Accounting Information System : Case Study
Added on - 28 May 2020
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Running head:ACCOUNTINGINFORMATION SYSTEMS: CASE STUDY(MANUFACTURING)AccountingInformation Systems: Case Study (Manufacturing)Name of studentName of UniversityAuthor’s Note
1ACCOUNTINGINFORMATION SYSTEMS: CASE STUDY (MANUFACTURING)IntroductionAccounting Information System (AIS) is a computer-based method that track the activityof accounting related with the resources of the information technology. Today AccountingInformation is necessary for the organization to understand the financial situation accurately. It isimportant to analyze the long-term strategic decision that has an effect over the manufacturingindustry. Manufacturing and IT alignment is an important concern for the technical and Industrymanager. Information Technology has a positive impact on the productivity and performance ofthe Manufacturing Industry.The report will do a case study in the area of Manufacturing and aresearch has conducted inAccounting Information System to help the client to take decision fortheir investment in the Information System so that they can come up with the next level of theirbusiness.This report discusses the key challenges identified until date. In some cases, thereferences have suggested to relate the challenges. The summary of the challenges that have foreach segment has discussed below in the fifth section. The interesting thing that has noticed hereis that most of the industries face the similar challenge. The report will compare the issues andthe challenges faced then contrast them to understand and manage the IS/IT strategically. It willevaluate the competitive advantage achieve by the organization through IS strategy. By theinnovative use of strategic IS, the organization will be able adopt some approaches. Outsourcinghas used as a strategic option. Here, it has discuss about the strategic option chosen that is theoutsourcing, that would be managed by the Director of IS/IT. The study has include the caseevidence to support the arguments done on the strategic information systems which has addbusiness value through IS/IT to an organization. Finally the report discusses about the internalcontrol strategy develop by the organization to avoid the risk that could harm the integrity andhonesty of the organization staff.
2ACCOUNTINGINFORMATION SYSTEMS: CASE STUDY (MANUFACTURING)1. Issues face when managing IT/IS strategically in private and public sectors:Each organization of public and private sectors produce values for stockholders but theydiffer in the environment, resources and those of the nature of value for the implications ofcreating and implementing strategy of manufacturing. In the sector of public, organizationaccountability model of manufacturing has become more complicated. The leadership of thepolitical is responsible for the strategic information and the leadership of the executive isresponsible for managing the implementation of policies. The strategic management process willeffectively manage the relationship of strategy between the executive and political leadership.According to Boyne (2015), the issues and the challenges that each sector faces are:- Service not the 'profit' agenda:an individual require effective and efficient provisionfrom each of the public and private services to minimize the tax. 'Value' is the guiding conceptfor the public sector of the organisation rather than the 'profit' in manufacturing.- the need for holding up the accountability and transparency of manufacturing in public sectororganization that leads to 'red tape' and bureaucracy and a more risk-averse and less flexibleculture then the private sector.- Integrating the emerging technologies platform and transferring them.The above analysis gives the information that in the manufacturing industry public sectororganization are different from private sector organization in which they may have implicationsto manage their IT/IS capabilities in manufacturing.The Manufacturers Alliance for productivity and Innovation (MAPI) and Deloitteconducted a leading practice of risk assessment. The risk professional has significant challenges
3ACCOUNTINGINFORMATION SYSTEMS: CASE STUDY (MANUFACTURING)in technological advance. Manufacturers could extract more meaning and direction for huge datasets through predictive modeling and analytical tools. The Cloud Computing has enabled themanufacturer to get benefits from IT that is robust. They do not have to maintain infrastructure,software and hardware in house. The manufacturer also faces environmental factors. Thevelocity and complexity of the strategic risk has considered to understand the importance ofgrowing. The issues and challenges that the organization faces in the manufacturing industry are(Venkatesh, Sykes and Venkatraman 2014):-Interoperability: the organization has the ability to integrate and share information and theprocess of the business with the use of common standards and work practices- Trust and security:the citizen must feel confident enough to use their personal data securelyand deal with responsible and appropriate mannerAnother case study based with regard to organization that faces the issues and challenges are:- The changes from the infrastructure and rationalization to developing a new and innovativesolutions signify the IS/IT strategy(Münstermann, Smolinski and Sprague 2014).- The need of development and enhancement of the systems are computer/ electronic based.- Both the internal and the external stakeholders share the knowledge and the role ofmanagement portal.From the cases above it can be experience that public sectors are facing difficulties in developingan information system strategy. However, the use of IS/IT still has a benefit to facilitate andenhance the relationship of internal and external policies.