The Role Of Accounting Information System Quality Towards Improving Libyan Small And Medium Enterprises Performance

Abstract

The rapid development of the business environment and relying more on information as a resource makes it more dependent each time on the quality and speed of information when decisions are made. Libyan SMEs suffer from a lack of performance that is tied to ineffective information availability. This study aims to identify the impact of the accounting information system on the SME's performance in Libya. This study is based on the general system theory, which views the system as a collection of elements that interact with a structural and functional component via boundaries, elements, a communications network, and information. This study follows the quantitative method. The questionnaire instrument was used to collect the data. This study relies on a cross-sectional time horizon in collecting the data from 384 SME managers in Libya. The results of this study indicate there is a positive and significant relationship between five dimensions of accounting information systems: tangibility, reliability, responsiveness, assurance, empathy, and SME performance in Libya. This study contributes to the body of accounting information system toward the improvement of SMEs performance. It is recommended by this study that businesses with effective and efficient accounting information systems will have a high chance of success.