Source 1: Arc. (2019). What is the role of accounting information system?

Retrieved from

https://quadrantalpha.com/what-is-the-role-of-accounting-information-

system/

For years, drastic changes took place in the business environment due to the widespread use

of information technology, new communication means, and market globalization. With these

developments, a lot of organizations have searched for the most efficient use of resources to

dominate its respective markets.

Accounting Information System is a software that a business uses in collecting, storing, and

processing financial data that are used for decision-making. It is a computer-based method to

track down accounting activity in conjunction with information technology resources. To

simplify, Accounting Information System gives accurate data to the managers before making

any significant decisions that will either make or break their business.

The basic functions of Accounting Information System are:

Collect and Process Data. This is the phase where accountants or bookkeepers gather data

from cash sales, receivables, and payroll. By using an Accounting Information System, the

software processes all the debits and credits into an accurate management database.

Providing Important Reports to the Management. Management uses the reports derived

from AIS to analyze the company’s current operations and financial condition and gear up for

the future by making plans and setting up goals.

Accuracy and Security

You can improve security by limiting the number of people who can access your system. By

doing this, you can ensure that the data remains confidential and data are being secured. Plus, if

anything goes wrong, it is easier for you to track down the digital footprints.
 Since we are in a digital world, by having a computer-based accounting information system,

it gives you the efficiency that you need for your business. The advantage of having AIS is that

it streamlines and automates reporting, making everything just a few clicks away when your

company heads require financial reports from your team.

Back then, organizations particularly large companies hire third-party help – software

development companies or consultants who understand the nature of the business. But

companies are looking for solutions that will provide efficiency and cost-effectiveness. That’s

why most big companies are slowly adapting the idea of getting their own cloud-based

accounting information system. Like other software solutions in the market, money alone cannot

make it effective.

Source 2: Ledger, J. (2019). 5 Ways Technology Has Changed The Accounting Industry in the

Last Five Years. Retrieved from

https://www.jmark.com/5-ways-technology-has-changed-the-accounting-industry/

FIVE OF THE BIGGEST IMPACTS OF TECHNOLOGY IN THE ACCOUNTING

INDUSTRY

The age of technology in accounting has truly arrived, leaving a permanent mark on one of

man’s oldest industries. Here are five ways in which technology has changed the accounting

industry in the last five years:

CLOUD-BASED SYSTEMS

The internet is something all businesses should learn to utilize fully. Too often, we think of the

internet as nothing more than the place our company website and social media accounts reside.

However, there is a momentous change that is currently sweeping across the corporate world:
the cloud.

Many accounting firms are now using cloud-based systems to streamline all of their information.

Wherever you are, whatever time of the day, all you have to do is log on, and you will be able to

immediately access your data.

WHAT DOES THIS MEAN TO YOUR ACCOUNTING BUSINESS? HERE ARE JUST A

FEW WAYS IT CAN IMPROVE YOUR PROCESSES.

You can now analyze data in real-time because everyone in your firm has access to the most

recent data.

Cloud computing makes e-format documents from the web easier to collect and use.

You have unlimited storage space as your business grows—no matter how large your accounting

files are or how many you have.

You can synchronize files across multiple platforms.

Your files are secure and automatically backed up on the cloud.

Having records in the digital format, and on one comprehensive system, means that you will be

able to manage and retrieve files more easily when needed. Distributing accounting information

to different branches within your company will also become a breeze. Moreover, using simple

and ready-to-go cloud-based systems will significantly reduce information technology and file-

keeping expenses. Security, backup, and data retrieval have also benefited greatly from cloud

technology.

2. MORE DIVERSE ROLES FOR THE ACCOUNTANT

If there’s one aspect of accounting that professionals dread the most, it’s the very tedious and

tiresome task of compiling and computing data. However, with the advancement of technology,

you can now do all that with just a click of a button.

he uses it as little as possible. His work consists of keeping the client’s files in order and doing

this year’s taxes.

The second, on the other hand, has a completely different focus. By using accounting software

and cloud computing, she gathers data and makes computations quickly and easily. She spends

the bulk of her time analyzing the data to discover ways for the client to improve their business

today and plan strategically for tomorrow. She not only manages this year’s taxes more easily.

She has more time to find and talk about ways for their client to improve their tax situation

in the future.

Developments in accounting software and application have now given accountants more time on

their hands for more diverse tasks. They are able to veer away from time-consuming number

crunching and are increasingly able to expand into more specialized and strategic roles. More

specific and value-adding roles are now up for grabs, and skilled accountants can provide more

high-level specialty services. These may include data analysis and interpretation, providing

financial planning advice and business consulting services, and more involvement in your

company’s ongoing operations.

3. MORE EFFICIENT CLIENT TRANSACTIONS

Digitizing data and operations is beneficial not only for those working within the ranks of your

company but also for your clients.

Imagine the typical old-school accountant-client interaction. The accountant and the client both

have to make time to meet at a specific time and location. They make their way there so that

they can go through documents and discuss the client’s financial situation. If the client gets stuck

in traffic, it throws off the accountant’s schedule. And, if the accountant has some kind of delay,
they’ve wasted the client’s valuable time. Then, an important decision-maker may be angry

enough to switch another accounting firm.

With the advances in accounting technology, there is longer a need for on-site consultations.

Because accountants and clients alike are able to access real-time data remotely, both parties can

simultaneously view, edit, and comment on their statements. Then, they can convene and discuss

in whatever manner is most convenient—including web-hosted video conference.

Source 3: Accounting Seed. (2019). Will Your Next Accountant Be A Robot? Retrieved from

https://www.accountingseed.com/2019/01/14/will-your-next-accountant-be-a-robot