Corporate Culture in Accounting Information Systems: ACC202 Report

This assignment delves into the realm of accounting information systems and corporate culture, using Woolworth as a case study. It examines the structure, sales and purchase procedures, and inventory management of Woolworth, highlighting operational challenges and potential system issues. The report analyzes key business processes such as sales and purchasing, along with related controls. Furthermore, it explores changes implemented to enhance customer service over the past decade. The second part of the assignment focuses on business ethics, defining it and discussing breaches of conduct like improper billing and conflicts of interest. It examines measures taken to mitigate such breaches, including checks and balances, auditing, and employee appreciation. The assignment concludes by emphasizing the significance of accounting information systems and ethical practices in business success.

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Accounting Information Systems
By (Name)
Course
Instructor’s Name
Institutional Affiliation
The City and State
The Date

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Question 1
Accounting Information System
Introduction
In modern business, accounting information systems are being increasingly appreciated and
utilized by a number of organizations. Accounting information system refers to the process of
collecting, storing and processing of data used in accounting and finance by the users in order
to present information to their stakeholders. The importance of an accounting information
system to an organization is to collect, keep and analyze finance and accounting data. The
finance and accounting data can be analyzed to provide information that managers and other
stakeholders require to make reliable decisions of the organization. An accounting information
system can either be manual or automatic that is; it can be done manually or it may involve the
use of computers (Considine, 2016). The accounting and information system plays various roles
in an organization such as efficient collection and storage of data about an organization,
providesuseful information for decision making, provision of managerial reports and financial
statements, controls data processing and accurate recording of information, among others.
Accounting information system has got six parts and these include; the users of the
accounting information system, the steps and instructions followed during the process of
accounting information system, the data, software which includes the computer systems and
the information technology which isused to protect data (Brian, 2017).
Woolworth organization

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In this paper, Woolworth organization is selected as a case study. The discussion includes the
structure, the likely system of acquisition, sales procedure of Woolworth organization, the
operational problems faced by the organization and challenges that may be possible in the
system (Al-dmour et al, 2017). The illustration of the Woolworth organization’s accounting
information system for key business processes like sales, purchase and inventory management
include the following;
Organization structure of Woolworth
Woolworth Group Limited is one of the largest organizations found in Australia. It is also
regarded among the most reputable organizations with a relatively larger market share, high
sales and profit margin. The organization deals with food production, petroleum and other
products. To effectively enhance its overall level of service and product delivery, woolworth
organization uses accounting software of Xero/MYOB. As per the organizational structure and
hierarchy of Woolworth, the Managing Director controls all other directors of different
departments and everyone abides by the rules and regulations of the organization (Brookins,
2019). Hence forth its follows a hierarchy structure where there different levels of authority
from top to the lower management.
Woolworth Organisation sales structure
The Sales procedure that Woolworth organization uses is giving various products to the
clients from different supermarkets. The organization’s major focus is to provide favorable
prices in order to increase the supply of their products. Woolworth changed its Information
technology system and resorted to a new program. This has induced organization’s strategy of

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customer first team and culture. Woolworth organizationincreases its sales by delivering to
their customers effectively and satisfactorily (Dixon,et al, 2013).
However, the purchase and sales problems include stealing of inventory which is to be sold
by the business. Stealing of the items is done by employees through interchanging sales and
disorganization of purchase records. Fraud leads to provision of wrong information that may be
recorded in the business records books (Albrecht et al, 2010).
The selected business processes and related controls
It is important to note that a set of related tasks that end in delivery of goods and services to
the customers is known as a business process. In this paper, the business processes selected
include the following:
Sales process; this is where a sales person takes to choose a prospective buyer from the
early stage of awareness to the end stage. Inother words, it is a potential customer’s journey
from realizing that they need a product to make an actual purchase. Since the sales process is a
journeyfor a prospect, it is aplanfor a sales person. Therefore, a sales process consists of seven
steps and these include;Prospecting, Preparation, Approach, Presentation, Handling objections,
Closing, and Follow-up.The related control in the sales process is that there is need to
accurately record transactions and protect inventory from being stolen (Dixon, et al, 2013).
Purchasing process; is the process of buying the right product, in the right quantity, at the
right time, at the right price and from the right seller. Also, it is a way an organisation tends to
behave towards its suppliers since suppliers are the major determinant of the organisation’s
strength. The main solution in the purchase process is to prevent buying of products from many

