IMPACT OF RESPONSIBILITY ACCOUNTING ON BANK MANAGEMENT PERFORMANCE IN NIGERIA

Responsibility Accounting is considered as an important measurement tool designed to verify all activities in a company to ascertain whether they are done as planned. It requires an evaluation of actual performance against what is planned and the analysis of deviations establish the causes of their occurrence. This study examined the Impact of responsibility accounting on bank management performance in Nigeria. The correlational survey design was employed for this study, in which 120 managerial staffof various commercial banks in Plateau state were selected and administered the research questionnaire. Regression analysis was used to analyze the data with the aids of SPSS version 23. The results showed that responsibility accounting has a positive and significant impact on bank management performance in Nigeria. The study recommended that there is need for further training for bankers through seminars and workshop on responsibility accounting, and the government should, through the regulatory authorities, compel financial institutions to embark on responsibility accounting among other things.

most important pillars of the Nigerian 1.0 INTRODUCTION economy, for its effective role in serving the financial and monetary policy of the country, in addition to its role in facilitating the commercial exchange operations between the different economic sectors inside and outside Nigeria, and its contribution in supporting the economic development of the society. But in the light of the expansion of the markets and the big size of the bank's capital, the traditional administrative accounting measurements and systems are no more capable to give an integrated image of the performance of that bank, so there was necessity to switch to the modern methods of administrative accounting , which help the administration to According to Horngreen (1991) responsibility plan the costs and control them, so this will accounting is a system that measures the plans help in achieving the desired goals and facing (by budgets) and actions of each responsibility the current and the future challenges, and Centre. The responsibility accounting achieving the competitive advantage of the approach traces the costs to either the bank ( Adeniji, 2005). And the bank needs the individual who has the best knowledge about modern administrative methods to provide the why the cost rose or the activity that caused the administration with the necessary information cost. McNair and Carr (1994) states that for taking decisions, so as to be on time and responsibility accounting is an underlying with necessary quantity to achieve the concept of accounting performance objective of the decision (Adeniji, 2005) One measurement systems. They argue that the of the modern methods of the administrative basic idea is that large diversified accounting that this study will discuss is the organizations are difficult, if not impossible to responsibility accounting, which depends on manage as a single segment, and thus they the decentralization method in the must be decentralized or separated into administration that needs having constraints to manageable parts. This approach allows the control to make sure that the responsibility to be assigned to the segment administrations, do their jobs properly. managers that have the greatest amount of Decentralization means authorizing the power influence over the key elements to be of taking decisions in the company, and managed.
The basic idea underlying providing the managers with the appropriate responsibility accounting, is that a manager powers regarding their positions and limits of should be held responsible for those itemsresponsibilities (Garrison et al, 2009), and this and only those items-that the manager can should be followed by comparing the planned actually control to a significant extent. Each performance and the planned one of every line item (ie cost or revenue) in the budget, is center of responsibility (Horngren et al, 2005, made the responsibility of a manager who is 225). held responsible for subsequent deviations between budgeted goals and actual results (Garrison,Noreen, . and Brewer, 2009) The banking sector is considered as one of the Responsibility ccounting is c nsidered as an important measureme t tool designed t erify that all activities in the company are achieved as planned so it requires to evaluate actual performance with what is planned and to analyze deviations and the causes of their occurrence and to set the foundations of treatment in order t provide a system for m nitoring and evaluating the performance of employees. Thus the company ensures access to the c mpetitive advantage that company seeking to achieve through the division of accompany into sub-units.
In order to make responsibility accounting system successful in achieving its objecti es, a clear rganizati nal chart that identifies auth rities and functions of the arious administrative units of a company must be set (Rugby,2 4 ne the reas ns that led to the emergence of resp nsibility cc unting, is the emergence of large companies after World War II, a these companies ha e ope ed branches in many countries of the world, which led t a lack of management's ability to control and supervise the activities of companies, prompting them to dele ate part o their administrative powers to various departments. This reason has also led to the e m e r g e n c e f t h e s o -c a l l e d decentralization" where the senior management delegates some special powers, regarding decision-making, to middle and lower management Abu, 2 14).
