HI5019 Strategic Information Systems: Eureka Limited Case Study T1

This report evaluates and recommends an accounting software for Eureka Limited, analyzing how accounting software can maximize effectiveness and efficiency in business transactions. It illustrates business requirements, including key business processes like process improvement, quality and change management, technology management, and customer relationship strategy. Major control risks, such as Information Technology General controls, Information Technology application controls, and manual controls, are identified. The report also outlines system requirements, focusing on features like security, invoice processing, payment processing, and cost prediction. A comparison of MYOB and Xero is conducted, concluding that Xero is the more suitable accounting software for Eureka due to its efficiency and effectiveness.

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Strategic Information System for Business and Entrepreneur
By (Name)
Course
Instructor’s Name
Institutional Affiliation
The City and State
The Date

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Executive summary
This report illustrates the key business processes for Eureka limited, that is to say, process
improvement, quality and change management, technology management and customer
relationship and strategy. In addition, the paper illustrates the major control risks for the business
process that range from various activities such as authorization, reviews of business operation,
security, and verification. The major control risks for Eureka include Information Technology
application controls, Information Technology General and manual controls. Also, the paper
illustrates the Systems requirements such as the features of the accounting software that is to say;
payroll, security, payment processing, and many others. The report also makes a comparison of
two accounting software in terms of their features and functionalities that is to say; the payables
of MYOB and Xero, the ease of use of the two systems and many others. Also, the paper
indicates that Xero is the most suitable and accounting software that should be used by Eurake
because of its efficiency and effectiveness to the business.
Contents

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Executive summary...............................................................................................................................2
Introduction...........................................................................................................................................4
Business requirements...........................................................................................................................4
Systems requirements............................................................................................................................6
Software selection..................................................................................................................................8
Vendor selection...................................................................................................................................10
Conclusion............................................................................................................................................15
References............................................................................................................................................16

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Introduction
For the purpose of this paper, we shall be in the position to prepare a report evaluating
and recommending an accounting software for Eureka limited. As a result of the continuous
growth of technology, computer operations are considered to be more essential for business
across the world. This report aims at making an analysis of the accounting software on how best
they can maximize effectiveness and efficiency in the business transactions of Eureka limited.
Further, the report will illustrate various business requirements that should be considered before
using given accounting software, for example, the key business processes of Eureka and the
major control risk for the business processes of the company. Also, the paper will explain the
mechanisms to be followed while making a selection of various accounting software packages
for example, the accounting software package vendors, and the category of the accounting
software such as the low, medium and high-end software. In brief, the paper will examine the
most suitable accounting software that Eureka limited should use by making a comparison
between the two accounting software packages selected from the category (Malhorta, &
Temponi 2010).
Business requirements
The key business processes for Eureka Limited
As a result of the continued growth of Eureka Limited in terms of its sales revenue to
more than US$ 18.5 million during the previous years, the company will need to add more core
processes or sub-processes. These key business processes or sub-processes of Eurake limited
include process improvement, quality and change management, technology management and
customer relationship and strategy. In this case, business process change, quality improvement,
and change management aims at improving the optimizing and improving the business of an

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organization. In addition, the business process helps in ensuring the effective delivery of
customer needs. On the other hand, customer relationship strategy and management helps in
experience change in the current business competition by increasing the organization's simplicity
in involving into a market that is highly competitive with a high technology improvement in the
performance of activities. Also, the company intends to adopt technology in its operation as its
business process so as to help in the flow of work by replacing its "manual business processes"
which are not performing work effectively. However, technology business process management
is considered to be a broad part because it takes a long period of time to build and implement the
automated design of apps that can best help the organization fulfill its needs (Malhorta, &
Temponi 2010).
Major control risks for the business processes of the company
In this case, risk controls for business processes are procedures and processes that help an
organization in ensuring that its management directives are performed effectively. This is done
by ensuring that required actions are implemented to mitigate risks so as to achieve the
objectives of the company. In addition, control risks are range from various activities such as
authorization, reviews of business operation, security, and verification. For the purpose of this
paper, the major control risks for the business process of Eureka limited included the following;
first, Information Technology General controls, these provide a general control concerning the
information technology environment for example access management, user, management and
change management. In addition, it involves the evaluation of IT risks from their sources. In
addition, general controls create a bigger impact on various computer applications in the field of
Information technology by preventing different events from causing an impact on data and
processing integrity. In this case, Information Technology general controls lie under, computer

