The relationship between accounting

information system AIS and the

company internal control

1 Page

[Type text]

Abstract

The competitiveness of a company becomes one of a sequence

of this concept in all structures of the same: organizational
structures, business, technology, philosophy, values and acting
both areas of front office and the back office; otherwise it is a
utopia do otherwise.
To begin preliminary guidance must come from the CEO and
then as well, the policy vision to lead the company to know the
driving force review and make decisions based on an updated
administrative management accounting information. This will
make decisions with his feet on the ground, as to what is in the
company, what you have and what can dare to achieve. And
on many issues and contemporary writers they have warned
that "information is power" and especially if the accounting
management information.
This paper aims to establish "the relationship between AIS and
internal control especially in the CPA firms .
Stressing the importance of the internal audit function is to add
value and improve the operations of the organization, because
today through the changes that are suffering the profession,
the auditor not only provides information to the management ,
then have these implement their and make recommendations
for control monitoring implementation, but it is who performs
such control.

2 Page

[Type text]

Introduction

It will be shown as the CPA is inserted into the computer

market to support management, not only with information
financial type but also on non-financial aspects, which make
based on management activity, which govern the development
of business ; then move on to become the managing director
of the company, how it affects the organization, advantages
and disadvantages for the professional.
An undeniable characteristic of today's world is the speed with
which the changes occur.
For

this

reason,

although

the

teaching

of this

subject

throughout the Superior Cycle takes a cut of content, it aims to

ensure that their treatment students to develop the ability to
solve simple and complex situations, alternating concepts,
methods, schemes models, hypothesizing and procedures, job
transfers and development of creativity and innovation that
requires addressing unique issues, appropriate to the context
and situation.
The importance today is the procurement, processing and
analysis of data for decision-making highlights the importance
of the contributions made accounting and its role as a source
of such information. As a system, every organization needs
good and timely information to plan, manage and evaluate. It
is therefore necessary that students learn to search, select and
3 Page

[Type text]

interpret autonomously, and using new technologies, both

internal information of the organization and the context in
which it operates.

Contents
Abstract....................................................................................................... 2
Introduction................................................................................................. 3
Research problem........................................................................................ 5
Research methodology................................................................................5
Literature review......................................................................................... 6
1.

Nature of accounting information SYSTEM............................................6

2. issue of the responsibility of the Public Accountant in the
implementation of information systems are also involved.......................6

3. THE accounting profession as internal control.......................................10

4. New approach: Internal audit and assurance and consulting activity....13
5. The process of implementation.............................................................18
6. Differences between the implanted system and the previous system.. 22
7. Implementation of accounting information system...............................25
Conclusion................................................................................................. 28
References................................................................................................. 30

4 Page

[Type text]

5 Page

[Type text]

Research problem

In today's world, every day becomes more necessary to have

information that allows us to establish an appropriate strategy
in setting sales prices which are competitive with respect to
competition in the industry to which our company belongs.
Accounting and general accounting system and financial
information must provide the elements necessary for a proper
calculation of sale price in each of the items or services
produced by the company. From the above it follows that the
cost accounting plays a key role within the accounting
information system, which is to provide information on the cost
of production to establish sales prices. In this research we aim
to identify the relationship between the AIS and internal control
and the firm performance.

Research methodology

In order to achieve the objectives of the research this study

relied on the deductive approach, where deductive approach
was used for the subject through reference books, periodicals
and scientific communications and electronic articles published
online .
Our research method is depend on the previous studies , and
drawing conclusion from this articles.

6 Page

[Type text]

Literature review

1. Nature of accounting information SYSTEM

In today's world, every day becomes more necessary to have
information that allows us to establish an appropriate strategy
in setting sales prices which are competitive with respect to
competition in the industry to which our company belongs.
Accounting and general accounting system and financial
information must provide the elements necessary for a proper
calculation of sale price in each of the items or services
produced by the company. From the above it follows that the
cost accounting plays a key role within the accounting
information system, which is to provide information on the cost
of production to establish sales prices.( Laudon and Laudon
1996)
2. issue of the responsibility of the Public Accountant in the
implementation of information systems are also involved.

