A Report on

“Impact of E-Accounting Practice in Ready Made

Garments Industry of Bangladesh

Course Code: AIS 121

Course Title: Principles of Accounting

Submitted To Submitted By

Md. Zakir Hosen Group A

Professor Level 1
Department of Accounting and  Information Semester 2
Systems,
Faculty of Business Administration,
Faculty of Business Administration,
Patuakhali Science & Technology University
Patuakhali Science & Technology University

Date of Submission: 07 May 2023

Patuakhali Science and Technology University
Dumki, Patukhali-8610
 Attendance Report

Level : 1
Semester : 2
Course Code : AIS 121
Course Title : Principles of Accounting
Report Title : Impact of E-Accounting Practice in
Ready Made Garments Industry of
Bangladesh
Date of Submission : 21 June 2023

Group Member Details

Name ID Registration Signature
Faysal Mahmud 1703009 07650
Ahmmed Rezwan 1703026 07667
Mahdi Hasan Rishad 1703031 07672
A.K.M. Tanvir Hassan 1703034 07675
Kazi Naimur Rahman Pranto 1703037 07678
Kefayet Ullah Opu 1703044 07685
Mohammad Noman 1703073 07714
Md. Jahid Hasan 1703087 07728
Shafat Tanjim Rafin 1703090 07731
Md. Darus Salam 1603072 06640
1703009 07650
1703009 07650
1703009 07650
1703009 07650
 Evaluation Details

ID. No Reg. No. Name

Presentation (5)
Writing (10)

Q&A (5)

Total (20)
1703009 09674 Faysal Mahmud

1703026 07650 Ahmmed Rezwan

1703031 07667 Mahdi Hasan Rishad

1703034 07672 A.K.M. Tanvir Hassan

1703037 07675 Kazi Naimur Rahman Pranto

1703044 07678 Kefayet Ullah Opu

1703073 07685 Mohammad Noman

1703087 07714 Md. Jahid Hasan

1703090 07728 Shafat Tanjim Rafin

1603072 07731 Md. Darus Salam

2003090 09687

2003091 09688

2003092 09689

2003093 09690
 Letter of Transmittal

Date: 21 June 2023

Md. Zakir Hosen 

Professor, 
Department of Accounting and Information Systems, 
Faculty of Business Administration  

Subject: Letter of Transmittal.

Dear Sir,
We are grateful to you that you have assigned us to prepare a report “Impact of E-
Accounting Practice in Ready Made Garments Industry of Bangladesh” as a
partial requirement of the course “Principles of Accounting” (AIS 121). This report is
prepared based on secondary data. We hereby, would like to submit our report.

Therefore, we would like to request you accept our report. And at last, thank you for
assigning us the report. We sincerely hope this report will live up to your expectation.

Regards,

______________________________
Mohammad Noman
Group leader
Group A
 5
Acknowledgement

First of all, we like to express sincere gratitude to almighty Allah who has granted us health
and long life, without which we could not have finished this report, then we want to give
cordial respect and sincere thanks to our honourable course teacher Md. Zakir Hosen,
Professor of the Department of Accounting and Information, Faculty of Business
Administration, Patuakhali Science and Technology University, without his assistance, help
and encouragement we could not be able to prepare this report.

Finally, we want to confess that this report has been prepared based on our experiences and
information gather by the internet sources, websites, and journals but there could have been
some unwilling errors and lack, we hope that you would be kind enough to consider the
unconscious mistakes.

Sincerely yours,

______________________________
Mohammad Noman
Group leader
Group A
 6

Executive Summary
Impact of E-Accounting Practise in Ready Made Garments Industry of Bangladesh" is a comprehensive
study of the implications of e-accounting in Bangladesh's RMG industry. This paper examines the pros and
cons of e-accounting in this industry using secondary data from reliable sources.
Bangladesh's RMG business is vital to its exports and jobs. However, inadequate bookkeeping, manual
record-keeping, and limited financial information access plague the sector. E-accounting systems may solve
these issues and improve things. The research paper begins by discussing Bangladesh's RMG business and
accounting practises. It then discusses e-accounting and its possible benefits, such as accuracy, efficiency,
cost reduction, and decision-making. The report also examines technological infrastructure, change
resistance, and security issues that organisations may face during implementation. The research report shows
how e-accounting affects the RMG industry by analysing secondary data. It evaluates e-accounting system
results using case studies and industry reports. E-accounting appears to have improved financial
transparency, data quality, process efficiency, and information access. It also improved organisational
decision-making.
The study also identifies e-accounting adoption issues. Training, infrastructure, data security, and employee
change resistance are these challenges. Successful implementation requires understanding and overcoming
these obstacles. The study concludes that Bangladesh's RMG industry needs e-accounting. E-accounting
solutions can improve accuracy, efficiency, and decision-making. This study helps RMG companies
contemplating e-accounting solutions understand the difficulties and opportunities ahead. The study paper
supports for e-accounting in Bangladesh's RMG industry, emphasising the necessity for industry players,
policymakers, and technology suppliers to work together to make the change. E-accounting helps RMG
companies in Bangladesh's dynamic business environment achieve financial transparency, operational
efficiency, and sustainable growth.
 7

