provide solution to economic and other identified problems. Information involves data processing system. It is the output of any data that has been assembled into a useful form, interpreted, understood by and useful to the recipient of the report. Communication can be said to be the process through which information is passed within an organization.

Accounting is often said to be language of business, it is used in the business world to describe the transactions entered into by all kinds of organizations. Accounting terms and ideas are therefore used by people associated with business; we speak of liabilities, inventory, assets, cost, expenses, capital and profit to mention a few. Accounting is the process of recording, strong, classifying, summarizing and interpreting day to day business transaction.

Accounting applications were among the first commercial used computer. It was their importance in the accounting operation that caused data processing department in an organization to be initially responsible for accounting and financial management through data processing department which are concerned with more than just accounting. As a result, organization now used accounting programs rather than any single type of program. Report should be prepared and information delivered to individuals and agencies outsides the organization. For this reason, virtually everyone associated with management of business must have at least a rudimentary knowledge of business accounting. These include: accountants, managers and other clerical and supportive staff.

Thus, it goes without mentioning that those who use communication and information technology (lCT) must have the knowledge of accounting process in order to maximize ICT effectiveness.

 

1.1   HISTORICAL BACKGROUND OF ACCESS BANK PLC

Access bank PIc came into existence in March 1989 as a product of the partnership between some visionary and dynamic Nigerian business men, to provide innovative and customer focus products and services that will satisfy the public growing needs for sophisticated banking service since its inception, a wide array of products and services covering investment banking, retail and fund management.

The bank is managed by some set of dynamic, versatile and result oriented team and easily won national claim by emerging as the most profitable merchant bank just after five years after it take-off. Over the years, the bank has grown to symbolize innovation service excellence and professionalize with a diversified group structure spanning the various areas of the financial service business. Access bank Plc has made substantial investment in information technology with all its branches effectively linked with one another and to the head Office through the Very Small Aperture Terminal (VSAT), which enhance on­line real time capabilities. This has made banking easy for the banks teeming customer across the country.

It obtains commercial bank in July 1999 and later obtained a universal banking license to avail many more business as regards customers of its unique products and services as well as tap into other market opportunities in other Nigeria economy. Following a resolution of the board in October 2001, the bank changed to a public limited company in June 2002 and followed it up with Initial Public Offering (IPO) in July same year. The capitalization of the bank was further boosted with N3.58 billion being proceed from the IPO and by mid-2004 the bank share holder fund had grown to NI0 billion before the new minimum capital base of N25 billion was set by the regulators. Consequently the bank returned to the capital market and raised new fund of staling N22.4 billion thereby grown its shareholders fund to N34.7 billion. The bank shares are listed on the Nigeria stock exchange (NSE). Since its debut in the commercial banking field, Access Bank Pic has pursued aggressive branch network expansion programme. It offers a full range of customers product covering a wide spectrum of the market and these include the Access Diamond Fund (lDF) Access valuable yield accounts (IVY) Access premium saving account (IPSA) to mention but few. The bank is a direct agent for western union money transfer and partner of master card. As socially responsible organization, it has maintained a long standing policy of corporate responsibility to communities in which it operates and has made impact in the areas of public health and education.

 

1.2    STATEMENT OF PROBLEMS

The advent of information and communication technology (lCT) has great influence on accounting system as well as the profession. The management aim of ensuring accuracy, validity and reliability of accounting records cannot be so much obtained if mechanized system is not in used especially in the case of organization with large Multinational networks.

The problems of inadequate and incomplete records resulting from frauds and other irregularities not discovered that would have enhance proper planning and effective decision making coupled with inability of a mutual system to meet up with the level of organization's expansion (in a very large establishment).

Hence, the effects of information and communication technology shall be examined in this study irrespective of the above problems

Hence, relevance of information and communication technology to accounting profession shall be thoroughly examined in this study in respect of the above problems.


 

1.3   RESEARCH QUESTIONS

The main research questions to be addressed in the course of the study are:-

i.          What is the relevance of ICT to accounting profession?

ii.        Does ICT assist organization in decision making?

iii.      How can organization use ICT to bring out efficiency and effectiveness?

iv.       Is there any relationship between ICT and accounting profession?

v.         Can accounting profession survive without ICT?

vi.       What are the I CT packages used in accounting

vii.     Can any organization achieve its goal without ICT?


1.4   SCOPE AND LIMITATION OF STUDY

The scope of the research work is limited to the analysis of the effects of information and communication technology an accounting system. The period to be covered by the analysis will be limited to the available information which is constrained by the availability of finance, transportation, time, secretariat barrier as well as relevant information.

 

1.5   PURPOSE OF STUDY

This study is primary directed towards the effectiveness and relevance of information and communication technology (lCT) on accounting system since majority of accounting entries now has software. It aims to explore have information and communication technology (lCT) have changed many aspects of accounting and financial reporting as well as the extent to which (ICT) has offer new and exciting opportunities to accounting professionals.

 

1.6      SIGNIFICANCE OF STUDY

Information and communication technology IS a crucial thing to accounting profession which cannot be taken with levity. It possesses a great advantage on the profession and the entire world. Therefore, the assessment of its effects to accounting system is essential for the following reasons:

i.        To enhance management appraisal of operation and performance through the use of computer for accounting packages.

ii.      To appraise the level of organization growth through the information collated and saved on the computer.

iii.    To assess the relevance of let to organization decision making.

iv. To assess the impact of let on auditing practice and other accounting services

v.           To assess the effect of technological change on accountant personal quality.

 

1. 7 HYPOTHESIS

Ho: ICT does not assist organization in decision making

Hi:   ICT assists organization in decision making

 

Ho: There is no relationship between let and accounting profession


Hi:   There is relationship between ICT and accounting profession

 

Ho: let does not influence effectiveness and efficiency within an    organization.

HI:   ICT influence effectiveness and efficiency within an organization.

 

1.8   DEFINITION OF TERMS

COMPUTER: This is an electronic device which is capable of solving complex problem quickly and accurately.

HARDWARE: These are actual physical components that constitute a computer

INTERNENT: This is a global heterogeneous network of computer system that share a common protocol

SYSTEM: This is an assembly of part where the part or components are connected together in an organized way. E-GOVERNMENT: This is a situation where the government agencies, parastatals and ministries are connected online and are accessible through internet.

E-UNIVERSITIES: Universities In the country and various countries of the world are new on internet providing and coaching to students.

E-BUSINESS: This is a situation where business transactions are conducted on internet. It thrives on reliable technology and good business practice


INTERNET: it means an international computer network made up of numerous networks. It is a large network of computer pooled together by miles of cables

INTRANET: It is a private network which belongs to an organization that uses internet protocol. It can only be accessible by members of the organization.


 

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