Strategic Information System Accounting Software or Packages

Question: Discuss about theStrategic Information Systemfor Accounting Software or Packages. Answer: Accounting Software or Packages used in Australia Eradication of manual or the paper base accounting system in Australia in early 200 is viewed and observed to have great impact on the activities of many SMEs organizations. The introduction of GST system compelled more pressure to the Small Business Enterprises to use the modern accounting systems. The adoptions as well as the application of new accounting systems implies the implementation of the strategic information system in an organization, the SMEs which adopted new accounting systems while implementing the Enterprise Resource Planning are explained to have gain the competitive advantage over the existing competitors in their respective industry. The main conceptualizes of Enterprise Resource Planning is the use of computerized system to operate the financial activities of the organization. Apparently, the accounting information systems in Australia is observed to support excellent performance of the Small Business Enterprises. According to Finkelstein Farbey, 2004, the adoption of new technology through the implementation of ERP acts as the pillar of success to many business enterprises. Xero Accounting Software History According to Mayasari, 2015, Xero accounting system was developed in 2006 by Xero Company in Australia. The research indicates that, the accounting software was developed with the purpose of encouraging the SMEs to adopt the use of technology through the execution of Enterprise Resource Planning (Mayasari, 2015). Development The development of Xero accounting software is figured to exhibit the excellent progress of many business organizations. The progression and development is demonstrated by the functionality of the accounting system towards improving the company performance. King 2015, stated that the accounting software works well with the auditing system, used by the auditors while they perform their audit procedures. Adoption According to Drury, Vickers, and Xero Limited, 2015, many companies in Australia have adopted the use of accounting system while they perform their business operations, especially the financial activities of the company. The aspect of multi-currency is among the primary factor that has forced the companies to adopt the use of the Xero accounting system, it allows the SMES to perform their business activities using different currencies. Drury and Vickers, 2015 stated that the information system can updated the financial data of the company up to the current date. Current Market Share The market share of Xero accounting system is defined by the market approach used by the companies in Australia. According to Xero Company financial reporting of 2015, Xero accounting software has gain a lot of acquaintance in Australian business Environment. The report from the company indicates that over 260,000 client and more that 10,000 business partners are using the Xero accounting system, this represents 16% rise in 2015 compared to 6-year ago. Leaders of Xero Software According to Chris Ridd, the former Chief Executive Officer of Xero Company, SMEs in Australia are the leading stakeholders who have consistently adopt the use of the accounting system ( King, 2015). Competitive Advantage According to King, 2015 several factors have been evaluated to be the primary aspect which pushes the adoption of the Xero accounting system. Xero accounting software provides intergraded financial services that lead to accuracy in many business transactions, the accurate accounting information is used by the company management to make comprehensive decision which are align with the company goals and objectives. According to Rosen, 2016, Xero accounting system provides the cloud saving services, where the accounting data can updated up date. Challenges of using Xero Accounting Package Rose, 2016 stated that, the Xero accounting software provides the cloud saving financial services, forcing the SMEs to incur high cost of installing the software and other related technological factors. Lack of trained employee who have relevant skill of using the accounting system affects the operation of the SMEs organizations. The companies are recommended to ensure that they set enough capital for the installation of the software as well as employing the qualified personnel. MYOB Accounting Software History MYOB accounting package was developed by Christopher Lee in 1980. The company which developed the software is an Australian multinational company which provide marketing services to SMEs, the company also provided payroll system as well as the business software to the small companies. Development The report provided by MYOB Company, the accounting package is developed expecially for SMEs for the purpose of bookkeeping. It is developed in a way that it is easy to use, and keeps the financial budgetary records as per the business operation. Adoption According to Mayasari, 2015, the adoption of MYOB accounting system is stimulated by the capacity of the parent company merging with the local companies. The location of the MYOB company in Australia encourage many companies to adopt the functions of MYOB in their business operations ( Mayasari, 2015). Current Market Size The research conducted by Curtis, 2015 found out about the market share of the MYOB accounting