Table of Contents

Executive Summary................................................................................................................................6
Introduction.............................................................................................................................................9
Literature Review..................................................................................................................................12
Methodology.........................................................................................................................................16
Data and Analysis.................................................................................................................................18
Discussions............................................................................................................................................22
Recommendations.................................................................................................................................23
Conclusions...........................................................................................................................................24
Reference...............................................................................................................................................25
 8
Introduction
The ready-made garments (RMG) industry holds a significant position in Bangladesh's economy,
contributing substantially to export earnings and employment opportunities. However, despite its success,
the industry faces numerous challenges, including outdated accounting practices, inefficient record-keeping
systems, and limited access to financial information. To address these issues and foster growth, there is a
pressing need for the adoption of modern accounting practices, such as e-accounting systems.

This research paper focuses on examining the impact of e-accounting practice in the RMG industry of
Bangladesh. E-accounting, also known as electronic accounting or computerized accounting, refers to the
utilization of technology to automate accounting processes, enhance financial transparency, and improve
decision-making within organizations. By leveraging digital platforms, cloud computing, and advanced
software applications, e-accounting offers numerous potential benefits for the RMG industry, including
improved accuracy, efficiency, cost reduction, and enhanced access to financial information.

The objectives of this study are to explore the potential benefits and challenges associated with e-accounting
adoption in the RMG industry and to evaluate its impact on organizational performance, financial
transparency, and decision-making processes. The research primarily relies on secondary data collected from
reputable sources, including industry reports, scholarly articles, case studies, and government publications,
to provide a comprehensive analysis of the subject matter.

The importance of this research stems from the crucial role played by the RMG industry in Bangladesh's
economy and the need to overcome the existing accounting challenges faced by organizations within the
industry. By examining the impact of e-accounting, this study aims to provide valuable insights and practical
recommendations for industry stakeholders, policymakers, and practitioners seeking to enhance financial
management practices and achieve sustainable growth.

The structure of this research paper is as follows: The subsequent section provides an overview of the RMG
industry in Bangladesh, highlighting its economic significance and existing accounting practices. Following
that, a comprehensive exploration of the concept of e-accounting is presented, emphasizing its potential
benefits and challenges. The subsequent section discusses the methodology employed in the research,
focusing on the collection and analysis of secondary data. This is followed by an in-depth examination of the
impact of e-accounting in the RMG industry, with an emphasis on empirical evidence from case studies and
industry reports. The research paper concludes with a summary of key findings and recommendations for
organizations considering the adoption of e-accounting practices in the RMG industry.

By studying the impact of e-accounting practice in the RMG industry of Bangladesh, this research paper
 9
aims to contribute to the existing body of knowledge on accounting practices, technology adoption, and
organizational performance. It seeks to provide a valuable resource for industry professionals, academics,
and policymakers in their efforts to drive positive change and foster sustainable growth in the RMG industry
through the adoption of e-accounting systems..

