UNIVERSITY OF NAIROBI

SCHOOL OF COMPUTING AND INFORMATICS

HIGH SCHOOL EXPENDITURE MANAGEMENT SYSTEM

NAME: KIETI DENIS MUSYOKA

REG. NO: E46/5422/2014

A RESEARCH PROJECT SUBMITTED IN PARTIAL FULFILLMENT OF THE

REQUIREMENT FOR THE AWARD OF DEGREE BACHELOR OF EDUCATION- ICT

UNIVERSITY OF NAIROBI

2017

i

DECLARATION I declare this project work proposal is originally mine and has been done in the best of my

knowledge and full support of my supervisor as part of the partial fulfilment of the Bachelor

of Education- ICT.

Student’s Name: DENIS KIETI signature:………DATE: ……………………….

Supervisor: MR. PAUL RABALA signature:………DATE:…………………..........

ii

ACKNOWLEDGEMENT First, we would like to thank our able God for keeping me in good health throughout the

project proposal writing. We are also privileged to express a sense of gratitude to our

supervisor, Mr. Rabala, for his unparalleled knowledge, judgment and moral fibre, along

with his know how for being there constantly for guidance during the writing of our Project

documentation. We are indebted to our colleagues, our parents and contemporaries for

motivating us in our project work.

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Table of Contents Page

DECLARATION .......................................................................................................................................... i

ACKNOWLEDGEMENT ............................................................................................................................. ii

LIST OF FIGURES ...................................................................................................................................... v

LIST OF TABLES ....................................................................................................................................... vi

ABREVIATIONS AND ACRONYMS .......................................................................................................... vii

CHAPTER 1: INTRODUCTION ................................................................................................................... 1

1.1 Background ................................................................................................................................... 1

1.2 Problem Statement ..................................................................................................................... 1

1.3 Research Objectives .................................................................................................................... 1

1.3.1 General objective ................................................................................................................. 1

1.3.2 Specific objective .................................................................................................................. 2

1.4 Research questions ..................................................................................................................... 2

1.5 Significance of the study .............................................................................................................. 2

1.6 Limitation of study ....................................................................................................................... 3

1.7 Delimitation of study ................................................................................................................... 3

1.8 Assumptions ................................................................................................................................ 3

1.9 Definitions of significant terms ................................................................................................... 3

CHAPTER 2: LITERATURE REVIEW ........................................................................................................... 4

2.1 Introduction ................................................................................................................................ 4

2.2 Canada’s Expenditure Management System .............................................................................. 4

2.2.1 Strengths of Canada’s Expenditure Management System ................................................... 4

2.2.2 Weaknesses of Canada’s Expenditure Management System ................................................ 4

2.3 TAS Financial Accounting System ................................................................................................ 4

2.3.1 Strengths of TAS Financial Accounting System .................................................................... 4

2.3.2 Weakness of TAS Financial Accounting System ..................................................................... 5

2.4 Integrated Financial Management Information System (IFMIS) ................................................. 5

2.5 Research gap ............................................................................................................................... 5

CHAPTER 3: RESEARCH METHODOLOGY ................................................................................................ 7

3.1 Introduction ................................................................................................................................ 7

3.2 Research design .......................................................................................................................... 7

3.3 Target population ........................................................................................................................ 7

3.4 Sampling procedure .................................................................................................................... 7

iv

3.5 Data collection methods ............................................................................................................. 8

3.6 Data analysis methods ................................................................................................................ 8

3.7 Validity and reliability .................................................................................................................. 8

3.8 System analysis and design methods .......................................................................................... 8

REFERENCES .......................................................................................................................................... 10

Appendices ............................................................................................................................................ 11

Work plan .......................................................................................................................................... 11

Proposed Budget ............................................................................................................................... 12

Technology overview ........................................................................................................................ 12

