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CROSS-FUNCTIONAL

INFORMATION SYSTEMS
Presented By:
Khurram Sheraz Gondal
Roll #
508194692

Information
Information is data placed in a meaningful
and useful context for an end user

System
A system is integration of different
components for specific objective for
making some decision.

Information System

A set of people, procedures and resources that


collects, transforms, disseminates information
in an organization.

Role / Importance of
Information System
Support of business operations.
Support of managerial decision-making.
Support of strategic competitive advantage.

Components/ Resources of
Information System.
1. People,

2.Hardware,

3.Software,

4.Data,

5. Network Resources

TYPES OF INFORMATION
SYSTEMS

Knowledge Management Systems


Expert Systems (ES)
Decision Support System (DSS)
Executive Information System(EIS)
Management Information Systems
(MIS)
Transaction Processing System (TPS)
Office Automation Information System
(OIS)
Management Reporting System (MRS)
Executive Support System (ESS)

Basic Types of Functional


Systems
Marketing and Sales Systems
Manufacturing /Operations Systems
Human Resource Systems
Accounting Systems
Finance Systems

Major Problems of
Isolated FS

Data duplication,
Data inconsistency,
Disjointed Processes,
Isolated decisions lead to
inefficiencies,
Increased expenses

Cross functional IS
A cross-functional information
system is the third era of information
systems, after calculations systems
and functional systems
Cross-functional systems were
designed to integrate the activities of
the entire business process

Cross functional IS

PRACTICAL
STUDY
Accountant General Pakistan Revenues

(AGPR)

Context of Audit and Accounts


Funds
authorization

AGP
Audit
Report

CGA
Financial
Reporting

Line Departments

MOF/Legislature

Execution

AGPR
Is responsible for the centralised
accounting and reporting of
federal transactions.
The AGPR receives accounts and
reports from the DAOs, PAOs, Federal
Treasuries and SBP/NBP, and provide
Annual Accounts (to the AGP) and
Consolidated Monthly Accounts
(to the Federal Finance Division).

AGPR
Accounting policies & procedures were
not in line with international standards
To meet the international standards of
reporting the Government launched the
Project to Improve Financial Reporting
and Auditing (PIFRA) in all the
accounting offices.
AGPR as a PILOT SITE
inaugurated on 20th January, 2003 by
Mr.Muhammad Younis Khan, Auditor
General of Pakistan.

Application Software
(SAP)

Cross Functional IS & AGPR

For
implementation
PIFRA,
the
computerized software SAP is being
used which is the worlds leading
ERP. Two main areas in which the
activities relating to SAP are divided
are:
FI-(Financials)
HR-(Human Resources)

SAP Financial (FI)


The FI Module integrates with other SAP
Modules
such
as
MM
(Materials
Management), PP (Production Planning),
SD(Sales and Distribution), PM (Plant
Maintenance),and PS (Project Systems).
The FI Module also integrates with
HR(Human Resources) which includes
PM(Personnel
Management),
Time
Management,
Travel
Management,
Payroll.Document

Main Functions of FI:

Punching of bills
Account Preparation
Accounts Compilation
Proof Reading
Transfer Entries
Vendor Creation
Vendor Updation
Training of Officers / Officials in SAP
Accounts Enquires

SAP HR Module
The module which helps you optimize
your HR processes to attract, develop
and attain the right people including
Employment history
Payroll
Training
Career management
Succession planning

Acc
Check
Date oun Particulars
No
t

Vendor

No
Purchase
2017973
A03 of drug
Dec65
927 and
08
medicines
21774
A13
DecTransport
573
001
08
1791
504
1604
847

1761
917

Name

Ta
Inv In
Am
Ot
Cost
Docu
x
Am v
oun
he
Cent KPO
ment
D
oun R
t
r
re
ed
t ef
Nam
No
Rs Rs Rs Rs
Date
e