It is considered important to touch topics such as:

a) Information systems, since in recent years are "two
important changes that altered the business environment, one
was the emergence and strengthening of the global economy
and the second transformation of the economies and industrial
7 Page

[Type text]

societies produced in service economies based on knowledge

and information ".
In fact, in the 90 companies that survived were those who had
the ability to operate globally, and have for this powerful
information and communication systems.
In current systems there is an interdependence between
organizational business strategy, rules and procedures and
information systems of the institution. One of the reasons why
systems play an important role in companies, and affecting
more people, is the increasing power and decreasing cost of
information technology.
The current professional must know how to track, plan and
manage the technology most appropriate for your institution;
and also have knowledge of the institution.
"Together, the systems knowledge and understanding of the
institution up the information architecture of the organization,
which is the particular role that information technology plays in
a company to enable it to achieve its goals" .3
b) At present there is a new approach to the use of accounting
"is the modern cost accounting, also called management
accounting, which considers managers within the organization,
as the main users of accounting information, help to manage
each of the business functions such as: Production, Design,
Distribution,

customer

Service;

and

to

coordinate

their

activities within the framework of the organization as a whole.

The accounting system is the main, and most credible in the
system of quantitative information in most organizations. This

8 Page

[Type text]

system should provide information for four main purposes:

(Fowler & Enrique 2010)
1) routine internal reports to managers for planning control
costs and operating costs; and evaluation of staff performance
and activities.
2) routine internal reports for managers on the profitability of
products, customers, categories, brands, distribution channels
and so on. This information is used to make decisions on
resource allocation and in some cases to decide on prices.
3) routine internal reports managers for strategic and tactical
decisions on issues such as global policy and long-term plans,
new product development, research equipment, and orders or
special situations.
4)

external

statements

reports
to

through

investors,

the

issuance

government

groups

of

financial

and

other

external stakeholders. To meet external purposes, businesses

must report income and cost of inventories, in accordance with
generally accepted accounting principles that guide the
financial accounting "
Management accounting deals with the first three items, the
fourth

purpose

financial

accounting

is

concerned.

Cost

accounting management accounting is more a part of financial

accounting, to the extent that the cost accounting provides
information that helps meet the requirements of external
reporting.

9 Page

[Type text]

c) "The contemporary development of accounting has led her

to be the most efficient tool to provide useful information
about the heritage
an entity and its variations over time, it allows managers to
make decisions with less uncertainty ".
For accounting information can be used by administrators of
the company is required to be reliable, that is being prepared
with the greatest possible objectivity. This may not be the case
if the information includes issuing an intentional emphasis
sense to influence users of accounting information.

"To get across the enterprise rely on accounting information

and based on it for decision-making, there is a need to control
it. This is achieved, in the most economical and fastest way
possible, finding someone to verify the information and report
the outcome of its review to the company and of course
deserves your trust. This is the reliable expert auditor and can
not be other than an independent public accountant " Fowler &
Enrique 2010
The case applied to work is a company that sells solutions and
subsequently entered the market reselling computer inputs. In
the

beginning

the

organization

was

composed

of

two

members, a sales department whose manager was one of the

partners, a department of administration whose manager was
the second partner and the accounting was carried out by an
independent

public

accountant,

the

audit

of

Financial

Statements It was performed at year end. It was a bureaucratic

10 Page

[Type text]

enterprise, with clear division of the organizational pyramid.

