Influence of Organizational Structure on the Quality of Computerized Accounting Systems among Small and Medium Enterprises in Nigeria

This study examined the influence of organizational structure on the quality of computerized accounting systems among small and medium enterprises in Nigeria. The method employed in the research was the survey methodology with the use of self-completed questionnaires administered to accounting/finance personnel, each from the sample of 370 firms selected from the population of 9,276 SMEs within the south-south region of Nigeria. The research data was analyzed using frequencies and the Pearson Product-Moment Correlation that was subjected to a t-transformation test. The results of the study indicate that there is a positive relationship between organizational structure and the quality of computerized accounting systems among SMEs, and that, overall, organizational structure has a positive influence on the quality of computerized accounting systems. This result implies that the form of organizational structure practiced by firms play significant role in determining the quality of their computerized accounting systems. Those managing SMEs as well as other practitioners and scholars would find the results of this study useful. The researcher has also suggested areas for further research that would help revalidate or extend the outcome of this study.

and integration dimensions of an organization's structure.

Computerized Accounting Systems and their Quality Measures
The accounting system is an aspect of an organization's framework that is designed to collect and process financial data as well as report information on the economic activities of the organization. (Hurt, 2013), and it has gradually migrated from the originally manual processes to computerized ones (Itang 2017). Computerized accounting systems (CAS), therefore, "involves the application of computers and related technologies in the collection, recording, storing, and processing of financial data , and interpreting and reporting financial information to stakeholders" (Itang, 2020a, p.39). The emergence of computerized accounting systems has led to the development of several accounting software by various software vendors to meet the needs both small and large organizations (Ismail & King, 2006), some of which are distributed commercially while others are available as open source applications (Mujat et al., 2013). The major advantages of accounting software include the fact that they enable the performance of the various stages in the accounting cycle with less human efforts, increased processing speed, accuracy, ease of retrieval of information, and employees motivation (Itang, 2017;Mujat et al., 2013). The emergence of cloud computing has also availed organizations with the benefit of using accounting applications on the web (cloud) without having to maintain any software or storage facilities in their offices (Wyslocka & Jelonek, 2015). Small and medium enterprises have been indicated to embrace the use of these computerized accounting systems in recent times, and the most adopted of such systems include QuickBooks, Peachtree (Sage 50), MS-Navision, Sage Pastel (Evolution), Tally ERP (Amidu, Effah & Abor, 2011;Itang, 2017Itang, , 2018Itang, , 2020b. The available accounting software are indicated to possess some characteristics, which typically defines the qualities and performance measures of the systems (Meiryani, 2014;Wisna, 2015). These performance measures could be expressed in terms of qualitative characteristics such as ease-of-use, flexibility, reliability, accessibility, speed, and accuracy (Meiryani et al., 2019;Thuan & Huong, 2019;Stair & Reynolds, 2010), as well as structural characteristics, namely, internal controls, automated data-processing, relational database, automated reporting, and enhancing technologies (Itang, 2020a). For the computerized accounting system to be reliable, it should be able to generate quality information (Stair & Reynolds, 2010), while integration ensures that the various components of the system such as hardware, data, people, procedures, and network devices are properly interrelated and coordinated for the successful functioning of the entire system (Susanto, 2013). As indicated by Itang (2020a), internal controls are essential to ensure authorization and authentication of users' access, accuracy of data, segregation of duties, data security and integrity, and maintenance of audit trail; automated data processing ensures that the accounting process is performed within the system without human intervention; relational database component ensures that the system has the capacity to store and retrieve large amount of data and information; automated reporting is the ability of the system to automatically generate reports based on predefined parameters; while the enhancing technologies refer to the various technological tools and devices adaptable to the system to enhance its efficiency, such as network devices, point-of-sale equipment, messaging and mailing applications, etc.

