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BY
JUNE,2020
CERTIFICATION
This is to certify that Jolayemi Pelumi Harriet with Matric number 17D/7BAM/044 carried out this
research work titled Effect of Management Information System on Small Business Performance in Ilorin
Metropolis under my supervision and that this research work has not been previously submitted for the
award of any degree in this or any other university
ii
DECLARATION
It is hereby declared that this research was undertaken by JolayemiPelumi Harriet. It is based on the
original study in the department of business and entrepreneurship, school of business and governance,
Kwara state university Malete, under the supervision of Dr Ismail Yusuf idea and views of this research
work are products of researchers have been duly expressed and acknowledged.
Dr.AbuZekeri ...................................
Head of department Signature & Date
iii
DEDICATION
This project is dedicated to God Almighty, my parents and Everyone who contributed to the success of
this project
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ACKNOWLEDGEMENT
I would like to express my thanks to the people who have helped me most throughout my project.
I am grateful to my Lecturer Dr Yusuf Ismail for nonstop support for the project.
A special thank of mine goes to my Parents, Mr and Mrs Jolayemi for their support in making this
project a success.
I would also like to acknowledge and thank Mrs Bimpe Gbemisola Adeyemi, Hon. Adenike
oshatimehin, Dr J Ade Afolabi, and Mr Toba Olalekan Adeyemi for their unending support not only on
Also my Sincere gratitude goes to my closet friends Arazu Kosisochukwu and Oluremi Rukayat for
And finally to God who made all the things possible for me till the end.
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ABSTRACT
Today’s business enterprises require to experience the challenge of responding to turbulent
market change. They are requiring to meet the rising customer requirements and to provide the
quality product within a short product lifecycle in this era all business functionalities (internal
as well as external) of a business organization is invariably depends on storage, retrieving and
manipulating the available ‘information’ with the help of certain computer based systems. Start
from gathering the requirements, till the product delivery via production process, are centrally
controlled by certain computer systems. However, this study aims at investigating the Effect of
Management Information System on Small Business Performance in Ilorin Metropolis. The research
questions provide answer to how management information system affects the performance of
small business in Ilorin. The population of the study comprises of the selected small business
(i.e.94) in which the whole population was distributed were 76 copies of the questionnaire was
returned. Multiple Regression was employed in analyzing data collected with the aid of
Statistical Package for Social Science (SPSS) version 20. The findings revealed that the
independents variables which are accounting management system and human resource
management system are significant with Dependent variables which are market share and profit
maximization. Also, the study recommends that small business in Ilorin should implement
accounting management system and human resource management system for effective
improvement in the market share and profit maximization
Key terms: Accounting Management System, Human Resource Management System, Market
Share and Profit Maximization
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TABLE OF CONTENT
Pages
Title page...............................................................................................................................i
Certification........................................................................................................................ii
Declaration...........................................................................................................................iii
Dedication...........................................................................................................................iv
Acknowledgement..............................................................................................................v
Abstract...............................................................................................................................vi
Table of contents.................................................................................................................vi
1.10 Operationalization........................................................................................................................6
vii
2.0 Preamble………….........................................................................................................................8
2.1 Conceptual Review.......................................................................................................................9
3.0 Preamble………………..............................................................................................................24
viii
CHAPTER FOUR: DATA PRESENTATION, ANALYSIS AND INTERPRETATION
4.1 Introduction..................................................................................................................... 27
5.1 Introduction.........................................................................................................................51
5.3 Conclusion....................................................................................................................... 52
5.4 Recommendation...............................................................................................................53
References.........................................................................................................................55
Appendix............................................................................................................................59
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Chapter One
Introduction
1.1 Background of The Study
Today’s business enterprises require to experience the challenge of responding to turbulent
market change. They are requiring to meet the rising customer requirements and to provide the
quality product within a short product lifecycle in this era all business functionalities (internal as
well as external) of a business organization is invariably depends on storage, retrieving and
manipulating the available ‘information’ with the help of certain computer based systems. Start
from gathering the requirements, till the product delivery via production process, are centrally
controlled by certain computer systems. Thereby every business operation in major business
organizations is invariably under the control of automation systems. Management information
system (MIS) is one such computer based (business specific) information system used to store
and retrieves business related information; further it helps meeting the organizational strategic
and tactical business goals.
As the importance of management information systems (MIS) has dramatically increased during
the past decade, organizational performance partly depends on the management information
systems in order to offer services with greater satisfaction to customers, accessing a wider range
of valuable information, handling business changes at greater speed, and increasing the
productivity of workers effectively and efficiently. A modern organisation could not be imagined
without an efficient information system. Subsequent to numerous researches, no doubts were left
that implementation of an information system in an organisation could bring a lot of benefits in
dealing with internal and external tasks that a company might face in day-to-day operations and
long-term decision making (Pabedinskaitė 2010). Continuous technological development not
only resulted in increased performance of hardware and software, lowered the prices and offered
a greater choice of information systems for most businesses, but also became yet another factor
that promoted the spread of computerized systems all over the globe. Provided it was
implemented correctly, management information system, which was integrated into business
processes of an enterprise, is one of the major factors that increase business performance.
According to Hooper & Page (1997) “management information system is the sum of all the tools,
techniques and procedures used by business to process data”. Fisher & Kenny (2000) “suggested
1
that organizations infuse information systems into their operations so as to enhance
competitiveness and facilitate growth and success”. It is important to note that, for every
organization that function and performs very well, there must be timely, relevant, accurate,
pertinent and unambiguous information behind it. The essence of information is to retrieve and
access data and facts that will be used in running the day-today activities of a business
organization and to enable managers make effective decision. For instance, quality information
enables the sales manager decide which of the salesman that will be rewarded at the end of the
year for doing exceptionally well.
However, benefits of a specific management information system could differ from one company
to another, depending on an economic sector, in which the enterprise operates, and business
processes, for which the MIS was procured. Estimation of potential benefits of an information
system is difficult because of the aggregate amount of direct and indirect benefits, both
intangible and tangible this has now led to the research work titled the Effect of Management
Information System on Small business in Ilorin.Performance in Ilorin Metropolis.
The system of Management Information System shows that communication is needed to carry
out the managerial functions and for linking the organizations with its external environment.
Management Information System provides communication link that makes the activities and
responsibilities surrounding management or managers possible. This research sought to find out
the impact of management information systems to improve small business in Ilorin.performance
in Ilorin metropolis. By knowing the impact would correct the situation in management
information systems and make the most of all these systems and to correct mistake, if any, and
then be able to update and improve the performance of management information system on small
business performance in Ilorin metropolis.
3
1.4 Research Objectives
The aim of this research is to investigate the effect of management information system on small
business performance in Ilorin metropolis as a case study of selected business in Ilorin, while
other objectives are to;
i. Explore the impact of Accounting management system on the Market share of small
business in Ilorin.
ii. Determines the extent in which Accounting management system affect the Profit
maximization of small business in Ilorin.
iii. Examine the extent in which Human resource management system affect the Market share
of small business in Ilorin.
iv. Identify how Human resource management system affects the Profit maximization of small
business in Ilorin.
4
information to further research work in such areas. In the same way, the study will provide
knowledge and guidelines to reveal if employee’s Market share affects the overall goal of the
organization.
