Systems Documentation

Discuss about the Accounting System and Information Assurance.

The following study evaluates the systems documentation as well as the risk analysis process of the business enterprise. The study states the context and level DFD as well as the process map in attaining organizational goals and as well as the objectives. There are many risks, which can pose a threat to the business sustainability of the enterprise. JK retail is a family owned business enterprise and keeps one cashier to record the financial transactions in the business enterprise. Thus, there can be several issues, which shall have an impact on the financial sustainability of a business entity. According to Dowling (2014), there can be several complexities in the retail business, which needs to be handled in an appropriate manner. Thus, there can be discrepancies in the recording of funds for the business entity. In addition, keeping a finance executive for the business enterprise shall result in greater pressure on a single individual.

Kim and Solomon (2013) stated that the systems documentation as well as the risk analysis of the organization is an important part of the operational strategies of the organization. The following study states the context and the level DFD as well as the risk analysis procedure in the business organization. Besides this, the process map in the business organizations shall state the consumer payment procedures in the business entity. Thus, the payment procedures in the business organization shall have to be stated, to assist consumers for the payment of taxes in the business organization.

Figure 1:  Context and Level DFD

1. The context and level DFD in the business organization shall reflect the operational as well as the marketing policies implemented in the business organization. The context and level DFD in the business organization shall consist of the three stages of the business entity and that shall consist of the Process order, Cyber back as well as shipping and the execution of goods. Alewine and Stone (2013) state that these three stages in the context and  level DFD in the business organization shall ensure smoother business functionalities. 

The cyber check in the business organization shall consist of the verification of the credit card in the business organization and the credit card company in the business entity. According to Griffin and Wright (2015), the customer in the business organization shall have  an influence  on the operational strategies of the company. Therefore, Kissel (2013) customer views and behavior in the workplace would have an impact on the marketing and the operational process of the business entity. The process order in the business organization takes the necessary customer order and offers the acknowledgement to the customers. This is the initial stage of the customer decision process in the organization. Therefore, it is necessary for the business entity to determine the necessary business policies of the organization. The cyber check is the next process in the operational processes of the business entity. Hardy (2014) mentioned that the shipping process in the business entity would help in discharging the goods to the consumers. In this regard, it can be stated that the shipping process shall also refer to the developing sales vouchers for the business entity to facilitate the sales of the goods of the business entity. In this regard, it can be stated that these three stages are interlinked and have an influence on the total sales and the consumer buying process in the business organization.

Process Map

Therefore, these steps shall help the business entity in the development of pertinent business strategies for the business enterprise. Zhou, Hou and Zong (2016) stated that the management of the business entity has to consider the factors like the external market environment like the economic factors of the country as well as the changes in the market trends. Therefore, the context level DFD in the business organization shall help the management of the business organization to determine the business policies of the organization.

2.The business process mapping involved in the operation shall assist  the business enterprise  in the development of organizational goals as well as the  objectives.

Following is the process flow chart implemented in the  business organization

 Fig 2:  Process Map

Here, it can be stated that the accounts payable department shall receive the payment of good from the suppliers. As such, the invoice payment shall have to be reviewed for compliance. In other words, it shall have to be evaluated that the invoice meets the requirements of the sales processes in the business organization. If the goods do not match with the invoice requirements, it shall be returned to the suppliers.

The invoice requirements are duly met, the invoice placed on hold and as well as the debt shall be notified of the necessary action taken by the business enterprise. After this, the sales revenue shall be placed in the payment Queue and the payment system shall be processed in the business organization. The payment processes is the last stage and can be done manually or through the internet.

1. There are certain risks present in the existing cash payment opportunities in the business entity. The cashier primarily maintains a manual process so as to aid the business enterprise in the development of organizational strategies in the business entity. There is a scope of discrepancy and embezzlement of the funds.

Besides this, the recording of the cash transactions is a complicated procedure and thereby, have an adverse impact on the financial sustainability of the business entity. Hall (2012) have stated that the manual procedure of the business enterprise should have an adverse effect on the manual processes of the business enterprise. This would require a considerable time and effort on the part of the employees in the business organization. In this regard, it can be stated that the cashiering process is lengthy as well as time consuming and would slow down the business operational policies of the business entity.

Risks in Existing Cash Payment Opportunities

Since the cashier needs to match the amount with those of the cashier as well as the manufacturing processes of business enterprise. It can be stated that the amount matches with the amount stated in the sales order. Therefore it is necessary for the business entity to determine the accurate balance stated in the sales receipt order.This shall assist the cashier in executing its duties in an effective manner  In certain circumstance, an error from the sales receipt order of the business entity shall lead to financial irregularities in the sales process of the business entity. As such, the total payment procedure is dependent on the sales personnel of the business entity. It can be mentioned that the recording of the cash transactions of the business entity is a detailed procedure, which possess a considerable risk to the financial sustainability of the entity. Sundem et al. (2014) stated that the business entity offers the following two receipt books as stated below – this relates to one for cash as well as one the other for the credit card receipts. As such, these two receipts shall help the business entity in recording the financial situation of the business entity.