Organizational Structure and Quality of Computerized Accounting Systems
Like it is with every other computerized organizational function, the quality of computerized accounting systems employed by organizations is indicated to be influenced by certain factors including firm characteristics such as the structure, culture, and size of the organization. As noted by Kieso, Weygandt, and Warfield (2016), organizational structure plays a significant role in the successful implementation of accounting information systems among firms. Mukherji (2002), while studying the impact of information systems on organizations and structures, found that organizational structures and accounting information systems are interrelated and that both depend on each other for the holistic success of the organization.
Previous studies have indicated that organizational structure influences the quality of accounting information systems employed by firms. In a study on factors that influence the quality of accounting information systems among Malaysian private firms, Omar et al. (2016), using a quantitative cross-sectional method, administered standardized questionnaire to a convenient sample of 100 management and operational personnel with knowledge of accounting information systems selected from firm in various locations in Kuala Lumpur, Malaysia, found that that there is a significant relationship between organizational structure and quality of accounting information systems employed by firms. Salehi and Abdipour (2011), in their study of the barriers of accounting information systems implementation among listed firms in Tehran stock exchange, Turkey also indicated that organizational structure could impede the application of accounting information systems by firms. Nagappan, Murphy, and Basili (2009), in their study titled "The Influence of Organizational Structure on Software Quality: An Empirical Case Study", indicated that organizational structure has influence on the quality and effectiveness of accounting software implemented by organizations.
The results of the above reviewed studies support the position of Bouwens and Abernethy (2000) that the development and implementation of accounting information systems would not be successful without the consideration of the firm's organizational structure. However, none of the above indicated studies was conducted Research Journal of Finance and Accounting www.iiste.org ISSN 2222-1697 (Paper) ISSN 2222-2847 (Online) Vol.11, No.22, 2020 81 in the West African sub-region or Nigeria and hence, their results may not be conveniently generalized to firm in the country. The present study, therefore, sought to examine the influence of organizational structure on quality of computerized accounting systems among firms in Nigeria, with a focus on SMEs. Hence, the study hypothesis was postulated thus: HO: Organizational structure does not influence the quality of computerized accounting systems among SMEs in Nigeria

Study Design
The survey methodology was employed in this study, basically due to its advantages of inexpensiveness, quick data gathering, and allowance for empirical inferences (Kpolovie, 2016;Salhin et al., 2016;Totten, Panacek & Price, 1999). The 25-item CAS measurement tool developed by Itang (2020a) was adopted for assessing the quality of computerized accounting systems, while the scale employed by Kalay and Lynn (2016, p. 137) was adopted for assessing organizational structure in terms of centralization (6 items) and formalization (4 items). The above adopted scales were incorporated into the three-part questionnaire (see sample copy in Appendix) that was administered for the study.

Operationalization of the Study Variables
In this study, the independent variable, organizational structure, was operationalized based on two dimensions, namely centralization and formalization, with six measurement indicators for centralization and four for formalization. The dependent variable, quality of computerized accounting systems (CAS), on the other hand, was operationalized using the five structural characteristics posited by Itang (2020a), namely, internal controls, automated data-processing, relational database, automated reporting, and enhancing technologies. The details of the measures and indicators employed for each of the dimensions of organizational structure and quality of CAS are presented in Table 1.  Vol.11, No.22, 2020 POS interface (SET3) Documents upload (SET4) Email/SMS interface (ET5) Source: Adapted from Kalay and Lynn (2016) and Itang (2020a)

Study Population and Sample
SMEs operating within the south-south region of Nigeria formed the population of the study. As indicated by SMEDAN (2013), there are 9,276 SMEs in the south-south region of Nigeria and a random sample of 370 firms was drawn using the Krejcie and Morgan (1970) sample size determination table.

Data Collection and Analysis
A self-completed questionnaire was used to collect data for the study. The questionnaire was distributed to one finance and accounting officer in each of the 370 sampled firms., and 220 useful responses were received, giving an acceptable response rate of 60%. The research data were analyzed using frequencies and the Pearson Product-Moment Correlation with the help of the SPSS-Statistics software. As indicated by Laerd Statistics (n.d.), the Pearson correlation coefficient (r) ranges from -1 to +1, with a value less than 0 indicating a negative association, zero (0) indicating no association, and a value greater than 0 indicating a positive association. In testing the hypothesis, the significance of the correlation coefficients (r) was determined using the t-test transformation test, based on which the study hypotheses were rejected or accepted.