5
institutions, industry regulators, government and for future recommendations,
references/bibliography and appendices.
1.10 Operationalization
Topic: Effect of Management Information System on Small business performance In Ilorin
Metropolis A Case Study Of Selected Business In Ilorin. There for we have two constructs (X &
Y)
MIS (X) Small business in Ilorin.
Performance (Y)
X=f (Y)
Where X= (x1,x2,x3,x4......xn) Y=(y1,y2,y3,y4.......yn)
X= Independent Construct Y= Dependent Construct
MIS Business Performance
x1 = Accounting Management System y1 = Increased Market share
x2 = Human Resource Management System y2 = Increased Profit
x3 = Marketing Management System y3 = Efficiency
x4 = Manufacturing System Management y4 = Effectiveness
Selected Variables
For the purpose of this research work, the following terms shall mean the terms ascribed to
them i.e. the definition of some relevant term in this study will aid the understanding of the
study.
6
Business Performance:
This is defined as the extent to which organizations viewed as social systems achieved their
objectives (McNamara 2010).
MIS is basically concerned with the process of collecting, processing, storing and transmitting
relevant information to support decision making in any organizations (Laudon and Laudon,
2007)
7
Chapter Two
Literature Review
2.0 Preamble
This section examines previous literature related to the effect of management information
system on business performance and it is divided into four sections and they are; conceptual
review, theoretical review, empirical review and gaps in literature.
8
quantitative, verifiable, accessible, precise free from bias, timely clear, appropriate and
comprehensive.
9
process through which planning, organizing, initiating and controlling of operations within
business is carried out. Similarly, management was defined as the process that deals with
methods and techniques of efficiently and effectively using organization’s resources to achieve
set results (Ottih, 1995). In furtherance, information refers to stream of data that have been
processed to the form that it makes sense to its users. Succinctly put, information is organized
data that has meaning. On the other hand, system is an assemblage of different but interrelated
and interdependent parts that functions as a whole to achieve common interest (Gabriel, 2013), a
set of elements joined together for a common objective (Kumar, 2006). Judging from these
views, it is arguable that every system comprises parts, are interrelated and interconnected;
becomes one entity and consequently pursues common goal. Drawing from the foregoing, it
seemingly appears that defining MIS is now a simple task, but that is not exactly so. Lucey
(2005) averred that there is no universally accepted definition of MIS and those that exist reflects
the emphasis and prejudices of the particular scholar that offers it. However, the subject has
attracted the following definitions: an integrated system of providing information to support
operations management and decision making functions in an organization (Ajayi and Omirin,
2007). In their own views, MIS is basically concerned with the process of collecting, processing,
storing and transmitting relevant information to support decision making in any organizations
(Laudon and Laudon, 2007); a system to convert data from internal and external sources into
information; and to communicate that information in an appropriate form to managers at all
levels, in all functions to enable them make timely and effective decisions for planning, directing
and controlling the activities for which they are responsible (Bee and Bee, 1999).
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this is a subset of an organization’s MIS that provides accounting and financial information plus
other information obtained in routine processing of accounting transactions- aggregate
information relating to accounts payable, accounts receivable, payroll, and many other
applications. This subsystem is used to produce external reports, decision support, planning and
control, etcetera.
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• MIS system should be composed of integrated sub systems with the ability of forward
and backward looking systems.
• MIS system should be capable of planning and controlling the clearly defined business
activities.
• MIS system should be capable of generating the reports that can help the management at
all level in planning and controlling all of their current and expected business activities.
• MIS system should be able to retrieve the information about the operations control at
appropriate time and should allow the transactional data processing.
• For the timely response, MIS system should have the batch processing as well as
interactive operational modes.
• In order to store the data that is being frequently accessed, MIS system should use all of
the data protection procedures that can assure to authorize user in more protective way.
• In order to extract the relative information quickly, MIS system should have appropriate
data storage medium like random or direct access storage. In order to generate the
meaningful and affective output for the ongoing control operations, MIS system should
enable the standard and custom made model that must have the storage medium for the
online data.
2.1.6.1 Relevance
This type of information characteristics is of the truth. The overriding quality information must
be relevant to the problem being considered; though information may take different forms.
Examples are: reports, messages, tabulation etc. The positive effect it has on the problem or
needs at hand will mainly be the functions of its relevance otherwise. The absence of this quality
relevant will make understanding of the message more difficult and may eventually cause
frustration to the user.
2.1.6.2 Accuracy
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Information should be sufficiently accurate for it to be relied upon by those in the management
team and for the purpose for which it is intended. Even though absolute accuracy may not be
obtainable, yet the level of accuracy must be related to the decision level involved. Also,
accuracy should not be confused with precision. Information may be inaccurate but precise or
vice-versa.
2.1.6.3 Time
Good information is that which is communicated in time to be used. The time of regular
produced information is essentially important in this regards. In fact, information should be
produced at a frequency which is related to the type of decision or actually involved.
2.1.6.4 Details
Information should contain the least amount of details consistent with effective decision making.
The level of details usually varies with the level in the organization.
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2.1.8Important Role of Management Information System
The role of the MIS in an organization can be compared to the role of heart in the body. The
information is the blood and MIS is the heart. In the body the heart plays the role of supplying
pure blood to all the elements of the body including the brain. The heart work faster and supplies
more blood when needed. It regulates and controls the incoming impure blood, processed it and
sends it to the destination in the quantity needed. It fulfills the needs of blood supply to human
body in normal course and also in crisis.
The MIS plays exactly the same role in the organization. The system ensures that an appropriate
data is collected from the various sources, processed and send further to all the needy
destinations. The system is expected to fulfill the information needs of an individual, a group of
individuals, the management functionaries: the managers and top management.
• The MIS satisfies the diverse needs through variety of systems such as query system,
analysis system, modeling system and decision support system.
• The MIS helps in strategic planning, management control, operational control and
transaction processing.
• The MIS helps in the clerical personal in the transaction processing and answers the
queries on the data pertaining to the transaction, the status of a particular record and
reference on a variety of documents.
• The MIS helps the junior management personnel by providing the operational data for
planning, scheduling and control , and helps them further in decision-making at the
operation level to correct an out of control situation.
• The MIS helps the middle management in short term planning, target setting and
controlling the business functions. It is supported by the use of the management tools of
planning and control.
• The MIS helps the top level management in goal setting, strategic planning and evolving
the business plans and their implementation.
• The MIS plays the role of information generation, communication, problem
identification and helps in the process of decision-making. The MIS, therefore, plays a
vital role in the management, administration and operation of an organization.
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2.1.9 Business Performance
In the early 50’s organization performance was defined as the extent to which organizations
viewed as social systems achieved their objectives (McNamara 2010). Later between 1960 and
1970 organizations had begun to discover new ways to assess their performance, as a result
organizational performance was defined as an organizational ability to exploit its environment
for gain access to and use the limited resources (Yuchtsman& Seashore, 1967). In between 1980
and 1990 there was an understanding that identification of organizational objectives was a more
complicated process than what was considered at first, Directors started to comprehend that an
organization is just prosperous if it successfully achieves its objectives using least resources
(effectiveness). Along these lines, the consequent organizational hypotheses held to the
possibility of an organization that accomplishes its performance purposes in spite of the
imperatives forced by restricted resources (Lushes & Adrian, 1998). In this viewpoint, benefit
has been one of the numerous measures of performance.