1.1 The objective of the Study

The study has been undertaken with the three specific objectives which are as the followings:
 To assess the status of e-accounting practice in the Bangladesh RMG sector
 To find out the forms of online accounting solutions usage in RMG factories under study
 To identify the types of e-accounting practice in RMG factories of Bangladesh

1.2 Limitations of the study

Limitations of a study can have a significant impact on the validity and reliability of the findings. Here are
some potential limitations that should be taken into consideration:
1. Lack of Primary Data: One limitation of this research paper is its reliance on secondary data sources. The
absence of primary data collection methods, such as surveys or interviews, may limit the depth of insights
and restrict the ability to capture specific nuances or perspectives from industry practitioners. Therefore, the
findings should be interpreted within the context of the available secondary data.
2. Generalizability: Since the study focuses on the ready-made garments (RMG) industry of Bangladesh, the
generalizability of the findings to other industries or countries may be limited. The RMG industry has
unique characteristics and dynamics that may not be directly applicable to other sectors, making it important
to exercise caution when extrapolating the results to different contexts.
3. Data Quality and Reliability: Another limitation is the potential variation in data quality and reliability
across the selected secondary sources. While efforts have been made to utilize credible and reputable
sources, inconsistencies or biases in the data cannot be entirely ruled out. The research paper acknowledges
this limitation and emphasizes the importance of critically evaluating the reliability of the secondary data
used.
4. Lack of Longitudinal Analysis: This study primarily relies on cross-sectional secondary data, which may
limit the ability to analyze changes over time or observe the long-term impact of e-accounting adoption in
the RMG industry. A longitudinal analysis that captures data at multiple time points would provide a more
comprehensive understanding of the trends, challenges, and outcomes associated with e-accounting
implementation.
5. External Factors and Contextual Specificity: The impact of e-accounting practice in the RMG industry is
influenced by various external factors, such as economic conditions, policy changes, and technological
advancements. These external factors may evolve over time and differ across regions, potentially affecting
the findings and their applicability. It is important to recognize the contextual specificity of the research and
 10
consider the dynamic nature of the industry when interpreting the results.
While these limitations should be taken into account, they do not diminish the value of this research paper in
providing insights into the impact of e-accounting practice in the RMG industry of Bangladesh. By
acknowledging these limitations, researchers and industry stakeholders can identify opportunities for further
investigation and ensure a more comprehensive understanding of the topic.
 11
Literature Review
E-Accounting Practice
Toshniwal (2016, pp. 580) states that e-accounting’ is the composition of two words i.e. ’e’ and
‘accounting’in which ‘e’ means ‘electronic’ and ‘accounting’ refers to the art of recording, classifying and
summarizing transactions. Then, e-accounting means the art of recording, classifying, summarizing and
communicating transactions in electronic form. Electronic form means the presence and absence of
electricity. Hence according to Deshmukh, (2006, pp. 1) e-accounting can be defined as the ‘digital
accounting’ which performaccounting functions using binary digits ‘0’ and ‘1’, referring to the absence and
presence of electricity in computer. In supporting this, some authors such as Amidu et al (2011 pp. 146);
Zakaria et al, (2011, pp.128); Soudani, (2013, pp. 18), Guney, (2014, pp. 854); and Alfartoosi & Jusoh,
(2020, pp. 23735) attempted to define e-accounting as computerized accounting, ICT based accounting or
accounting information system usage or the computer technology usage in accounting. Again, Binuomote et
al, (2019, pp. 184) define e-accounting as the spreadsheet using. But in the true sense, e-accounting
advances from this narrow focus on computer-based accounting to a broader concept of applying mobile
technologies over the internet (Oladejo& Yinus, 2020, pp. 16). The logic lies in the name as ‘e-accounting’
stated by Toshniwal (2016, pp. 579) that is similar to e-mail, being an electronic version of traditional mail
over the internet, e-accounting is the ‘electronic enablement’ of lawful accounting and traceable accounting
process through internet. VNMT.colutions.com (2021) informs that from using calculators to spreadsheets to
Tally and QuickBooks, accounting over the years continued to advance with new technologies and now,
cloud accounting has emerged as the latest facet for managing accounting and financial tasks. In a nut shell,
e-accounting is the upper version of accounting than computerized accounting because in computerized
accounting, purchased package accounting software is used with using computer whereas internet-based
accounting software is used with using mobile devices in e-accounting. This basic concept has also been
stated apparently in Kumar (2008a) web accounting education. There he mentioned that, in e-accounting
system, all source documents and accounting records related to general ledger book keeping, bank
reconciliation, cash management, accounts payables and receivables, billing payroll, budgeting,
management of recorded asset, management of detailed financial analysis, collection management, credit
management, generation of financial reports are prepared and communicated totally through online. In
regard of tools used in online accounting. Oladejo (2014, pp. 181), Yadav (2015, pp. 20) and Teru et al
(2019, pp. 01) inform that, in performing the accounting functions,e-accounting system use digital tools such
as web links, various international web-based materials, internet based institute and company databases,
online electronic financial spread sheet and internet based accounting software. Among the above online
tools, internet based accounting software usage is the principal applications of e-accounting system.
Tarboush (2017, pp. 05) posits that cloud accounting software provision issue is at the heart of the cloud
accounting system and Awara Direct Search, (2013), supports that the use of online accounting software
such as QuickBooks, Xero, Peachtree, Quicken, and Sage is named as e-accounting. Dimitriu & Matei,
 12
(2014a, pp. 842), Aman & Mohamed (2017, pp. 01), Rao, (2019, pp. 281) and Jaiswal and Jaiswal (2019,
pp. 123) also mention that accounting service got from online accounting solution usage is