(Laudon and Laudon 1996)

With the expansion in 2000 of computer science, the

organization began to widen; the sales department moved to
another office, had already, in addition to managing a sales
supervisor and sellers; the administrative department was
subdivided into a credit bureau and collections and other
payments to suppliers. then he reselling incorporated inputs so
a product manager was hired and a technical department was
created; services also offered solutions with the consequent
research and development department and the manager
administrative step to this department.
The situation was that in early 2001, the company had no
inventory control, the information system was inefficient, the
department of collection and suppliers had run out manager,
sales had no internal proof (such as purchase order), and
finally the company suffered a scam by the product manager.
It was partly from this situation that the company found it
convenient to establish a set of controls for this not to happen
again and out of the economic depression that crossed.
Throughout the work it will go explaining how these problems
began to be remedied through professional performance Public
Accountant and a vision about what other changes could be
implemented in the future.
3. THE accounting profession as internal control
"Modern development of accounting has led her to be the most
efficient way to provide useful information on the assets of an
11 Page

[Type text]

entity and its variations traces time, those interested in the life
and development of the instrument body. This allows these
decisions under conditions of reduced uncertainty, such as
lending, purchasing decisions, assessment and improvement of
management, etc. (Laudon & Kenneth 2013)
For accounting information can be used by stakeholders, it
must be reliable; otherwise, it will be discarded and used other
less sophisticated or incomplete, but reliable, or decisions were
based on experience, intuition, etc.
For this biased information is not necessary to be prepared
with the greatest possible objectivity. This could not have
happened because the information has emitted an honest
optimism or pessimism about future events or because the
information is included in an intentional emphasis sense to
influence users of accounting information. (Fowler & Enrique
2010)
Information such as birth is not reliable, because it is compiled
by one of those interested in it, the company, which has
different interests and often contrary to those of other
stakeholders.

To

make

the

whole

community

relied

on

accounting information and based on it for decision-making

related to the body, there is a need to control it. It would be
impossible in terms of time and costs that all stakeholders in
the verification from the information to use it. The most
practical solution is found someone verify the information and
report the outcome of its review to the community. This
responsibility can only fall into who knows verify (an expert in
accounting and review of accounting information) and that is
reliable (because it is not committed or interested in the
12 Page

[Type text]

outcome of its consideration). This is the reliable expert auditor

and can not be other than a Public Accountant independent. "
The auditor, independent public accountant, conducts a critical
investigation of the financial statements today also controls
information from non-financial type, in order to form a
judgment on the reasonableness of such information and
inform the directors of the company .( Laudon & Kenneth 2013)
Then the importance of the counter in its internal audit work in
a business activity has become more important in recent years
show.
The internal audit department, is a professional body that
functions in the organization, carrying out a series of controls
that senior management can not perform, but is concerned
that such controls are executed. That is, acting by delegation
(of the Senior Management) exercising control his superiors
can not perform and it may for the time factor or lack of
technical expertise.
This department works conducting an assessment of the
efficiency of existing controls, and were these: a priori,
simultaneous or direct, permanent or automatic or post or
operating additional.
Before the internal audit was regarded as "An independent
appraisal function established within an organization to review
its activities as a service to management. It is a control that
operates by measuring and evaluating the reliability and
efficiency of the whole system of internal control of the
company with a view to its improvement " (Laudon & Kenneth
2013)
13 Page

[Type text]

Today this concept has taken other nuances, "Internal auditing

is an independent, objective assurance and consulting activity,
which aims to increase value and improve an organization's
operations. It helps that it meets its objectives by applying a
systematic and disciplined approach to evaluate and improve
the effectiveness of risk management processes, control and
management "approach. (Fowler & Enrique 2010)
It is concluded that this definition is the most successful since
the auditor is not simply a supervisory body of the company,
but

is

linked

directly

as

advisor

to

the

management

department, not only in financial matters but on information

from non-financial kind.
The auditor makes a systematic assessment and verification of
the programmed controls that work as they were created.
No person or organization sector should expect your operation
or transaction is approved once passed through the control of
the internal audit, because this is not the end, since the
purpose of the audit is to be a potential control, the rest of the
company knows that it exists, but does not know when it will
be applied. The exercise of this type of control, is known only
by those responsible for the internal audit department and by
their superiors.
To have an effective audit must meet three requirements:
a) A correct and proper distribution of authority, emanating
from senior management.
b) effective and consistent support of senior management.