Many literatures reveal that banks do not divide their organization structure into responsibility centres, and centralize powers at their head offices (Al-hanini, 2013; The general objective of this study is to assess because of the important effect of the the impact of Responsibility accounting responsibility of accounting in the decision on Bank Management performance in planning, and the evaluation of performance, Nigeria. More specifically, the objectives this study discuss the Adoption of include: Responsibility accounting in Nigerian banking 1. To assess the extent to which Nigerian sector: Expectations, benefits and challenges banks divide organizational structure into responsibility centres; 2. To determine if Nigerian banks have given Managers of responsibility centres semiautonomous power to operate freely; 3. To examine the impact of responsibility accounting on bank management performance; and 4. To ascertain whether costs and revenue are distributed to centres of responsibility, according to each centre capability and authorities in Nigeria banks.
Based on previous studies, the following hypotheses were formulated: HO1: the Nigeria banks do not divide the organizational structure into centers of responsibility.
HO2: the Nigerian banks do not give managers of responsibility centers semi-Fowzia, autonomous power to operate freely. 2011)and at end, fail to take advantage of HO3: Responsibility accounting do not have divisionalisation. Also, bank branch significant impact on bank management managers do not have absolute authority to performance? make its own budget based on the reality of HO4: Uncontrollable costs are not fairly the business. This new approach to accounting and objects which are able or unable to control for a reporting, is the development of an accounting management level. Responsibility accounting system designed to control expenditures, is the management method in order for design directly relating the reporting of expenditures of accounting system, so as to obtain control to the individuals in the company organization efficiency through the direct relationship who are responsible for their control. This between accounting report, and the head in the system results in the preparation of accounting organizational structure of company at all statements for all levels of management, m a n a g e m e n t l e v e l s ( M e d a , 2 0 0 3 ) . designed primarily so that they can be Responsibility accounting connects the effectively used by the operating people as a personal performance report, with the heads of tool in controlling their operations and costs.
the different management levels, to determine (Higgins, 1952) the level of obtaining goal of management levels, and responsibility centers. These Responsibility accounting is considered as an responsibility centers have different goals and important control system and represents a use resources of company to obtain goals source of information that facilitates decision (Rajbi, 2004). From the point of view of making process in short and long ranges responsibility accounting, the author can draw (Sarkar &Yeshmin, 2005). Responsibility some general nature of the liability of accounting as a control device, emphasizes accounting as follows: responsibility centers. These are subunits of an organization, under a specific manager 'control Firstly, responsibility accounting is a basic and hence have direct responsibility for its content management accounting to generate activities (Fowzia, 2011). Responsibility financial information systems, and nonaccounting closely is related to cost financial related to the actual operation and accounting. One of the important goals of planning, used to control activities and assess responsibility accounting, is the control of cost the performance of each division, head of at the basic levels of supervisor. This means department in the enterprise. that not all expenses are controlled at the management level of divisional director, it Secondly, responsibility accounting related to means that expenses are controlled at any level the organizational structure of the enterprise is which raise expenses and accepted (Kellogg, decentralized and explicit authorization. A 1962). RA is the accounting system which is basic requirement for the implementation of acknowledged through different responsibility responsibility accounting, is the existence of a centers in the entire organization and reflects reliably organizational structure. The complete results, performance of each center by revenue line of power should be determined before and cost items (Horngren, Foster, &Datar, responsibility accounting is done. The 2000). According to Atkinson, Banker, Kaplan, managers are at every level, who is and Young (2001), responsibility accounting is decentralized consistent with his management the accounting system functions as collection, responsibilities in the business. summarization, and report on accounting information related to costs, income, and Thirdly, responsibility accounting provides operating data by each scope of responsibility managers with information to control business or unit in organization. Such system shall activities of subordinate managers. RA provide information so as to evaluate controls responsibility by passing individual responsibility and performance of each responsibility for the achievement of financial manager. RA shall create reports containing targets and non-financial enterprises. RA assigns responsibility, sets the powers and structure and degree of decentralization, responsibilities for each department or enterprise system centers corresponding individual and uses system of indicators, responsibility. Currently, most researchers performance reporting, to control the operation believe that there are four types of and connect the parts and units within the responsibility center, that is responsibility for enterprise, to ensure businesses operating the cost center, revenue center, profit center, activities according to plan. and investment center.
