Technology is one of the departments that have affected all environments including the business environment. Most business organizations and companies are investing in information systems as they improve the quality of work being done. The Accounting Information system (AIS) is part of the technology that is highly applicable in the same environment and its main function is to collect raw data and stores it before it processes it later into information that is used for critical decision making processes (ISP, 2005). This is mainly applicable to the managers as they can be able to control the activities strategically. With the current evolution of technology the AIS has been able to develop from a simple manually run accounting system to a complex system that makes sure the resources are utilized appropriately and the information system is made good use of as well. The main advantage is that the traditional system and controls are still utilized with the new system. EDP auditing is part of the information system that is highly applied in business and other related areas (ISP, 2005). Its main objectives is to make sure that the system is making good use of the data collected in a manner that will ensure the company attains its goals. Therefore, this paper aims to look at Accounting Information Systems and EDP Auditing.Technology applied in Accounting Information Systems (AIS)The input devices that are used for the AIS should be able to allow easy data entry and be able to connect with the World Wide Web as well. This is what makes the AIS very reliable in comparison to other information systems. Some of the input devices used are; scanning devices, standard personal computers, and electronic communication devices. The financial devices are usually enabled and this will be the main facilitator for the World Wide Web services.The processing will mainly depend on the computer systems available. However, the connection is from the individual's personal computer to the enterprise servers that will ensure the services are rendered accordingly. The processing model that is used has been used since the fifteenth century and its services have proven to be quite reliable. It is referred as the double entry and was initially implemented into technology in the 15th century.The output devices that are essential in the operating of the system include; impact and non- impact printers, the electronic communication devices, the computer displays and other related features.
Advantages of AIS According to Romney & Steinbart (2005), the main advantage in the Information System is in the reporting process of organizations. Reporting is an important aspect in organizations and its application should be done strategically as it is mainly applied in the management department and in financial reports. Critical decision making plays a big role in the managerial department and with the AIS it is made quite easier. The information gathered by the accounting information system from the centralized database and summarizes the information so that it can be used in the decision making process. The function of the systems is to make sure that the reports are up to date to ensure that the managers are acting based on the correct information. There have been cases of where the reposts are old making the information provided to the managers to be irrelevant. The AIS is mainly applicable to large companies that deal with a lot of transactions as it can take days or weeks to run the reports of the transactions that had been taking place in the company.Large companies are advised to deploy proper information systems that will be able to provide the correct data in the reporting process. This is to avoid scandals that might be hitting the economic market.Implementation of the AISThe manner in which the AIS are implemented will determine whether it will run effectively in the company. Thus, one has to follow the proper procedures in the implementation process. Construction and delivery process are the two primary parts that the implementation process consists of. The hardware, software and vendors necessary for the implementation, testing and communication systems and the installing and the testing processes are all part of the construction process. While the delivery process is composed of the final; plane where the installing process takes place as well as training the users, the conversion plan is also prepared during this process, where the new system operations.Detailed Requirement Analysis
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This is a process that involves all the individuals that are involved with the system. The time is used for the interview process so as to get more information concerning the system used in the organization (Romney & Steinbart). This helps the company installing to completely understand the current system including any challenges that it may have posed another related problems or benefits. What the organization expects form the new system is also analyzed so as to make sure all expectations are met according to the organization. This will be very helpful for the user as he will be bale to adjust to the changes much easier and the results will be more satisfactory.Systems Design (synthesis)The analysis is reviewed so that it can be implemented in the new system. How the system is going to be operated is very important as it will determine the data that goes in and how it will be handled. The system that is in relation to the new system that has been implemented is very important. Question that are likely to arise after the system has been implemented are reviewed as it would help deal with any problems that are likely to arise. This will mainly focus on the internal controls of the organization and the managerial skills applied in the area. This review will help them installation process be according to the company. the main goal of installing ht system is to ensure that the organization or company can be able to attain their goals and tat the same time the system provide meaningful and relevant information (Romney & Steinbart, 2005). Therefore, the system is designed in this manner.The system is documented in the process of being designed as this will be very helpful to the user later on. This can be in form of a manual where the user can follow instruction on how to handle the system according to the organization's functions. Organizations are free to add up to the instructions provided once they have already had the system installed. It is important for the documentation to be processed during the testing and training rather that after the launch if the system according to the insurance policy.The testing process is very important and it is conducted before the launch. This is carried out on the input and output parts of the system. This is mainly to ensure that the operation of the system is intact and the documentation is appropriate as well. This makes the system user friendly and the users can easily adjust to the changes. The users are then trained before the launch as well to ensure that hey are conversant with the new environment. This is then followed by the data conversion process where the information from the current system is converted to the new implemented system (Romney & Steinbart, 2005). The launch is the final step where it is only carried out after the other procedures have been completed successfully. This will lead to the running of effective AIS.EDP auditing is also an important process of technology that is highly applicable in different business environments. It is mainly used to determine whether the Information systems are carrying out its specific functions through a process of collection and evaluation of evidence (Baskerville, n.d.). This will help the organization attain its goals within the period that hey have set for themselves. This is a process that involves the collection of evidence first. The evidence collected is then applied in the evaluation process so as to determine whether there is a problem and the approach it can be given. Then certain opinions are formulated that could help deal with the situation or improve the surroundings of the system. These processes can be grouped into four main processes, the internal review where the investigation is carried out to determine how the audit should be conducted, the controls review, compliance testing and the substantive testing (Baskerville, n.d.).In general, the EDP auditing can be applied in the AIS as well. This can be used to review the running of the system and conduct the process to determine whether the system is meeting the expectations of the company. The main aim of the AIS is to improve the technology in the company in a manner that will help them attain their goals and give them satisfaction in the business transaction that they conduct. However, adjusting to the new system can be rather difficult but the implementation process is very involving and the users get play a big role. This will make them get accustomed to the changes faster and enjoy the benefits being provided by the system.