MANAGEMENT ACCOUNTING TECHNIQUES AND PERFORMANCE OF SMES IN NIGERIA: MODERATING ROLE OF ACCOUNTING INFORMATION QUALITY

OLADELE, Thomas Oyetunde
Department of Management
Nigerian Army University Biu, Borno State
tomie4real@yahoo.com
ALAGBE, Emmanuel Abiodun
Department of Accounting
Ladoke Akintola University of Technology, Ogbomoso, Oyo State, Nigeria
eaalagbe@lautech.edu.ng
OJO, Ogiegor Ivie
School of International Business
Teesside University
ivywhyte209@yahoo.com
ABSTRACT
This study examined the link between management accounting techniques (represented by benchmarking,
value chain accounting and balance scorecard) and performance SMEs; as well as the mediating role of
accounting information quality on the link between management accounting techniques and SMEs’
performance. The study adopted a survey research design and sampled 207 owners/managers of SMEs in
Oyo State, Nigeria. The study collected primary data using questionnaire, and analyzed same using Partial
Least Square (PLS) techniques. The study showed a significant positive direct relationship between
balanced scorecard and SMEs’ performance as well as between benchmarking and SMEs’ performance.
However, the results show that the direct relationship between value chain costing and SMEs’ performance
is insignificant. Also, this study found only a significant positive mediating effect of accounting information
quality on the relationship between balanced scorecard and SMEs’ performance. Thus, study concludes
that management accounting techniques (benchmarking, value chain costing and balanced scorecard) have
positive relationship with performance of SMEs, and that accounting information quality mediates the
relationship between management accounting techniques and SMEs’ performance, The study recommends
that owners/managers of SMEs should adopt benchmarking and balanced scorecard (as management
accounting techniques) and accounting information quality as a decision support system, to manage their
business processes, in order to improve their performance and position for continuous improvement.
Keywords: Accounting information quality, balanced scorecard, benchmarking, SMEs’
performance, value chain costing