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© 2025 by the authors; licensee Asian Online Journal Publishing Group 
 

Economy 
Vol. 12, No. 2, 12-17, 2025 

ISSN(E) 2313-8181: / ISSN(P) 2518-0118: 
DOI: 10.20448/economy.v12i2.6776 

© 2025 by the authors; licensee Asian Online Journal Publishing Group 

 

 
 
 
 
Assessing the effect of use of computerized accounting systems on organizational 
performance: A focus on selected (NGOs) on the Copperbelt of Zambia 

 
Chalenga Laskey Mwila1  

Danny Leza2  

 

 

1,2The University of Zambia, Lusaka, Zambia. 

 
( Corresponding Author) 

Email: laskeymwila2015@gmail.com  
Email: laskeymwila2015@gmail.com 

 
Abstract 

The purpose of this study is to assess the effect of the use of computerized accounting systems on 
organizational performance and the effect it has on the performance of Non-governmental 
organization on the Copperbelt Province of Zambia.  The study uses a simple random sampling 
technique and employed a mixed method approach, quantitative and qualitative research design 
methodologies. This study employed a correlation analysis and a combination of data collection 
methods such as interviews, direct observation and questionnaires to gather the needed data to 
ascertain the relationship between variables. The findings showed 80% adoption rate; also 
confirmed that the use of computerized accounting systems in NGOs contributed positively to 
financial reporting practices that are required by funders. The results from correlation tests 
indicated that; there is a highly significant positive relationship between computerized accounting 
system (X) and performance (Y) in NGO’s with (r = 0.730, p = 0.022). It was concluded that, the 
use of computerized accounting system in these non-governmental organizations simplified a lot 
of tiresome work, such as invoicing and inventory management. If the adoption rate would move 
to a rate of 100%, there would be efficiency, transparency and appropriateness in the financial 
reporting structures in NGO’s. 

 
Keywords: Computerization, Financial reporting practices, Performance in non-government organizations. 

 
Citation | Mwila, C. L., & Leza, D. (2025). Assessing the effect of 
use of computerized accounting systems on organizational 
performance: A focus on selected (NGOs) on the Copperbelt of 
Zambia. Economy, 12(2), 12-17. 10.20448/economy.v12i2.6776 
History: 
Received: 7 March 2025 
Revised: 10 April 2025 
Accepted: 12 June 2025 
Published: 16 June 2025 
Licensed: This work is licensed under a Creative Commons 

Attribution 4.0 License  
Publisher:  Asian Online Journal Publishing Group 
 

Funding:   This research is supported by The University of Zambia Grant 
number: 0005376). 
Institutional Review Board Statement: The Ethical Committee of the The 
University of Zambia   has granted approval for this study on 5Th July, 2024  
Ref. No.HSSREC-2024-JUN-005. 
Transparency: The   authors   confirm   that   the   manuscript   is   an   
honest, accurate, and transparent account of the study; that no vital features of 
the study have been omitted; and that any discrepancies from the study as 
planned have been explained. This study followed all ethical practices during 
writing. 
Data Availability Statement: The  corresponding  author  may  provide  
study data upon reasonable request 
Competing Interests: The authors declare that they have no competing 
interests. 
Authors’ Contributions: Both authors contributed equally to the conception 
and design of the study. Both authors have read and agreed to the published 
version of the manuscript. 

 

Contents 
1. Introduction ...................................................................................................................................................................................... 13 
2. Literature ........................................................................................................................................................................................... 13 
3. Methodology of the Study ............................................................................................................................................................. 14 
4. Findings of the Study ...................................................................................................................................................................... 14 
5. Discussions of Findings .................................................................................................................................................................. 15 
6. Conclusions and Recommendations ............................................................................................................................................. 16 
References .............................................................................................................................................................................................. 16 
 

 

 

 

https://creativecommons.org/licenses/by/4.0/
https://creativecommons.org/licenses/by/4.0/
https://www.doi.org/10.20448/economy.v12i2.6776
https://orcid.org/0009-0003-9844-5592
https://orcid.org/0000-0002-8573-1392


Economy, 2025, 12(2): 12-17 

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Contribution of this paper to the literature  
All of the previous studies evaluated were conducted in foreign contexts (such as Nigeria, Indonesia, Iran, 
Jordan, Saudi Arabia [UAE], Sri Lanka, and so on), not in Zambia, and not in multinational enterprises, 
with NGOs serving as the primary implementation. As a result, their findings cannot be extrapolated or 
applied to Zambian non-governmental organizations.  

