IMPACT OF AWARENESS AND ADOPTION OF CLOUD BASED ACCOUNTING SOFTWARE AMONG ACCOUNTING PRACTITIONERS IN COLOMBO SRI LANKA

Abstract

This qualitative inquiry probes awareness and acceptance of cloud-based accounting software among accounting professionals in Sri Lanka in particular, professionals operational in Colombo. As globality in accounting continues to trend toward digitalization, the promotion of efficiency, accuracy, and real-time collaboration by cloud-based solutions is becoming a must. This study attempts to fulfill three main objectives: (1) find out how much awareness and adoption of cloud-based accounting software currently exist; (2) establish critical drivers and barriers impacting adoption; and (3) understand challenges and capability requirements for effective implementation. The research, relying on semi-structured interviews with selected accounting practitioners, engages with their experiences, perceptions, and contexts at length. Other semi-structured interviews where data were collected were analyzed applying thematic analysis; the findings reveal that cloud-based awareness is moderately high in Sri Lanka, although the adoption of the software is notably different, with a full-fledged integration for other practitioners, while nearly absent for some. Foremost among drivers are efficiency, automation, and the ability for real-time collaboration, while resistance to change, data security concerns, and limited technical skills are considered common inhibitors. The study also discusses challenges like the data migration burden and organizational resistance, which in turn trigger the need for technical, analytical, and digital skills from the practitioners. The research highlights the need for the broad-based acceptance of software in Sri Lanka's accounting sector, thus generating tremendous interest from all stakeholders of the network: practitioners, firms, policymakers, and software providers. It recommends specific training, leadership support, and a proper regulatory framework to impact the wider adoption of cloud accounting systems. Areas available for further research are suggested as inter-regional comparisons and long-term impacts of cloud accounting on accounting practices in emerging economies.