Accounting Information Systems

2 Pages 605 Words

Accounting Information Systems (AIS) is basically a subsystem of information that collects, processes, and reports information. AIS is important because of the vital roles that it plays in an organization. In order to achieve goals of the business and objectives, AIS must be accurate and consistent within an organization as well as within each individualized departments. Basically, there are two primary factors that AIS consists of which are financial accounting and managerial accounting. Financial accounting has the primary concern of relating relevant financial information outside of the company to potential investors, federal and tax state agencies or creditors. As for managerial accounting its primary concern is to relay relevant information to users internally within the organization. Some of these users might be managers and some of the departments may be cost accounting, budgeting or systems study.

In order for AIS to be successful it will pull information from various subsystems and put it into a data warehouse. The data warehouse is a database that will integrate financial and non financial information so that users and some outside users will have access to the database. This will enable the information to be accessed so that staff can be more productive at work and in some cases at home or while traveling. AIS will have in effect on departments such as Human Resources, MIS (Management Information Systems), and Strategic Planning Systems and possibly other departments as well. AIS will have an effect on these departments because it must be able to extract data whether it is non financial or financial to put it in one centralized location which would be the data warehouse. It will benefit the company, for external users to have access outside the company because if they are traveling for a meeting. They can always log on to the company’s Intranet and find useful information such as financial data or non financial data. Th...