14 Page

[Type text]

c) Having capable staff, think in terms management or shape;

appropriate

with

the

other

staff

of

the

company

interrelationships.
The auditor should not do the following, as it endangers the
effectiveness of an effective internal audit:
a) Perform online operations.
b) Carry books and / or records.
c) To safeguard assets.
d) Being part of a process.
e) To review previously an operation before it is completed, to
ensure it is correct.
f) To approve or authorize transactions or vouchers.

4. New approach: Internal audit and assurance and consulting

activity.
First you want to touch the issue related to the internal audit
and consulting activity, usually companies hire consultants to
discuss issues related to the financial aspect of the company,
they are responsible to give their views on specific topics
which they are experts.
The consultancy is one of the activities developed by the Public
Accountants, they can give their opinion on tax, accounting,
financial, etc. but always according to what the professional
accounting standards allow. Today, many consultants are
experts in irrigation managment financial services or what is
15 Page

[Type text]

becoming known as benchmarking, "is defined as the process

of comparing and measuring something to improve allegedly
continuously." (Laudon & Kenneth 2013)
It is important to use this new method because apart from
adding value to the services provided by the professional,
serves the company to see what market position is located
with respect to competition. In addition to this, today the same
accounting standards of the profession recommend taking this
treatment. "Assessing the adoption of excellence treatments
(treatments benchmark) or acceptable alternatives contained
in certain international accounting standards whose analysis
was considered a priority"

Another important aspect to note is the subject of internal

audit and assurance activity, this has much to do with the
issue of providing reliable and timely information to senior
management, as we said that information is not only financial
but also issues not financial. "Jobs reliability attempt to provide
a high level of confidence, so that the risk of expressing an
inappropriate opinion (audit risk itself), in regard to significant
aspects of Another important aspect to note is the subject of
internal audit and assurance activity, this has much to do with
the issue of providing reliable and timely information to senior
management, as we said that information is not only financial
but also non-financial issues.
"The work reliability attempt to provide a high level of
confidence, so that the risk of expressing an inappropriate
opinion (audit risk itself), in regard to significant aspects of a

16 Page

[Type text]

given subject is reduced to a low level, getting enough

evidence about ". (Laudon & Kenneth 2013)
In assessing the risk of issuing an opinion inadequate
professional should consider the inherent irrigation associated
with the choice of the subject matter; control risk associated
with the effectiveness of controls made by the company; and
detection

risk

associated

with

the

effectiveness

of

the

procedures carried out by the.

This new approach based on the reliability of the information,
the auditor does leave a little aside its traditional work to move
on to consider other aspects of the company as follows:
1) Conduct profitability analysis entity; in which case you must
perform the profitability of each business unit, showing the
costs by
Variation, which allows business owners analyze such decisions
whether to continue or not working with a particular product.
(Laudon & Kenneth 2013)
2) Evaluate business continuity, comparing the evolution of the
company over time and prospects for the future by looking
information.
These two points are related to "the financial audit and the
main stages of audit work business are: (Chavez& Osvald
2012)
a) design audit strategy, based on identified business risks.
b) Understanding the customer's business
c) Documentation of knowledge of general internal controls as
part of planning
17 Page

[Type text]

d) Review based on the risks of diversion or error significance

for each audit objective
e) justifiable combination of analytical procedures and tests of
details
f) Conduct closing meetings of the audit with the team
3) Conduct control how the company handles issues related to
the quality of the product sold or service provided.
4) Security checks online, which takes the company policy,
safety in the use of IT tools, controls access to information, etc.
5) Audit of environmental management, which leads the
company policy for environmental care, which contingencies
may arise regarding this issue.
"The environmental audit is a systematic investigation, carried
out by specialists, for the environmental management system
and its results. It is a tool of management of the company,
which deals with work routines and procedures in this or a
section thereof, relating to environmental management, the
level of compliance with environmental laws and company
policy same. It also includes information and proposals to
improve

the

functioning

of

the

entire

environmental

management ".
Cost accounting should reflect the impact of the environment.
Currently accounting does not reflect the so-called "green
costs, which are the costs to take into account the impact of
the environment and generated in recycling, treatment or the
like to prevent the destruction of the environment. Lately this
accounting information including data related to certain
18 Page

[Type text]

research and development expenditures, incentives obtained

certain liabilities and contingent environmental consulting
expenses, expenses improved supplies and services, etc.
6) Evaluation of information systems company in terms of
whether they are useful or not for that type of business and
how it could improve; that is what I mean in the next topic.
7) Make an audit of human resources, establishing the working
environment that exists, the degree of employee satisfaction,
incentive

policies,

as

selected

personnel,

evaluation

of

performance, promotion policy.