User case diagrams ........................................................................................................................... 13

v

LIST OF FIGURES Fig 3.1 system development life cycle ……………………………………………………..…9

Fig 3.2 Gantt chart ....……....…………………………………...……………………………11

Fig 3.3 User case diagram for bursar, clerk and accountant………………………….……...13

Fig 3.4 User case diagram for administrator …………...……………………………………14

Fig 3.5 User case diagram for principal ………...…………………………………...………15

vi

LIST OF TABLES Table 3.1……………………………………………………………..………………………11

Table 3.2 ………………..……………………………………………………………………11

vii

ABREVIATIONS AND ACRONYMS BOM- Board of Members

DA - Departments and Agencies

HOD – Head of Department

IFMIS- Integrated Financial Management Information System,

TAS – Tanzania Accounting financial system

1

CHAPTER 1: INTRODUCTION

1.1 Background In this 21

st century, Mullins (2005), globalization and the constant innovation of technology

result in a constantly evolving business environment. Most of organizations have been able to

embrace technology in the way they do their business. They have been able to make

advantage of technology in improving their performance like keeping e-records of all daily

activities transpiring in the firm. This has witnessed many firms rise to apex when it comes to

management, (Maneen, 2003).

Financial management in secondary schools is not also an area to be left behind in using

systems. The systems will see improved transparency and accountability on cash inflows and

cash outflows.

1.2 Problem Statement According to Koech Educational Inquiry Report (1999), Audit reports for high schools were

not up to date in the all republic of Kenya. The report observes that most schools funds had

been embezzled years before the account books were audited. It was noted that there was no

government control on the issue of official receipt books and that most schools print their

own receipt books which they use for embezzlement of funds and misappropriation. An

incident was reported in Central division, Embu district where five high school heads were

conned by a person who had pledged to sell them textbooks at some considerable discount

(Daily Nation, July 28th

, 2004). It was reported that, the guy collected funds but never

brought the textbooks.

As the reports indicate, most secondary schools in Kenya are not in position to account for

monies they receive (cash inflows) alongside what they spend on various expenditures (cash

outflows). This includes various items like stationery bought, boarding materials, school

equipment for grounds men not forgetting laboratory equipment for the science departments.

When departmental heads want various items which might be running out in their

departments, they are forced to go to principal to let them know then their requests will be

considered.

1.3 Research Objectives

1.3.1 General objective

To design high school expenditure management system for cash outflows

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1.3.2 Specific objective

1. To register a new bursar

2. To record stationery bought by school administration

3. To keep track of boarding expenditure

4. To provide a platform for heads of departments to place list of items they need in

their departments

5. To display report on miscellaneous expenditure incurred by school

1.4 Research questions 1. What literature review is already available on system(s) already in existence?

2. How will system enable user to keep track boarding expenditure?

3. How will the system allow user to generate reports of various expenditure incurred?

4. How will the system allow registration of Head of Departments (HOD)?

5. How will the system allow HOD’s to place list of items they are in need in their

departments?

6. How will the system ensure controlled access to school expenditure records?

1.5 Significance of the study The management of school finances is solely in the hands of the BOM, who are responsible

for financial budgeting (Education Act, 2012). This involves fixing the amount of fees

payable (though the Ministry of Education gives guidelines), receiving fees, grants and all

other donations to the school. However, the principal plays a significant role as a secretary to

the BOM. Here are some of the benefits that will be associated with the proposed system

among other benefits.

1. Efficient way of placing list of items by departmental heads e.g. laboratory equipment

and games and sports facilities needed

2. Increased accountability on expenditure: the system will keep a record of

expenditure incurred on all transactions the school budgets. The principal will be in a

position to provide those records to BOM on request

3. Improved transparency on the cash inflows alongside cash outflows

4. There will be improved decision making process especially to the Board of

Members

5. There will be reduced time in auditing financial record which is done annually

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6. Reduction in paper work and manual filing system

1.6 Limitation of study The physically impaired people will not be in a position to use the system. The system will

only be limited for use to only school staff like Principal, accountant, bursar(s), heads of

departments and the administrator.

1.7 Delimitation of study Similar system can be designed for use outside secondary school setting. This include in

learning institutions like technical and vocational training institutes.

1.8 Assumptions 1. All the users will have the basic computer skills/knowledge and updated with the

current technological advances

2. The school will have well networked computer labs

3. The school will have well-furnished staff offices with 24-hour internet connectivity

4. The school will have power back facilities to ensure to ensure all through power

supply in the school

1.9 Definitions of significant terms Head of Department – teachers appointed by school head to lead various sections in school

Cash inflows – different forms of cash school receives

Cash outflows – the cash school spends on items

Expenditure – an outline of money spend on items by the school administration

Board of Members – representation of school managers headed by Board chairman

Apex – to rise to the top

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CHAPTER 2: LITERATURE REVIEW

2.1 Introduction

This section introduces the literature on other systems which are already in existence. The

literature comes from published reports; books from different authors and e-journals from the

internet.