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suppliers and also make sure that the products reach the premises for sale at the required time
as this will keep the potential customers.
Changes introduced in the last decade to improve the standard of customer service
Woolworth has struggled to get back the trust of its clients and improving the relationships
with the suppliers. For the past 10 years, Woolworth retailers lost trust and market from their
customers due to raising of prices of the organization’s products. This to some extent affected
its overall levels of sales and profitability both in the short and long run period.
None the less, Woolworth had to find a solution by cutting the prices of their products. Since
its staff cared for customers and the organization itself had a wide range of stores, the
organization curbed it market once again (Ferguson, 2011). Also, the major supermarket of
Woolworth had strong relationship with its suppliers of the materials and this prompted these
suppliers to continue supplying their products to the supermarket.Furthermore, Woolworth
organization took board and senior management change, Woolworth’s buying group has been
changed, the culture and new tactics of understanding their customers’ needs.Even, new tools
such as carrying out survey on customers, Voice of the team, Voice of the customer, voice of
the suppliers also have played a great role for Woolworth organization to improve the
standards of customer service.Finally, effective means of listening that is voice of the customer
which helps Woolworth managers a lot to know the customers they deal with (Larry, 2016).
Conclusion
Conclusively, accounting Information System is very important to any organization. This is
because most of these organizations need to keep their records for future reference by the

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managers to review and also for other stake holders like clients, suppliers among others who
may be interested in the business.The business processes like the sales processes, purchase
process, inventory management and others play a great role in businesses as they protect the
and their businesses from collapsing and also business owner are able to budget and plan for
the businesses.
Question 2
Business Ethics
Introduction
Business ethics refer to the study of appropriate business rules and guidelines for good
governance in a business organization. Business ethics ensures given level of policies to build
the relationships between the business firm and the clients. Business ethics were introduced in
early 1960s to the corporations in order to encourage good working environment to favor the
clients. The introduction of business ethics followed the negative attitude the clients had on the
business firms. Business ethics are essential to protect the desires of the employees,
shareholders, competitors among others. There are several code of conducts to be
implemented among the business firms and these may include; integrity, honesty, fairness,
concern for customers, respect for customers and justice.
However, code of conduct among business entities is sometimes violated. There are
many ways financial professionals breach the code of conduct. The owners of the business or at

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times the employees commit breaches of business ethics on a personal basis than a company
itself. According to the study by Asia Pacific in 2015, code of conduct is directly related to
creating and retaining talent in Asia. The survey shows that there was rampant growth of fraud
among the employees of Asia pacific territories. The breaches of business ethics include;
mishandling of funds, interest conflicts, discrimination and temporary licensing. Below are the
reported and recorded breaches of Code of Conduct or Business Ethics.
Nature of the reported and recorded breach of code of conduct in a business firm
Improper billing is one of the breaches of code of conduct in the business process.
Improper billing is whereby a customer is charged highly for the services or goods he or she has
not acquired. This scenario is common in industries where the customers who receive the bill
are not the ones in favor of the commodities or services (Albrecht et al, 2010). To resolve such
incidences, business ethics have to be strictly considered and failure to putting customer’s
funds to the accounts then the customer’s right is violated. Further, mishandling of documents
is common in business sectors. Many documents and files involve private information which at
times the professionals expose them (Dixon and Tanner, 2013). This case is a violation of
business ethics.
Also, temporary licensing is also a breach of business ethics. Most of the business
professionals are needed to renew and update their certificates and licenses. It is evidenced
from business contexts that businesses do not update their documents and licenses before the
expiry date reaches. However, some clients do not check often, the breach of business ethics
always challenge them without their consent since the regulating entity does not retrieve them.