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operations, logical and physical security, system development and program changes. These IT
general controls are important because they may create a bigger impact on the company's
attainment of its financial issues or report (Wauters, 2010).
Second, Information Technology application controls, these provide "automated system-
based controls" concerning the transaction processes of a business. these control risks involve
procedures and processes that are structured and deployed in the company by the owners of the
data and the application. These controls involve "program controls" that are embedded in the
developed application so that they can perform given control related practices that are to say
"computerized edit checks of input data", checks of numerical sequence, exception reporting and
validating major fields (Wauters, 2010).
Last, manual controls, manual risk controls can be applied when discretion and judgment
are required. Manual risk controls help in providing a company's further control over the
transaction process of the business, for example, Reviewing the system reports from the
Information Technology dependent controls in order to obtain much truth. In addition, manual
risks controls for business processes help in monitoring the transaction flows of the company so
as to attain the integrity of data in the business. Also, the implementation of manual controls
helps in impacting the level or nature of the decisions made in the business and also presenting
various risks involved in financial reporting. Therefore, Eureka limited needs to implement
manual controls alongside automatic controls so as to achieve their objectives (Wauters, 2010).
Systems requirements
In order to minimize the control risks and achieve business objectives, Eureka limited
shouldconsider various accounting features and functionalities. In this case, the company can
consider the following accounting software features and functionalities; first, security, in this

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case, the company should consider the security of the system by ensuring that it is safe enough to
avoid loss of data. As accounting software packages play a vital role in storing important or
sensitive company data such as numbers, its security needs to be tight. in order to make sure that
the company makes proper calculations and secure data sharing within various systems, it is
supposed to ensure that various security mechanisms are implemented such as the use of
passwords. In addition, the company should make sure that the system can be in the position to
store its data minus being altered. Therefore, the software is supposed to be configured according
to the user. in order to ensure effective security, the software should contain passwords for data
integrity (Wauters 2012).
Second, invoice processing, in most cases, accounting software should be in the position
to do invoicing. This helps in understanding from whom the money was obtained, how much, at
what time and when the payments should be expected. In addition, the software should be in the
position to allow printing of invoices or maybe send the invoices via email. Also, the company
should consider a system that is in the position to remember the basic data of the customers such
as addresses, standard terms, accounting numbers, and names. Further, the software should be in
the position to remember the standard pricing of the company's wide variety of services and
products (Wauters, 2010).
Third, payment processing, the company should consider an accounting software that
provides a way by which customers make payments for their bills using electronic systems. This
creates various advantages to the company, for example, less time for the staff in processing
checks, secure for making payments, and the system is very fast in processing. The company will
be in the position to effectively monitor the customer's payments process and it will ensure
effective business operations. By using electronic payments, the company staff will be relieved

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from a burden of checking money, making calculations and inputting the customer's details in the
system. Therefore, payment processing is very vital for any accounting software that the
company should consider (Wauters 2012).
Last, cost prediction, the accounting software should be in the position to make reports
about the company's costs. This can help the company to identify various trends in the business.
Therefore, the system should be in the position to carry out statistical analyses, produce
forecasts, and interpret data. Therefore, Eureka should consider adopting a system that can be in
the [position to make budgets, perform cost functions and estimations so as to achieve its
objectives and minimize the control risks (Lunden 2013).
Software selection
Description of software package vendors and their products
For the purpose of this paper, I will provide a brief overview of three accounting software
package vendors, that is to say, SAP, Xero, and MYOB. In addition, each vendor will be
described with its products. SAp: this is a global company for best known for software design
and deployment (vendoring). The company has over 52,921 employees responsible for
developing and sales in around fifty countries across the globe. Through SAP, very many people
across the world are improving their business relationship with partners and customers,
achieving strong efficiencies and streamlining throughout their business operations. Across the
world, over 19,300 businesses in over one hundred twenty countries have deployed over 60,100
SAP software. As a result of its brand Image, SAP has been known as a good company on SAP
ERP software across the world. SAP deals in various products such as SAP ERP, SAP
manufacturing, SAP maters Data Management, SAP Jam, SAP SuccessFactors, SAP Human
Resource Management System and many others (Malhorta, & Temponi 2010).

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MYOB is a multinational corporation located in Australia that provides accounting, tax
and other software services to medium and small businesses. The corporation was founded way
back in early 1980s by a team of software developers in Teleware, Even if the founders of the
company were based in the US at that particular time, the company ceased operations beyond
New Zealand and Australia in 2008 (Lunden 2013). The company's co-founder "Brad" left
MYOB in 2003. The company has "a browser-based accounting product" and subscription-based
products. In addition, the company released AccountingRight Live in 2012 ("cloud-enabled
version of its flagship product").
Xero, this is a software company domiciled in New Zealand, listed on the Stock
Exchange of Australia offering "cloud based accounting software platform for small and
medium-sized businesses" The company's offices are located in the UK, Canada, Asia, South
Africa, and Australia. In addition, the company is listed on the securities Exchange of Australia.
The products of Xero operating as " software as a service (SaaS) model". In addition, the
software of Xero are sold by subscribing depending on the number and type of the business
entities the subscriber manages. The products of Xero were sold in more than 180 countries by
March 2018. The founder of Xero was Rob Drury together with his "personal accountant." Since
the company was formed, it has received funds from various investors. the key features of Xero
software include invoicing, accounts, expense claims, purchase credit, and "automatic bank and
credit card account feeds." Xero offers various products such as the "Touch mobile apps for iOS
and Android devices" which allows users to make invoices while they are with their clients and
the "single unified ledger" which allows clients to perform their calculations on given books
irrespective of their operating system or location (Malhorta, & Temponi 2010).
Category of accounting software suitable for the company