15
(Muya&Gathogo, 2016). Thus, firms are likely to gain a lot of benefits related increased
profitability (Niresh&Velnampy, 2014). One important precondition for any long-term survival
and success of a firm is profitability. It is profitability that attracts investors and the business is
likely to survive for a long period of time (Farah & Nina, 2016). Many firms strive to improve
their profitability and they do spend countless hours on meetings trying to come up with a way of
reducing operating costs as well as on how to increase their sales (Schreibfeder, 2006).
There are many different ways to increase market share; companies usually use a combination of
strategies. Sometimes something as basic as increasing advertising can have huge effects, as can
adjusting pricing. Breaking products into groups and targeting them at specific demographics can
also increase this percentage, as can making of complementary products. Another strategy is
improving the product or service itself, which can attract customers from competitors, though
this can be difficult, so many companies try to grow along with a growing market rather than
trying to take business from the competition (Sliden, 2014 cited in Ong’ong’a, 2005).
Market share is a key indicator of market competitiveness; how well a firm is doing against its
competitors. This metric, supplemented by changes in sales revenue, helps managers evaluate
both primary and selective demand in their market. It enables them to judge not only total market
growth or decline but also trends in customers’ selections among competitors. Generally, sales
growth resulting from primary demand (total market growth) is less costly and more profitable
than that achieved by capturing share from competitors. Conversely, losses in market share can
16
signal serious long-term problems that require strategic adjustments. Firms with market shares
below a certain level may not be viable. Similarly, within a firm’s product line, market share
trends for individual products are considered early indicators of future opportunities or problems
(Armstrong and Greene, 2007).
The MIS creates another impact in the organization which relates to the understanding of the
business itself. The MIS begins with the definition of data, entity and its attributes. It uses a
dictionary of data, entity and attributes, respectively, designed for information generation in the
organization. Since all the information systems use the dictionary, there is common
understanding of terms and terminology in the organization bringing clarity in the
communication and a similar understanding of an event in the organization. The MIS calls for a
systematization of the business operations for an effective system design. This leads to streaming
of the operations which complicates the system design. It improves the administration of the
business by bringing a discipline in its operations as everybody is required to follow and use
systems and procedures. This process brings a high degree of professionalism in the business
operations.
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The goals and objectives of the MIS are the products of business goals and objectives. It helps
indirectly to pull the entire organization in one direction towards the corporate goals and
objectives by providing the relevant information to the organization. A well designed system
with a focus on the manager makes an impact on the managerial efficiency. The fund of
information motivates an enlightened manager to use a variety of tools of the management. It
helps him to resort to such exercises as experimentation and modeling. The use of computers
enables him to use the tools and techniques which are impossible to use manually. The ready-
made packages make this task simple. The impact is on the managerial ability to perform. It
improves decision-making ability considerably high. Since, the MIS work on the basic system
such as transaction processing and database, the drudgery of the clerical work is transferred to
the computerized system, relieving the human mind for better work. It will be observed that lot
of manpower is engaged in this activity in the organization. Seventy (70) percent of the time is
spent in recording, searching, processing and communicating. This MIS has a direct impact on
this overhead. It creates information –based working culture in the organization.
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but there was a clear attempt to follow the process of normal science. If we examine this stream
of research in light of Eccles' quote at the beginning of the paper, we can conclude that this
research stream produced important, significant results.
19
it died an inglorious death at the hands of Huber (1983). It was a "failure" for MIS, but it must be
considered scientific progress based on Eccles' criteria.
The study of (Al Omari, 2009) "The impact of management information systems
computerized on the performance of employees in the Palestinian Telecommunications
Company" The aim of this study was to identify the impact of management information systems
computerized on the performance of employees in the Palestinian Telecommunications
Company. The study have several conclusions, including: there the impact of significant
statistical requirements for the operation of management information systems (physical,
software, human resources, organizational) on the performance of employees in the
telecommunications company, its recommended as the need to keep pace with technological
developments in the field of management information systems, participation of workers in the
process of designing management information systems development and work to make
information available to users to meet the needs of work
In the Study of (Mkaharsh, 2007) the aim of this study was to discover the causes of the
low quality of public service organizations in government and to identify the downsides of
management work within them, and to see how the application of human resources information
systems, and their effectiveness in the development of administrative work within them, the
study found the weakness interesting departments of governmental organizations to organize
human resources information It also concluded that the nature of bureaucracy dominated by
administrative methods within governmental organizations, and the most important
recommendations of the study need to find information network unified include all governmental
organizations, and the need to restructure procedures and laws necessary for the completion of
each public service to shorten the proceedings unnecessary, shorten the time and effort to the
employee to increase the speed of delivery.
Study of (Al Saudy, 2006), which aimed to identify the impact of management
information systems computerized on the performance of employees in the Social Security
Corporation of Jordan, the most important results is that the perceptions of respondents towards
supplies on operating system information came highly, perceptions of respondents towards
20
functionality came medium, having the effect of key input for the management and operation of
the system of computerized information (physical, software, human, organizational) in
functionality, the most important recommended to increase support of top management for users
by encouraging them to use the system, understand their different needs and to explore their
views about the problems they face when using the system until it is overcome.
Study of (Al Bashabash, 2005) aimed to identify the reality of the quality of management
information systems at the Social Security Corporation and the level of functionality in Jordan,
the study found the most important results and having a significant impact to the quality of
management information systems in raising the level of functionality. There is a statistically
significant relationship between the powerful information systems with its various dimensions
and functionality; the study recommended the need to keep touch with technological
developments in the field of information systems.
Study of (Al Sharfa, 2004) aims to evaluate the information systems in the Ministry of
Health in the Gaza Strip through the assessment of computerized systems major and identify the
various factors affecting the use from the standpoint of its users, the results of the study may
contribute to the development of these systems and provide decision-makers with information
that help them in adopting supportive policies for health information systems, the study showed
that 74% of users of information systems Computerized have positive trends on these systems,
its including recommendation as the interest in the development mechanism of technical support
for both hardware and equipment, and computerized systems for all computerized information
systems in the Department of Health and work to identify the training needs of users, especially
new.
The purpose of the study of (Ioannou, 2007) is to provide systems support a resolution
can be managed Commercial Bank of evaluation, and the restructuring of its branch network,
which was held in Greece on the ten branches of banks Greek The study found that through the
proposed system can branch network to operate efficiently and effectively with potential to
generate other branches, as stating the proposed system to increase performance, and
effectiveness of the bank in the case of exposure to economic changes The study recommended
the need to identify ways to help monitor, and update the system proposed length of time, the use
21
of entrances modern statistical development banks across the network, attention to the impact of
competition on re- Sort Bank
(Chang, 2005), studies measure the efficiency of the performance of information systems.
