Literature Review on Accounting Software

Discuss about the Accounting Software used in Australia (MYOB).

According to Curtis (2015), implementing a small business accounting software is very much common, whether they are a large enterprise or small. This is due to the reason that the small business accounting software is technically reasonable. On the other hand, Mayasari (2015), stated that implementation of accounting software from other sources or software is very much vital for small enterprises. The challenges include support and lack of abilities in accounting, lack of exterior direction, which is the most important challenge that is faced by the small enterprises. The employees of small enterprises face challenges in executing the small business accounting software.

In this literature review, MYOB accounting software is selected which is widely used in Australia. The content of the literature review consists of history of MYOB, its development and adoption, market current size, identification of leaders in the market, competitive advantage of MYOB, identification of challenges and gaps of MYOB. The literature review also provides recommendation for overcoming the issues that are faced while using the accounting software.

The MYOB is one of the accounting software that is used in the small enterprises of Australia. Christopher Lee developed the accounting software in the year 1980. The software was developed when the fathers of accounting software discusses among themselves about the future of the accounting profession (Myob.com.au 2013). In order to achieve the vision “Certified Accountant of Australia” was born. The business enterprises of Australia changed their pattern of work from paper-based area off accounting to “cloud based accounting system”. A new package of MYOB was launched in the year 2008.  The package was mainly launched for online registration and for providing online services.

The accounting software MYOB is now leading the cloud computing for the SME.  According to Myob.com.au (2015), 40 million dollar is invested for the research and development purpose of MYOB. Now, they are expanding their market for cloud offerings, which is helping them to meet with the SME. Many innovative solutions were developed by MYOB, which includes MYOB Pay Direct. It became one of the first medium for credit card payment with mobile phones. For the development of SME, MYOB helps in launching their first cloud ERP solution (Dunbar et al. 2016). The most important advantage is that the ERP solution is designed for both small and large enterprises. The important features of the ERP solutions are a browser interface that provides different types of functions to the clients as well as to the employees of the organization. The implementation of ERP solutions provides benefit to the organizations that are already using MYOB. The ERP solutions help to provide a very high speed to the organizations so that they can provide accurate financial solution to their clients.

History of MYOB

The news channel ABC (2015), provides the information that the expert of 4mation Technologies uses MYOB accounting software. They not only connect their website but also the web based software of the customers. This is done in order to ensure that the data flow is instant. The accounting software package is used for integrating not only the intranet staff of the customers but also for integrating the back office software. This is used for updating the important details of timesheets, daily record, payroll and attendance (Myob.com.au 2013). The booking system orders and the website of ecommerce are imported into the MUOB. The accounting software package is used mainly in the implementation of payments.

The accounting software, MYOB has invested 293 million dollar for the development and research procedure. The research and development practises occurred in the year 2013. According to Blank et al. (2014), MYOB invested 5 million dollar in order to integrate BankLink products. The product of BankLink was integrated with the office and enterprises of the accountants. The market share of the most well known accounting software of Australia is 60% to 70% for the SME. It is 60%-70% of the public accountants.

The share of the public accountant collected with the help of sales and revenue. The accounting software rises to 833.3 million dollar, which is provided by the public. The investment in the accounting software became the most important investment in the field of research and development due to the reason that MYOB helps in innovating and driving leadership (Godfrey and Tam 2012). MYOB becomes one of the best ASX technologies in the year 2015. The chief executive of the company explained that the organization has taken several steps under the leadership of Brain Capital. In the year 2014, the company uses cloud accounting for claiming more than 116,000 subscribers.

MYOB is one of the leading providers of online business management. It was stated by Myob.com.au (2013), that the company becomes one of the most important providers of accounting software services.  MYOB becomes leader in the market as the company provides not only ERP but also it provides human resource management software to more than 7000 clients. It helps the business or the organizations by providing them with online business management solutions.  On the other hand, Mayasari (2015), stated that the accounting software packages have trusted network, third party developers and authorized partners. It is one of the strongest contender and a leader in the market of accounting software or within the ERP market. The workers or employees of the organization get some help from this software as MYOB provides local training.

