Accounting Information Systems Adoption and the Performance of Small and Medium Enterprises in Nigeria

Abstract

Accounting Information Systems (AIS) have become an important concern with respect to how they improve or impair the performance of small and medium enterprises (SMEs). However, evidence on the relationship between AIS adoption and SME performance in Nigeria remains fragmented across different states, sectors, and outcome measures. This study reviewed empirical literature published between January 2016 and June 2026 to synthesize evidence on the relationship between AIS and SME performance in Nigeria, identify the specific AIS technologies reported in the literature, and examine the extent to which these technologies have been studied. A systematic literature review design was adopted following the Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) guidelines. Relevant studies were retrieved from Google Scholar, Scopus, Web of Science, JSTOR, and African Journals Online (AJOL). Out of 357 records identified, 14 peer-reviewed empirical studies satisfied the inclusion criteria and were synthesized using a qualitative narrative approach. The review found consistent evidence that AIS adoption enhances SME performance through improved financial reporting quality, profitability, sales growth, operational efficiency, employee productivity, business sustainability, cost control, return on investment, and access to finance. The review also identified accounting software packages and cloud accounting technologies as the principal AIS technologies associated with improved performance. However, only three of the fourteen studies explicitly examined specific AIS technologies, indicating a significant gap in technology-specific research. The study concludes that AIS is an important driver of SME performance in Nigeria and recommends greater empirical attention to the performance implications of specific AIS technologies.