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Important of an end-to-end accounting information system

First, it provides the organization with more visibility, flexibility, and efficiency in the

management of finances, operations as well as people (Fei, Haoyang, & Wenjing,2019).

Secondly, it helps business organizations and enterprises to achieve the benefits of

integrating software that is more affordable, simpler to implement, it is user-friendly, and

faster to roll out (Fei, Haoyang, & Wenjing,2019).

Thirdly, it provides a unified, integrated solution for accounting, payroll, and human

resources and offers a singular view of the business to support planning and addressing the

need for transformation of the digital workforce (Fei, Haoyang, & Wenjing,2019).

Fourth it assists in streamlining the manual processes since the benefits of moving an

integrated environment are many installing integrated accounting, payroll, and human

resource solutions can assist a business in streamlining the tedious manual process like

capturing employee data across various systems and then importing transactional data from

the payroll into the accounting system (Fei, Haoyang, & Wenjing,2019).

Fifth, an integrated system assists in reducing and automating repetitive and low-

value activities hence reduction in the scope for human error and making sure that there is a

consistent, accurate, and historic perception of available business data (Al-Fatlawi Farttoosi,

& Almagtome,2021).

Sixth, it also assists in ensuring that there is a collaboration that exists across various

businesses, supporting small businesses with strong and powerful business insights (Al-

Fatlawi Farttoosi, & Almagtome,2021).

Seventh, it assists in ensuring that there better, fast, and strong businesses, and hence

they make business compliance to be easier since all the departments will be working from
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the same data and hence companies are likely to reduce existing errors without much time

spend on manual data (Al-Fatlawi Farttoosi, & Almagtome,2021).

Eighth, it assists companies to have insights into all the dimensions of the business

since it allows the company to have a single source of truth, streamlining business processes,

and hence it can grow their businesses on a scalable platform (Al-Fatlawi Farttoosi, &

Almagtome,2021).

Ninth, it helps business departments to have collaborations, hence enabling them to be

able to generate reports as well as analytics seamlessly without a lot of hardships associated

with assembling and analysis of data (Al-Fatlawi Farttoosi, & Almagtome,2021).

Lastly, it offers managers the ability to offer a real-time view of the transactions as

well as employees hence boosting their ability to make decisions that are driven by data (Al-

Fatlawi Farttoosi, & Almagtome,2021).

Cloud Computing

Just like many other industries, the advent of computers has greatly changed and

completely turned the accounting industry (Moudud-Ul-Huq, Asaduzzaman,& Biswas,2020).

The role of accountants has completely changed as well since they are no longer supposed to

sit down at a desk with a ledger and an adding machine as well as several piles of receipts.

The computers and cloud-based accounting software have completely transformed how

accounting functions in an office as well as a business environment.

Initially, the process of accounting was done on desktop computers. The programs

such as Microsoft Excel and Peachtree made computations and accounting to be done on

personal computers (Moudud-Ul-Huq, Asaduzzaman,& Biswas,2020). The process was

further advanced by intuit QuickBooks which increased the computational ability of the

software. Cloud computing idea which allowed data to be housed on different computers
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began in the year the 1990s and was invented by NetSuite. Later on, in the early years of

2000, Xero developed a cloud-based accounting software system. This revolutionized the

accounting sector in Australia and New Zealand. Later on, intuit and other desktop

accounting firms realized the advantages posed by the cloud-based accounting system, and

then it transitioned greatly.

The discovery of the now popular cloud-based accounting system is well celebrated

since it enhances business operations a million times. Instead, of having all information that

is stored on somebody's desktop, the information is now stored on a remote server which can

then be assessed from anywhere as long as there is an internet connection, since the software

doesn't have to be installed on the machined, unlike the traditional accounting software and it

can be run on web browsers like google chrome and maxilla (Moudud-Ul-Huq,

Asaduzzaman,& Biswas,2020).

The cloud-based accounting method provides anyone the ability to have access to the

accounting data at any place provided there is an internet connection and a password. Unlike

traditionally where information was compiled and then afterward emailed to persons within

the company (Moudud-Ul-Huq, Asaduzzaman,& Biswas,2020). Consequently, skilled

employees are allowed to run reports and then perform data analysis in case they have the

required login information to access the accounting software account. This enables the

management as well as senior leaders in the organization to allow them to get information

and enables decision-making to be fast and accurate. Therefore, the managers no longer need

to rely on other accounting staff to provide the requisite information.

Secondly, cloud accounting s considered more secure, especially in the manner in

which data is accessed and stored. There are security threats that are existent in either cloud

environments or desktops (Coyle, & Nguyen, 2018). This is because hackers are likely to

take full advantage of the system's vulnerability. However, the large networks maintaining
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accounting soft-wares that are cloud-based are being monitored regularly for purposes of

intrusions and more commonly these systems are all built with the aspect of high security as

the basic component (Coyle & Nguyen,2018). With desktop storage facilities such as those

that are stored on a laptop, the equipment is likely to be stolen, lost, or even hacked. On the

contrary cloud data is likely to be stored on a larger, remote network and the data is likely to

be continuously backed up when the best cloud-based software is chosen.