 
1. Introduction 

Computerized accounting plays a very big function in many organizations in improving working conditions. 
(Wickramasinghe, Cooray, Dissanayake, & Pemarathna, 2017). In order to improve efficiency and productivity, 
many companies adopt the use of computers to perform critical functions, including accounting functions; 
development of payroll systems, control of inventory, budgeting, cost and profit analysis. The development and 
availability of computerized accounting system tools help in the elimination of errors and enhance performance 
(Sherman & Young, 2016).  
Financial reporting activities typically include details provided in statements of operations, position statements, 
cash flow statements, funding sources, and disclosure statements. According to Kingi (2013) It is a computerized 
system in which financial transactions are collected or entered into a computer and analyzed in order to generate 
necessary documents and thus journalize the financial records to provide the required accounting journals. 
According to the IFRS Foundation (2015) primary goal of a computerized accounting system is to produce reliable 
and accurate information or statements on a timely basis. This makes the reports to be relevant, intelligible, 
verifiable, and comparative to others. Many public and private businesses are making the transition to 
computerized accounting systems owing to the drawbacks that come with non-computerization.  
 

1.1. Problem Statement 
Technological advancements have led to increased computerization in various sectors, including NGOs. 

However, the adoption rate of computerized accounting systems in Zambia remains uncertain. NGOs are expected 
to maintain accurate and transparent financial records, but many do not. Researchers are interested in 
understanding the accounting systems used by Zambian NGOs to increase productivity and efficiency. It is 
believed that inadequate record keeping in non-governmental organizations has led to insufficient financial 
responsibility on the whole, a symptom of both a deficiency in internal controls and accounting systems. Non-
governmental organizations must be investigated, it is a significant source of concern for commercial and 
government institutions to establish the credibility of their reporting system. This issue has resulted in the most 
significant financial scandal to influence organizational trust. Therefore, the researcher sought to assess the 
adoption and use of computerized accounting systems in non-governmental organizations on the Copperbelt and 
its effect on performance. 

 

1.2. Purpose of the Study 
The study sought to assess the effect of use of computerized accounting systems on organizational performance 

and the effect it has on the performance of Non-organizations on the Copperbelt Province of Zambia. 
 

1.3. Objectives of the Study 
The objectives of the study were to examine the rate of adoption of computerized accounting systems in NGOs 

in the Copperbelt Province of Zambia and establish the strength of the relationship between computerized 
accounting systems and organizational performance in NGOs in the Copperbelt Province of Zambia. 

 
1.4. Research Questions  

The research question to be answered was. 
1. What is the adoption rate of computerized accounting systems in NGOs on the Copperbelt Province?  
2. What is the strength of the relationship between the computerized accounting system and the organizational 

performance of NGOs on the Copperbelt? 2.2 Critique of Literature Review  
Several writers examined the connection between an organization's performance and its computerized 

accounting system.  
• Akande (2016) concur that computerized systems improve production performance.  
• Rehab (2018) found that the use of computerized accounting information systems improves the financial 

standing of most businesses.  
•  In contrast to Ahmed (2017) analysis, which found no significant correlation between computerized 

accounting systems and organizational performance, none of the aforementioned writers examined the 
relationship between computerized accounting systems and the operations of non-governmental 
organizations. 

 

1.5. Significance of the Study 
This study's findings may contribute to the current body of knowledge and provide a better understanding of 

the computerized accounting system in non-governmental organizations in terms of organizational performance. 
The conclusions from this study may also be relevant to the stakeholders working in non-governmental 
organizations. 

 

2. Literature 
Technological advancements have led to increased computerization in various sectors, including NGOs. 

However, the adoption rate of computerized accounting systems in Zambia remains uncertain. NGOs are expected 
to maintain accurate and transparent financial records, but many do not. Researchers are interested in 
understanding the accounting systems used by Zambian NGOs to increase productivity and efficiency. Numerous 



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research projects have been carried out to investigate the connection between local and global organizational 
performance and computerized accounting systems. According to studies by Adelisa (2017); Akesinro and Adetoso 
(2016) and Akande (2016) computerized accounting systems can enhance factory performance. Therefore, improved 
performance is a result of using computerized accounting systems in conjunction with transparency and employee 
training. In a similar study, Abubakar (2013) presented financial performance possibilities for CAS installations 
that could improve the financial performance of depository institutions via computerized accounting. As a result, 
Rehab (2018); Agbim (2013) and Khan (2017) discovered that implementing computerized accounting improved the 
financial reporting system. Studies by Ali, Omar, and Bakar (2016); Ayman and Barjoyai (2019) and Asep, Acip, and 
Hamidah (2014) have shown that computerized accounting systems have a considerable impact on the 
organization's continuous performance. 
 

3. Methodology of the Study 
3.1. Research Study Area 

The study focused on four towns in the Copperbelt province of Zambia: Kitwe, Mufulira, Chingola, and Ndola. 
Of these, 100 sample size were chosen, with 40, 20, 20 and 20 respondents chosen in each of the towns. 