package. One of the primary factor that led to an increase in market share of the MYOB package is the features relating to cloud saving. According to this research, over 26,000 SMEs have adopted the use of MYOB accounting software, this represent 60% of the Australian market (Curtis, 2015). Leaders of MYOB Accounting software Small Medium Enterprise are the primary leaders who have adopted the use of MYOB accounting software, they use it because it create a better business environment that enhances health business competition. Competitive Advantage of MYOB The primary aspect of MYOB gaining the competitive advantage over other companies is because of its ability to work online and offline and thus allowing the Small Business Enterprise to get access to many clients. Challenges of using MYOB Small Business Enterprises fails to adopt fully on the new accounting system because of the security factors. The MYOB accounting software is largely subjected to security milestones such as hacking. According to Arcega, Datinguinoo, and Manongsong, 2015, an estimation of 46% of MYOB accounting packages are affected by hacking. Lack of trained personnel also is still a big challenge to the SMEs in Australia. The small business organization are recommended to ensure that they installed the applicable security system such as firewall and employ experience personnel. Intuit Quickbooks Sccounting Software History QuickBooks accounting software is a common accounting system that is used by both SMEs and large business enterprises. It was developed by Intuit Company in 1983 by Scott Cook, the innovation of this accounting system was supported by Daniel Drew (Rosen, 2016). Development According to Dunbar, Laing, and Wynder, 2016, QuickBooks Intuit Software was not supporting the double entry financial entries; it was developed and improved by the company. The improvement of QuickBooks Intuit Software was supported by the release of new products and services provided by the Intuit Software company (Dunbar, Laing, and Wynder, 2016). The workflow in many organization in Australia was reduced by more than 40% because of the efficiency and effectiveness of QuickBooks Intuit Software. The new version released in 2003 was to work in accordance with the organizational business operation, with its primary purpose of reducing the workflow as well as minimizing the possible accounting errors. Adoption QuickBooks Intuit accounting package was the first element of the strategic information system used by the companies, it was accepted by many SMEs since it was initiated and proposed by the federal government of Australia after the introduction of GST approach. According to Rajasa, and Faturachman, 2015, SMEs in Australia have improve steadily because of the adoption of the QuickBooks Intuit software ( Rajasa, and Faturachman, 2015) Current market Size Lambert, and Bee, 2015 in their Journal showed that large number of SMEs in Australia are using the QuickBooks in their business activities. It is estimated that, 33,000 organizaiton in Australia are using the QuickBooks accounting system, this indicates that the market share of QuickBooks Intuit is still growing (Lambert, and Bee, 2015). According to Supratim Adhikari 2015, one of the technology editors, indicated that Australia is the Intuit fastest growing area. Her report indicates that Australia has more than 300% market share of QuickBooks. Leaders of QuickBooks The QuickBooks accounting software in Australia is mostly used by the Small Medium Enterprises, the small business organization anticipates to improve their business relationship with their clients. Sholto Macpherson showed that the SMEs use QuickBooks accounting software to establish a string customer relationship. Competitive Advantage of QuickBooks According to Jones, and Jones, 2016, they explains the competitive advantage of QuickBooks accounting system and its importance to the company financial operations. Their findings indicate that Small Medium business gains the competitive advantage of the QuickBooks because they intend to track and monitor their business profits, and other related operation, the companies are able to detect any deviation or the adversity that might the affects the business operation, where the alternative solutions are provided (Arcega, Datinguinoo, and Manongsong, 2015). Challenges of QuickBooks Accounting Package Amongst the challenges of is lack of trained subordinate to use the Intuit accounting systems. Organization management in Australia are encourage to implement on the training programmes that will allow the employees to gain relevant skills. Cost is also affects how the small business enterprises acquires the application systems. Reference Arcega, C.K., Datinguinoo, E.and Manongsong, J.L., 2015. Computerized vs. Non-computerized Accounting System of Small and Medium Enterprises in Lipa City, Philippines: A Comparative Analysis.Asia Pacific Journal of Academic Research in Business Administration,1(1). Curtis, V., 2015.MYOB Software for Dummies-Australia. John Wiley Sons. Drury, R.K. and Vickers, M.J., Xero Limited, 2015.Systems and methods of access control and system integration. U.S. Patent 9,117,208. Dunbar, K., Laing, G. and Wynder, M., 2016. A Content Analysis of Accounting Job Advertisements: Skill Requirements for Graduates.The E-Journal of Business Education Scholarship of Teaching,10(1), p.58. 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