called cloud accounting. On the other hand, Allahverdi (2017, pp. 92) clarifies that ‘cloud’ is used instead of
the word ‘internet’, and, cloud accounting refers to internet accounting which is also termed as e-accounting.
Now–a days, stand-alone accounting software and ERP accounting software are being practiced. Broetje,
(2019) state that startup business or young firms use stand-alone cloud accounting software such as payroll
solutions of which examples are ADP, QuickBooks, Gusto, and Paychex; expense solution of which
example is SAP Concur; payment solution of which example is Bill.com; and accounting software such as
QuickBooks Online and Xero. He also states that comparatively larger firms tend to use cloud ERP
accounting solution such as Intacct, Dynamics - all versions, NetSuite and MIP fund accounting software.
When an entity’s stand alone accounting software accomplishing functions are supplemented with some
activity-specific modules like supply chain management (SCM), CRM, reporting, and analysis, then the
entire structure of the organization would be effectively turned into an ERP financial accounting system that
covers the holistic firm (Deices, 2020).
E-accounting Practice in Business Sector of the World
Sage.com, (2017) states that in the world, two-thirds i.e. 67% accountants prefer cloud accounting over
moretraditional systems. Djurovic (2021) informs that throughout the world almost one-third (31%) of
accounting companies have over 80% of their clients online and in UK 18% of firms have 98% of their
clients in the cloud. Antonelli (2013, pp. 6), through his survey entitled as ‘Cloud Solutions Best Practices:
2013 Benchmark Study’, published by cloud accounting institute (CAI), informs that 52% companies of
USA, which is, at 2021, 94% (Djurovic, 2021), use cloud accounting solutions for accounting or financial
Management. CCH (2013, pp. 03) informs that in Australia 14% SMEs are practicing cloud accounting
solution.

Studies Concentration Country Type of Country

Loikkanen (2018) Loikkanen (2018) Loikkanen (2018) Loikkanen (2018)
Entrepreneurship in Entrepreneurship in Entrepreneurship in Entrepreneurship in
agriculture Finland, agriculture Finland, agriculture Finland, agriculture Finland,
Developed Developed Developed Developed
Ionescu et al. (2013) Ionescu et al. (2013) Ionescu et al. (2013) Ionescu et al. (2013)
Business sector Business sector Business sector Business sector
Romania Developed Romania Developed Romania Developed Romania Developed
Huynh (2019) SMEs Huynh (2019) SMEs Huynh (2019) SMEs Huynh (2019) SMEs
Vietnam Developing Vietnam Developing Vietnam Developing Vietnam Developing
Hamundu et.al (2020) Hamundu et.al (2020) Hamundu et.al (2020) Hamundu et.al (2020)
MSMEs Indonesia, MSMEs Indonesia, MSMEs Indonesia, MSMEs Indonesia,
 13
Developing Developing Developing Developing
Relhan (2013); and Relhan (2013); and Relhan (2013); and Relhan (2013); and
Rao, (2019) Rao, (2019) Rao, (2019) Rao, (2019)
SMEs India Developing SMEs India Developing SMEs India Developing SMEs India Developing

