Accounting Software Project Paper Example

Accounting refers to the process of analyzing, brief, and reporting the financial data and information of concerning the business. In the recent business environment, organizations have to up their game in how they conduct the accounting. Modern methods have therefore been developed to ensure accounting performs in more efficient and effective ways. The most crucial part of any business is the accounting. Accounting software is being used by organizations universally. Such a software records and processes the relevant transactions of the enterprise bound to the necessary modules. Consequently, accounting software ensures efficient balancing of sheets, accounting of profits and loss, and financial positions variations (Kavanagh, 2010). All accounting software consists of a variety of functional modules that they have. Most of this software ensures secure financial deals within the organization. It is important to note that there is a broad range of accounting software being used in firms currently. The type of accounting software used is dependable on the companys size, requirements, and nature of the business. Accounting software with simple functioning such as management of budgets is less expensive and effectual. The secure requires meeting absolute values of the software systems. These standards are regarding computer memory, RAM, and processor swiftness. Additional costs accrue in the process of creating backup data and also technical expertise. Furthermore, monthly subscriptions to this accounting software incur extra costs to the enterprise. This project, therefore, works toward addressing the general nature of accounting software, the various challenges faced by organizations using it, and its impact on the agencies. This project will give an insight of how the business world has embraced accounting software on a global scale.

Project Objective

The objective of this project is to access the usage of accounting software in the vast organization in Australia. I chose Woolworths Company in my research site. It was a good choice as it is a well-known organization with outlets all across Australia. It is a robust organization that serves a vast population. Therefore the data to be collected will not be any bias.

Project Scope

The scope of this project entails interviewing the employees at different Woolworths outlets in the country just to have an overview of accounting software application. Also, data collected during this study will help in filling any gaps in the usage of the accounting software thus maximize the output. Consequently, findings will be presented to the relevant management at the different stores to help in improving accounting and bookkeeping.

Literature Review

This chapter examines the different literature on accounting software done by other scholars. Comparisons will be present in this section to give an insight into the similarities and differences between views of the authors. I will also provide the general structure of Woolworths organization and how the management carries out the stores operations.

As earlier discussed, accounting is of great significance in any organization, be it small or huge. Globally, the market trends are pushing different organizations and enterprises to improve the manners in which they carry out accounting. According to Arens (2010), there have been developments and more sophisticated methods of accounting over the years. This growth in accounting is as a result of the change in not only the market structure but also the socio-demographics. According to Pan (2012), modern methods have therefore been developed to ensure accounting works in more efficient and effective ways. Most of this software provides secure financial deals within the organization. It is important to note that there is a broad range of accounting software being used in firms currently. The type of accounting software used is dependable on the companys size, requirements, and nature of the business. According to Campbell (2005), accounting software with simple functioning such as management of budgets is less expensive and efficient. The use of accounting software packages has been on the rise in many organizations in Australia. It replaced traditional methods of accounting as it proved to be more efficient and with less monetary errors. In any business in Australia, the market demand for any product has influenced the uptake of accounting software not only among SMEs but also organizations of larger scales. Similarly, the rise in the usage of such software is as a result of the facilities of automation that it offers to the company (Arli, 2013). The best example of a large organization in Australia using accounting software packages is Woolworths Company. This firm performs its accounting functions in methods that are conventional and also backed by advanced technologies. There will be a huge increase in the use of accounting software in Australia due to the increasing GDP and rising number of medium and small-sized companies (Ritchie, 2013).

Organization Structure at Woolworths

Woolworth is the leading supermarket chain in Australia. This company operates more than 1000 stores across Australia. It also relies on a group of 115,000 staff at distribution centers, shops, and customer care offices. Also, this company accounts its pride to its close relationship with farmers and growers in ensuring the products that customers get are of the best quality and shape. Woolworth is the most innovative and creative retailer. Consumers have the opportunity to shop from the comfort of their homes using the Woolworths Supermarket Application. Another important fact about Woolworths administration is that it is head by a board of directors who consistently establish powerful committees. Having multiple stores all over Australia, the company uses accounting software packages to manage its financial dealings. The finance department handles this advanced software to ensure there are minimal errors regarding money, and also to promote a secure working environment free from fraud and theft. The company applies a variety of accounting software packages including Xero, Quick books, Zoho Books, Quick books, and MYOB. According to Woolworths newsletter, the main areas that accounting software is applied are the reconciliation of accounting books, invoicing, easy accessibility through mobile based applications, and efficient management of inventories. Similarly, the accounting software used at Woolworths give room for international currency transactions.