 

3.2. Study Design 
This study used a mixed method approach, quantitative and qualitative research design methodologies. 
 

3.3. Research Instruments 
This study used three basic data collection methods. 

• One to one interview. 
• Observations. 
• Physical and online questionnaires. 

 

3.4. Sample Size 
A sample size of 100 respondents, including departmental heads, cashiers, accountants, senior officers, and 

departmental managers was chosen specifically to demonstrate the degree of validity of the instruments. The 
researcher used a Simple Random Technique to choose respondents from 5 NGOs, focusing on employees and staff 
working in Finance & Accounting, Human Resources (HR), Management, and Donor Staff.  

 

3.5. Data Processing 
Data processing was done by the researcher to validate the information gathered. This was done to guarantee 

that the data collected is uniform and complete. The researcher edited the data, making sure it was accurate and 
valid and that there were no potential gaps, omissions, or mistakes. 

 

3.6. Data Analysis  
Quantitative data were analysed graphically, this was further entered onto a computer and encoded using the 

Statistical Product and Service Solutions (SPSS).  
Qualitative data were analysed using the constant Comparative Method. This involved making reading 

through the data carefully and noting how the data collected is related to the research questions (Strauss & Corbin, 
1990). 

 

4. Findings of the Study 
The question to be answered was. 

1. What is the adoption rate of computerized accounting systems in NGOs on the Copperbelt Province?  
The study revealed that of the five NGOs that were visited, four had adopted computerized accounting systems 

in place, representing an 80% adoption rate, and only one was using a manual accounting system, representing a 
20% non-adoption rate in Chingola town on the Copperbelt province of Zambia, as depicted in the table below: 4.0 
Findings of the study 

The question to be answered was. 
2. What is the strength of the relationship between the computerized accounting system and the organizational 

performance of NGOs on the Copperbelt? 
The test findings showed that the performance of non-governmental organizations and their computerized 

accounting system had a highly significant positive relationship (r = 0.730, p = 0.022). Following the Pearson 
Correlation criteria on degrees of correlation in the Data Analysis Section, which specify that when r is (-1 to +1) 
shows a high score implies high association, while a score near zero indicates no correlation, the researcher came to 
this result. 

 
Table 1. Presents adoption of computerized system. 

Towns KITWE MUFULIRA CHINGOLA NDOLA TOTAL % 

Adoption 2 1 0 1 4 80% 
Non-adoption 0 0 1 0 1 20% 
No. of NGO's selected 2 1 1 1 5 100% 
 

During the investigation, it was also observed that four of the organizations had computerized accounting 
systems, two NGOs adopted the system 2-3 years ago, one NGO implemented the system 6-7 years ago, and one 
NGO adopted the system 7 or more years ago. According to the responses, Sage Pastel is utilized in three of the 
four non-governmental organizations (NGOs) on the Copperbelt, accounting for 75% of the software's usage. 
QuickBooks was identified at one NGO, accounting for 25% of the product's use on the Copperbelt. The initial cost 



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of installation, user-friendliness, and maintenance cost were identified as the primary variables driving 
management's acceptance and implementation of accounting software in non-governmental organizations. Cost 
benefits and other considerations like training, worker adaptation, maintenance costs, and after-sales services have 
less impact on adoption decisions. 

Table 2 Presents Test findings Computerization and Performance. 
 

Table 2. Test findings computerization and performance. 

Correlation of computerized accounting system and performance 

Performance 

Computerization 

Pearson Correlation (r) 0.730 

Sig. (2-tailed) 0.022 

N 100 

 
The results of the research showed an advantageous connection between the performance of non-governmental 

organizations in the Copperbelt and computerized accounting systems. The respondents went so far as to say that 
an organization's performance can be affected by the design and upkeep of its accounting system. Computerized 
accounting systems encourage employees to work hard, which improves performance over time.  It was also 
discovered that the positive impacts of a computerized accounting system were not only focused on punctuality, 
productivity, and understandability, but also increased transparency, resulting in (Openness, Honesty, and 
Reliability) in the organization. This is in line with the findings of Needles and Powers (1999) who emphasized in 
their book that an effective accounting system achieves the organization's main goals. They also mentioned that 
trustworthy accounting records are produced by effective accounting systems. As a result, effective computerized 
accounting systems may help the company accomplish its goals. Another benefit of the computerized accounting 
system that the researcher discovered during the investigation was proper accountability. 

 

5. Discussions of Findings 
5.1. Adoption 

It can be seen in Table 1 that 80% represents adoption rate and 20% non-adoption rate.  According to the 
responses, the adoption of a computerized accounting system achieves the organization's overall objectives. It was 
noted, however, that a number of factors influence the computerization of accounting systems, including the size of 
the business, the number of highly qualified employees, the availability of funds for the system's purchase and 
maintenance, and the availability of legitimate software for these companies to use. 