The aim of this study to developed a model to measure the performance of information systems
based on the input and output functions of information systems, its used to support the efficiency
of functional processes and improve the functioning of the institutions, the tool proposed in this
paper contains three outputs and trends to assess the efficiency of the system and the
effectiveness of information, as well as its impact on the performance of employees, the
effectiveness of the information represented in the quality of information in the design. Model
was applied to ensure the effectiveness of using questionnaires distributed to the (346) system
users in 149 different institutions have been selected in a random manner, was to ensure the
effectiveness of the model. Its positive impact on the effectiveness of organizations and improve
the efficiency of its operations. This study distinguishes from previous studies it used diverse
variables and measure the impact of information systems to improve performance in the
municipalities were conducted in the municipalities of northern Jordan for the first time and was
confined to the municipalities as all previous studies conducted on the sectors of banking and
other sectors are not municipalities in Jordan, which are not intended to profitability but they are
22
interested in the services sector and the development of the local community is an important
sector in Jordan.
Much has been written on Management Information System and business performance.
However, most studies discuss the ways Information System can affect employee’s performance
in an organization. As against the above, little or no effort has been made to investigate how the
contribution of Management Information System can go a long way in affecting business
performance.
In respect to the above, this research work will go a long way in addressing the issues of
Management Information System and business performance.
23
Chapter Three
Methodology
3.0 Preamble
The chapter will examine the research design and the research methodology that will be
adopted in answering the research question and testing the research hypothesis regarding the
effect of management information system on Small business performance in Ilorin
Metropolis.The chapter will also be discussing on research philosophy, population of study,
sample size determination, sampling techniques, source of data, research Instruments, validity of
research instruments, reliability of the research Instruments and ethical consideration.
3.1 Research Methods
Research method consists of all techniques that are used for conducting research. For the
purpose of this research, survey and observation methods will be used. Apart from this method,
there are other methods such as case study, archival, action research, grounded theory, Ipso
factor etc. survey and observation method is considered to be more suitable because the
population is too large to be studied. Moreover, these methods give room for flexibility in terms
of data collection.
3.2 Research Philosophy
The philosophy guiding this research work is epistemological (Knowledge based). And
the approach for this study is pragmatism, it allows for a mix method (qualitative and
quantitative). It will involve distribution of questionnaires, whereby the opinion of respondents
will be collected so as to use it for the research work. Furthermore, the researcher will observe
the selected case studies and its activities while interviewing the staffs in order to validate the
data to be collected.
24
3.3 Research Design
This section will provide a detailed outline on how the data will be collected in order to
deliver valid, reliable and accurate results. This study will adopt both qualitative and quantitative
method, as to enable the researcher to describe and explain clearly, the phenomenon under study.
Due to time constraint, the study will also adopt the cross sectional time horizon as well as
prospective reference period. It allows the researcher to view the current situation and predict the
future. This research will use both primary and secondary data for the purpose of analysis.
3.4 Population of study
The population relates to the total number of items or unit in any field of enquiry
(Kothari, 2004). According to Otokiti (2010) population referred to as full set of cases from
which a sample is taken. The population to be studied is 94, and according to Sturtly (2003) he
said, when the population is less than thirty (<30), the entire population should be studied but
when it is greater than thirty (>30), the sampling size should be determined.
3.5 Sample Size Determination
Owing to the fact that, it is impossible to study the entire population due to some
constraints. To obtain a valid representative sample from the total population, the researcher will
adopt Taro Yamane (1976) formula which is stated as follows
N
n¿
1+ N∗¿ ¿
n= sample size
N= population size
e= sampling error when e= 0.05
94
n¿
1+ 94∗¿ ¿
94
n¿
1+ 94∗(0.0025)
94
n¿
1.235
n= 76.11
n= 76 (approximately)
3.6 Sample Frame
25
The sample frame describes the list of the accessible population from which the sample
will be drawn. For this study, out of 94 total populations, the questionnaires will be given to 76
employees according to what is determined using Taro Yamane formula to represent the whole
population.
3.7 Sampling Techniques
This study made use of non-probability sampling techniques to select participant for the
study. Convenience sampling techniques is used so as to make the researcher get adequate
information at his disposal conveniently.
Convenience sampling was then adopted to select participant in a larger population for a
study by assigning unique numbers to members of the target population that includes 1-10 digits
numbers in such a way that each digit selected in each numbers has no connection or relationship
with the previous or subsequent digits.
3.8 Sources of Data
There are two main sources of data, primary and secondary sources of data. This study
will utilize primary source of data due to the nature of the research, this will be done by
distributing questionnaires to the employees and a bit of personal interview by the researcher.
3.9 Research Instruments
This research is a qualitative and quantitative research. The core assumption of this form
of inquiry is that the combination of both approaches provides more complete understanding of
the research problem than either approach alone (Collis and Hussey 2003). The questionnaires
will be closing ended (structured) in order to restrain the respondents from derailing from
expected results (Kothari, 2004). The structured questionnaires allows for coding and
quantitative analysis. In designing the questionnaires, Likert scaling technique will be used from
a 5 point (strongly agree) to 1point (strongly disagree). The researcher will also employ an
interview method (open ended) especially for the management.
3.10 Validity of research instruments
In clarifying the validity of the research instrument to deliver objective response, four
types of validity has been identified such as content validity, predictive validity, con-current
validity, construct validity. In order to test the validity of this research, the interviewed majorly
will be on final year students and the work of other scholars relating to this research work will be
reviewed for comparison.
26
3.11 Reliability of research instrument
Research reliability relates to the consistency in results obtained. There are various methods of
testing the reliability e.g. test re-test, split half test etc. For the purpose of this research, test& re-
test will be adopted. Three weeks’ interval will be given after first administration of
questionnaires to test the reliability of the first results obtained.
3.12 Ethical Consideration
While carrying out the research, the respondents will neither be pressurized nor intruded to the
privacy of respondents/students in any way. The information to be gathered will be treated with
extreme caution and the identity of respondents/students remains confidential. The consent of the
organizations will be sought before commencement of the research. Moreover, this research will
avoid any form of inappropriate use of information which can affect the safety of the
respondents.
CHAPTER FOUR
4.1 Introduction
This chapter presents the data analysis techniques and interpretation of the findings of the Effect of
Management Information System on Small Business Performance in Ilorin Metropolis. The finding was
intended on answering the study’s research objectives. Data composed was collated and reports were
produced in form of tables and figures and qualitative analysis done in prose.
76 questionnaires were distributed to know the “Effect of Management Information System on Small
Business Performance in Ilorin Metropolis” out of which 72 questionnaires were correctly filled and
collected while the rest copies which is 4 were either not filled appropriately or returned. The questions
have been grouped in order to give the overall true intention of the interviewees. Similarly, research
findings have been presented in different forms that comprise statistical output and respective
interpretation, cross tabulations.
27
4.3.1 Distribution by Gender
The study sought to establish the distribution by gender of the respondents in selection of the sample. It
was observed that majority (52.7%) of the respondents were female while 47.3% of the sample were
male, this was interpreted to mean that more females than males
4.3.1 Table 1
Gender
Cumulative
Frequency Percent Valid Percent Percent
Valid Male 36 47.3 47.3 47.3
Female 40 52.7 52.7 100.0
Total 76 100.0 100.0
Source: Field Survey, 2020
The data above illustrates that 36 of the respondents are male with a percentage of 47.3% and 40 of the
respondents are female with a percentage of 52.7% which means that there are more female respondents
with a frequency of 40 and a percentage of 52.7%.