Operational Challenges when using Accounting Software

The implementation of accounting software can be difficult as it entails trained personnel and plenty of other resources. Consequently, the firm requires meeting certain standards of the software systems. These standards are regarding computer memory, RAM, and processor speed. Additional costs accrue in the process of creating backup data and also technical expertise. Furthermore, monthly subscriptions to this accounting software incur extra costs to the enterprise. Often, this becomes quite challenging for Woolworths to adopt accounting software packages efficiently. Woolworths might also face threats from cybercrimes. This encounter has a link with internet-based accounting software. This operational problem might even put the business confidential information at a significant risk.

According to Marand (2013), accounting software may result in temporary slow-down of the organizations business. For Woolworth to have an efficient accounting system, they must have had a good software acquisition method. This approach involves a carefully planned and well-thought of the process of carrying out accounting. Knowing acquisition of accounting information systems is a very crucial skill that every accountant should possess. Woolworths must have followed the following steps in acquiring the most suitable accounting software package; first, the management gathered all the relevant information regarding the packages present in the market. The company must have set objectives and goals which will guide them in acquiring the best option. The second phase would, therefore, be the selection of the right system, usually based on the findings from the information gathering phase. Thirdly, there will be an implementation phase. It is the part where the choices are put to use. Finally, there is continuous monitoring, training of personnel, and general improvement of the systems.

Impact of accounting software packages at Woolworths

After the replacement of traditional accounting software by more advanced methods has had the significant impact at Woolworths stores. In other words, there has been active and more efficient accounting in the shops. Similarly, accounting software ensures efficient balancing of sheets, accounting of profits and loss, and financial positions variations. All accounting software consists of a variety of functional modules that they have. According to a newsletter report by Woolworths (2016), the company has had improved transparency between the employees and management. It is a plus to the organization as a whole as it saves ample of time. Woolworths manages this advanced software to ensure there are minimal errors regarding money, and also to promote a secure working environment free from fraud and theft. The company applies a variety of accounting software packages including Xero, Quick books, Zoho Books, Quick books, and MYOB. Key areas that accounting software utilizes are the reconciliation of accounting books, invoicing, easy accessibility through mobile based applications, and efficient management of inventories. Similarly, the accounting software being used at Woolworths give room for transactions of international currency.

Research Questions

Primary Question

1. What is the state at Woolworths regarding the usage of accounting software packages?

Secondary Questions

1. What are the accounting software packages used at Woolworths market?

2. What are some of the operational challenges facing the employees in the process of advanced accounting?

Research Design and Methodology

A cross-sectional based study will be conducted among ten Woolworths outlets across Australia. To ensure reliability and validity of results, I will sample out stores at different locations. Similarly, it will provide a bias-free research. For the qualitative bit of the study, I will assess the attitudes and beliefs of the employees at the different stores regarding the usage of the accounting software packages. Also, I will engage the respondents in the open ended questions whereby they will give qualitative data concerning the same. For quantitative research, I will evaluate the reports on accounting for the past three years at the different stores. I will also assess the figures, graphs, and levels of performance on the yearly reports at the shops.

Research Limitations

The research is time consuming as I will have to attend to different Woolworths stores across the country. Another limitation comes in whereby the respondents at the shops are unwilling to take part in the research. Qualitative data might also be quite challenging to gather.

Time Schedule

I plan to carry out this research for two months (October- November 2017). For the first two weeks, I will carry out a pilot test at three stores, to assess the credibility of this study. It will also help me fill any gaps that may seem to arise later on during the investigation.

Conclusion

In conclusion, this research will help in giving the clear insight of the use of accounting software at Woolworths. All the data collected will be critically analyzed, validated, and presented to the relevant stake...