Fourthly, responsibility accounting can be 2.2 Review of Empirical Studies based on decentralized organization, to divide Many researchers have conducted a lot of the responsibility centers consistent with the research on how enhanced profitability of organizational structure, or accounting shall be organisations and particularly banks could be. based on the content in order to divide the In the study carried out by AlHanini (2013) contents specific details. In each content, RA which aims to identify the extent of uses a mixture of cost accounting methods and implementing responsibility accounting in the methods of results evaluation, particularly Jordanian banks concluded that the Jordanian m o d e r n m e t h o d s f o r r e c o g n i t i o n , banks commit to the application of the measurement, and evaluation of performance potential responsibility accounting regarding achieved in business department. Fifthly, the division of the organizational structure responsibility accounting establishes a into centers of responsibilities. reporting system providing financial and nonfinancial information for administrators to Tuan (2017) opined in his research which aims control operation, according to defined to identify the development of responsibility objectives. Through the synthesis of views on accounting, from four primary elements of different aspects, in general, responsibility initial accounting responsibilities in Vietnam, accounting is an information system based on concluded that the scientific basis for Vietnam decentralization and authorization to the enterprises in general and Vietnam's textile and administrators, decentralization to the garment enterprises in particular have a administrators, department within organization successful application of responsibility using a mixture of cost accounting methods and accounting to improve performance. evaluation methods, to record success, measure, evaluate operating results achieved in 3.0 Methodology the organization in order to provide financial A correlational survey research design was and nonfinancial information for managing the used. This represents the theoretical specified appropriate powers as assigned and aggregation of survey elements. The elements responsibilities in parts, the center in this sense refer to individuals, material and responsibility for controlling parts and units in organizations, about which the researcher operation now in the right direction intended.
collects information for analysis. The Considering the perspective and approach of population for this study was all the staff of the organizational structure and the level of commercial banks in Plateau State, Nigeria. decentralization, the liability of accounting is For achieving the objectives of the study the divided into the responsibility center. Responsibility center shall be part of the descriptive analytical method was used. In organization, where executives' responsibility addition, SPSS (version, 23) were used for department operating results of its parts.
testing the hypotheses and for presenting and Accordingly, based on the organizational analysis of the data. The researchers made a 4.0 RESULT PRESENTATION AND comprehensive field survey for the population DISCUSSION of the study, by using a questionnaire to collect The one sample t-test and regression data and test the hypotheses of the study. The analysis results below, were used to test the questionnaire consisted of two parts. The first four hypotheses at 0.05 significance results. part aimed at collecting general data to identify Decision Rule: Accept H0 if p-value >0.05 the characteristics of the sample of the study.
significance level, Reject H0 if p-value < The second part aimed at getting data related to 0.05significance level. study hypotheses. P<0.05 Results from table 1 indicated that we reject null hypothesis since our p -value is less than 0.05 and conclude that Nigeria banks divide the organizational structure into centers of responsibility Results from table 2 indicated that we accept the null hypothesis since our p -value is greater than 0.05 and conclude that Nigerian banks do not authorize the managers of responsibility centers with clear powers. Results from table 3 indicated that we reject null hypothesis since our p -value is less than 0.05 and conclude that Responsibility accounting had impact on bank management performance