2.2 Canada’s Expenditure Management System This system is used by the federal government of Canada since late 1994. The federal

government comprises over 90 departments & agencies, 46 Crown corporations. It came into

place after claims that federal government was not able to account for money it receives from

the state government by the end of 1993. Its guided by key pillars like all spending must be

managed to transparent results/outcomes.

2.2.1 Strengths of Canada’s Expenditure Management System

Here some of the benefits we found that can be associated with system when it was

implemented

1. Over a three year period (1994-97) the fiscal crisis was addressed through major

expenditure cuts

2. 1995 Budget announced $16.9B in savings over 3 years, further $2B in

3. savings announced in 1996 Budget - Overall spending fell by 10% from 1995

to1999, capital spending fell by 35%

4. By 1997-98 the surplus was $3.5B - and ran consecutive surpluses until 2007 -08

5. By 2007 - 08 the debt – to - GDP ratio was down to 29.8%

2.2.2 Weaknesses of Canada’s Expenditure Management System

It lacks sections for different departmental heads to request for items they need

2.3 TAS Financial Accounting System Irene (1995), TAS Financial Accounting System is used in Bendera School in

Tanzania. In this system, there are section where one (users) has to record what has

been bought and amount spent on them.

2.3.1 Strengths of TAS Financial Accounting System

1. All the financial transactions are effected through bank.

2. Daily balancing of the cashbook preparation of the monthly financial accounts are

generated through the system.

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3. Keeps track of records of the transactions transmitted via email by the bank

2.3.2 Weakness of TAS Financial Accounting System

It ignores other financial administrators like departmental heads who also contribute

largely to expenses in the school

Does not have sections to indicate the popular and commonly used mobile phone

money transaction (M-pesa) for expenses incurred on items bought

2.4 Integrated Financial Management Information System (IFMIS) It is an automated system that enhances efficiency in planning, budgeting, procurement,

expenditure management and reporting in the National and County Governments in Kenya.

The Integrated Financial Management Information System (IFMIS) was rolled out

to Government Ministries in 2003. In 2011, The National Treasury launched IFMIS Re-

engineering to spearhead IFMIS implementation. By 2012, IFMIS was operational

in Ministries, Departments and Agencies (MDAs). All the 18 Government Ministries

listed below are using IFMIS to transact. It has overseen efficient government spending of

resources. (Kenya Gazette, 2013).

To develop the above systems, the designers had to follow the key phases of system

development life cycle. They would pilot them in different places of interest before they

would fully implement it. For our system to be effective, we also plan to follow the key

stages in System Development Life Cycle as discussed in section III.

2.5 Research gap Despite the above systems being in use, there still exist some gaps. Some of the gaps are: lack

of section where the various heads of departments can be able to place requests on items the

school administration should seek to provide. The above systems ignore various people who

largely contribute to school expenditure like heads of departments.

Our system is intending to bridge the above gaps by incorporating different users involved in

contributing to school expenditure. The users will include accountants, heads of departments,

clerks besides the principal and bursar. The system will also provide records on various cash

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outflows school administration spend on items. Our system again will provide sections for the

heads of departments to place lists of items they require.

Our system will only allow authorized users to be able to log in and access various records on

expenditures otherwise; the system will require the user to sign up if they are genuine users.

The system will check whether a user is genuine by searching his or her identity number from

the directory of system users. It will be the responsibility of administrator of the expenditure

management system to keep updating the directory of users.

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CHAPTER 3: RESEARCH METHODOLOGY

3.1 Introduction

This section outlines the methodologies that will be used in our project proposal. It delves on

the research design, data collection methods, population of the study and system design and

analysis.

3.2 Research design This will study will use descriptive survey design. Survey design offers the best opportunity

to collect quantitative data that can be used to provide information required for the system we

are planning to develop. It will enable us to collect first hand data from the actual users

targeted for the system. Fisher (2004) affirms that quantitative research is an interpretative

approach that seeks to decode, translate and describe a phenomenon.

3.3 Target population According to Peter (2003), target population falls under two broad categories: it might be a

specified population or unspecified population. Specified population means all the members

of the population to be involved in the research and are recorded in some register.

Unspecified means members of the population who are not necessarily recorded in any

registrar.

