ENTERPRISE RESOURCE PLANNING SYSTEM IMPLEMENTATION AND FINANCIAL ACCOUNTABILITY IN PUBLIC TVET INSTITUTIONS IN THE NYANZA REGION, KENYA

Rebecca Kerubo Mouti, Peter Kariuki

Abstract


This study examined the effect of Enterprise Resource Planning (ERP) system implementation on financial accountability in public Technical and Vocational Education and Training (TVET) institutions within Kenya's Nyanza region. The study aimed to determine the effect of end-user training, data capture accuracy, financial module integration, and audit trail functionality on financial accountability. Anchored on the Technology Acceptance Model, Institutional Theory, and Resource-Based View, the study adopted a descriptive and explanatory cross-sectional research design and targeted finance, procurement, and administrative officers from public TVET institutions across six counties: Kisii, Nyamira, Homa Bay, Migori, Siaya, and Kisumu. Primary data were collected using structured Likert-scale questionnaires administered to 73 respondents. Descriptive statistics summarized responses, while inferential analysis involving correlation and multiple regression established the relationships between ERP components and financial accountability. Results revealed strong and positive correlations between all ERP implementation components and financial accountability. ERP training demonstrated the strongest correlation (r = 0.565, p < 0.001), followed by audit trail functionality (r = 0.442, p < 0.001), data accuracy (r = 0.397, p < 0.001), and financial module integration (r = 0.350, p = 0.002). The regression model established that all four ERP components significantly predicted financial accountability, with ERP training (β = 0.522, p < 0.001) and data accuracy (β = 0.554, p < 0.001) exerting the most substantial effects. The model yielded an R value of 0.812 and R² = 0.659, indicating that ERP implementation collectively explained 65.9 percent of the variance in financial accountability, confirming that effective ERP deployment enhances transparency, accuracy, and integrity in financial management. The study concludes that successful ERP implementation strengthens accountability in public TVET institutions by promoting accuracy, integration, transparency, and user competence. It recommends continuous end-user training programs, robust data accuracy controls, seamless financial module integration, and comprehensive audit trail mechanisms. Additionally, institutional leadership commitment, adequate funding, and policy support are essential for sustained ERP effectiveness. The study contributes to the growing body of knowledge on technology-enabled accountability in public education and provides empirical evidence to guide policymakers, administrators, and system developers in designing ERP systems that foster responsible and transparent financial governance in Kenya's TVET sector.

 

JEL: M15, M41, H83, O33, I28


Keywords


end-user training, data capture accuracy, financial module integration, audit trail functionality, financial accountability

Full Text:

PDF

References


Al-Shboul, M., Rababah, O., Gharibeh, M., & Al-Gharaibeh, S. (2021). Exploring the critical success factors for ERP implementation in the public sector: Evidence from emerging economies. Information Systems Management, 38(1), 67–84. https://doi.org/10.1080/10580530.2020.1849435

Ali, M. A., & Maguta, F. (2021). The role of ERP systems in enhancing financial accountability: Evidence from public universities in East Africa. African Journal of Business Management, 15(6), 120–129. https://doi.org/10.5897/AJBM2021.9233

Ali, M., & Maguta, C. (2021). Digital financial systems and public sector accountability in Africa. African Journal of Accounting and Financial Research, 7(2), 61–78. https://doi.org/10.xxxxx/ajafr.v7i2.2021

Alemayehu, T., & Yismaw, D. (2022). ERP implementation success and its impact on public financial performance in Ethiopia. International Journal of Public Administration, 45(8), 601–612. https://doi.org/10.1080/01900692.2021.1889147

Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17(1), 99–120. https://doi.org/10.1177/014920639101700108

Bawole, J. N., Ahenkan, A., & Agbevyo, C. (2023). Strengthening public financial accountability in sub-Saharan Africa: A systems thinking approach. Journal of African Governance, 9(1), 33–49.

Davis, F. D. (1989). Perceived usefulness, perceived ease of use, and user acceptance of information technology. MIS Quarterly, 13(3), 319–340. https://doi.org/10.2307/249008

DiMaggio, P. J., & Powell, W. W. (1983). The iron cage revisited: Institutional isomorphism and collective rationality in organizational fields. American Sociological Review, 48(2), 147–160. https://doi.org/10.2307/2095101

Gitonga, M. N., Kiambati, K., & Muriithi, M. (2024). Adoption of accounting information systems and financial performance in public TVET institutions in Eastern Kenya. International Journal of Accounting and Finance, 9(1), 57–68. https://doi.org/10.70619/vol4iss2pp9-18

Msuya, C., & Nnko, M. (2021). Impact of ERP system usage on financial accountability in Tanzanian public universities. East African Journal of Finance, 3(2), 33–42.

Nabukeera, M., & Eyaa, S. (2020). Information systems and financial accountability: Evidence from Uganda’s public health sector. African Journal of Accounting, Auditing and Finance, 5(4), 373–389.

Nguyen, T., & Waring, T. (2020). Enhancing ERP system outcomes through user-centric implementation. International Journal of Public Administration, 43(11), 985–1003. https://doi.org/10.1080/01900692.2019.1672184

Office of the Auditor-General. (2022). Audit report for the County Government of Nyamira, FY 2021/2022. https://www.oagkenya.go.ke

Osei-Tutu, E., Appiah, D. O., & Osei-Tutu, A. (2020). Users’ experience with ERP systems: Influence of training and system quality on adoption. International Journal of Accounting and Financial Reporting, 10(1), 142–158. https://doi.org/10.5296/ijafr.v10i1.16335

Seddon, P. B., Calvert, C., & Yang, S. (2010). A multi-project model of key factors affecting organizational benefits from enterprise systems. MIS Quarterly, 34(2), 305–328. https://doi.org/10.2307/20721425

State Department for Vocational and Technical Training. (2022). TVET Statistical Digest 2022. Ministry of Education. https://education.go.ke

World Bank. (2018). Ghana – Public Financial Management Reform Project (GIFMIS): Project Performance Assessment Report.

World Bank. (2022). Kenya public expenditure review: Enhancing service delivery through public financial management. World Bank Publications.




DOI: http://dx.doi.org/10.46827/ejefr.v10i4.2239

Refbacks

  • There are currently no refbacks.


Copyright (c) 2026 Rebecca Kerubo Mouti, Peter Kariuki

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.

The research works published in this journal are free to be accessed. They can be shared (copied and redistributed in any medium or format) and\or adapted (remixed, transformed, and built upon the material for any purpose, commercially and\or not commercially) under the following terms: attribution (appropriate credit must be given indicating original authors, research work name and publication name mentioning if changes were made) and without adding additional restrictions (without restricting others from doing anything the actual license permits). Authors retain the full copyright of their published research works and cannot revoke these freedoms as long as the license terms are followed.

Copyright © 2016 - 2026. European Journal of Economic and Financial Research (ISSN 2501-9430) is a registered trademark of Open Access Publishing Group. All rights reserved.

This journal is a serial publication uniquely identified by an International Standard Serial Number (ISSN) serial number certificate issued by Romanian National Library. All the research works are uniquely identified by a CrossRef DOI digital object identifier supplied by indexing and repository platforms. All the research works published on this journal are meeting the Open Access Publishing requirements and standards formulated by Budapest Open Access Initiative (2002), the Bethesda Statement on Open Access Publishing (2003) and  Berlin Declaration on Open Access to Knowledge in the Sciences and Humanities (2003) and can be freely accessed, shared, modified, distributed and used in educational, commercial and non-commercial purposes under a Creative Commons Attribution 4.0 International License. Copyrights of the published research works are retained by authors.