Adoption of computerized accounting systems and performance of small and medium enterprises (SMEs) in the plastics manufacturing sector in Uganda

Abstract

The study sought to establish the relationship between adoption of CAS and performance of SMEs in the plastics manufacturing sector in Wakiso district and Kampala Capital City Authority (KCCA). The study was guided by four specific objectives which included; To evaluate the relationship between attitudes towards adoption of CAS and performance of SMEs in plastics manufacturing sector, to examine the relationship between knowledge and skills of CAS and performance of SMEs in the plastics manufacturing, to establish the relationship between management support towards adoption of CAS and performance of SMEs in the plastics manufacturing sector in and to assess performance parameters attributed to adoption of CAS among SMEs in the plastics manufacturing sector. A cross-sectional survey design which was analytical and descriptive in nature was used to study the relationship between CAS adoption and performance of SMEs in the plastics manufacturing sector. The study utilized a cross-sectional survey design because it is flexible in both quantitative and qualitative data collection and also enabled the study to be carried out at a particular time. Quantitative data analysis was used to describe the statistics of the scores using indices that described the current situation and investigated the associations between the study variables using information gained from the questionnaires. It was established that there was a significant positive relationship between attitudes, knowledge and skills; and management support towards adoption of CAS and performance of SMEs in the plastics manufacturing sector in Wakiso district and KCCA This means that with relevant knowledge and skills possessed by both the employees and the owners or managers of the organization, the adoption of CAS enhances performance while management support in terms of ensuring that equipment is acquired, training of staff is continuously undertaken and software is routinely acquired and updated have also influenced the performance of SMEs and indicates that adoption of CAS greatly influences the performance of SMEs. The study recommends that improved collaboration and knowledge sharing is imperative and should be encouraged among stakeholders in the SMEs in order to open up more opportunities d lower costs, save time, reduce the intensity of capital demanded in the adoption of CAS among SMESs. It is also recommended that the model is used to study performance of SMEs in other sectors of the economy.