Role of the AIS in Modern Organizations

Section 1) Introduction
Modern organizations are type of organizations that are using information systems
extensively, which are computer-based and it can be in several forms. The project assignment
is focusing on accounting information systems that will be serving accounts department in
any organization or for accounting purposes
1
.
The purpose of project assignment is to identify role of the accounting information
systems and to analyze how they are playing these roles in modern organizations. By the end
of project assignment, there will be realization how effective role that accounting information
systems is playing to develop and to maintain modern organizations.
Section 2) Role of the AIS
The role of the accounting information systems is based on business function and
nature of a particular modern organization. Moreover, it is varying based on the size and type
of organization and their business or services industry. owever, its general role is to
facilitate reward systems allocation that modern organization will need to reward
2
.
The capturing of financial data is in the traditional accounting information systems
while non-financial data capturing was in the other such as it can be redundant systems. !ne
of the examples is enterprise resource planning that will be including to support and to
provide financial and non-financial information along with accounting information systems"s
traditional functions
3
. #t is another role played by accounting information systems where
specific system is integrated with other departments for aligning and processing needs
e$ually.
%
Moeller, &. &. '())*+. Brink's Modern Internal Auditing. ,ew -or./ 0ohn 1iley and 2ons.
(
2isaye, 2. '())%+. Organizational Change and evelopment in Management Control
!ystems" #rocess Innovation for Internal Auditing and Management Accounting. ,ew -or./
3merald 4roup 5ublishing.
6
0ac.son, 2awyers, and 0en.ins. '())7+. Managerial Accounting" A $ocus on %thical
ecision Making& 'ew (ork" Cengage )earning&
Zubaidah Abdul Rehman, 20042080 Page 1 of 4
Role of the AIS in Modern Organizations
8ccounting information systems wor.s towards success of the organization when
there is incorporation of information and communication technologies, which is important
role. Therefore, it will be driving towards innovation of accounting practices. 2ome of the
responsibilities relatively are process management and operational activities* internal
reporting and e+ternal reporting
4
.
#n most of the modern organizations, it has become essential that accounting
information systems produce information that is aligned with strategic perspective. This is
one the major roles that accounting information systems are into. Therefore, accounts
department will not ,ust review internal operations but they will be wor.ing towards
producing information that will benefit making e+ternal decisions. This will be related to the
e+ternal environment of the organization and competition
5
.
2.1) Role by Accountants in General
8n important role that accountants are playing is data processing in accounting
information systems. #t will be answering the below $uestions
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/
1hat are the data to be stored and entered9
1ho are the employees to access these data9
ow are the data supposed to be retrieved, accessed, stored, updated and
organized9
1hat are means for meeting information needs that are unanticipated or
scheduled9
:
;<8tri, Marco, Braccini, and =abiddu. '()%)+. Management of the Interconnected -orld"
ItAI!" the Italian Association for Information !ystems& ,ew -or./ 2pringer.
*
8dams, ;. '())>+. Management Accounting $or .he /ospitality* .ourism And )eisure
Industries" A !trategic Approach& ,ew -or./ =engage ?earning 3M38.
>
?ehman, =. &. '%@@*+. Accounting's Changing 0ole in !ocial Conflict& ,ew -or./ Mar.us
1iener 5ublishers.
Zubaidah Abdul Rehman, 20042080 Page 2 of 4
Role of the AIS in Modern Organizations
2.2) Role by Specific Accounting rofessions
4eneral accounting in accounting information systems varies from specific
accounting professions. Therefore, the discussion related to role by specific accounting
professions is mentioned and all the following should be prepared by using accounting
information systems showing roles of each accountant
7
/
Ainancial accountants are preparing financial information that is for e+ternal
decision1making&
Managerial accountants are preparing financial information that is for internal
decision1making&
8uditors are evaluating controls and attesting financial statements to the
fairness.
8ccounting managers are controlling all accounting related activities.
=onsultants are devising accounting information systems specifications.
Section !) "onclusion
#n conclusion, no accounting information systems can play role in modern
organizations until and unless there are resources and good effectively working system to do
that. The only reason that the organization is modern is because of information systems and
specifically for accounts department.
The role of the accounting information systems is to meet the needs of the accounts
department as aligned with modern organizational needs. Modern organization will fail to
ma.e decisions when there is absence of effective accounting information systems.
Therefore, accounting information systems will enable in providing information that modern
organization can use to make proper and sound decision. Moreover, it is varying from one
accounting profession to another. This shows that accounting information systems should
support all accounting profession to play the role of supporter and enabler of effective
decision1making&
B
1il.inson, &aval, and 1ing. '())7+. Accounting Information !ystems" %ssential Concepts
and Applications. &etrieved % ,ovember ()%% from
http/CCwww.wiley.comCcollegeCaccCwil.inson(*6*(@CsiteCpptCchD)%.ppt
Zubaidah Abdul Rehman, 20042080 Page 3 of 4
Role of the AIS in Modern Organizations
References
%+ Moeller, &. &. '())*+. Brin.<s Modern #nternal 8uditing. ,ew -or./ 0ohn 1iley and
2ons.
(+ 2isaye, 2. '())%+. !rganizational =hange and ;evelopment in Management =ontrol
2ystems/ 5rocess #nnovation for #nternal 8uditing and Management 8ccounting. ,ew
-or./ 3merald 4roup 5ublishing.
6+ 0ac.son, 2awyers, and 0en.ins. '())7+. Managerial 8ccounting/ 8 Aocus on 3thical
;ecision Ma.ing. ,ew -or./ =engage ?earning.
:+ ;<8tri, Marco, Braccini, and =abiddu. '()%)+. Management of the #nterconnected
1orld/ #t8#2/ the #talian 8ssociation for #nformation 2ystems. ,ew -or./ 2pringer.
*+ 8dams, ;. '())>+. Management 8ccounting Aor The ospitality, Tourism 8nd ?eisure
#ndustries/ 8 2trategic 8pproach. ,ew -or./ =engage ?earning 3M38.
>+ ?ehman, =. &. '%@@*+. 8ccounting<s =hanging &ole in 2ocial =onflict. ,ew -or./
Mar.us 1iener 5ublishers.
B+ 1il.inson, &aval, and 1ing. '())7+. 8ccounting #nformation 2ystems/ 3ssential
=oncepts and 8pplications. &etrieved % ,ovember ()%% from
http/CCwww.wiley.comCcollegeCaccCwil.inson(*6*(@CsiteCpptCchD)%.ppt
Zubaidah Abdul Rehman, 20042080 Page 4 of 4