This research study will involve a specified population. These will include some of public

secondary schools principals, Head of Departments (HOD’s), bursars, clerks in Kithyoko

division, Masinga sub- county, Machakos County. There are ten (10) secondary schools in

this division (Ministry of Education, 2012).

3.4 Sampling procedure We decide to carry out my research using random sampling method and stratified sampling.

Random sampling is the purest form of probability sampling. In this study, 2 schools will be

used in the pilot study of our School Expenditure Management System. The left 8 schools will act as

the respondents for the main study. According to Krejcie and Morgan (1972) when the population size

is 8, it is considered as adequate and quite representative; therefore all the 8 respondents will therefore

be used in the study.

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3.5 Data collection methods Interviews will be the main instrument for the study. After conducting interview (one on one

interviews), results will be revised accordingly using below data analysis methods to capture

the research questions and aims.

3.6 Data analysis methods Each data collected shall be checked for consistency with data obtained from interviews in

order to eliminate misleading data which could arise from misrepresentation of questions.

The results will be presented using tables, frequency charts and graphs.

3.7 Validity and reliability

According to Kothari (2000), validity indicates the degree to which an instrument measures

what it is supposed to measure, that is, the extent to which differences found with a

measuring instrument reflect true differences among those being tested. Moreover, a

measuring instrument is reliable if it provides consistent results (Mugenda, 2002). Thus to

enhance validity, a pilot study will be carried out. Two secondary schools will be involved in

the pilot study to test validity of the research instruments.

3.8 System analysis and design methods Our project study is intended to observe the stages of System Development Life Circle

(SDLC); which is a step by step process that uses chronological order. Each of the stages is

related to previous one as illustrated in fig. 3.1 below.

1. We will identify deficiencies with current expenditure systems (if any) or related

systems to account for expenditure. We will achieve this by carrying out one on one

interview to various users of the system in Thatha High school during our feasibility

study. This will enable us to effectively address the research questions.

2. The new system requirements will be defined in consideration with deficiencies found

in existing system with specific proposals for improvement

3. The proposed system specifications will be put into consideration to address the

research questions. Plans will be laid out concerning hardware and software

requirements

4. The proposed system will be designed; by installing new components

5. Users which include school principal, head of departments (HOD’s), School bursar(s)

and the deputy principal where the piloting will done will be briefed on the new

proposed system

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6. Testing the system will be done in Thatha High School and Kithyoko High school for

duration of one month

7. The system will be evaluated once the piloting is successful

8. The last step will be implementation and maintenance of new system

System development life cycle

Fig. 3.1 system development life cycle

Evaluation

Piloting

System design

Implementation

Initial idea

Feasibility study

Requirement analysis

System analysis

System specification

10

REFERENCES Daily Nation Editor (2004, July28

nd). Headmistress jailed for theft of School Funds.

Nairobi: The Daily Nation Newspaper, page 15.

Koech, K. D. (1999). Report of the Commission of Inquiry into the Education Systemof

Kenya. Nairobi: Government Printers.

Kenya Gazette , (2013) , Nairobi: Government Printers.

Kothari C. R. (2000). Research Methodology Methods and Techniques.New Delhi - 110002.

Kemp, J., Schotter, A., &Witzel, M. (2012).Management Frameworks: Aligning Strategic

Thinking and Execution. Rutledge.

Irene M. (1995). Financial Management.New Delhi: Vikas Publishing House.

Ministry of Education, (2012). Development of Education in Kenya. Nairobi: Government

Press.

Maanen(2003).Research Methods for Business: A Skill Building Approach, John Wiley, NY.

Mugenda, O. M. and Mugenda, A. G. (2002).Research Methods: Quantitative and

Qualitative Approaches. Nairobi: Acts Press.

Mullins L. (2005), Management and Organizational Behaviour.7th

ed. London, Prentice Hall.

Peter C. B. (2003). A Guide to Academic Writing. Nairobi: Kisaba Printing Press.

