Abstract:
Integrated computerized accounting practices (ICAP) were facing the challenges of
unauthorized access, alterations and destruction of data thus compromising the confidentiality,
integrity and availability of financial information. The research evaluated the effects of ICAP
on ensuring effective financial controls of supermarkets in Kisii county, Kenya. The four
objectives of the study were; to determine the effect of integrated financial operations on the
internal control procedures (ICP) of supermarkets in Kisii County, to determine the effect of
operating segments information on the ICP of supermarkets in Kisii county, to determine the
effect of computerized integrated accounting on the ICP of supermarkets in Kisii county, and
to determine the effect of consolidated financial reporting transactions on the ICP of
supermarkets in Kisii county. The findings of the study are helpful to managers of supermarkets
in acquiring the ICAP to enhance the internal controls, developers of accounting softwares in
programming software that meets the needs of the supermarkets and future researchers as it
forms the basis of future researches. The study used descriptive survey designs on a target
population of the 24 comprising of managers branch managers, branch supervisors and branch
accountants of the supermarkets in Kisii county. A census method conducted where 21
responded to the closed ended questionnaire used to collect data. The questionnaire was
reliable with a Cronbach alpha of 0.759 and the fitness for model was significant at 0.003
tested using ANOVA. The data was analyzed through descriptive and inferential statistics with
the aid of SPSS version 22.0 and presented using tables & figures. Descriptive methods used
were mean and standard deviation. The inferential statistics used include multivariate
regression analysis to test the model fit and correlation analysis. The hypothesis were tested
using t-test for a significance level of ±5 at a degree of confidence of 95%. The findings of the
study showed that IFO, OSI, CIA, and CFRT were significant on the ICP. The study concluded
that cash management was the most integrated financial operation, categorization of products
and services was the most used method of segmentation, financial accounting transactions were
the most computerized branch of accounting, and subsidiaries transactions were the most
consolidated financial reporting transactions. The researcher recommended the supermarkets
to integrate financial transactions relating to baking of cakes and breads, improve segmentation
based on service delivery, computerize fund accounting transactions and consolidate
accounting transactions for assets jointly held in partnership with other organizations.
