Effect of Ethical Accounting Practices on the Productivity of Manufacturing Firms in Nigeria

Abstract

The study examines the effect of ethical accounting practices on Firms productivity in Nigeria with specific objectives to examine (i) ethical accounting practices and corporate productivity using labour productivity,(ii) ethical accounting and capital productivity (iii)Influence of ethical accounting practice on rate of turnover of a manufacturing company in Nigeria.The study population was three hundred (300) staff of Coca-Cola Bottling Company, Asejire, Ibadan, Oyo State while one hundred (100) were randomly selected for the study. The study employed a questionnaire to collect data while data collected were analyized using ANOVA. The result of the findings indicated that there is a significant relationship between ethical accounting practices and corporate productivity (labour productivity)(p-value 0.000), also ethical accounting affects the productivity (capital productivity) of manufacturing firms (p-value 0.000, and ethical accounting practice influence the rate of turnover of a manufacturing company in Nigeria ( p-value 0.000). The study recommended that every staff of the organization should have free access to a copy of the accounting manual containing the codes of ethics guiding the performance of firms at the point of employment; the motivation of the staff should be on the increase as this will ensure effective compliance to ethical standard and codes and bring more productivity, the whistleblower should be encouraged to identify unethical behavior in an organization and a unit or department should be created to monitor unethical behaviors in an organization.