Table 1: Literature on e-accounting practice

Bangladesh, the developing country as well as N11 member (Goldman Sachs, 2007) of which govt sector
has started to use e-accounting by applying ‘e-Nothi’ (Khatun, 2019) in 2016 and non-govt sector has been
enjoying cloud accounting applications before of 2016. In this country, public vendors like Xero, Microsoft
extreme office, Oracle and Robi Amar Hisab, provide online accounting software for non-govt sector and
SMEs (Bangladesh post.net, 2020) but few SMEs are using this efficient accounting system. In addition to,
Tally, Troyee, QuickBooks, Sage, and Excel are widely used accounting being adopted by
Bangladeshi SMEs. Rahman et al (2014) found that in Bangladesh 65% SMEs are interested
in excel based accounting system while 16% preferred the use of Tally software, 10% use Troyee and 6%
respondent use Quick Books (Rahman et al, 2014, pp. 80).
Bangladesh RMG Industry
This section discusses few specific relevant studies in the literature about the Bangladesh RMG sector. The
structure of the Bangladeshi RMG industry is totally different and therefore the accounting information
system under information wing of supply chain in the CMT (cutting, making and trimming)-based industry
is also quite unique. Moreover, there have many studies on the RMG industry but these have been very
general in nature and mainly deal with the industry’s prospects, growth and development (Rahman et al
2017 Hasan et al 2018; Shimu & Islam 2018; Bdcgtoronto.ca 2021). From the relevant literature the main
problems identified in the RMG sector now a days, are basically higher lead time (Nuruzaaman 2013), less
price, higher product cost, less diversification of product, less technology usage, less productivity. But
now–a days, after COVID 19, among many other problems, less profitability problems stands as the key
issue in this export oriented sector (Textile today.com, 2020). Many factories had to shut down their
operation due to lack of profitability (Huq, 2021). The RMG researcher monthly paper also analyzed the
issue and identifies that lack of proper accounting system remains as responsible against the problem. Due
to lack of open costing presentation to buyers, Bangladesh RMG is being categorized as B, the less priced
RMG, maximum comes under this category. Apart from this, due to lack of actual costing information
owners or managers cannot make proper decision timely and owners cannot bargain for price with buyers.
Another concern is that labor cost and utility cost increasing makes the product cost higher. Siddique (2018)
opines that low labor cost is not yet to be considered as the competitiveness of the Bangladeshi RMG sector.
He suggest that in order toremain competiveness cost must be reduced. But no researcher conducted any
study to portray the accounting section and its financial performance in this sector.
E-accounting Adoption in RMG Industry of Bangladesh
There remains a little research in cloud computing based accounting information system adoption in RMG
 14
sector as this journey is too much up to date in the country. The main contribution of the cloud adoption in
the sector can be depicted below: Roney (2020) informs that about 2% users enlisted in their e-accounting
users

are from RMG merchandiser. Among the 350 users, only 7 (seven) use the Microsoft extreme office cloud
accounting solution. Over the phone interview, this cloud vendors informs that RMG manufacturers those
use extreme xlcloud accounting solution are Young one of Chittagong, Okay Printing, M. N. Group, Alif
Printing, Prima Concept Ltd, Lucky Group, Hope Apparels, and Buying houses those use this e-accounting
service are Janfdafashion, and Protthasha Fashion House. Abdullah (2020) investigates and comments in the
news article that saas based ERP will be the game changer in the RMG sector of Bangladesh. Since the
existing practiced package ERP cannot provide expected service and saas based ERP possess the cost
minimizing nature, flexibility, scalability, huge memory and backup facilities, cloud ERP will define the
future RMG sector’s performance. The study mentions that fakir group a, renowned RMG factory has
already adopted saas based ERP. Nipa (2020, pp. 33-34) validates the ICT application in the Bangladesh
RMG sector. The researcher conducted survey research on 100 RMG factories. With descriptive statistics,
the restudy finds that in Bangladesh about 86% RMG factories have internet access in which 83% have
organizational websites. She adds that average 79% factories use general ICT applications such as e-mail,
VOIP, and bulk SMS, and 33% factories use accounting package software and 65% use package ERP. She
also validates that approximately 30% factories use advanced ICT applications in which software as a
service (saas) using rate is 28% and cloud computing using rate is 35%, and 45% factories use mobile
payment system. Ahad et al (2021) investigated Bangladesh ready-made garment’s development via
ubiquitous and mobile computing. Mentioning the major challenges the sector faces are the inefficiency in
communication, worker disempowerment, and long lead times to produce finished goods, the study suggests
that mobile information system has potential development impact to improve communication, co-ordination,
and empowerment. This study narrows the gap through utilizing affordance theory as a theoretical lens to
examine MbUS affordance applied to Bangladeshi RMGs. Using 39 interviews, this research explores five
MbUS affordances - connectivity, mobility, agility, empowerment and governance, and their relationship to
Bangladeshi RMGs. Furthermore, the study identifies empowerment as a crucial affordance rarely identified
in prior RMG literature.
 15
Methodology
The research paper on the "Impact of E-Accounting Practice in the Ready Made Garments Industry of
Bangladesh" adopts a secondary data methodology to gather and analyze relevant information. Secondary
data refers to existing data that has been previously collected by other researchers, organizations, or
government agencies. This methodology allows for a comprehensive analysis of the impact of e-accounting
practice in the RMG industry, leveraging a wide range of credible sources.

