Introduction to Accounting Information Systems Chapter 1 Chapter 1 Introduction to Accounting Information Systems Introduction to Accounting Information Systems

Learning Objectives To appreciate the complex, dynamic environment in which accounting is practiced. To know the AIS, its relationship to the entire IS, and the IS’s link to the organization. To recognize the accountant’s role in relation to the current environment for AIS. To understand how to use this textbook effectively to learn AIS.

Challenges & opportunities for the accountant Management consulting services. Management accountants. Internal auditors. Independent auditors. Other assurance services.

Elements in the Study of AIS

1.0 System: 1.0 1.1 A Subsystems: 1.1,1.2,1.3,1.4 C 1.2 1.4 1.3 B 1.3 D E Interrelationships: A,B,C,D,E

F G 1.2 H 1.2.1 1.2.2 1.2.3 System: 1.2 Subsystems: 1.2.1,1.2.2,1.2.3 Interrelationships: F,G,H 1.2.3 H

1.0 1.1 1.2 1.3 1.4 1.2.1 1.2.2 1.2.3 System: 1.0 organization

STORAGE PROCESSING INPUT OUTPUT Users

MIS AIS Sales/Marketing Information System Production Information Finance Information System Personnel Information System AIS

Integrated Production Processes AIS Order Entry/ Sales Billing/AR/ Cash Receipts Purchasing/AP/ Cash Payments Inventory Integrated Production Processes General Ledger & business reporting

Transaction Processing Vertical information flows Strategic Management Tactical Management Operations Management Operations and Transaction Processing Horizontal information flows

Accountant’s Role re AIS Designer User Auditor

Learning Objectives To appreciate the complex, dynamic environment in which accounting is practiced. To know the AIS, its relationship to the entire IS, and the IS’s link to the organization. To recognize the accountant’s role in relation to the current environment for AIS. To understand how to use this textbook effectively to learn AIS.