ACC201 Summer 2020/2021: Accounting Information Systems Report

This report, prepared for ACC201, examines various aspects of accounting information systems (AIS). It begins by identifying the crucial role of the management team, particularly the Accounting Information Systems Development Officer, in the design and development of a new AIS, focusing on responsibilities like data management, process analysis and decision-making. The report then addresses employee resistance to change, suggesting training and user support as key strategies for successful adoption. It also explores the life cycle approach to AIS, emphasizing the need for regular updates aligned with market demands and regulatory changes. Furthermore, the report identifies the types of data incorporated into the new information system to ensure adequate quality, emphasizing the role of AIS in providing financial and accounting information for effective business analysis and decision-making. Finally, the report provides a comprehensive overview of how to overcome employee resistance to the adoption of a new accounting information system, highlighting the importance of training, communication, and user participation in the design process. The report concludes by emphasizing the importance of the accounting information system for a business organization.

ACCOUNTING
INFORMATION

Contents
INTRODUCTION...........................................................................................................................2
TASK...............................................................................................................................................3
1.Identification of role of the management team in development and design of new accounting
system:....................................................................................................................................3
2.Whether people adopt new accounting policy that has been taken into consideration:......3
3.Report on adoption of life cycle approach on adopting of new accounting information
system:....................................................................................................................................4
4.Identification of data which has been incorporated into the new information system in order
to provide adequate quality:...................................................................................................5
5.How to overcome the employee’s resistance to change to the adoption of new accounting
information system:................................................................................................................5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
The report prepared as under takes in account structure which a business would be using to
store, collect, process, report and retrieve the financial related data and information as well
which can be used by financial managers, auditors, accountants, business analysts and auditors as
well. Accounting information system process also would take in account the data in such a way
that it would help in guiding and providing assistance that would be helpful in decision making
in a company. There are four branches in it such as public, government, forensic accounting and
corporate as well (Abdel-Rahim and Stevens, 2018).

TASK
1.Identification of role of the management team in development and design of new accounting
system:
The role which is being played by an accountant is to access the data or information in the
organisation which would help in preparation and analyses of budgets as well. It further would
help to prepare and develop financial statements and records which would further help to record
and examine what would be the tax returns paid for having a better accuracy and reliability of
records being prepared or developed. It would take in account the how people would be using
such information and in what manner the management team can sort and collect this data from
market in an error freeway. The primary role being played by such managers is to manage,
design and monitor the information being undertaken and collected by them. It also explains the
responsibilities which would be taken in account and data analysis that is being collected by the
business such as current data being compared by the people for managerial purposes must be
checked and collected in a way which would incur no mistakes and serve the purpose in best
possible manner. Decision analysis is a review of the decisions which are undertaken by the
manager that can be held responsible for making. The models which are being planned and taken
in account must support the purpose in best possible manner. Process analysis is a review of the
process which an organisation takes in account and the processes are analysed and segmented
into a series of events which would be helpful to alter or change data by adding or eliminating
the information. They improve the quality of data and service also would help to lower down the
cost and expenses as well for increasing the reliability the medium is through managers or
supervisors (Çalıyurt, 2019).
2.Whether people adopt new accounting policy that has been taken into consideration:
The employees are always resistance to change and they do not accept the changes easily as they
are regularly working on the older system and they are habitual for that only. It is necessary for
the organisation to provide them proper training so that they could become comfortable from
such system. It is important for the company to consider the need of employees also and level of
learning they are getting by adoption of new system is essential too. If they are not confident