Republic of Kenya (2004).Divert School Funds Not. Kisumu: Unpublished report

11

Appendices

Work plan

Sr. No

Activity Description Start date End date

1 SECTION I Writing introductory part of project

proposal

2nd

May, 2017 4th

May, 2017

2 SECTION II Writing literature review of project proposal 7th

May, 2017 11th

May, 2017

3 SECTION II Writing methodology section of project

proposal

13th

May,

2017

20th

May, 2017

4. System

analysis

We will collect data and information from

the various data collection methods

27th

May,

2017

7th

June, 2017

5. System

specification

This ensure all the research modules are

addressed

20th

June,

2017

23rd

June, 2017

6. Coding Coding and testing the workability of

system

2nd

June, 2017 25th

June, 2017

7. System Design Laying out plan on system requirement

which involve hardware and software,

graphical design of end product

11th

June,

2017

29th

June, 2017

8. Piloting Testing system functionality 1st July, 2017 1

st August,

2017

9. System

Implementation

Evaluate the system for any errors which

might arise during testing; correct them and

now put the system into function

2nd

Sept, 2017

Table 3.1

Gantt chart

Fig 3.2 Gantt chart

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Proposed Budget

Sr. No

Item Description Quantity Price (Ksh)

1 Printing Printing project proposal

Documentation

2 1200

2 Spiral binding Binding printed

documentation

2 600

3 Compact Disks CD-RW to burn the

documentation

2 300

4 Transport To different schools for

piloting project

- 3000

5 Airtime For calls likely to make

concerning the project

proposal

- 1000

6 HP Laptop Hardware to run the system 1 42,000 7 Maintenance

and repair

Needed to maintain

hardware and software

components

- 5000

8 Ethernet cable For internet connectivity - 2500 9 Miscellaneous

expenses

Other expenditure 5560

Total EXPENDITURE

61,160

Table 3.2 budget

Technology overview

The technology that we will use for implementing High School Expenditure Management

System include:

Programming language Html 5, PHP/MYSQL platforms

Apache will be used as the HTTP server. The development will done in a windows 8.1

environment in our HP laptop.

Processor Intel ® core TM i5-3320M, CPU 2.6Hz

Installed RAM 4GB

PHP: PHP is a general-purpose scripting language that is especially suited to server-side web

development where PHP generally runs on a web server. PHP code will be embedded into the

HTML source document

MySQL: MySQL is a relational database management system. Before using our database, we

must create a table. A table is a section of the database for storing related information. In a

table we will set up the different fields which will be used in that table.

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User case diagrams BURSAR, ACCOUNTANT, CLERK

Fig. 3.3 user case diagram for bursar, clerk and accountant

Staff number is

not found in our

directory, see the

administrator or

principal for

assistance

Login

Username

Password

User

Bursar

Accountant

Clerk

Registered

?

Exists ?

Check user staff

number from

user directory User Sign up

Staff name

Staff number

User name

Position

Password

Check user staff

number or username

whether is signed up

Exists ?

Username or

staff number

already exists try

a different one

Boarding expenditure

Electricity and water

Repair and maintenance

Local transport

Activity fund expenditure

Office equipment

Cooking stuff and

equipment

Clinical treatments

Miscellaneous Expenses

Science departments

Games department

Items on order from

departments

Reports on expenditures

Type of expenditure

(recorded accordingly)

User log out

Yes

No

No

Yes

No

Yes

14

ADMINISTRATOR

Fig. 3.4 user case diagram for administrator

Login ID is not

found in our

directory, see

principal for

assistance

Login

Login

question

User

Administrator Registered

?

Exists ?

Check user

login ID from

admin

directory

Admin Sign up

Staff name

Staff number

Login question

Login answer

Password

Check user staff number

or login answer whether

is signed up

Exists ?

staff number or

login answer

already exists try

a different one

View registered users

Change user password

Register user

Deregister user

User log out

Yes

No

No

Yes

No

Yes

15

PRINCIPAL

Fig. 3.5 user case diagram for principal

Staff number

is not found in

our directory,

see the

administrator

for assistance

Login

Usernam

e

Password

User

Principa

l Registered

?

Exists ?

Check user staff

number from

user directory

User Sign up

Staff name

Staff number

User name

Position

Password

Check user staff

number or username

whether is signed up

Exists ?

Username or

staff number

already exists

try a different

one

Boarding expenditure

Electricity and water

Repair and maintenance

Local transport

Activity fund expenditure

Cooking stuff and

equipment

Clinical treatments

Miscellaneous Expenses

Science departments

Games department

Items on order from

departments

Reports on expenditures

Type of expenditure

(Recorded accordingly)

User log out

Yes

No

No

Yes

No

Yes

View registered users

Register admin

Change his or her password

(principal)