4.3.2 Table 2
Age
Cumulative
Frequency Percent Valid Percent Percent
Valid less than 30 years 9 11.3 11.3 11.3
31-40 years 44 58.2 58.2 58.2
41-50 years 21 27.6 27.6 27.6
51 and above 2 2.9 2.1 100.0
Total 76 100.0 100.0
Source: Field Survey, 2020
The table above indicates that 9 of the respondents with a percentage of 11.3 % are less than 3o years, 44
of the respondents with a percentage of 58.2 are between the age range of 31-40years, 21(27.6%) are
between the age range of 41-50years and the least of the respondents are between the age range of
28
4.3.3 Table 3
Marital status
Cumulative
Frequency Percent Valid Percent Percent
Valid Single 16 20.5 20.5 76.2
married 57 76.2 76.2 96.7
widowed 3 3.3 3.3 100.0
Total 76 100.0 100.0
Source: Field Survey, 2020
It can be depicted from the above table that 16(20.5%) of the respondents are single, 57(76.2%) of the
respondents are married while 3(3.3%) of the respondents are widowed. This means that most of the
Table for the educational status depicts that there are 31 respondents amounting to 40.0% are Secondary
school leaver, 37 of the respondents amounting to 48.8% are NCE/OND holder, 7 of the respondents
amounting to 9.6% are HND/B.Sc. holder and 1 of the respondents amounting to 1.6% areholders of
Other certificates. This means that there are more respondents who are NCE/OND holder.
29
4.3.5 Table 5 Working Experience
Frequency Percent Valid Percent Cumulative Percent
Valid Less than 5years 15 19.9 19.9 19.9
5-10years 39 51.2 51.2 51.2
11-20years 22 28.9 28.9 100.0
Total 76 100.0 100.0
Source: Filed Survey, 2020
The above table depicts that 15 of the respondents amounting to 19.9% have a working experience of less
than 5years, 39 of the respondents amounting to 51.2% have a working experience of between 5-10years
and 22 of the respondents with a percentage of 28.9% have a working experience of 11-20years. This
means that there are more respondents with a working experience of 5-10years.
It can be depicted from the above table that 59 of the respondents which is the highest amounting to
enables you to stay up to date with the latest industry trends .’ while 1 of the respondents
30
amounting to 1.6% which is the least option undecided to the statement that “ Implementation of
accounting management system enables you to stay up to date with the latest industry
trends.”
4.3.7 Budget are been analysed in order to define investment for future actions.
Frequency Percent Valid Percent Cumulative Percent
Valid strongly disagree 4 5.0 5.0 5.0
Disagree 3 3.8 3.8 8.8
Undecided 11 14.6 14.6 23.4
Agree 43 56.1 56.1 79.5
strongly agree 16 20.5 20.5 100.0
Total 76 100.0 100.0
Source: Field Survey, 2020
The above data illustrates that there are more respondents with a frequency and percentage of 43(56.1%)
who agreed to the statement that :budget are been analysed in order to define investment for
future actions’ and the least of the respondents disagreed to the statement with a
frequency and percentage of 3(3.8%).
4.3.8 Final target are been achieved since accounting management system allows for
Table 4.3.8 shows that 33 (43.2%) of the respondents amounting to the highest agrees to the statement
that “final target are been achieved since accounting management system allows for
31
coordination of various activities in an organisation. .” while 4 (5.6%) which constitutes the
least of the respondents disagrees to the statement that “ Final target are been achieved since
management system.
Cumulative
Frequency Percent Valid Percent Percent
Valid Strongly Agreed 23 30.4 30.4 30.4
Agreed 24 32.0 32.0 62.4
Undecided 13 17.6 17.6 80.0
Disagreed 15 19.2 19.2 99.2
Strongly Disagreed 1 .8 .8 100.0
Total 76 100.0 100.0
Source: Filed Survey, 2020.
the above table shows that 24 of the respondents which is the highest amounting to 32.0% Agreed to the
statement that “Operational goals are easily achieved with the implementation of accounting
management system..’ while 1 of the respondents amounting to 0.8% which is the least option
strongly disagrees to the statement that “ Operational goals are easily achieved with the
32
Total 76 100.0 100.0
Source: Filed Survey, 2020
The above table indicates that 64 of the respondents which is the highest, amounting to 51.2% strongly
agrees to the statement that “ accounting management helps in the control function by
producing performance reports and control reports which highlight variances between
expected and actual performances.” While least of the respondents disagrees to the statement that
“accounting management helps in the control function by producing performance reports
and control reports which highlight variances between expected and actual
performances.
4.3.11 Paper works are been reduced which allows for a standardised processing of
employee information.
Frequency Percent Valid Percent Cumulative Percent
Valid strongly disagree 2 2.5 2.5 2.5
Disagree 6 7.9 7.9 10.5
Undecided 14 18.8 18.8 29.3
Agree 31 40.6 40.6 69.9
strongly agree 23 30.1 30.1 100.0
Total 76 100.0 100.0
Source: Field Survey, 2020
The data above depicts that 31 of the respondents which is the highest agreed to the above statement that
Paper works are been reduced which allows for a standardised processing of employee
information, while 2 of the respondents which is the lowest strongly disagreed to the
statement that Paper works are been reduced which allows for a standardised processing
of employee information.
33
Frequency Percent Valid Percent Cumulative Percent
Valid strongly disagree 5 7.1 7.1 7.1
Disagree 6 8.4 8.4 15.5
Undecided 10 13.8 13.8 29.3
agree 26 34.3 34.3 63.6
strongly agree 28 36.4 36.4 100.0
Total 76 100.0 100.0
Source: Field Survey, 2020
The data above illustrates that 28 of the respondents with a percentage of 36.4% has the highest
respondents which is strongly agreed and 5 of the respondents which is the lowest strongly disagreed to
the statement that emergence of consistency in human resource management practices are
It can be depicted from the above table that 59 of the respondents which is the highest amounting to
77.6% Agreed to the statement that “Improvement in occupational safety are been guaranteed .’
while 1 of the respondents amounting to 1.6% which is the least option undecided to the statement that
compensation plan.
34
Frequency Percent Valid Percent Cumulative Percent
Valid strongly disagree 1 1.7 1.7 1.7
Disagree 6 8.4 8.4 10.0
Undecided 14 18.4 18.4 28.5
Agree 38 50.6 50.6 79.1
strongly agree 16 20.9 20.9 100.0
Total 76 100.0 100.0
Source: Field Survey, 2020
As depicted by the above data, 38 of the respondents with a percentage of 50.6% agreed to the statement
that ‘HRMS makes it easy to develop a standardized, fair and strategic compensation plan’
and the least of the respondents with a percentage of 1(1.7) strongly disagreed to the
statement that HRMS makes it easy to develop a standardized, fair and strategic
compensation plan.
35
reflect both the benefits and response to the employee's and the
The data above depicts that 29(38.5%) of the respondents agreed to the above statement
needs are been made easy. While 1(1.7%) of the respondents which is the
36
As depicted by the above data, 34 of the respondents with a percentage of 44.8% agreed to the statement
that ‘MIS Provides timely information needed to occupy a particular market space.’ and
the least of the respondents with a percentage of 2(2.1) strongly disagreed to the
statement that MIS Provides timely information needed to occupy a particular market
space.
