Accounting information system ,e commerce and accounting information system case study solutions course is being taught in many university at undergraduate level to BBA.BCOM. MCOM, MIT, and many other classes. Similarly In this category we will provide you best handouts of accounting information system course , AIS and E commerce from best recommend books like Addy Vassen, and Daniel. Moreover Handouts will be the best source of preparation and learning.
Today lecture is about AIS Evolution – Manual Process Model and Flat File Model in Accounting Information System Evolution. However AIS Evolution is the main and most important part of accounting information system degree. READ AIS EVOLUTION COMPLETE
Evolution of Accounting information system
Over the past 50 years, a number of different approaches or models have represented accounting information systems. However Each new model evolved because of the shortcomings and limitations of its predecessor. Moreover an interesting feature in this evolution is that the newest technique does not immediately replace older models.Thus, at any point in time, various generations of systems exist across different organizations and may even coexist within a single enterprise. Similarly The modern auditor needs to be familiar with the operational features of all AIS approaches that he or she is likely to encounter.
Manual Process Model
The manual process model is the oldest and most traditional form of accounting systems. Manual systems constitute the physical events, resources, and personnel that characterize many business processes. However it Includes order-taking, warehousing ,materials, manufacturing goods for sale, shipping goods to customers, and placing orders with vendors. it also includes the physical task of record keeping.
Flat File Model
It is based on Legacy Model of computers. Large mainframe systems that were implemented in the late 1960s through the 1980s are used for Flat File Model. Organizations still use these systems extensively in different of world . Eventually, modern database management systems will replace them, but in the meantime accountants must continue to deal with legacy system technologies.
Flat Model System (Limitations)
As mentioned in previous slides and the video of evolution of accounting information system is motivated with the limitations of previous models. Shortcoming and limitations of an older model provide basis for innovating the new accounting information system model. Moreover Here is the list of limitations and shortcoming of flat file model for accounting information system.
Data Storage at single place for every application creates complexity while maintaining and updating of the data. Data updating on multiple storage locations can cost heavily and it can produce outdated information as well because data is stored on multiple locations for different applications.
Similarly In flat file database model every application is dependent on its own data and the data cannot be shared among the different applications used in same organisation as a depicted in the picture we can see that Marketing department sales department production department use same information of customer. Moreover all of these departments are showing their own customer data. Every application creates a task data dependency.
Similarly This led towards high data redundancy and low consistency in flat file database model. However All solo integration is one of the major concern in flat file database model used in accounting information systems.
There are many functions of accounting information system . Similarly The functions offered by accounting information system are now available in many accounting information system software. Moreover You can use accounting information system software to accomplish or to complete your different accounting information system projects.
