Asian Journal of Economics, Business and Accounting

The integration of information technology (IT) into financial reporting has transformed the landscape of organisational operations, yet its adoption remains uneven across sectors, particularly in emerging economies. This study investigates the determinants and outcomes of IT adoption in financial reporting and operational efficiency using a quantitative approach involving 100 respondents from various financial and administrative units. The research focused on key variables including efficiency, data accuracy, cost, flexibility, and quality of financial information. Descriptive analysis revealed that accessibility of information and security were highly rated drivers of adoption, with mean scores of 4.06 and 3.92, respectively, while flexibility recorded a comparatively lower mean of 2.62, indicating a significant implementation challenge. Inferential analysis using regression showed that efficiency (β = .620, p < .001), faster data processing (β = .511, p < .001), and quality of financial reporting (β = .152, p < .001) were strong predictors of IT adoption, while profitability and functionality were statistically less influential. The findings align with existing theoretical constructs such as the Technology Acceptance Model, emphasising perceived usefulness as a critical motivator. Moreover, high maintenance and training costs emerged as major barriers, reflecting the need for strategic financial planning and institutional support. The study contributes to the growing body of literature by offering empirical insights tailored to developing contexts and proposes practical recommendations for policy, capacity-building, and system design. The implications extend to organisational leaders and policymakers aiming to foster innovation and accountability through IT-enhanced financial systems.