THE IMPORTANCE OF ACCOUNTING INFORMATION SYSTEMS TO ACCOUNTANTS (STUDY OBJECTIVE 8)

Anyone pursuing an accounting career must study and understand accounting information systems (AIS) and the related concepts. No matter which particular career path is chosen within accounting, it will in some manner involve the use of an accounting information system. Accountants have several possible roles related to accounting information systems: They may be users of the AIS, part of the design or implementation team of an AIS, and/or auditors of an AIS.

USERS OF THE AIS

Accountants within any organization must use the accounting information system to accomplish the functions of accounting, generating accounting reports, and using accounting reports. For example, a controller in an organization must oversee a staff of accountants who record all accounting transactions, do the monthly closing of the accounting records, and generate the reports needed by management and external users. The accounting information system is the mechanism that allows the accounting staff to accomplish those functions. Accountants must therefore understand AIS concepts in order to perform these accounting jobs.

DESIGN OR IMPLEMENTATION TEAM

Accountants are usually part of a multiple-discipline team that designs and/or implements accounting information systems. When an organization considers a change to its AIS, accountants must be involved in decisions related to such matters as evaluating which software to purchase, how to design software or systems, and the implementation of software or systems.

AN AUDITOR OF THE AIS

Auditors conduct assurance services such as a financial audit. To conduct an audit, the auditor must collect evidence and make judgments regarding the completeness and accuracy of accounting information. The auditor cannot make informed decisions necessary to complete the audit without an understanding of the accounting information system. The auditor cannot judge the reliability of accounting data without understanding how the data are entered, processed, and reported in the accounting information system.