Accounting Software and IT Governance: A Comprehensive Report

This report, focusing on information system design and development, begins by comparing two popular accounting software options: installed and cloud-based systems, detailing their strengths, weaknesses, and suitability for different business scales. It then delves into IT governance, examining its relevance to shareholders and other stakeholders, particularly within a telecommunications company like Telstra. The report explores how IT governance policies should be incorporated into corporate governance statements to enhance accountability and ensure better performance. The analysis emphasizes the importance of aligning IT governance with overall corporate goals to maximize the benefits of IT investments and foster sustainable business practices. The report also highlights the importance of stakeholders like employees and customers.

Information System Design and
Development Accounts

Table of Contents
TASK 1............................................................................................................................................2
Two popular accounting software along with their strengths and weakness..............................2
TASK 2............................................................................................................................................3
IT governance policy is not of interest to shareholders..............................................................3
IT governance policy for other stakeholders for a business........................................................3
Inclusion of IT governance policy in the corporate governance statement.................................4
References........................................................................................................................................5

TASK 1
Information system is defined to be software which is used for the purpose of collection
and analysis of data. It consist of a set of components which provide assistance in storing and
dissemination of information (Vom Brocke, Seidel and Recker, 2012). It can be said that there
are numerous information system which can be undertaken by an organisation when upgrading
from tradition approach of storing and processing information.
Two popular accounting software along with their strengths and weakness
Installed Accounting software: it can be said that this is software constructed for
organisations which are small in scale and possess limited internet connection. The person
responsible for carrying out of accounting activities can be fulfilled with CD's and DVD's and a
laptop. The primary target for this accounting software is organisations which are operating at
small scale and start-ups. The major advantages which can be availed through this accounting
software is that it is easy to install and various accountant can use this software with minimal
knowledge and training. There are numerous shortcoming to this software as well as it is difficult
to customise and there are a limited number of devices on which it can be utilised due to
restricted put by manufacturer. Opting for this software will be helpful for Smith Brothers as it
will help them in making accounting for this enterprise much convenient and accessible and
there will be lesser chances of human error when compared with this platform. The cost of
opting for this software is as low as $20 inclusion of installation costs.
Cloud Accounting software: this is the advanced form of accounting software in which
data could be stored and accessed through internet platforms. The name of common accounting
software in the country are Freshbooks, Quickbook & premium accounting 2015. This
accounting software is known to target organisation belonging in SME segment. The major
advantages which can be availed is that it is comparatively lesser expensive and data can be
availed through internet at any time. The shortcoming of this accounting software is that it needs
adequate training and familiarisation to carry out the same. This accounting software will be
helpful to a business in recovering from traditional methods and will be making it extremely
convenient to access accounting data anytime through cloud sources (Rainer and et. al., 2013).
The cost of installation of this software stands near $50 along with cost of procuring a laptop and
an internet connection.

At the end, it is dependent upon enterprise to select the software which is more suitable
and fulfil requirement and needs of a business. The accounting software enhances value of a
business along with survivability which leads to attainment of better performance results. With
the use of modern accounting software, financial statement which will be prepared by a business
are more comprehensive and error free.
TASK 2
IT governance policy is not of interest to shareholders
The formulation of IT governance practices make sure that there is an adequate and
effective utilisation of IT tools and measures so that corporate goals are fulfilled. The undertaken
organisation is Telstra which is an leading telecommunication provider in the Australia. They
define the approach through which there is an effective selection, prioritisation and funding of
the IT equipments and oversee that they are attaining benefits for the company. It can be said that
corporate governance is of lesser interest to shareholders to business, as the funds which has
been provided by shareholders is in good faith which assures them that their funds will be
utilised in the right manner. It is mainly a task of management and leader to undertake corporate
governance policies and practices and emphasize upon them in the organisation. The governance
at Telstra emphasizes on elements of transparency and accountability and attempts to creates
sustainable performance for business (Loos and et. al., 2011). It is undeniable fact that
shareholders focus lies in maximisation of profits so that they are able to attain more of their
returns on their investments.
IT governance policy for other stakeholders for a business
The stakeholder of a business defined to be individual and parties who are influenced by
decisions and initiatives by an organisation. The stakeholder in a business organisation such as
Telstra are shareholders, suppliers, employees, consumers and most importantly communities
surrounding an organisation. It can be said that there is an minimal interest of the stakeholders in
the due to their conflict of interest. The workers in an organisation will not show any interest in
the manner IT equipments are procured and used as they are focused on attaining maximum
monetary benefits of work which is being carried out by them (Brydon and Patterson, 2011). But
Telstra emphasizes on considering participation of employees by empowering them through
voting and other measures. Customer demands that the services in telecommunication which are
being offered to them should be priced lower than their competitors which could be influenced

by exercising their bargaining power as well. It is said that an organisation have to form a right
balance between profit making and social welfare approach so that sustainable business could be
created.
Inclusion of IT governance policy in the corporate governance statement
It will be beneficial for an organisation to include IT governance policy in corporate
governance of an organisation. The paramount reason is that it will definitely help an
organisation in being more responsible and accountable. This is a crucial approach through
which sustainability of an organisation could be enhanced as it will create a positive impact on
the varied stakeholder of an organisation (Dieberger, Harrison and Moran, 2011). For an
organisation working in the telecommunication sector it is essential to help people be aware
about the governance policies that drives an organisation. This will be a crucial approach as
employees and workers will be able to get an overview of governance practices and make best
out of opportunities and benefits which comes in maximising use of IT endeavours in context of
an organisation. The principles and practices which have been opted by an organisation will
assure in better performance output along with consideration to the alignment between IT
governance and corporate governance of an organisation.

References
Books and Journal
Brydon, A. and Patterson, J., Dun and Bradstreet Inc, 2011. System and method for using social
networks to facilitate business processes. U.S. Patent 7,877,266.
Dieberger, A., Harrison, B. L. and Moran, T. P., International Business Machines Corp,
2011. System and method for partially collapsing a hierarchical structure for
information navigation. U.S. Patent 7,984,388.
Loos, P. and et. al., 2011. In-memory databases in business information systems. Business &
Information Systems Engineering. 3(6). pp.389-395.
Rainer, R. K. And et. al., 2013. Introduction to information systems. John Wiley & Sons.
Vom Brocke, J., Seidel, S. and Recker, J. eds., 2012. Green business process management:
towards the sustainable enterprise. Springer Science & Business Media.