Reliability Tests
Though the measurement scales for the study was adopted from previously tested instruments, the researcher found it necessary to check the reliability of the scales considering the difference in the present study's context and scope. The Cronbach Alpha test of internal reliability (consistency) was used to test the reliability of the research instrument ,and as shown in Table 2, the result indicated that individual items on each of the rating scales have Cronbach's alpha coefficient (α) greater than 0.8 and satisfactory and acceptable total item Cronbach's alpha coefficient (α) of 0.946 and 0.928 for CAS and organizational structure measurement scales, respectively, which indicated that the research instrument was reliable and the results, therefore, generalizable.

Descriptive Analysis of Respondents
The respondents to the survey were finance and accounting officers, one from each of the sampled firms. As shown in Table 3, most of the respondents (40%) were Accountants or Account Officers, while 23.2% were Chief Accountants. Respondents with the job title of Finance or Accounts Manager were 21.8% and Chief Finance Officers of Financial Controllers were 10.9%, while 41% were Auditors.

Relationship between Organizational Structure and Quality of CAS
The objective of the study was to examine the relationship between organizational structure and quality of computerized accounting systems (CAS) among Nigerian SMEs. The Pearson Product Moment Correlation (PPMC) statistics was used in determining whether any relationship exists between the two variables. The result of the PPMC analysis, which is presented in Table 4, indicates that the correlation coefficients for all the measures and indicators of organizational structure and CAS are positive, with values ranging between 0.053 and 0.683. These results indicate that positive relationship exists between each measures of organizational structure and the indicators of computerized accounting systems quality. Therefore, in answer to the research question, it could be maintained that there is a positive relationship between organizational structure and quality of computerized accounting systems among SMEs in Nigeria.

Test of Hypothesis
The hypothesis of the study, stated in its null form, was that organizational structure does not influence the quality of computerized accounting systems among SMEs in Nigeria. For a more reliable result, the derived correlation coefficients shown in Table 3 were subjected to the t-transformation test using the following formula: where: r = Correlation coefficient; N = Number of paired scores. The calculated t-values (see Table 5) were compared with the critical t-values at 0.05 level of confidence, with 218 degrees of freedom. The null hypothesis was rejected where the calculated t-value is greater than the critical t-value of 1.962, else it was accepted.
Research Journal of Finance and Accounting www.iiste.org ISSN 2222-1697 (Paper) ISSN 2222-2847 (Online) Vol.11, No.22, 2020 Table 5 shows that the calculated t-value for each of the correlation coefficients (ranging between 1.985 and 10.808) is greater than the critical t-value (1.962) at 0.05 level of significance and degrees of freedom of 218; except for four pairs, namely, OSC1 -Decision-making/SAP1 -Seamless processing (t-value = 1.007), OSF1 -Standards-procedures/SAP1 -Seamless processing (t-value = 1.631), OSF3 -Required compliance/SAP1 -Seamless processing (t-value = 1.403), and OSF1 -Standards-procedures/SAP4 -Accounts balancing (t-value = 1.873), representing an insignificant 1.6% of the pairs of relationships. Hence, the null hypothesis that organizational structure does not influence the quality of computerized accounting systems among SMEs in Nigeria is rejected. The study, therefore, indicates that that organizational structure has positive influence on the quality of computerized accounting systems among small and medium enterprises.

Discussion of the Results
The objective of the study was to examine the relationship between organizational structure and the quality of computerized accounting systems and to ascertain the influence of organization structure on the quality of computerized accounting systems among small and medium enterprises (SMEs) in Nigeria. Two dimensions of organizational structure (centralization and formalization) and five dimensions of computerized accounting systems (CAS) quality measures (internal controls, automated data-processing, relational database, automated reporting, and enhancing technologies) were considered in the study. A total of ten indicators were used to measure organizational structure, while CAS quality was assessed using a total of 25 indicators (see Table 1). The results of the study show that there is a positive relationship between organizational structure and quality of computerized accounting systems among SMEs in Nigeria.
However, the study shows that out of the 250 pairs of variables indicators, no relationship exists between four pairs, namely, centralized decision-making/system seamless processing , formal compliance requirement/system seamless processing, formal standards and procedures/system seamless processing, and formal standards and procedures/system accounts-balancing. This implies that seamless processing and accounts balancing characteristics of computerized accounting systems, being two of the fundamental features of the systems, are not influenced by organizational structure in terms of decision-making process, standards, procedures, rules , regulations, and their degree of compliance. The reason for this deviation could relate to the fact that computerized accounting systems are basically designed to possess automated capabilities that are independent of external influences. Since over 98.8% of the paired indicators are found to have positive relationships, this result of the Research Journal of Finance and Accounting www.iiste.org ISSN 2222-1697(Paper) ISSN 2222-2847(Online) Vol.11, No.22, 2020 85 study, therefore, shows that organizational structure exerts some level of influence on the quality of computerized accounting systems. The results of the study support the position of Omar et al. (2016) that there exist a relationship between organizational structure and accounting information systems quality, and that organizational structure is one of the critical factors that influences the quality of accounting information systems among private firms in Kuala Lumpur, Malaysia. The study's results also support Thuan and Huong (2019), whose study result indicated that organizational structure has the greatest impact on the quality of accounting information systems among Vietnam firms.

