Abstract:

The objective of the study is to examine the impact of Accounting Information System (AIS) on the performance of retail businesses in Nigeria. Performance is measured using a balanced scorecard approach because it is an objective performance measurement approach. To measure performance with balanced scorecard approach, the study made use of internal business processes and financial indices. This study made use of survey research design and primary data was retrieved from 384 copies of questionnaire administered to retail businesses in Ogun State in Nigeria. The data was analysed using regression and paired sample t-test. The findings showed that there is a significant effect of AIS on internal business processes of retail businesses. There is a significant effect of AIS on the financial indices of retail businesses. The research has policy implications for owners of retail businesses as it is in their best interest to have a functional accounting information system no matter how small their retail business may be. Accounting professionals should seek to incorporate accounting information systems in the internal business processes of retail businesses. Retail businesses need to ensure that their accounting system is not a one-off event but a continuous process.