ACCOUNTING AUTOMATION AND FINANCIAL REPORTING QUALITY IN RIVERS STATE OWNED TERTIARY INSTITUTIONS

This study investigated the relationship between accounting automation and financial reporting quality in Rivers State–owned tertiary institutions. The research was guided by four research questions and four corresponding null hypotheses, which were grounded in the principles of System Theory. Adopting a correlational research design, the study's population comprised staff from the bursary, accounts, audit, and finance departments of all five state-owned tertiary institutions in Rivers State. A purposive sampling technique was used to select a sample of 100 staff members. Data were collected using a structured questionnaire, and the instrument's reliability was ensured through expert review and a pilot test. The collected data were analyzed using both descriptive and inferential statistics. Pearson Product Moment Correlation (PPMC) was employed to test the hypotheses, with analysis conducted using the Statistical Package for the Social Sciences (SPSS) software at a 0.05 significance level. The key findings revealed that time savings, as a result of accounting automation, has a significant positive relationship on financial reporting quality. Conversely, the study found no significant influence of increased accuracy, cost reduction, or improved decision-making on financial reporting quality. Based on these findings, it was concluded that while efficiency gains from automation directly improve reporting quality, other factors like accuracy and cost reduction do not have a statistically significant relationship in this specific context. The study recommends that institutional management and policymakers invest in modern accounting systems and provide continuous training for staff to enhance efficiency and, consequently, the quality of financial reporting.