Nisar
1900
3002
Enterpris 1354
1499
es
25

Toyota
3002
Islamaba
8181
d Motors
Rawal
21A13
3002 Autos
NovTransport
001
1379 Islamaba
08
d
27Telephone
PTCL
A03
3002
Octand trunk
Islamaba
202
0985
08
call
d
Night Duty
7Allowance
A01
Oct(DDO Law NA
NA
272
08
Justice
Div)

16, 60
710 6

173
0
Q
16

6Meh
Decmood
08

1900
1237
58

262,2 10
246
ID00
65
Q
M.Atif Nov92 7
4
23
08

1900
1166
82

194,9 14
473
ID37 Tahir.
97
Q
Nov42 9
8
55
M
08

1900
0900
94

2,1
58

1900
0596
35

1,1
25

N
NA
A

22215
ID04 SAbb
0
Q
Oct8
41
asi
08
30N ID15 A.Reh
NA
SepA 44
man
08

Level 2

Level 1
Name

Level 3
Name

Date

Acc Paym
ount ent

Date

Name

6-Dec08

FidaBa
tool

18Zeb
Dec-08

20150011
SBP
Dec-08 1212

NF

Aurang
zeb

29Nov-08

MAshr
afR

29MAbid
Nov-08

2-Dec08

150010
SBP
0128

NF

Zurgha
n

20Nov-08

ChMun 20Zeb
ir
Nov-08

21150009
SBP
Nov-08 1020

NF

Imtiaz
S

Date

Payme Ban
nt
k
Docum
ent

Date cleared

25-Oct- Khadi
Sharafa
08
mah
t

25Shafiq
Oct-08

25Oct-08

150006
SBP
9932

NF

30-SepUfidSho
Latif
08
aib

30MEjaz
Sep-08

7-Oct08

150005
SBP
7065

NF

9-OctUfidSho
08
aib

9-Oct08

11Oct-08

150005
SBP
9461

NF

16Nasree 16150004
SBP
Sep-08 n
Sep-08 0038

NF

SIKAND 16-Sep- KASHIF 16NASRE 17150004


SBP
AR
08
R
Sep-08 ENB
Sep-08 0879

NF

Latif

SIKAND 13-Sep- Kashif


AR
08
R

Maroof

Date

20Dec08
2Dec08
21Nov08
27Oct08
7Oct08
11Oct08
19Sep08
17Sep08

o/s
30-Dec08
1-Dec08
1-Nov08
13-Oct08
22-Oct08
5-Nov08
24-Sep08

SWOT Analysis

Strenghts
Data is sufficient to the extent of budget,
Timely information of financial transactions.
Check and balance on financial transactions
Reporting of international Standards
Data and database adequately backed up
providing fault-tolerant and fail-over
mechanism with onsite and offsite backup.

Weaknesses
The information in SAP R/3 is not reliable
and can not be utilized to generate a
complete set of Financial Statements
without inclusion of manual prcedures.
SAEs other than Foreign Office and PWD are
not on SAP and data is entered on monthly
basis for which transactional level data is
not available in the System.
Fixed assets module is not operative. No
memorendum record of fixed assets is kept
in the System.

Opportunities
Improve public sector accounting and
financial systems
Provide basis for enhancing public
sector accountability
Support improved institutional
capacity for economic policy-making
and management

Threats
Since no previous financial year has been closed
in the System, the data can not be relied upon.
Long outstanding parked documents,
unreconciled balances in clearing, control and
suspense accounts shall hinder the closing
process whenever it is carried out.
There is no Disaster Recovery Planning. Also
there is no alternative processing site (Hot site or
Cold site) currently for AGPR.
Project life is not available in the System nor
there is any reference to PC-1 of the respective
project agreement.

RECOMMNEDATIONS
Steps need to be taken to improve input
controls and to integrate various systems and
modules so that reconciliations and exception
reports are generated by the System. Previous
years should be formally closed in the System.
Extensive trainings of KPOs should be carried
out and their performance should be
monitored regularly. This will reduce the
laborious task of identifying and correcting the
data entry errors.

THANK YOU for


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ALLAH HAFIZ