The data above depicts that 31 of the respondents which is the highest agreed to the above statement that
4.3.18 The tracking and monitoring of the functional targets becomes easy which
37
Frequency Percent Valid Percent Cumulative Percent
Valid strongly disagree 1 1.7 1.7 1.7
Disagree 6 7.9 7.9 9.6
Undecided 11 14.2 14.2 23.8
Agree 29 38.5 38.5 62.3
strongly agree 28 37.7 37.7 100.0
Total 76 100.0 100.0
Source: Field Survey, 2020
The data above depicts that 29(38.5%) of the respondents agreed to the above statement
that ‘The tracking and monitoring of the functional targets becomes easy which allows
4.3.19 The MIS calls for a systematization of the target customers which allows for
an effective system design.
Frequency Percent Valid Percent Cumulative Percent
Valid strongly disagree 4 5.0 5.0 5.0
Disagree 3 3.8 3.8 8.8
Undecided 11 14.6 14.6 23.4
Agree 43 56.1 56.1 79.5
strongly agree 16 20.5 20.5 100.0
Total 76 100.0 100.0
Source: Field Survey, 2020
The above data illustrates that there are more respondents with a frequency and percentage of 43(56.1%)
who agreed to the statement that : The MIS calls for a systematization of the target customers
which allows for an effective system design. and the least of the respondents disagreed to
the statement with a frequency and percentage of 3(3.8%).
38
4.3.20 Customers are ease from the stress of re-order since the past purchase are
properly kept in the organisation data base of each customers.
Frequency Percent Valid Percent Cumulative Percent
Valid strongly disagree 2 2.9 2.9 2.9
Disagree 4 5.4 5.4 8.4
Undecided 17 23.0 23.0 31.4
Agree 37 48.1 48.1 79.5
strongly agree 16 20.5 20.5 100.0
Total 76 100.0 100.0
Source: Field Survey, 2020
It can be seen in the above data that 37 of the respondents with a percentage of 48.1% agreed to the
statement that customers are ease from the stress of re-order since the past purchase are
properly kept in the organisation data base of each customers while 2 of the respondents
which is the lowest strongly disagreed with the statement that Customers are ease from
the stress of re-order since the past purchase are properly kept in the organisation data
4.3.21 One of the major contributing factors to the maximization of profit is management
information system.
39
As depicted by the above data, 38 of the respondents with a percentage of 50.6% agreed to the statement
that ‘one of the major contributing factor to the maximization of profit is management
information system’ and the least of the respondents with a percentage of 1(1.7) strongly
disagreed to the statement that ‘one of the major contributing factor to the maximization
4.3.22 Information about a market are easily generated with the implementation of
The data above depicts that 29(38.5%) of the respondents agreed to the above statement
that ‘The tracking and monitoring of the functional targets becomes easy which allows
40
4.3.23 Operational goals are easily achieved with the implementation of management
information system.
Frequency Percent Valid Percent Cumulative Percent
Valid strongly disagree 5 6.7 6.7 6.7
Disagree 4 5.9 5.9 12.6
Undecided 15 19.7 19.7 32.2
Agree 35 46.4 46.4 78.7
strongly agree 16 21.3 21.3 100.0
Total 76 100.0 100.0
Source: Field Survey, 2020
The data above depicts that 35 (46.4%) of the respondents agreed to the above statement
that ‘Operational goals are easily achieved with the implementation of management
4.3.24 Relevant information needed to pull the entire organization in one direction
The data above depicts that 29(38.5%) of the respondents agreed to the above statement
that ‘Relevant information needed to pull the entire organization in one direction towards
the corporate goals and objectives are been provided.While 1(1.7%) of the
41
respondents which is the lowest Strongly disagreed to the above
statement.
4.3.25 Quick decision are been made which assist in the selection and implementation
It can be depicted from the above table that 59 of the respondents which is the highest amounting to
77.6% Agreed to the statement that “Quick decision are been made which assist in the selection
42
4.4..1 Hypothesis one
H1: There is no significant effect of Accounting management system on the Market share of Small
business in Ilorin.
The result from the model summary table above shows the effect of Accounting management system on
the Market share of Small business in Ilorin shows to be 77.6% (R square 0.776). while the remaining
23% is due to other variables that are not included in the model. This mean that the
regression (model formulated) is useful for making predictions since the value of R 2 is
close to 1
4.4.1.2 ANOVAb
Model Sum of Mean
Squares Df Square F Sig.
1 Regression 5097.047 1 5097.047 818.708 .000a
Residual 1475.497 74 6.226
Total 6572.544 75
The table above summarized the results of an analysis of variation in the dependent
variable with large value of regression sum of squares ( 5097.047) in comparison to the
residual sum of squares with value of 1475.497 (this value indicated that the model does
not fail to explain a lot of the variation in the dependent variables. However, the
estimated F-value (818.708) as given in the table above with significance value of 0.000,
which is less than p-value of 0.05 (p<0.05) which means that the explanatory variable
43
elements as a whole can jointly influence change in the dependent variable (Market
share).
4.4.1.3 Coefficientsa
Standardized
Unstandardized Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 2.228 .552 4.037 .000
Accounting
management .733 .065 .715 11.339 .000
system
a. Dependent Variable: Market share
Interpretation
The dependent variable as shown in the table 4.4.2.3 was Market Share. This was used as a yardstick to
examine the relationship between the two variables (i.e. Accounting management system and Market
share). The predictors isAccounting management system, as depicted in table 4.4.2.3, it is obvious that
there is a direct relationship between Accounting management system and Market share).
According to the result in the table above Accounting management system t-test coefficient is 4.037 and
the P-value is 0.000 which is less than 0.05 (i.e. P<0.05). This means that these variables are statistically
significant at 5% significant level. The general swift of this regression outcome in relations to the
coefficient of Accounting management system on the market share of Small business in Ilorin.
Decision Rule
As a result of the outcome, the Null Hypothesis (H O1) is rejected on the basis that the p-value is less 0.05.
Hence the alternative hypothesis is accepted, that Accounting management system has a significant effect
on market share of Small business in Ilorin. The consequence from the test of hypothesis one as stated
above lined up with the outcomes of Al Omari, 2009 , as it was discovered in his book titled “impact of
management information systems computerized on the performance of employees in the Palestinian
Telecommunications Company.” that adoption of accounting information system has a positive
relationship on the market share of small business in Ilorin. Hence, it explains how significant hypothesis
one is to be recommended to the market share of small business in Ilorin.
44
4.4.2.1 Hypothesis two
H2: There is no significant effect of Accounting management system on the Profit
maximization of Small business in Ilorin.
the Profit maximization of Small business in Ilorin shows to be 76 % (R square 0.7\64). while the
remaining 23% is due to other variables that are not included in the model. This mean
that the regression (model formulated) is useful for making predictions since the value of
R2 is close to 1
4.4.2.2 ANOVAb
Model Sum of Squares Df Mean Square F Sig.
1 Regression 5021.141 1 5021.141 767.054 .000a
Residual 1551.403 74 6.546
Total 6572.544 76
Source: Field Survey, 2020
a. Predictors: (Constant), Accounting Management System
b. Profit Maximization
The table above summarized the results of an analysis of variation in the dependent
variable with large value of regression sum of squares ( 5021.141) in comparison to the
residual sum of squares with value of 1551.403 (this value indicated that the model does
not fail to explain a lot of the variation in the dependent variables. However, the
estimated F-value (767.054) as given in the table above with significance value of 0.000,
which is less than p-value of 0.05 (p<0.05) which means that the explanatory variable
elements as a whole can jointly influence change in the dependent variable ( Profit
Maximization).