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More so, conflict of interest also is considered as the professional violation of the
business ethics. The interests and trust of the clients is blocked or puts the client to danger
especially dealing with other groups of the people in the business (Dixon and Tanner, 2013).
The breach of the code of conduct of the interest of the clients in the business is best explained
with the example that is; when a consumer opts to get between two commodities say
Rechargeable fan and Electric fan, if the seller persuades and try to force a particular
commodity on the client, the seller is said to be a breach of the consumer’s right to choose the
commodity which shoots his or her interest or desires. Such situations may cause the rise of
lawyers and consultants.
Measures introduced to curb the breach of code of conduct
The introduction of checks and balance systems by the stakeholders in business entities
has created a sense of business ethics. Currently, checks and balance system have helped the
employers to minimize unethical behavior. For example, a sale associate calls upon client
purchases, while an accountant balances the books to ensure that all payments are received
and documented (Brookins, 2019). Such systems do eliminate most of the workers from theft
and fraud. The application of auditing annually for verification established protocols that are
being followed and develop new professional ideas to address unethical issues in a year. In
addition, hosting some ethics trainers to the companies help in promoting professional business
ethics. The trainers advocate for ethical behavior and explain its role in the organization (Dixon
and Tanner, 2013).

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Also, employee appreciation because of hard work minimizes the breach of code of
conduct. Committed employees feel that company should award them according to their
services delivered. Appreciation of workers in terms of rewards on a regular basis encourages
loyalty. Loyal workers are likely not to practice unethical behavior. Furthermore, the creation
of written code of conduct by employees and managers in the company (Brookins , 2019). The
written code of conduct provides with the workers and even the clients with the appropriate
guidelines that a company expects from them. More so, recruitment of the core value
employees by the owners of the organizations. The well experienced and trained workers can
handle the tasks assigned to them with ease. Highly qualified staff with values rarely messes out
with unethical behavior (Serenko, 2009).
Conclusion
Conclusively, when the businesses attain higher levels of professional ethics, clients feel
satisfied by doing business with them. When the business lack professional ethics, the
reputation of the company can be destroyed which reduces its sales and thus lowering the
profits of the business company? Professional ethics can be reformed or maintained by
following the ethical codes of conduct and they should be distributed to the company’s
executive and employees.

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References
Adams. R. 2013. "The emergence of cloud storage and the need for a new digital forensic
process model". researchrepository.murdoch.edu.au
Albrecht, C., Thompson, A. ,Hoopes, J. & Rodrigo, P. 2010. Business Ethics Journal Rankings as
Perceived by Business Ethics Scholars. Journal of Business Ethics.Retrieved from
https://www.researchgate.net/publication/226798137.
Al-dmour,A. , Al-Fawaz, K. , Al-dmour, R. &Allozi, N, M. 2017. Accounting Information System
and its role on business performance.Retrieved from https://doi.org/10.5430/jms.v8n4p79.
Brian, S. 2017. Academic and Business Research Institute.The Journal of Ethical and Legal
Issues.Retrieved from https://www.aabri.com/jabe.html.
Brookins, M. 2019. Ways to Prevent Unethical Behavior in the Workplace. Retrieved from
https://smallbusiness.chron.com/ways-prevent-unethical-behavior-workplace-21344.html.
Considine B.2016. Accounting and Information System. Accounting prescribed text book
Dixon, L. & Tanner, J. 2013.Transforming Selling: Why It Is Time to Think Differently About Sales
Research. Retrieved fromhttps://www.tandfonline.com/doi/abs/10.2753/PSS0885-
3134320102.
Ferguson, C. 2011. Accounting Information Systems research over the past decade: Past and
Future trends.Retrieved from https//ink.library.smu.edu.sg/soa_research.
Larry, D. 2016. "SAP aims to court more HANA developers launch express edition". ZDNet.

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Serenko, A. 2009.Ranking of BusinessEthics.journal of business ethics.Retrieved from
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