enough to perform work on such system, then it is necessary for the corporate to resolve the
problem they are facing on short duration of time (Desyatnyuk, Muravskyi and Shevchuk, 2021).
The employees are always not ready to change as there are changes taken place in the
information technology on short duration of time and due to changes in the system of working
from manual accounting to computerised accounting it is not easy for each and every employee
to consider the same. A solution which has become increasingly popular for dealing with
resistance to change is to get the people involved to “participate” in making the change. But as a
practical matter “participation” as a device is not a good way for management to think about the
problem. In fact, it may lead to trouble. The key to the problem is to understand the true nature of
resistance. Actually, what employees resist is usually not technical change but social change—
the change in their human relationships that generally accompanies technical change. Resistance
is usually created because of certain blind spots and attitudes which staff specialists have as a
result of their preoccupation with the technical aspects of new ideas. Management can take
concrete steps to deal constructively with these staff attitudes. The steps include emphasizing
new standards of performance for staff specialists and encouraging them to think in different
ways, as well as making use of the fact that signs of resistance can serve as a practical warning
signal in directing and timing technological changes. Top executives can also make their own
efforts more effective at meetings of staff and operating groups where change is being discussed.
They can do this by shifting their attention from the facts of schedules, technical details, work
assignments, and so forth, to what the discussion of these items indicates in regard to developing
resistance and receptiveness to change.
3.Report on adoption of life cycle approach on adopting of new accounting information system:
The life cycle approach states that over the period of time every business or its system that are
being considered has its own life. It does not work for the indefinite period of time and it has its
maturity too. Therefore, it is important for the organisation to regularly update the work or the
accounting system with the need and demand of the market, considering the tax laws,
government regulation and so on. Therefore, it is necessary for the organisation that over the
period of time they must incorporate such changes into their system which is in line with the
current accounting system of the corporate. It is very necessary for the employees too to remain
updated regarding such changes as it improves their efficiency towards their work they are
performing during the financial year (Fakoya and Imuezerua, 2021).

4.Identification of data which has been incorporated into the new information system in order to
provide adequate quality:
Accounting being a system for the information it is identified that in two days’ scenario the
various information system is responsible for providing the variety of information which is
related to the accounting and financial information which helps the organization in analyzing the
different aspects in order to grow the business sin the effective and efficient way. The accounting
information system is the subsystem for the companies where they can focus on the different
strategies in order have the growth strategies. This is essential for the accounting aspect where
the organization can have the relevant information of the company and the competitors in order
to be effective in performing the different functions within the business enterprise. The
information which is collected by competencies in order to gather the relevancy of the various
task which need to be performed. The accounting information system are various types where the
accounting of the cost of the company need to be calculated in order to be successful within the
business enterprise. The accounting is itself a system which helps in numerous ways for the
organization in order to manage the profits and losses of the business organization. The main aim
of the accounting system is to analyses the quantities value of the past which can be compared
with the present working and the cost of the business organization. There are various methods in
which the company can focus on the different accounting standards of the company. It is very
important that organization is able to gather the quantitative information which is effective for
the users of the company in order to predicts the financial position of the company. The
accounting information system are considered as the management information system which is
very important which is very significant for the management and the other authorities of the
company. This helps the organization in managing the functions and making the effective
decision which will help in the growth of the company. This also includes the various decision
making processes where the management is bake to analyses the different perspective of the
company (Gigli, Mariani and Trivellato, 2018).

5.How to overcome the employee’s resistance to change to the adoption of new accounting
information system:
The employees in the company often resist to take change in the business environment which
effects especially in the accounting information systems. It is very essential for the management
to overcome this resistance of adopting the AIS system.
The training must be given to the employees of the new system so that they will become familiar
and habitual of the system they are obliged to adopt. It is very crucial. Although the user support
services must be provided to the business entities who can listen to employee’s concerns.
Because the communication is very critical and must be obtained by the employees to initiate the
conversation. Also, the management must give time to the employee for adapting the new system
as the part of their experiment so that the new system installed can be done and praised. It should
be an encouragement for the management and the employees for obtaining the open
communication of the organisation. It is incorporating the user participation of the designing
process so that it could be made efficient by the company. The top executive of the company
should also make their own efforts so that the staff in the operating group can be change and
their attention for the new AIS system could be diverted to new technical arrangement made in
the company. The employee must understand the needs to adopting the new system as it will be
beneficial for them as the user requirement could be fulfilled more easily through it. The
resistance happens because of the lack of trust of the leadership of the company and the poor
communication. It happens when the management often resist to listen to their employees. It is a
structure of business who uses to store, collect, manage, process, retrieve and report the financial
data used by the accountant and the business analysts. It also helps the employee and acts as the
guide for decision making in the business entity. It is difficult for the employees to adopt the new
AIS as it is more time consuming and it could create errors in the functioning of the system (He,
Hong and Wu, 2020).

CONCLUSION
The report prepared above takes in account identification of role which is expected by the
management team in the designing and development of information system. There are many
implementations being expected by the analyser which must be taken in account for better
functioning and working of the company or business in long run. It would also identify and
assess as in what ways life cycle approach can be adapted and new accounting information
system can be managed. It finds and examines the stages which would require and demand
changes which would be needed to be engaged into.

REFERENCES
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