Hostrom, G.L. Accounting information systems include both computer software and hardware which help in recording accounting information (Knapp, 2019; Taiwo, 2016; Wessels, 2005) Rapid movement in adoption of information iechnology (IT) by organizations helps to acquire and implement daily accounting operations using computerized accounting software. It manages all its accounting in purchases, sales, profits, losses and other related project. This result is consistent with some of the previous studies (Turner et al., 2020; Janvrin et al., 2008; Hostrom and Hunton, 1998). 1-21. 121-221. Ruivo, P., Oliveira, T. and Neto, M. (2012), ERP use and value: Portuguese and Spanish SMEs, Industrial Management and Data Systems, Vol. 3, pp. 2, pp. 1, pp. On this point, the interviewee respondent exemplified that Currently we use a special notebook to record transactions. (2020), The effect of system quality and information quality on the satisfaction of user enterprise resource planning-system application and product in data processing (ERP-SAP) with perceived usefulness as a variable moderating in PTPN III (persero) unit of labuhan, International Journal of Public Budgeting, Accounting and Finance, Vol. Nyathi, K.A., Nyoni, T., Nyoni, M. and Bonga, W.G. The primary finding increases the importance of ICT knowledge and use or adoption of accounting software by SMEs for accounting literature. They also suggested that training programs must be organized to alert managers to understand the importance of maintaining proper books of accounts using computer. Bui, N.T., Le, O.T.T. Jinga, G., Dumitru, M., Dumitrana, M. and Vulpoi, M. (2010), Accounting systems for cost management used in the Romanian economic entities, Accounting and Management Information Systems/Contabilitate si Informatica de Gestiune, Vol. and Maryanti, E. (2020), Does corporate governance predict firm profitability? The SMEs are categorized according to the number of employees employed. 16 No. 2 No. According to Damerji (2020) and Chao and Chandra (2012), the knowledge of accounting software and its adoption are critical, and owner's knowledge of IT was found to be a significant predictor of adoption of traditional IT, as well as IT strategic alignment and Internet know-how, while controlling for differences in organizational attributes (age, size, affiliation industry and strategic attention). The study reveals a number of implications. Bui et al. It means that there is a significant and positive relationship between the ICT and the auditing practices of accounting professionals. Alabdullah, T.T.Y., Ahmed, E.R. (2012), Competitive advantages through IT innovation adoption by SMEs, Socialins technologijos/Social Technologies, Vol. (2020), Adoption of sustainable accounting practices among croatian SME's, KnE Social Sciences, Vol. (2020) and Jinga et al. Cadez and Guilding, 2008; Jalaludin et al., 2011) are in agreement with the results of the approach analysis; in the third phase of the discussion with interviewees, the participants were requested to comment on the results regarding the effect of knowledge of accounting software on various accountants who work in SMEs in Oman. 33 No. 7 No. However, SMEs in China face many problems as a result of no implementation of accounting policies. and Thottoli, M.M. Lack of use and knowledge of accounting software leads to continued manual accounting that may be very hard for business owners, especially SMEs, to monitor financial health of their businesses. and Bradley, K.P. 13 No. Ibrahim et al. Araya-Leandro, C.E., del Carmen Caba-Prez, M. and Lpez-Hernndez, A.M. (2020), The process of modernization of the public accounting systems in the central American countries, Tools, Strategies, and Practices for Modern and Accountable Public Sector Management, IGI Global, pp. (2011) opined that accounting function contributes an important role in the success or failure of any SME or modern business organization. 2 No. Jimoh, A.T., Shittu, A.T. and Attah, J.A. (2004), Benefits of computerized accounting information systems on the JIT production systems, ukurova niversitesi Sosyal Bilimler Enstits Dergisi, Vol. Mishina et al. The three main parties SMEs, higher educational institutions (HEI) and tax authorities strategize on encompassing the use or adoption of accounting software by accounting professional in SMEs. 7, pp. Accountants should have certain percentage of knowledge in the realm of traditional/old financial accounting practice. Further, software consultants should also know current accounting and tax regulations issued by government to develop customized accounting software for Omani SMEs. Azih, N. (2018), Electronic accounting: an imperative tool for quality assurance in accounting education programme in the digital era, Nigerian Journal of Business Education (NIGJBED), Vol. 16, pp. This leads SMEs not meeting their business goals (Alhatabat, 2020). 2, pp. 22-48. (2016), Information Technology Control and Audit, Taylor & Francis Group, New York. One prominent professional auditor had strong reservations about the [] customize the new international standard of accounting require us to update the ERP and sometime that is not available which require us to change the ERP. Updating recent changes in accounting standards or IFRS in ERP software requires assistance from software vendors. 