Professional Documents
Culture Documents
Short Answer
1. Describe how AIS adds value to an organization by providing accurate and timely
information.
➢ A well designed AIS can add value to an organization through the following:
▪ Improve the effectivity of the decisions and have a quality decision.
▪ Improve the efficiency and reduce the costs that will be use for the products and
services.
▪ Improving the internal control structure.
▪ Sharing of knowledge.
▪ Improve the ability to plan.
▪ Improving the efficiency and effectiveness of the supply chain.
▪ Improve the decision making.
3. Within the value chain of an organization there are five primary activities and four
support activities. Describe how an accounting information system fits into the value
chain of an organization. Where does it add value?
➢ The objective of most organizations is to provide value to their customers.
The accounting information system adds value to each activity by improving the
quality and reducing the costs of each activity, improving efficiency, improving
decision making, improving the sharing of knowledge. By paying attention to the
interorganizational linkages in its supply chain, a company can improve its
performance by helping the other organizations in the supply chain to improve their
performance. Support activities allow the five primary activities to be performed
efficiently and effectively. All of this is accomplished by collecting the proper data,
summarizing it appropriately for each particular user, and delivering the information
at the appropriate time.