Different types of Accounting Software PDF

Running Head: Different types of Accounting Software
ACCOUNTING SOFTWARE

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Executive Summary
This paper covers the study of possible and essential business processes for any bakery
organisation. Some of the processes that may be commonly found in every bakery business
includes purchases, production, sales, marketing, accounts & finance, human resource
management etc. These functions directly or indirectly contributes to the business’s success
and hence needed to be managed by the competent personnel. Bakery business has the main
business of manufacturing the bakery items and distributing them for the sales purpose in the
target market, it is not possible for the business to focus on all the functions with due care and
diligence and requires trained and skilled workforce for the effective functioning. However,
there involves higher chances of errors while working with the manual systems which may
lead a business towards losses. Thus the managers of bakery organisation are recommended
to implement software like enterprise resource planning or the accounting information
systems for the smooth business functioning. These software provides the business with
appropriate business solutions with one time investment in their implementation. The basic
features an accounting software performs functions like invoicing, inventory management,
account receivables and payables management, bank reconciliation etc. There are various
accounting software available in the market and B Bakery being a firm which is neither so
small in size nor too large, hence it is required to select the accounting software according to
its needs and budgets.

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Table of Contents
Executive Summary..................................................................................................... 1
Introduction............................................................................................................... 3
All about baker and bakery business processes....................................................3
Accounting Software Features...............................................................................8
Comparison Table of XERO & MYOB....................................................................11
Selection of suitable accounting software...........................................................14
Conclusion........................................................................................................... 15
References........................................................................................................... 17

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Introduction
B bakery is the family owned business organisation that is indulged in producing the bakery
items such as cakes, pastries, breads and other items of similar nature. The business is in
existence for more than 50 years and has a workforce of around 70 people. It also has a
drastic growth in sales due to increased demand of its products in the market. The firm has
only one accountant to handle all its accounting related operations. Therefore, it is looking
forward to the implementation of accounting information system in the business. AIS is the
software program used in managing the accounting and other related functions of the
business without any manual intervention. These systems assists the business with its
accuracy and efficiency of operations. There are number of accounting software available in
the market these days but the bakery organisation has to select an appropriate program for its
business on the basis of its needs and size of business.
All about baker and bakery business processes
A baker is a person who is involved in the business of preparation of bakery items such as
cakes, bread, pastries, cookies etc. These items are then sold and distributed in the potential
markets such as departmental stores, confectionary shops, restaurants for their ultimate
consumption. A baker can also sell his bakery products directly to the ultimate consumers in
the case when he is carrying on the business on retail basis. There are a number of activities
involved in the bakery business such as requisition of raw material and the other necessary
items, production process, selling and distribution activities etc. However, there is no specific
set of activities that are undertaken in the bakery business. The activities and processes that
forms part of bakery business varies depending upon the size and nature of business. Few
processes that could commonly be recognised in every bakery business whether it is
conducted on small medium or large scale are explained below:

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 Supply Chain Management:
It involves purchasing and storing the raw materials that are necessary to prepare cake
and other bakery items. Along with raw material a bakers also requires machines
moulds and other types of equipment to run their business.
 Production Activities:
It involves conversion of raw materials i.e. the ingredients into final products such as
cookies, cakes etc. using different recipes and techniques of production.
 Packaging Process:
Once the production process is completed the produced goods are required to be
packed in the suitable containers and boxes so that proper distribution of bakery items
could be made.
 Branding and labelling:
Brand helps the business in providing it the unique identification in the market. The
bakery items produced by any bakery organisation needs to be stamped by its own
brand in order to be recognised differently from its competitors. Labelling includes
putting up necessary information about the products on the packages such as the
description of its ingredients, the quality mark, the price of the items, manufacturing
and expiry date etc.
 Logistic management process:
It is the process which includes the storage and warehousing of produced bakery
items and also includes practices to support order management.
 Selling and distribution process:
To sell whatever manufactured and produced is the ultimate motive of bakery
business. Hence, it sells out the produced bakery items in various target markets using
different channels of distribution.

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 Marketing activities:
Marketing is undertaken to create awareness among the potential customers about the
new bakery products that the company produces. It is sometimes done with the motive
of promoting the existing product in the market so as to gain a competitive edge over
competitors.
 Human resource management process:
The human resource management process is undertaken with the objective of
recruiting and training the employees for the company and managing their payroll
functions.
 Accounts and finance:
Accounting process includes recording of all the significant accounting related data in
an organised form to be represented as relevant information. It also includes
arrangement and deployment of the funds to run the basic operations of bakery
business. Accounting operations include management of accounts payables and
receivables, maintaining the fixed assets and calculation of depreciation there upon
etc., payment of various expenses such as utility bills and rents bank interests.
 Research and development:
This process is undertaken with the aim of exploring the possibilities of business
expansion with new bakery products and the new markets. It also covers defining new
product recipes and techniques to prepare bakery products.
 Administrative process:
It includes all the back office functioning which are miscellaneous in nature. Like
maintaining the petty cash, conducting meetings etc.