JK retail is a family owned business entity and possess a healthy cash flow. However, there is only a single cashier who receives the payment of cash and issues cash receipts for the organization. As such, the financial processes are dependent on the recording of cash transactions for the business entity. This also can lead to issues for the business enterprise and have an impact on the operational processes for the business enterprise. Moghadam et al. (2013) mentioned that the cash transactions of the business entity should have to be paid with the payment of cash for the business entity. The payment of taxes is another important issue that has shall be paid on the payment of taxes of the organization. In this regard, it can be said that the payment of taxes is one of the mandatory process in the organization. As such, it is necessary that the business entity shall have an impact on the management of the business entity.

The incorrect assessment of the financial condition of the business activity shall lead the business entity in attaining  growth and sustainability in the  market. Thus, the role of the cashier shall depend on the job functionalities of business entity. As such, the sales personnel have to correctly assess the financial condition of the business entity to enable the business enterprise for the development of authentic financial strategies of the business entity. The risk assessment of the job role of cashier shall have an influence on the marketing and the operational policies  of the business entity. 

2. The cash recording procedures of the business entity shall have an impact on the business enterprise shall facilitate financial sustainability and growth in the domestic and International market. Domeika (2015) mentioned that the cash recording procedures of the business entity should have an impact on operational, financial as well as the marketing procedures of the business enterprise. Being individual personnel, the cashier of the organization has to examine the sales vouchers adequately to negate any discrepancies in the management of the organization. Thus, this shall have a difficult task for the cashier in the business organization. Besides this, Shul’ga (2014) stated that the return of goods by the customers should require additional time and effort as well as pertinent financial strategies from the business entity.

Therefore, it is necessary that the goods have to be unaccounted in developing actual financial strategies that reflects the financial condition of the business entity. There are additional measures that has to be taken by the business entity in the consist of bad debt as well as the provision of bad debts in the organization. Therefore, the cashier of the business organization has to take pertinent measures have taken care of such expenses in the business organization to promote organizational growth in the domestic and international market.

Conclusion

It can be stated that JK Retail shall have many pertinent issues in the existing cashiering position. This includes heavy workload as well as the complexities in the financial transactions of the business enterprise. The management of JK Retail has to respond appropriately for the business enterprise so that the cashier gests the necessary guidelines and help for the development of  marketing as well as  the operational strategies of the business entity. Besides this,, such a situation can lead to the incorrect assessment of the financial situation of the business enterprise. Apart from these factors, it can lead to financial discrepancies in the books of accounts for the business enterprise. JK retail is a family owned business entity, has achieved considerable sales revenue, and consists of a healthy cash flow in the existing year.

The systems documentation shall have many stages in cash payment procedure of the business organization. As such, E-commerce, Cyber check as well as shipping or the execution of the order of the goods would have an influence on the financial sustainability of the business entity. The proper verification of the vouchers in the organization is one of the primary responsibilities of the cashier in the business organization. Thus, the sales personnel as well as the cashiers in the business organization shall develop an important role in assisting the management of the organization in aiding the customers in the store for the payment of bills in the organization.

References

Alewine, H.C. and Stone, D.N., 2013. How does environmental accounting information influence attention and investment?. International Journal of Accounting & Information Management, 21(1), pp.22-52.

Domeika, P., 2015. Creation of the Information System of Enterprise Fixed Asset Accounting. Engineering Economics, 60(5).

Dowling, C., 2014. A Big 4 firm’s use of information technology to control the audit process: How an audit support system is changing auditor behavior.Contemporary Accounting Research, 31(1), pp.230-252.

Griffin, P.A. and Wright, A.M., 2015. Commentaries on Big Data’s importance for accounting and auditing. Accounting Horizons, 29(2), pp.377-379.

Hall, J.A., 2012. Accounting information systems. Cengage Learning.

Hardy, C.A., 2014. The messy matters of continuous assurance: Findings from exploratory research in Australia. Journal of Information Systems,28(2), pp.357-377.

Kim, D. and Solomon, M.G., 2013. Fundamentals of information systems security. Jones & Bartlett Publishers.

Kissel, R., 2013. Glossary of key information security terms. NIST Interagency Reports NIST IR, 7298(3).

Moghadam, H.M., Akhavansaffar, M., Bakhshaei, Z. and MirHosseini, S.Y., 2013. Effect of investment in information technology system on providing desired services of accounting information system. Elixir International Journal A, 55, pp.13268-13273.

Shul’ga, S.V., 2014. Information disclosure in financial statements: evolution of national systems and integration determinants. Journal International accounting, 38, p.332.

Sundem, G., Bradbury, M., Spicer, B. and Wells, M., 2014. The Search for a Better Accounting System: The Overlooked Concern. Accounting Education for the 21st Century: The Global Challenges, p.465.

Zhou, Y., Hou, S.J. and Zong, K., 2016. Ecological Accounting: Current Situation, Problems and Thinking This work is supported by the National Social Science Fund Project “Regional Ecological Economic Benefit Evaluation Method Based on Multi-statistical analysis combining space”(13BJY026) and the Ministry of Education humanities and Social Sciences project,“Ecoefficiency evaluation of coal mining areas”(14YJCZH236).