4.4.2.3 Coefficientsa
45
Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 6.556 .862 7.609 .000
Accounting
management .279 .096 .253 2.899 .004
system
a. Dependent Variable: Profit Maximization
Interpretation
The dependent variable as shown in the table 4.4.2.3 was Market Share. This was used as a
yardstick to examine the relationship between the two variables (i.e. Accounting management
system and Profit Maximization). The predictors isAccounting management system, as depicted
in table 4.4.2.3, it is obvious that there is a direct relationship between Accounting management
system and Profit Maximization).
According to the result in the table above Accounting management system t-test coefficient is
7.609 and the P-value is 0.000 which is less than 0.05 (i.e. P<0.05). This means that these
variables are statistically significant at 5% significant level. The general swift of this regression
outcome in relations to the coefficient of Accounting management system on the Profit
Maximization of Small business in Ilorin.
Decision Rule
As a result of the outcome, the Null Hypothesis (H O1) is rejected on the basis that the p-value is
less 0.05. Hence the alternative hypothesis is accepted, that Accounting management system has
a significant effect on Profit Maximization of Small business in Ilorin. The consequence from
the test of hypothesis one as stated above lined up with the outcomes of Al Saudy, 2006, as it
was discovered in his book titled “impact to the quality of management information systems in
raising the level of functionality.” that adoption of accounting information system has a positive
relationship on the market share of small business in Ilorin. Hence, it explains how significant
hypothesis one is to be recommended to the Profit Maximizationof small business in Ilorin.
46
4.4.3 Hypothesis 3
H3: There is no significant effect of Human resource management system on the Market
share of Small business in Ilorin.
4.4.3.1 Model Summary
Std. Error of the
Model R R Square Adjusted R Square Estimate
1 .735a .541 .537 1.88536
a. Predictors: (Constant), Human resource management system
The model summary as indicated in table 4.4.3.1 above shows that R Square is 0.54; this implies
that 54% of variation in the dependent variable (Market Share) were explained by the
Independent variable (Human resource management system ) while the remaining 46% is due to
other variables that are not included in the model. This mean that the regression (model
formulated) is useful for making predictions since the value of R2 is close to 1.
4.4.3.2 4ANOVAa
Sum of
Model Squares df Mean Square F Sig.
1 Regression 515.220 1 515.220 144.946 .000b
Residual 437.212 74 3.555
Total 952.432 75
a. Dependent Variable: Market Share
b. Predictors: (Constant), Human resource management system
The table above summarized the results of an analysis of variation in the dependent variable with
large value of regression sum of squares (515.220) in comparison to the residual sum of squares
with value of 437.212 (this value indicated that the model does not fail to explain a lot of the
variation in the dependent variables. However, the estimated F-value (144.946) as given in the
table above with significance value of 0.000, which is less than p-value of 0.05 (p<0.05) which
means that the explanatory variable elements as a whole can jointly influence change in the
dependent variable (Market Share).
47
4.4.3.3 Coefficientsa
Standardized
Unstandardized Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 2.146 .523 4.099 .000
Human resource
.754 .063 .735 12.039 .000
management system
a. Dependent Variable: Market Share
Interpretation
The dependent variable as shown in the table 4.4.3.3 was Market Share. This was used as a
yardstick to examine the relationship between the two variables (i.e. Human resource
management system and Market Share). The predictors is Human resource management system,
as depicted in table 4.4.3.3, it is obvious that there is a direct relationship between Human
resource management system and Market Share).
According to the result in the table above Accounting management system t-test coefficient is
4.099 and the P-value is 0.000 which is less than 0.05 (i.e. P<0.05). This means that these
variables are statistically significant at 5% significant level. The general swift of this regression
outcome in relations to the coefficient of Human resource management system on the Market
Share of Small business in Ilorin.
Decision Rule
As a result of the outcome, the Null Hypothesis (H O1) is rejected on the basis that the p-value is
less 0.05. Hence the alternative hypothesis is accepted, that Human resource management
system has a significant effect on Market share of Small business in Ilorin. The consequence
from the test of hypothesis one as stated above lined up with the outcomes of Al Saudy, 2006, as
it was discovered in his book titled “impact to the quality of management information systems in
raising the level of functionality.” that adoption of Human resource management system has a
positive relationship on the market share of small business in Ilorin. Hence, it explains how
48
significant hypothesis one is to be recommended to the Profit Maximizationof small business in
Ilorin.
4.4.4 Hypothesis 4
H4: There is no significant effect of Human resource management system on the Profit
maximization of Small business in Ilorin.
4.4.4.1 Model Summary
Std. Error of the
Model R R Square Adjusted R Square Estimate
1 .715a .511 .507 1.91871
a. Predictors: (Constant), Human resource management system
The model summary as indicated in table 4.4.4.1 above shows that R Square is 0.51; this
implies that 51% of variation in the dependent variable ( Profit maximization) were
explained by the Independent variable ( Human resource management system) while the
remaining 49% is due to other variables that are not included in the model. This mean
that the regression (model formulated) is useful for making predictions since the value of
R2 is close to 1
4.4.4.2 ANOVAa
Model Sum of Squares df Mean Square F Sig.
1 Regression 473.309 1 473.309 128.566 .000b
Residual 452.819 74 3.681
Total 926.128 75
a. Dependent Variable: Profit maximization
b. Predictors: (Constant), Human resource management system
The table above summarized the results of an analysis of variation in the dependent
variable with large value of regression sum of squares (473.309) in comparison to the
residual sum of squares with value of 452.819 (this value indicated that the model does
not fail to explain a lot of the variation in the dependent variables. However, the
estimated F-value (128.566) as given in the table above with significance value of 0.000,
49
which is less than p-value of 0.05 (p<0.05) which means that the explanatory variable
elements as a whole can jointly influence change in the dependent variable ( Profit
maximization).
4.4.4.3 Coefficientsa
Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 2.228 .552 4.037 .000
Human resource
management .733 .065 .715 11.339 .000
system
a. Dependent Variable: Profit maximization
The dependent variable as shown in the table 4.4.4.3 was Profit maximization. This was used as
a yardstick to examine the relationship between the two variables (i.e. Human resource
management system and Profit maximization). The predictors isHuman resource management
system, as depicted in table 4.4.4.3, it is obvious that there is a direct relationship between
Human resource management systemand Profit maximization.
According to the result in the table above Human resource management systemt-test coefficient
is 4.037and the P-value is 0.000 which is less than 0.05 (i.e. P<0.05). This means that these
variables are statistically significant at 5% significant level. The general swift of this regression
outcome in relations to the coefficient of Human resource management systemon the Profit
maximizationbusiness in Ilorin.
