Automated Processing of Ais

Automated Process of Accounting Information Systems

Learning Team B

ACC 542

June 14, 2010

Irene Branum

Automated Process of Accounting Information Systems

Kudler Fine Foods is a fast growing gourmet food chain dedicated to providing the finest foods and wines to customers in three locations. As the company continues to expand, it is imperative for the company to track and control accounting information. An industry standard accounting information system (AIS) will help make the company more efficient in the areas of payroll, accounts payable, accounts receivable, and inventory processes. A brief overview of how this system can improve the automation process is organized by rationale and analysis, characteristics of the system, and the value of the system.

Rationale & Analysis. The use of industry standard software will help improve and integrate Kudler’s accounting information systems. For example, Kudler’s HRIS System is a jumble of processes not held together by any glue. Employee timesheets, written manually, must pass through a store manager; they are then faxed to accounting and entered the company’s systems. This duplicates work and increases the risk of errors. Additionally, the accounting does not have access to employee paper files for future use. An upgraded AIS will centralize employee payroll information for all parties to have easy access and fully electronic processing will be faster, reduce administrative tasks, and minimize data entry errors. All processes from time sheet entry to approval to withholding calculations, tax remittance, and check cutting can be done by each party via computer. Similar economies of the company can derive from systems that automate the company accounts receivable, accounts payable, and inventory (Apollo, 2006).

Characteristics of Better Accounting Information Systems. A good AIS will include the following characteristics: designed with the outputs in mind first, it depends on good...