Thirdly, having a cloud-based accounting system, the senior management, the

accounting team as well as other professionals such as Certified public accountants are likely

to access accounting information anytime and at any place that one needs the information

(Coyle & Nguyen,2018). In case someone wants to access the information or enter into the

system from anywhere, they only need to have a password and a stable network. It doesn't

matter if the device is the same or a different one. The information is likely to be accessed

either on a desktop, tablet, or phone since the program is based on a browser. Therefore,

cloud-based computing is a cost-saving and big-time revolution in the accounting process.

Fourth, there are no installation costs or updates needed. Therefore, one of the

greatest challenges that happen with accounting software (Coyle & Nguyen,2018).

Companies are expected to continuously make changes to software and thereafter desktop

users need to update the program, especially during the early software days. This suggests

that there is a need to get a new disk that has information. Then, a user will then be allowed

to access the information by downloading the same information through the internet.

Nonetheless, the process is quite tedious. Cloud-based accounting programs can easily and

seamlessly have updated. The browser needs to load the very current version wherever the

user logs into the program and thereafter the user rarely understands if there is any update

that has been made.


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Fifth, the cloud computing system helps with document storage. This is because the

accounting profession itself is a profession that heavily relies on documentation. Invoices,

receipts, bank statements as well as other documents form the largest part of the accounting

process. These documents need large storage capacity and therefore cloud-based computing

provides this platform. This is because documents can be scanned and then stored in the

cloud. Therefore, these allow them to be easily accessible to anybody who can utilize the

software and to some extent makes sharing of documents to be easy, audit and research of

source documents also to be easy. Cloud computing also eliminates the need for filing

cabinets and storage units which are likely to save organizations large space size.

Finally, cloud-based accounting software doesn't care whether one uses a personal

computer, apple based operating system, or android (Coyle & Nguyen,2018). The only pre-

requisite is a web browser which makes information sharing to be easy since no relationship

exists as to whether the program is one or the other.

Methods used to mitigate resistance to accounting information systems.

There is a need to communicate information that relates to why the system is being

implemented and how it is likely to affect the employee's Job (Sarilo-Kankaanranta, &

Frank,2022). The intent is supposed to ensure that the employee has stronger Job security as

well as education and training of employees on how the system should be used in the

provision of the system manuals and designated user support system. This also gives

employees the chance to make suggestions for system improvements.

Education is another method of ensuring that there is little to no resistance to change.

This will allow them to see the logic in the change that is to be implemented. This is because

the majority of the resistance to change is commonly caused by poor communication and

misinformation (Sarilo-Kankaanranta, & Frank,2022). In case the employees are allowed to


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receive full facts and any misunderstandings are all cleared up, then resistance is likely to

reduce. Communication can be done through memos, group presentations, and reports.

There is also a need to ensure that employees are allowed to participate since it is hard

to resist a change of decision in which they hardly participated in. Before making this change,

the persons that were opposing it are allowed to be on the decision table (Sarilo-

Kankaanranta, & Frank,2022). They are also allowed to make strong contributions and

reduce their involvement as well as resistance and obtaining commitment and increase the

quality of the change decision that is to be implemented.

Also, there is a need to facilitate and support them. Change agents commonly frustrate

a lot of employees and therefore it makes them fear and increase their anxiety. Employee

counseling and therapy, new-skills training or a short paid leave of absence are likely to

facilitate adjustments (Sarilo-Kankaanranta, & Frank,2022).

The management can use negotiation to negotiate with employees. These might

include the use of a reward package for those who are likely to lose their jobs to meet their

individual needs (Sarilo-Kankaanranta, & Frank,2022).

Finally, the organization can use co-optation and manipulation. This includes twisting

and distorting facts to make them appear to be more attractive, hence withholding

information that is undesirable and hence creating false so as make employees to accept

change (Schmidt, Riley, & Swanson Church,2020). On the other hand, the organization can

decide to buy the leaders of the group that is resistant to change by giving them a prime role

in the process of changing decisions. The advice of the leader is sought not to find a better

decision but instead to ensure that their endorsement is accepted.


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Sample accounting information system database

Source: Researchgate.net/figure/General-Model-for-Accounting-Information-

Systems-Data-Resources-These-are-data_fig1_254014898.
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References

). Cloud computing and national accounting. Economic Statistics Centre of Excellence

Discussion Paper, 2019. Coyle, D., & Nguyen, D. (2018

Al-Fatlawi, Q. A., Al Farttoosi, D. S., & Almagtome, A. H. (2021). Accounting information

security and it governance under cobit 5 framework: A case

study. Webology, 18(Special Issue on Information Retrieval and Web Search), 294-

310.

Fei, S., Haoyang, L., & Wenjing, C. (2019). Security of Accounting Information Based on

Computer Network Technology.

Moudud-Ul-Huq, S., Asaduzzaman, M., & Biswas, T. (2020). Role of cloud computing in

global accounting information systems. The Bottom Line, 33(3), 231-250.

Sarilo-Kankaanranta, H., & Frank, L. (2022). The Slow Adoption Rate of Software Robotics

in Accounting and Payroll Services and the Role of Resistance to Change in

Innovation-Decision Process. In Conference of the Italian Chapter of AIS (pp. 201-

216). Springer, Cham.

Schmidt, P. J., Riley, J., & Swanson Church, K. (2020). Investigating accountants' resistance

to move beyond Excel and adopt new data analytics technology. Accounting

Horizons, 34(4), 165-180.

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