Factors influencing the effectiveness of accounting function among Bumiputra’s Small and Medium Scale Enterprises in Kuching / Hasni Kassan

This dissertation examines the factors influencing accounting function, particularly among Bumiputra's Small and Medium Scale Enterprises (SMEs) in Kuching. Accounting and financial procedural issues is still one of the factors that SMEs have been lacking in terms of proper implementations and guidelines. Without giving much attention to these accounting and financial management, its effectiveness would likely be marginalized. This is compounded by the fact that some SMEs do not acknowledge the importance of managing proper accounting procedures.
A questionnaire survey, based on literature reviewed on SME's accounting and financial aspects was either hand-delivered or faxed to 133 small and medium scale enterprises in Kuching. A total of 89 usable questionnaires from respondents were received from the survey. The population frame was taken from a list of Class A contractors in Kuching registered with Pusat Khidmat Kontraktor (PKK), the Dewan Usahawan Bumiputra Sarawak (DUBS), a body governed by the Bumiputra Chamber of Commerce in Kuching and also from a listing of FFO registered companies provided by Federal Financial Office for Service Bumiputra companies in Kuching. An empirical study analysed using SPSS Version 12 to evaluate any association exist between the independent variables, divided into 4 dimensions namely Accounting Scope dimension, Professional Proficiency dimension, AIS Usage dimensions and Financial Reporting Dimensions have on the dependent variable, Accounting Effectiveness. For the purpose of this study, the proposed dependent variable is the effectiveness of accounting function.