The Role of Digitalized Accounting Information Systems in Preparing Financial Reports of Pontianak MSMES

Abstract

This study aims to analyze the role of digital Accounting Information Systems (AIS) in the preparation of financial statements for Micro, Small, and Medium Enterprises (MSMEs) in Pontianak City, identify the challenges encountered during implementation, and examine the efforts undertaken by MSME actors to overcome these challenges. This research employs a descriptive qualitative approach, with data collected through interviews, observations, and documentation involving MSME owners in Pontianak City. The findings indicate that the implementation of digital AIS, including Microsoft Excel and web-based accounting applications, contributes to improving the accuracy, effectiveness, and efficiency of financial recording processes. Digital AIS also supports MSME actors in preparing more structured financial reports and making better business decisions. However, the adoption of digital AIS remains limited due to several obstacles, such as low levels of digital literacy, insufficient accounting knowledge, difficulties in adapting to technological changes, and the continued preference for manual recording systems. To address these challenges, MSME actors make efforts through independent learning, exploring digital accounting tools, and gradually adapting to technology-based financial management systems. This study highlights the importance of strengthening digital and accounting competencies to encourage more effective financial management among MSMEs.