8) Finally determine whether the company complies with the
laws and regulations of the control body or other regulations.
The administrative, management or management has the
responsibility to ensure that the activities of the entity are
conducted in accordance with laws and regulations. To do this,
at least it needs to maintain a compendium of important laws
applicable to the industry or sector, follow a code of business
conduct, have competent legal counsel and operate internal
controls related rules properly.( Chavez& Osvald 2012)
All this forms the compliance audit is the verification or review
of financial, administrative, economic operations and other
measures of an entity to establish that have been made in
accordance

with

the

laws,

regulations,

statutory

and

procedural safeguards that are you applicable "

The auditor's work is developed on the basis of the general
framework of generally accepted auditing standards and
should begin to get an understanding of this subject, then
develop audit procedures
19 Page

[Type text]

to identify cases of significant non-compliance and report them

to management for consideration and treatment, concluding
that it is necessary to withdraw from the engagement when
the entity does not take the necessary corrective actions to
remedy the situation.( Chavez& Osvald 2012)

The information began to be seen as a strategic resource, as a

potential source of competitive advantage or as a strategic
weapon to defeat and frustrate competition. The types of
systems used to support this concept are strategic systems,
and aims to ensure the survival and prosperity of the
institutions in the future ".
So

often

companies

begin

with

an

information

system

according to its structure, but then these companies are

developed and implemented the system begins to be deficient,
because the organization has changed.
The problems caused the total failure of information systems
fall into different categories, the main problem areas are
design, data, costs and operations. These problems can be
attributed

not

only

to

the

technical

characteristics

of

information systems, but also non-technical issues. The actual

design of the system fails to capture the essential business
requirements, the manner in which end users interact with the
system can be excessively complicated; its design may not be
compatible with the structure, culture and goals of the
organization; the cost to implement and operate in its
production phase is well above the budget.

20 Page

[Type text]

This information is provided to the management by the

controls of business risks the auditor, one of these risks is as
information systems interact with the company, and if
necessary to achieve reengineer them. (Chavez& Osvald
2012)

5. The process of implementation.

The implementation refers to all institutional activities that
work towards the adoption, administration and routinization of
innovation.
Within the context of implementation, the analyst is an agent
of change. He not only develops technical solutions but
redefines configurations, interactions, activities positions and
power relations of various institutional groups.
"The result of the implementation can be determined by
factors such as:
a) The role of users in the implementation process
b) The degree of management support for the implementation
effort
.c) The level of risk and complexity of the implementation
project
d) The quality of management in the management process "
Users and information systems specialists often have academic
backgrounds, interests and priorities. Communication problems
between end users and designers are one of the main reasons
21 Page

[Type text]

why the user requirements are generally not incorporated into

information systems and generally are taken out of the
implementation process.
"Researchers have identified three key dimensions that
influence the level of risk:
Dimensions of the project: The larger is a project (money
spent, implementation team size) the greater the risk.
Project Structure: Some projects are more structured than
others. Its requirements are clear and direct, so that the results
and processes can be easily defined.
Experience with technology. The project risk will grow if the
project team and personnel information systems lack expertise
"
The development of a new system must be carefully managed
and

coordinated.

Each

project

involves

research

and

development. Costs, benefits and programs should be valued.

(Chavez& Osvald 2012)
In implementing a plantation of what is to be done is done, the
purpose

of

this

is

to

define

in

detail

the

details

of

implementation. It is important to identify the dependencies,

for example, tasks that depend on other are completed. The
ability to complete tasks as they are outlined in the project
plan (planning stage) will determine the success of the
implementation. For each identified task, the project plan
should include who is responsible, the amount of time required
for completion and the date for which the task will be
completed.