This agrees with Needles and Powers (1999) who stressed in their book that a good Computerized Accounting 
System accomplishes the broad objectives of the organization. Further, this is supported by Adelisa (2017) who 
concluded that a computerized accounting system gathers, organizes, analyzes, interprets, and presents data to 
users for the decision-making process. "An organization can run smoothly, and produce good reports even without 
computerization, even in the olden days organizations were still operating effectively" This was one of the 
statements made by a Human Resources Department representative. This implies that there are still those who are 
at ease with manual accounting and yet hold the belief that computers should not be used. A few people in the 
Copperbelt Province have not recognized the disadvantages of a manual accounting system. According to the 
study's findings, most non-governmental organizations are transitioning to computerization, nevertheless at a slow 
rate compared to how technology is evolving. The book "Fundamental Accounting Principles" by Larson and 
Jensen (2015) emphasizes that an accounting information system is made up of different parts that collect and 
process raw financial data to provide timely, accurate, cost-effective, and relevant information for users inside and 
outside the company. What the researcher discovered was consistent with Hamidah (2014) quote that 
"computerized accounting systems have a considerable impact on the organization's continuous performance" and 
the researcher strongly believes that the cost of software installation influenced computerized accounting adoption. 
Most software with a high installation cost is not widely adopted. The factors driving adoption, according to 
respondents, also included maintenance costs and user usability. The majority of non-governmental organizations 
(NGOs) don't use accounting systems that are hard to use or comprehend and require high maintenance costs. 
Additionally, it was found that the benefits of computerization have increased the relevance, comprehensibility, 
reliability, and comparability of the financial information these NGOs provide to funders, as well as the speed, 
timeliness, correctness, and quality of reports. The effects are evident in the ongoing support that local non-
governmental organizations (NGOs) receive, particularly when contrasting the money received by those who 
utilize computerized accounting systems with that of those who do not. 

 

5.2. Computerization and Performance 
According to Qatanani and Hezabr (2015) and Fardinal (2013) computerized accounting systems benefit from 

built-in internal control features. These features allow the system to implement and execute various administrative 
and internal accounting controls at various stages of the accounting process, such as financial statement 
preparation, reconciliations, and budgeting. Ahmed (2017) and Onaolapo and Odetayo (2012) on the other hand, 
found a favorable but not significant relationship between computerized accounting systems and organizational 
performance in SMEs in Kenya. Additionally, Oladipupo and Ajape (2013) and Bawa, Mustapha, and Ahmed (2018) 
discovered a significant impact on accounts receivable management utilizing Computerized Accounting System 
(CAS)  among Nigerian Small and Medium Enterprises (SMEs) using the ANOVA analytic methodology.  

According to Ayman and Barjoyai (2019) there is a strong and positive correlation between CAS and the 
performance of the banking sector. The results from this study showed that the performance of non-governmental 
organizations (NGOs) and their computerized accounting system had a highly significant positive relationship. 
This is also supported by one respondent from the Accounts Department who remarked that "When the 
accounting system is poor, so is the reporting structure and quality of output reports" The findings of this study 
demonstrated a considerable positive relationship between performance in non-governmental organizations 



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(NGOs) and computerization. Although computerization requires large expenditures, the benefits far surpass the 
expenses. It was also established that transparency in reporting, error-free reports, and meaningful reports 
promote smart decision-making and help to ensure the continuous flow of funding from contributors. 

 

6. Conclusions and Recommendations 
According to the study, most local non-governmental organizations in the Copperbelt are able to consistently 

secure funding because they have maintained appropriate computerized accounting systems that have improved the 
relevance and value of their financial reporting system. The study suggests the adoption and computerization of 
the financial reporting and accounting procedures of non-governmental organizations. This enhances staff 
members' technological proficiency and benefits the company as a whole, bringing value to the workforce.  

Technology is moving at an advanced pace and it is the main reason why many NGOs are migrating to 
computerized accounting systems because computerization comes with more benefits ranging from accuracy in 
reporting, transparency enhancement, and quick decision-making processes. This has brought about strong 
financial reporting procedures in many business sectors of the economy and many donors are now demanding that 
non-governmental organizations computerize their accounting systems. 
 

6.1. Recommendations 
The study recommends management training and personnel development in order to be up to date with 

technological advancements and professional career development. It also suggests a higher adoption rate from 80% 
to 100%. Funders expect accurate and transparent reporting from NGOs, so all organizations must join forces to 
improve transparency and reporting through computerized accounting systems. Organizations should hire 
competent staff who can quickly adapt to new system changes and use computers. Vendors of accounting software 
should host webinars to promote their products. The study also emphasizes the importance of computerized 
accounting systems in organizations for accountability, asset protection, and proper record-keeping.  

 

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