Development and Adoption of MYOB

MYOB faces a lot of competitive advantage in the market of Australia. This is due to some unique features of MYOB. One of the unique accounting features of MYOB is that it has greater speed of input.  According to myob.com (2015), the software automates accounting system, which needs various entities of same information. This is because MYOB coordinates data and helps in decreasing the time consuming practises. This is done by automating payroll and credit notes. MYOB helps in reducing both operational and financial expenditure, which is one of the most competitive advantages of the accounting software. It provides greater accuracy and helps in reducing the efforts of human beings (Dunbar et al. 2016).  MYOB provides effective financial management system. When MYOB solution is used by any enterprises, it helps in eliminating the updates, backup and cost of maintenance. Therefore, MYOB accounting software is preferred by most of the enterprises of Australia.

According to Godfrey and Tam (2012), that the most vital step is safety of the cloud systems as the online system is always susceptible to attackers who can hack important data and information. The accounting software package not only provides best architecture but also provides important security level. The security level that is provided by MYOB is not affordable by most of the enterprises as the software solution is not novice friendly.  The employers of the organizations must be trained in a manner such that they will avoid the manual processes. Most of the organizations are not taking help from the cloud automation, as it is very much difficult to train their employees (Dunbar et al. 2016).  The accounting software company also provides webinars to the users. MYOB faces a sudden backlash in the year 2012, as it released a bug- ridden upgrade that put the future of the accounting platform in danger.   Then, the partners of the software were recommended not to use the software as it is become slow.

The recommendations are provided to the users of accounting software packages “MYOB”. The recommendation includes:

1. Investment should be made in both the fields of security and design by MYOB
2. MYOB must provide training facilities to its new users so that they can operate the software easily. It will also help them in gaining knowledge about the preparation of payroll and taxes.
3. The accounting software must include important features as per the versions of the software so that international users can also get benefit by using it
4. For making MYOB useful in the SME, it is very much important to change their online services.
5. The authentication technique that is used by MYOB must be secure so that data can be kept with proper security.

Conclusion

It can be concluded that the MYOB is competing with the Australian accounting software packages due to some of its unique features. The most important feature of MYOB is that it helps in increasing both financial and operational expenditure. It gives greater accuracy and helps in reducing the efforts of human beings. The accounting software MYOB is now leading the cloud computing for the SME.   It is analysed that the expert of 4mation Technologies uses accounting software for connecting their website. This is done in order to ensure that the data flow is instant. MYOB provides different facilities of training to the new users of the software so that they can easily operate the software.

References

ABC News, 2015. MYOB shares rise on market debut. [online] ABC News. Available at: https://www.abc.net.au/news/2015-05-04/myob-shares-rise-on-market-debut/6442986 [Accessed 12 Aug. 2016].

Blank, B.R., Snow, D.J. and McAlister, M.D., Intuit Inc., 2014. Modifying software based on a user’s emotional state. U.S. Patent 8,683,348.

Bradshaw, A., Pulakanam, V. and Cragg, P., 2015. Knowledge Sharing in IT Consultant and SME Interactions. Australasian Journal of Information Systems, 19.

Curtis, V., 2015. MYOB Software for Dummies-Australia. John Wiley & Sons.

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.

Godfrey, R.A.J. and Tam, T., 2012. An integrated model for the delivery of IT content in an accounting curriculum.

Macpherson, S., 2012. Backlash against MYOB. [online] The Sydney Morning Herald. Available at: https://www.smh.com.au/it-pro/business-it/backlash-against-myob-20120222-1tn1c.html [Accessed 12 Aug. 2016].

Mayasari, M., 2015. The Influence of Personal Characteristics, Interaction:(Computer/Individual), Computer Self-efficacy, Personal Innovativeness in Information Technology to Computer Anxiety in use of Mind your Own Business Accounting Software. International Journal of Economics and Financial Issues, 5(1S).

myob.com, 2015. Defining the challenges of a growing business. [online] www.myob.com. Available at: https://www.myob.com/content/dam/myob-website/docs/enterprise/industry-whitepapers/GROWING-BUSINESS-WHITEPAPER,3.pdf [Accessed 12 Aug. 2016].

Myob.com.au, 2013. News & Media Releases. [online] Myob.com.au. Available at: https://myob.com.au/myob/news-1258090872838?articleId=1257830989162 [Accessed 12 Aug. 2016].

Myob.com.au, 2014. News & Media Releases. [online] Myob.com.au. Available at: https://myob.com.au/myob/news-1258090872838?articleId=1408831212290 [Accessed 12 Aug. 2016].

Myob.com.au, 2015. What is MYOB? Mind Your Own Business | MYOB. [online] Myob.com.au. Available at: https://myob.com.au/myob-1258090781426 [Accessed 12 Aug. 2016].