22 Page

[Type text]

In the project plan they should be included components such

as a list of goals and expectations for the project according to
the client; details of each of the tasks with their time and
dependencies; Description of the parameter by which the
implementation progress will be measured.
The implementation is developed in phases that happen to
enunciate:
1- Definition of the project: At this stage it is necessary to
conduct a needs analysis, defining the scope and conduct a
review of the current accounting. It is also necessary to identify
weaknesses that presents the system to be implemented
against customer needs, and make a survey.
2-Hardware

and

Software

Requirements:

Hardware

Considerations; the second is that kind of hardware and

software purchase necessary.
3-organize the project should be identified team members to
work on the implementation and responsibilities, develop the
implementation plan that should include general information
on the project, scope of points, goals, objectives, project
structure, etc.
4-Install the system: In this stage must take into account test
hardware and software; install data source; install location; test
system installation company with the example I was created,
install client terminals

23 Page

[Type text]

5-Configure the system: users, permissions, companies are set;

the chart of accounts is created; basic company data are
loaded; the accounting part is configured.
6-Test system: the modules are tested with users, necessary
amendments and corrections are made and tested in parallel
with the modules.
7-stage

post-implementation:

monitoring

and

implanted

upliftment of what is made and gives advice to users on how

the system is managed. (Chavez& Osvald 2012)
"When the deployment process is poorly managed problems
arise at each stage of system development namely:
Analysis:
No assigned time, money and resources to investigate the
problem.
Little or no time is spent on the preliminary planting.
The project team is not properly integrated.
Staff information service promises results that are impossible
to provide.
Users are reluctant to spend time helping the project team to
capture the information needed.
Design:
Users have no responsibility or do not have access to design
activities.
the system is designed to serve only to current needs.
Functional specifications are not properly documented.
24 Page

[Type text]

Programming:
The amount of time required for software development
money has been underestimated.

Programmers have received incomplete specifications.

Programmers do not take full advantage of structured design
or object-oriented techniques.
The programs are not adequately documented.
Testing:
The amount of time and money required to properly test
underestimated.
The project team does not develop an organized plan testing.
Users are not sufficiently involved in the tests.
Conversion:
insufficient time and money for conversion activities are
budgeted, especially for data conversion.
The system goes into operation before it is fully ready to
compensate for cost overruns and delays.
System documentation, as well as users, are inadequate.
Performance evaluations are not made ".
In conclusion, many times information systems fail when the
company invests few resources in the implementation and hire
people with no specialized knowledge but are not appropriate

25 Page

[Type text]

for that system and affects all stages of implementation.

( Chavez& Osvald 2012)
6. Differences between the implanted system and the previous
system.
We previously discussed that when a company fails information
system for failing to meet the objectives and goals of the
organization,

is

replaced

by

another

more

suitable

to

transactions and operations made by the company.

In this case it were to explain why the implementation of this
system was decided and what are the advantages over the
previous system information.
The information system implemented is called "Great Plains"
and is aimed at business management solutions type. Allows
employees in your organization have the information and data
available to them, either at your desk, at home, in the offices
of clients or anywhere; because it has tools that allow
information sharing customers, suppliers and products with all
the vendors and executives of the organization no matter
where in accessing the Internet.
It provides accurate and instant people who need to make
decisions with confidence information. (Chavez& Osvald 2012)
It allows for reports, both financial and administrative, which
can be easily adapted to the individual needs of managers and
can be sent via e-mail or posted as HTML pages for your
corporate Intranet.( Fowler & Enrique 2010)
Applications include proactive business alerts that notify you
when one of the critical situations, you define presented. For
26 Page

[Type text]

example when budgets are exceeded or has insufficient funds.

Business Alerts allow you to seize opportunities immediately
and minimize unfavorable situations.( Fowler & Enrique 2010)
Is also created for multiple users, they can enter, manage and
view

information

from

multiple

companies

and

enter

transactions in multiple currencies.