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Currently, there are various accounting software packages that are used by different
businesses that reflect their needs. In this case, businesses make a selection of the accounting
software to use depending on the nature of their industry in terms of work processes and the
business size. Accounting software is a tool employed by the business with an intention of
assembly various information about its financial feasibility with the intention of examining its
financial health. As a small company that employees only seventy-three people with a sales
revenue of more than US$ 18.5 million during the previous year, the business can implement a
"medium range accounting software." This implies that the company is suite for a medium range
software because it is normally intended for businesses which have a gross revenue that ranges
from US$ 1 m to US$ 25m. The medium software is more superior and advanced as compared to
the low range software. The "medium end accounting software" has one importance of offering
various financial settings alongside other modules that suite the needs of a given industry. Also,
the accounting software is very important in aiding various users, operating on different
operating systems and also operates with a fixed database. As a result of Eureka's growth in the
customer order and its increase in the range of products, "the medium-end accounting software"
suites the business as compared to the low-end software. As an accounting business, the
medium-end software best suits the need of Eureka limited because it will play an important role
in incorporating different accounting systems and processes, ensure reduced costs and fewer
errors in taxation (Malhorta, & Temponi 2010).
Vendor selection
Differences and similarities of the feature and functionalities of two accounting
software packages

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For the purpose of this paper, I will make a comparison between the features and
functionality of Xero and MYOD. In most cases, the comparison of accounting software depends
on the size of the company the software is going to be used. Also, most of the accounting
software packages are best for what they do depending on their scope. The comparison of the
accounting software packages is as follows;
Jobs and inventory
In this case, Xero is not in the position to perform any kind of "stock hand inventory" or
even provide expense/income tracking. while MYOB gives chance to users of the system to
obtain their average costs and also adjust the prices of items. In addition, users can be in the
position to specify different storage locations depending on their choices. Further, the users of
MYOB accounting software can also be able to search for different items depending on the
number of items. However, users cannot be in the position to perform "drop shipments" for their
products that are not in stock (Malhorta, & Temponi 2010).
Bank payroll
There exist various differences in the payroll used bu Xero and MYOD. In this case, the
subscription of Xero is according to the number of staff in that month. Both Xero and MYOD
provide a timely function sheet. MYOD provides important additional functionality to the
timesheet which results in time-billing on the side of the invoice, hence reducing the burden of
entering payroll timesheet twice and ensures separate invoicing. In addition, MYOD gives
chance to users to operate the payroll for the staff members at any given time. This does not only
help in the fast running of the payroll for the staff of the business but it also allows entering of
the payroll twice for a given time. On the other hand, Xero contains a philosophy payroll

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"calendar." This calendar helps in illustrating the week/ month/fortnight a given payment was
made last. In addition, it helps in illustrating when the next payment period will operate. Both
accounting software packages give a staff member to set his or her template payroll. In addition,
both accounting software can be in the position to handle various expense reimbursements,
salary sacrifice, deductions and many others (Wauters 2012).
Purchases and repeating sales
Users of both MYOB and Xero are in the position to create a repeating
invoice/recurring/bill and provided with a chance of having it repeated automatically at any
period of time. However, the biggest difference is that MYOB is not always on. For Xero, even
if the user is not logged into, the repeating bill/invoice is performed automatically at any given
period of time or date and the "sales invoice" are automatically emailed without the user logging
into his or her account. MYOB only triggers transactions which are repeating once a user logs in.
This can lead to delays of the MYOB files for weeks in case the software is opened only once or
twice in a month. Xero gives a chance to users to indicate the beginning date of any repairing
bill/invoice. In addition, Xero creates a repeating bill of the current day there and then (Smith
2009).
Payables
Both MYOB and Xero have the same areas of payables. In this case, both of the software
packages are in the position to make a "payment ABA file" that can be uploaded to a given bank
including "remittance advice emailed to suppliers." MYOB performs this functionality through
an email program that is installed on a computer, whereas Xero requires an email program
running on the software but not installed separately (Smith 2009).