1. Data Collection:
 Extensive Literature Review: A comprehensive review of scholarly articles, research papers,
industry reports, and relevant publications was conducted to gain a deep understanding of the RMG
industry, existing accounting practices, and the impact of e-accounting adoption.
 Government Publications: Official reports, guidelines, and publications by government agencies,
such as the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and the
Ministry of Commerce, were examined to gather information on industry trends, policies, and
initiatives related to e-accounting.

2. Data Analysis:
 Data Classification and Curation: The collected secondary data was carefully organized and
classified based on its relevance to the research objectives and research questions. Data related to
the impact of e-accounting practice, challenges, and benefits were extracted and compiled for
further analysis.
 Thematic Analysis: A thematic analysis approach was employed to identify patterns, recurring
themes, and key insights within the collected data. This involved categorizing and grouping
information based on similarities and differences, allowing for a systematic exploration of the
impact of e-accounting practice in the RMG industry.
 Comparative Analysis: By examining multiple sources, the research paper aimed to conduct a
comparative analysis of different cases, studies, and reports to identify commonalities, differences,
and emerging trends related to e-accounting adoption in the RMG industry.

3. Validity and Reliability:

 Source Evaluation: The credibility, reliability, and relevance of the selected secondary data sources
were carefully assessed to ensure the validity of the research findings. Peer-reviewed journals,
reputable industry reports, and recognized government publications were prioritized to maintain a
high standard of data quality.
 Triangulation: To enhance the reliability of the findings, multiple sources were used to triangulate
 16
the information and validate the conclusions drawn. By cross-referencing data from various
sources, potential biases or inconsistencies were identified and mitigated.

4. Ethical Considerations:
 Proper Citation and Referencing: Ethical considerations were given due importance, and all
sources consulted were appropriately cited and referenced in accordance with academic integrity
standards.
 Data Confidentiality and Privacy: As this research relies on secondary data, there were no direct
ethical concerns regarding data confidentiality or privacy. The research paper respected the
intellectual property rights of the original data sources and ensured the responsible and ethical use
of the information.

By adopting a secondary data methodology, this research paper provides a comprehensive analysis of the
impact of e-accounting practice in the RMG industry of Bangladesh. The careful selection and analysis of
credible secondary sources enable researchers and industry stakeholders to gain valuable insights and make
informed decisions regarding the adoption and implementation of e-accounting systems in the RMG
industry.
 17
Data and Analysis
Here is a comprehensive analysis of the secondary data collected from various credible sources. The data
and analysis section aims to provide a structured presentation of the findings, focusing on the impact,
benefits, and challenges associated with e-accounting adoption in the RMG industry.
Factory Information

Factory Informati on
Factory Information
37.7

31.3

13.7
9.7

7.7
Dhaka G azi p u r Nar ayan go n j C h a tt o g r a m Ot h er s

Figure 1: Factory Information

Factory Type

Factory Type
40

35

30

25

20

15

10

0
Woven Knit Composite Sweater

Factory Type

Figure 2: Factory Type

 18
Scenario of e-accounting practice in RMG industry of Bangladesh
Accounting Software Usage Rate
Particulars Percent

Yes 100.0%

Table 2: Accounting software using rate

Status of E-accounting Practice

Status of E-accounting Practice

Using sophisticated ERP

Using separate accounting software modules

Searching the vendors

Deeply Discussing for Use

0 5 10 15 20 25 30 35 40 45 50

Status of E-accounting Practice

Figure 3: Status of E-accounting Practice

E-Accounting Status as Per Factory Types

Types of Deeply Searching the Using Using Total

factory discussing vendors for different sophisticated
about the eaccounting online ERP
eaccounting practice accounting
adoption solution for
different
functions
Woven 5 5 55 40 105
Knit 10 10 20 65 105
Composit 0 0 25 20 45
Sweater 5 5 20 15 45
Total 20 20 120 140 300