The differences with the old system basically consist of:
General Accounting: Flexible configuration chart of accounts,
intelligent transaction processing capabilities and customize
reports to provide you the tools you master your financial data.
Controls the non-financial information such as: number of
people or square meters, to be able to generate reports on this
information even if not included in your accounting. (Chavez&
Osvald 2012)
Performs and handles unlimited budgets for each account,
based on open years, historic years or even in other budgets.
It maintains two open years at the same time and enter the
current year movements while you can adjust the previous
year.
Internet integrates with your accounting information, simply by
adding the email addresses of its employees, suppliers and
customers and send information or notifications safe, reliable
and instantly. This the old system had it not been incorporated,
the reports could not bring the system to a Excel file or send
the forms that drew the online system, which to incur the
company in more costs due to the greater amount of time used
by each employee to send information to others via email.

27 Page

[Type text]

 Accounts receivable: The old system did not allow detailed by

customer or supplier queries, this in turn, leads effectively and
efficiently control customers, handling invoices, processing
cash

receipts

and

printing

extracts;

through

detailed

consultations improve customer satisfaction and increase their

competitive advantage.
Fixed Assets: With this new system the company has been
recording, monitoring and analyzes information from fixed
assets, controlling maintenance and depreciation thereof. The
company has control over the output and asset transfers,
whether temporary or permanent, with recovery options.
Multicurrency Management: Allows you to manage an
unlimited number of coins and an unlimited number of
exchange rates for each of them. Operations such as sales,
cash receipts, extracts are handled in multiple currencies and
gains and losses with different exchange rates, record rates of
change with the time and date allowing the use of multiple
exchange rates per day and generate financial reports multiple
currencies to share, if you have branches abroad, with partners
from abroad. This is one of the most important parts of the
implanted over the previous system because the old system
did not allow calculating operations in another currency other
than pesos, or could calculate the exchange rate differences.
inter company transactions: Allows freely make transactions
between the parent company and subsidiaries and between
subsidiary and subsidiary. Companies using different currencies
can also share transactions because this information system,
as we said, allows handling multiple currencies. With this
module reduces administrative work since the processes are
28 Page

[Type text]

automated with connection between two or more branches,

and the value of information and access to this increase.
Managing banks: Integrate all transactions involving cash,
checks and credit card transactions, tracks the history of state
bank accounts and automates the monthly reconciliation
process these accounts.
Inventories: Provides a complete inventory management,
because it controls an unlimited number of deposits and sales
points. The sales and purchasing processes are integrated with
current accounts of customers and suppliers and with the
financial statements.

With this purchasing process in your organization will be

reduced

to

the

strictly

necessary

activities,

increasing

employee productivity, eliminating inefficiencies caused by

pending

orders

and

missing

inventories

and

reducing

unnecessary administrative processes.

Besides, transact international business, their ability to handle
multiple

currencies,

and

allows

the

allocation

of

costs

associated with import activities, each shopping.

7. Implementation of accounting information system.
The implementation of accounting information system is
performed by a member of the service area Public Accountant.
The Public Accountant to perform the implementation performs
the following controls:

29 Page

[Type text]

1) Survey and documentation: In the general ledger, accounts

receivable, accounts payable, cash and deposit securities,
collections, payments, bank accounts, inventory, purchasing
and billing.
2) Relationship series circuits and program to implement: With
respect to the above-listed items.
3) Preparation of functional prototype: What is the application
installation.
4) Configuration: System configuration, the company's general
accounting and measurement unit.
5) Conversion chart of accounts - Migration: Definition and
tests first, then the migration of accounts is receivable,
accounts payable, inventory, processing sales orders, multiple
means of payment / recovery, security, advanced processing
purchases.
6) System Customization: a) Environment pallets, displays,
routines and tasks.
b) Reports: VAT sales tax shopping, IB multilateral agreement,
daybook, balance sheet, income statement, receipt, purchase
order, invoice, credit note, lien certificates, order - pro forma
invoice, listing retentions.
7) Data Conversion - definition and testing: This part of the
process is divided into master files conversion such as
customers, suppliers and inventories; transactional files such
as account balances, current account customers and suppliers,
inventory quantities and values in the portfolio; financial
circuits involved where accounting and budgets; sales circuits