Conclusion and Recommendations
The study's results indicate that there is a positive relationship between organizational structure and the quality of computerized accounting systems, and that organizational structure exerts positive influence on the quality of computerized accounting systems (accounting information systems) among SMEs in Nigeria. This result implies that the form of organizational structure practiced by an organization plays significant role in determining the quality of its computerized accounting (accounting information) system. However, there is an indication that whether organizations are centralized, formalized, or not, their decision-making process, standards, procedures, rules, regulations, and their level of compliance do not influence the seamless processing and accounts balancing capabilities of the accounting systems employed. The results of this study have implications for the management of SMEs, with respect to the role organizational structure play on the quality of their accounting systems. Suitable organizational structures should, therefore, be maintained by firms to enhance the quality of their accounting information systems and the accounting function generally.
The major limitation of this study is that it focused on only SMEs within the south-south region of Nigeria as the population of the study. However, based on the sampling procedure employed and the reliability of the research instrument, the result of the study can be generalized to the entire body of SMEs in the country. The application of the study's results could also be extended to SMEs in other neighboring West African countries. Further studies are recommended on this area of accounting practice, with samples drawn from different regions of the country to support the results of this study. The influence of other organizational factors such as firm size and organizational culture on the quality of computerized accounting systems among SMEs is also worth investigating. The researcher expects that that the results of the study would bridge the gap in the literature as well as extend the body of knowledge on computerized accounting or accounting information systems.

SECTION B: ORGANIZATIONAL STRUCTURE ASSESSMENT
The section assesses the organizational structure of your organization in terms of centralization and formalization dimensions based on the following scale: 1 = Strongly disagree (SD) 2 = Disagree (DA) 3 = Undecided (UN) 4 = Agree (AG) 5 = Strongly agree (SA) Please tick any of the boxes marked 1-5 as appropriate.
Item No.
Question/Statement SD DA UN AG SA Centralization 1 2 3 4 5 SC1 Our organization uses unique username to identify individual users of the accounting systems SC2 Every user accesses the accounting systems with unique password. SC3 Our organization's password policy requires periodic password change. SC4 In our accounting system every user's access is limited to specific features based on job functions. SC5 Only specific users can perform editing, deleting, and reporting functions in the accounting system. SC6 Our accounting system is managed by a dedicated administrator. Formalization 1 2 3 4 5 SF1 Our accounting system only accepts dates and numeric entries in specified formats. SF2 Our accounting system is set up to prevent duplicated source document entries. SF3 Our accounting system is set up to prevent wrong data type entries (e.g. numeric Vs alphabets). SF4 In our accounting system, data files are schedules for regular/periodic backups.

SECTION C: COMPUTERIZED ACCOUNTING SYSTEM QUALITY EVALUATION
The section evaluates the quality of the computerized accounting system used by your organization in five dimensions based on the following scale: 1 = Strongly disagree (SD) 2 = Disagree (DA) 3 = Undecided (UN) 4 = Agree (AG) 5 = Strongly agree (SA) Please tick any of the boxes marked 1-5 as appropriate.
Item No.

Question/Statement SD DA UN AG SA
Internal controls 1 2 3 4 5 IC1 In our computerized accounting system predefined users only can have access to the system with the use of passwords IC2 In our computerized accounting system users are assigned specific roles to ensure segregation of duties. IC3 Our computerized accounting system checks and confirms the accuracy of data entered in the systems IC4 Our computerized accounting system is protected from intrusions, information theft, and data manipulation. IC5 Our computerized accounting system can provide audit trail on users and transactions.