11 No. (2011), E-accounting practices among small and medium enterprises in Ghana, Journal of Management Policy and Practice, Vol. 24-39. Mohammed Muneerali Thottoli can be contacted at: https://doi.org/10.1108/JIUC-04-2020-0005, http://creativecommons.org/licences/by/4.0/legalcode, http://www.FEB.UGent.be/fac/research/WP/Papers/wp_06_403.pdf fromhttp://proquest.umi.com/pqdweb?index=6&did=1194660571&Srch, http://www.collecter.org/archives/2006_December/07.pdf. 1 No. There are number of literature studies identified that highlighted the importance of the use of ICT or accounting software in SMEs. Thottoli et al. (2019), Effect of board size and duality on corporate social responsibility: what has improved in corporate governance in Asia?, Journal of Accounting Science, Vol. (2005), Investigating the perceived threats of computerized accounting information systems in developing countries: an empirical study on Saudi organizations, Journal of King Saud University-Computer and Information Sciences, Vol. (2020) and Azih (2018) noted that manual accounting systems consist of accounting ledgers prepared using paper, typewriters and calculators. Mishina, Z.A., Kozlov, S.N., Sidorova, N.P., Makarychev, V.A., Makushev, A.E. SMEs face various issues in implementation of ICT, such as inadequate financial resources, availability of inexperienced ICT employees, insufficient knowledge and skilled/experienced employees in the job market. 28, pp. (2020), A review of researches on accounting in China brought by artificial intelligence, 5th International Conference on Economics, Management, Law and Education (EMLE 2019), Atlantis Press, pp. 112 No. 90-98. AISs also help to prepare documents necessary for taxation purpose and generate information that support many other organizational tasks. Huy, P.Q. (2020), Artificial intelligence products reshape accounting: time to re-train, Development and Learning in Organizations, Advance online publication, doi: 10.1108/DLO-10-2019-0242. The accountant should acquire additional knowledge of accounting software and generalized enterprise resource plan (ERP) (Draijer, 2020) in order to ensure the companies accounts are recorded as per applicable accounting standards or International Financial Reporting Standards (IFRS). Most of the SMEs are not maintaining complete accounting records. These and many more difficulties are encountered while using the traditional method of recording of accounting transactions, which has given birth to ICT (Turner et al., 2020; Nyathi et al., 2018). and Ahmed, E.R. (2006) found that some SMEs are facing issues managing their accounting tasks. The latest updates should be incorporated in the accounting software as and when required. This study has used qualitative approach. 649-656. 1-15. This provides SMEs to select the most appropriate generalized or customized accounting software package. and Chinyere, O. 1-26. 10 No. 3 No. Maseko, N. and Manyani, O. 33 No. 1-23. Draijer, C. (2020), Best practices of business simulation with SAP R/3, Journal of Information Systems Education, Vol. The findings revealed that the knowledge of accounting software has a significant effect on the use of accounting software, meaning that there is significant and positive relationship among the knowledge of generalized accounting software and the use of such generalized or customized accounting software by SMEs in Oman. 5 No. 907-926. Further, this study emphasizes the usage and benefits of accounting software by accountants in various SMEs. 768-776. 13 No. Yu, X., Zheng, H., Sun, L. and Shan, Y. 16 No. Thus, this improved customized accounting software or ERP in SMEs will definitely improve their proficient way of handling daily recording of business transactions, the approach of accounting practices by SMEs and consequently improve the efficiency and effectiveness of SMEs accountants that will lead to generate automated fair financial statements and other related reports such as cash flow statements and budgetary report. 1, pp. (2015) that computers provide accurate calculations and smart reports such as financial statements, cash flow statements and various budgets. These are important, but data analytic skills are more important than data visualization skills. Ashrafi and Murtaza (2008) in their study provided that only a very a smaller number of SMEs in Oman are aware of the available accounting software and its adoption. (2017) and Kapurubandara and Lawson (2006), and was used to analyze and investigate to qualify SMEs for the purpose of the current study. Ocampo, L., Alarde, R.M.B., Kilongkilong, D.A. 147-168. 11 Nos 1-2, pp. We still have a vast majority of SMEs in Oman using only books for recording their day-to-day accounting transactions. Anderson, D.R., Sweeney, D.J., Williams, T.A., Camm, J.D. An empirical study in Oman, The International Journal of Accounting and Business Society. The results have further revealed that the knowledge of customized accounting software or ERP exerts a significant impact on the use or adoption of accounting software in current accounting practices of SMEs. 347-358. Andiola, Masters and Norman (2020) noted that accounting and auditing practitioners in their practicing areas require experience, analytic skills and data visualization skills. 18 No. Phyu, K.K. 425-438. Ha, Y.M. 51-67. Replacing traditional accounting paper records with computer-based records brings many advantages, especially for SMEs. Some of the records prepared by their accountants were incomplete due to not being able to reach proper decisions by the management. 94-115. 2. Shaffer, K.J., Gaumer, C.J. 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