Table 2: Status of e-accounting usage as per type of factory

 19
Forms of E-accounting Software Usage

Software Usage

Not using e-accounting

Using online accounts software
33% 33% only
Using online accounts and inven-
tory software
Using online accounts, inventory,
and payroll software

17% 17%

Figure 4: Forms of E-accounting Software Usage

Types of Cloud Computing Usage

Cloud Computing Usage

Community cloud
8%

Hybrid cloud
15%

Private cloud
54%

Public cloud
23%

Figure 5: Types of Cloud Computing Usage

 20
Cloud Accounting Using Years

Using Years

Less than 2 years

19%

From 6 to 10 years
40%

From2to 5 years
40%

Less than 2 years From2to 5 years From 6 to 10 years

Figure 6: Cloud Accounting Using Years

Name of the Online Accounting Software Usage

PARTICULARS PERCENT
TALLY 25.3
EXTREME OFFICE 3.3
QUICKBOOKS ONLINE 6.7
ORACLE NET SUITE ERP 10.0
SAP 6.3
SAGE50@CLOUD 3.0
ANIMUS SOFTWARE DEVELOPMENT LTD 9.7
TECH VIEW 12.7
OTHERS 9.7
NOT APPLICABLE 13.3
TOTAL 100

Table 3: Name of the Online Accounting Software Usage

a
 21
Discussions
From the above presentation of the analysed data, it is clear that most of the policy-level workers in the
RMG plant are men between the ages of 41 and 50. That means that RMG is pushing Bangladeshi people
who are young and full of energy to work there.

sector. They also have a lot of education, which goes against the common belief that people who own
clothing stores can not read or write. In the study's factory description, it says that the number of woven and
knit garments is still higher than the number of composite and jumper garments. Most garments are in the
Dhaka and Gazipur area, but a lot of RMGs are in Narayangonj and Chottogram. 100% of the sampled
factories are now using accounting software, which is computerised software. This disproves the idea that a
lot of RMG factories still use old-fashioned accounting systems based on paper (Textiletodey.com, 2020b).
About 14% of the companies have not yet begun to use a modern accounting system that is based on the
internet. But most companies (86%) have already started to use this industry 4.0 technology in their
accounting and information systems. companies tend to use ERP systems that are more complex, and they
choose to use private cloud. Software makers customise programmes like inventory, accounting, and payroll
software based on what the authorities want. When it comes to using online ERP, the knit sector seems to be
ahead of the woven, jumper and hybrid sectors. It was also found that the jumper field is a big business that
is still not using e-accounting. The average age of e-accounting users is less than 10 years, which shows that
it has only recently started to be used in the Bangladeshi RMG sector, which backs up Abdulla's (2020)
study. It has also been found that the number of people using "Tally online accounting software" is still at its
highest level. It is also found that local software developers are more popular with RMG owners than
foreign IT giants for making their internet-based accounting, inventory, and payroll software.
 22
Recommendations
The study looked at Bangladesh RMG's e-accounting practises from the client's point of view, not from the
vendor's. The study only talks about the use of saas-based stand-alone accounting solutions or ERP. It does
not talk about any other cloud services. Platform as a service (Paas) and Infrastructure as a service (Iaas) are
examples of financial services. The researcher has had a hard time getting information from RMG factory
owners and managers because they are so busy with their daily jobs. Rather, getting large amounts of private
(accounting-related) data was difficult for the researcher during field study and survey. But the study only
looks at how e-accounting is used. It does not try to figure out what factors affect the practise or how it
affects how well tasks are done, which are things that could be studied in the future. Also, this study only
looks at how e-accounting is used by RMG makers. Future studies could look at accessories, textiles, and
buying houses, which are all important businesses in the RMG industry.
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Conclusions
The goal of the study was to find out how e-accounting was being used in RMG companies in Bangladesh.
The study used meta analysis method to reach its goals. Reviewing of other related journals were used to
gather data, and meta analysis were used to show and analyse the data. The study comes to the conclusion
that Bangladesh's RMG sector, which is the second-largest supplier of clothing and is a very new business
sector, is actively adopting industry 4.0 technology to keep up with competitors from other countries. Most
RMG makers' factories use e-accounting, which is a sign of a smart factory. The study says that the weave
factory should keep up with the knit factory in terms of e-accounting, and the jumper factory should also be
aware of how e-accounting is used.
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