Management Accounting Techniques and the Quality of Financial Reporting in Manufacturing Firms in Nigeria

Abstract

This study investigated the effect of management accounting techniques on the quality of financial reporting (QFR) in Nigerian manufacturing firms. The broad objective was to examine how management accounting techniques affected the quality of financial reporting in Nigerian manufacturing firms. It also examined the mediating roles of managerial perception, organisational culture, and information systems. Using a survey-based research design, the study employed a purposive sampling method to select 200 finance professionals. The key findings showed that organisational culture (B=0.296, p=0.000) and information systems (B=0.440, p=0.036) have a significant positive impact on QFR. Conversely, management practices (B = -0.102, p = 0.620) had an insignificant effect. The important constant indicated that other unexamined factors also influence QFR. The study concluded that digital accounting technologies and an ethical corporate culture are crucial for improving financial reporting. The study recommended that manufacturing firms should focus on strengthening organisational culture, aligning management practices, and implementing advanced information systems. Specifically, it is essential to invest in technologies like blockchain, AI-powered financial tools, and Enterprise Resource Planning (ERP) systems to improve reporting accuracy and timeliness. Overall, the study provided valuable contributions to the literature on financial reporting quality and offers practical implications for stakeholders seeking to optimise reporting processes in a dynamic business environment.