Decision Rule
As a result of the outcome, the Null Hypothesis (H O1) is rejected on the basis that the p-value is
less 0.05. Hence the alternative hypothesis is accepted, that Human resource management
systemhas a significant effect on Profit maximization small business in Ilorin. The consequence
from the test of hypothesis one as stated above lined up with the outcomes of Supattra, 2007, as
50
it was discovered in their articles titled “management information systems and information on
the efficiency of the administrative work and job satisfaction.” that adoption of Profit
maximizationhas a positive significant relationship on the Profit maximization of small
business. Hence, it explains how significant hypothesis one is to be recommended to the Profit
maximization of an organization.
CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATIONS
5.1 INTRODUCTION
This chapter is the concluding part of the study which addressed the summary of the findings of
the study, the conclusions made, the recommendations of the study, the contributions to
knowledge and suggestions for further study.
The purpose of this study is to Effect of Management Information System on Small Business
Performance in Ilorin Metropolis. Four hypotheses were put forward in the course of the research
which was tested using regression analysis and correlation analysis.
5.2 SUMMARY
The research work started with the chapter one with the introductory part discussing the
background of the topic chosen to the best of the researchers’ knowledge which was followed by
a clear definition of the statement of research problem that underpins the research as observed by
the researcher while also taking cognizance of prior studies by scholars. Four specific objectives
were drawn out to address the overriding objective- to look into the Effect of Management
Information System on Small Business Performance in Ilorin Metropolis.
51
However, hypothesis one state There is no significant effect of Accounting management system
on the Market share of Small business in Ilorin, as it was revealed that the performance of small
business in Ilorin is hugely influenced by the type of management system implemented that is
been put into practice. Also, improvement in achieving a positive operational service is as a
result of the management system that is been put into use. This study however aligns with the
findings of Al Omari, 2009, where it was discovered that management information system goes a
long way in affecting the over performance of the organisation.
Furthermore, hypothesis two seeks to clarify that There is no significant effect of Accounting
management system on the Profit maximization of Small business in Ilorin. Hence, the study
established that improvement in the profit maximization is as a result of the application of
Accounting management system in the day to day running of the business organisation. Also, the
study revealed that Profit maximization of Small business in Ilorin tends to improve when small
business in Ilorin makes use Accounting management system. In addition, the study revealed that
increase in the Profit maximization of Small business in Ilorin as a result of is as a result of the
type of management information system implemented Hence, this study supports the findings of
Al Saudy, 2006, where it was revealed that Accounting management system goes a long on the
overall performance of the organisation.
In addition, hypothesis three states that There is no significant effect of Human resource
management system on the Market share of Small business in Ilorin.. However, the study found
that the Human resource management system of has assisted in managing the day to day
activities of the organization and this has assisted in enhancing the market share of Small
business in Ilorin. Furthermore, the study also found that Human resource management system
helps to enhances sales and operation of small business in Ilorin. In furtherance, the study
discovered that market share in the operations of the organization has a link with
implementation of Human resource management system. This study then aligns with the study
of Al Saudy, 2006, where it was discovered that management information system goes a long way
in affecting the over performance of the organisation.
52
Lastly, hypothesis four states There is no significant effect of Human resource management
system on the Profit maximization of Small business in Ilorin.. Also, Human resources
management contribute to the increase in the Profit maximization of Small business in Ilorin.
Also, the study revealed that Profit maximization of Small business in Ilorin tends to improve
when Human resource management system is been implemented in the service rendering and
sales of product. This finding goes in line with the study of Supattra, 2007, where their study
revealed that management information system goes a long on the overall performance of the
organisation.
5.3 Conclusions
The study concluded that Accounting management system does affect the Market share of Small
business in Ilorin. and this has been proven in the study as allowing swift increase in the overall
performance of small business in Ilorin.
Also, the study concluded that Accounting management system has a significant effect on the on
the Profit maximization of Small business in Ilorin which was shown in the cause of the study as
accounting management system of Profit maximization of small business in Ilorin is improved as
a result of the type of management information system implemented.
In addition, the study concluded that Human resource management system does affect the
effectiveness of Market share of Small business in Ilorin as business owner tends be more
productive, and also experience a positive change in the overall performance of their
organisation.
Lastly, the study concluded that Human resource management system does affect the Profit
maximization of Small business in Ilorin. This was proven to be correct considering the results of
the findings as it showed that profit maximization of Small business in Ilorin tends to improve
drastically when they are well represented at the decision-making level of the organization.
53
5.4 Recommendations
This study will contribute to the body of knowledge by shedding more light to what management
information system entails and how it in turn to affects the performance of small business in
Ilorin and other related organizations. In addition, the study will contribute to knowledge by
providing literature and empirical evidence of how affects small business in Ilorin. In addition,
the study will contribute the body of knowledge by giving a broader result which captures bigger
sample size as compared to previous studies with lesser sample size.
This study was channeled towards examining the effect of management information system on
the performance of small business in Ilorin. Hence, further studies could focus on other sectors
which may as well capture greater sample size or look at management information system on the
performance on their general performance.
54
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APPENDIX
QUESTIONNAIRE
KWARA STATE UNIVERSITY MALETE ILORIN KWARA STATE
SCHOOL OF BUSINESS & GOVERNANCE
B.Sc. (Business Administration) Research project
Researcher: Jolayemi Pelumi Harriet
Supervisor: Dr. Yusuf Ismail
Dear Respondent,
My name is Jolayemi Pelumi Harriet a student of Kwara State University from the
Department of Business and Entrepreneurship, School of Business and Governance,
College of Humanities Management and Social Sciences. I am currently undergoing a
research on the topic :Effect of Management Information System on Small Business
in Ilorin.
59
Your participation in this research will help me to know whether Management
Information System can positively influence the performance of small business in Ilorin.
You might choose to participate in this project or not with no negative consequence.
And if you have any question completing this questionnaire you are free to contact me or
my supervisor with the number above.
Completing this questionnaire might take you 5 minutes and I will be glad if you can
create that time to participate in this project, thank you.
Yours Faithfully,
Jolayemi Pelumi Harriet
SECTION A
Respondent Bio Data
Instruction: Please tick [√ ] and fill in as appropriate
SECTION B
60
Instruction: Kindly indicate the extent of your agreement with the statement below
by ticking [√] one of the spaces provided. Where
Strongly Agree - SA = 5, Agree – A = 4, Undecided – U= 3, Disagree - D = 2
Strongly Disagree – SD = 1
ITEMS
61
strategic compensation plan.
15 Mapping out and initiating an effective employee
on-boarding and ongoing training and
development opportunities that would reflect both
the benefits and response to the employee's and
the organization's overall needs are been made
easy.
Market Share
16 MIS Provides timely information needed to occupy a
particular market space.
17 Strategic planning, management control, operational control
and transaction processing
18 The tracking and monitoring of the functional targets
becomes easy which allows organisation to cover a range of
market.
19 The MIS calls for a systematization of the target customers
which allows for an effective system design.
20 Customers are ease from the stress of re-order since the past
purchase are properly kept in the organisation data base of
each customers.
Profit Maximization
21 One of the major contributing factor to the maximization of
profit is management information system.
22 Information about a market are easily generated with the
implementation of management information system.
23 Operational goals are easily achieved with the
implementation of management information system.
24 Relevant information needed to pull the entire organization
62
in one direction towards the corporate goals and objectives
are been provided.
25 Quick decision are been made which assist in the selection
and implementation of ideal generated towards the profit
maximization of the organisation.
Thank you.
63
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