30 Page

[Type text]

where

accounts

receivable,

billing

and

collections

are;

shopping circuits such as accounts payable, payments and

purchases; inventory circuits and circuits where we treasury
cash, securities and bank deposit accounts.
8) Functional Testing: What are the individual circuit tests,
adjustments, integrate testing, final adjustments and approval
of evidence.
9) Installation workstations: configure each terminal and set
access restrictions for each user.
10) Post - production: support is installed after the system that
gives users the same.
The information system is already implemented but not put
into operation, but continues to operate while the old system
of information, because the company wants to ensure that the
data loaded into the same do not suffer deviations or
distortions by problems outside the knowledge of the company.
So the company load operations in both systems at the same
time and then the internal audit department at the end of each
month, strip both balances, seats daily and adjustments made
in the respective month of the two systems and start analyzing
differences, this will consuming this department more time and
higher costs due to the need for greater number of hours
worked per employee.
Communications between members of the company are
through internal mail (via email), and the tasks to be
performed by each employee are communicated by this
means. (Fowler & Enrique 2010)

31 Page

[Type text]

Conclusion
The internal audit activity in organizations has become more
important in recent times. And it is not seen as a surveillance
activity, aimed at determining fraud, embezzlement, theft,
errors and the like. Of course the auditor also assumed
responsibility for the reliability of the information in the
financial statements and reports were oriented to issues of a
financial nature.
Therefore it is considered, in particular in the IT services
company implementing the internal audit department was
necessary due to the company's growth in recent years, and
the inability of managers to keep adequate control over their
areas critics such as inventories, as well as providing
information to non-financial type, which can also be a source of
conflict.

It is important that the internal audit focus not only on the

financial side (Denominated financial audit), but other aspects
are not financial and operational audit or management,
32 Page

[Type text]

internal control audits, audits of legal compliance audits of

ethics or behavior business, quality management audits, audits
of environmental management, economic and social audits,
comprehensive

audit,

all

audit

services

are

based

on

reasonable assurance commitments. But above all it is

important to do in this company, in which the accountant is the
auditor, audit quality management as these businesses have
the risk of obsolescence of the merchandise that comes with
failure, so it is important strict control of this area.
This audit aims to improve the use of resources by reducing
costs and increasing profits; assesses the efficiency and
economy of its operations and effectiveness in meeting the
objectives. In addition to discover errors before they occur
through the implementation and redesign of systems that
meet the characteristics of the client in question.

On the subject of management audit, companies looking to cut

costs, so it is important today to have a good information
system

as

it

accelerates

processes

and

reduces

costs.

Professional in Economics to take a client in the planning stage

and knowledge of the entity must assess whether the
information system used by the company is correct according
to its structure, objectives and goals of the company; since an
inadequate system can outrun company over its competitors.
So in this company the counter in the awareness stage posed
noted that the system deficiencies and look for another that
was adequate to the needs of your customer.
If the system has weaknesses not compatible with the size of
the company, or the number of users who use, or have system
33 Page

[Type text]

restrictions,
according

to

the
the

professional
needs

of

should
your

look

client

for
and

system

begin

the

implementation stage . At this stage the practitioner must give

technical training to different users who will have access to
information to know how to handle the system, load data to
the new system, install the software, perform control between
the information provided by the previous system with pulling
the current.

References
Laudon and Laudon 1996, management information systems;
pages 120-140; Prentice Hall.
Chavez& Osvald 2012 "Present and Future Accounting"
Fowler & Enrique 2010 ; "Advanced Accounting".
Horngren, Charles and others; "Cost accounting"; Prentice Hall
Publishing
Laudon & Kenneth 2013 "Management information systems";
Prentice Hall.

34 Page

[Type text]