The Role of Accounting Records in Decision-making for Not-for-profit-Organisations: A Case Study of St. Francis Hospital Buluba

Abstract

BIIRA WINFRED (2008-M102-20017) The Role of Accounting Records in Decision-making for Not-for-profit-Organisations: A Case Study of St. Francis Hospital Buluba Today, a number of Not-for-Profit-Organisations (NFPOs) are in operation in Uganda. There is a general assumption that the NFPO‟s decision-making is poor, and their accounting records do not follow the accounting principles. There is need to establish the mystery behind the notion that some NFPOs are performing well while others are performing poorly. This could be caused by the poor decisions they make due to inappropriate accounting records. This research paper was carried out in St. Francis Hospital Buluba, Mayuge district and is centred on the role of accounting records in decision-making for NFPOs. The main objective of the research is to find out how effective NFPOs prepare and keep their accounting records to assist in decision-making. It is, however, not true to say that it is the only factor that affects their performance. Other administrative factors too have a hand in it. Several research methods were used to obtain the research data. These include; field research, observation, interviews, questionnaires, text books, internet, and some St. Francis Hospital accounting records. The research paper is arranged in five major parts. Chapter one presents the general introduction, chapter two presents the Literature review, chapter three presents the research methodology, chapter four presents the findings and analysis and finally chapter five presents the recommendations and conclusions. Results from the findings indicate that accounting records are an important tool for decision-making. With proper records, managers are able to forecast and plan how to acquire and use financial resources. Without accounting records, managers cannot have financial control measures that help in decision-making. Therefore, management of NFPOs should always endeavour to prepare accounting records in order to meet the requirements of the IAS and GAAP. Key Words: Accounting, Records, Decision, Organizations, Hospital