ACCOUNITNG INFORMATION SYSTEM ON FIRM PERFORMANCE

This study examined Accounting Information System (AIS) and firm performance using SMIHTEX PAINT, Asaba as a case study. The objectives were to: (i) determine the relationship between system reliability and firm performance, (ii) assess the impact of AIS flexibility on firm performance, and (iii) evaluate the influence of AIS response time on firm performance. A descriptive survey design was adopted, and data were collected from 117 staff across accounting and administrative units using a structured questionnaire. The responses were analyzed using descriptive statistics, correlation, and multiple regression analysis via SPSS (Version 25). The findings revealed that system reliability has a significant positive relationship with firm performance (R = 0.638, R² = 0.407, p < 0.001), indicating that dependable accounting systems enhance decision-making and operational efficiency. AIS flexibility also showed a significant effect on firm performance (R = 0.642, R² = 0.412, p < 0.001), demonstrating that customizable and adaptable systems improve organizational responsiveness. Furthermore, AIS response time strongly influences firm performance (R = 0.691, R² = 0.478, p < 0.001), emphasizing the role of timely financial reporting and fast data processing in productivity enhancement. The study concludes that reliable, flexible, and responsive accounting information systems significantly improve firm performance. It recommends that firms invest in up-to-date AIS technologies, continuous system maintenance, and staff training to enhance operational efficiency and sustain competitive advantage.