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Core concepts of accounting information systems 13 by simkin norman chapter 05

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Prepared by Paula Funkhouser University of Nevada, Reno Core Concepts of Accounting Information Systems, 13th Edition Mark G Simkin ● Jacob M Rose ● Carolyn S Norman Documenting Accounting Information Systems Chapter Chapter 5: Documenting Accounting Information Systems • Introduction • Why Documentation Is Important • Primary Documentation Methods • Other Documentation Tools • End-user Computing And Documentation Copyright © 2015 John Wiley & Sons, Inc All rights reserved Why Documentation Is Important Depicting how the system works Training users Designing new systems Controlling system development and maintenance costs Standardizing communications with others Copyright © 2015 John Wiley & Sons, Inc All rights reserved Why Documentation Is Important Auditing AISs Documenting business processes Complying with the Sarbanes-Oxley Act Establishing accountability Copyright © 2015 John Wiley & Sons, Inc All rights reserved Example Flowchart Copyright © 2015 John Wiley & Sons, Inc All rights reserved Primary Documentation Methods Data Flow Diagrams Document Flowcharts System Flowcharts Process Maps Copyright © 2015 John Wiley & Sons, Inc All rights reserved Data Flow Diagrams Uses  Used in systems development process  Tool for analyzing an existing system Types  Context  Physical  Logical Copyright © 2015 John Wiley & Sons, Inc All rights reserved Data Flow Diagram Symbols Copyright © 2015 John Wiley & Sons, Inc All rights reserved Types of DFDs Context Diagrams  Overview of the system  High-level Physical Data Flow Diagrams  Focuses on the physical entities of organization Logical Data Flow Diagrams  Emphasizes tasks of participants Copyright © 2015 John Wiley & Sons, Inc All rights reserved Context Diagram 10 Copyright © 2015 John Wiley & Sons, Inc All rights reserved Guidelines for Drawing Process Maps Show key decision points Pay attention to the level of detail you capture Avoid mapping the “should-be” or “couldbe” (Map what is in place!) Practice, practice, practice 41 Copyright © 2015 John Wiley & Sons, Inc All rights reserved Program Flowcharts Outline the processing logic for computer programs Indicate the order of processing steps Structured Walk-Through     Formal review of logic Assess the soundness of the logic Detect and correct design flaws Make improvements Macro Program Flowchart provides an overview of the data processing logic 42 Copyright © 2015 John Wiley & Sons, Inc All rights reserved Program Flowchart 43 Copyright © 2015 John Wiley & Sons, Inc All rights reserved Decision Tables Table of conditions and processing tasks Indicate what action to take for each possibility Used when computer program involves many conditions and subsequent courses of action Used as an alternative to program flowcharts or in addition to the flowcharts 44 Copyright © 2015 John Wiley & Sons, Inc All rights reserved Decision Tables 45 Copyright © 2015 John Wiley & Sons, Inc All rights reserved Drawbacks of Decision Tables Do not show order in which a program tests data conditions or takes processing actions Require documentation understanding beyond flowcharting Requires extra work to prepare and the work may not be cost-effective 46 Copyright © 2015 John Wiley & Sons, Inc All rights reserved Study Break #5 Which of the following is not true about process maps? A They depict the flow of information in computerized AISs B They use standardized symbols C Government agencies as well as businesses often use them D Web pages often depict hierarchical versions of them 47 Copyright © 2015 John Wiley & Sons, Inc All rights reserved Study Break #6 A decision table shows: A The possible conditions and processing alternatives for a given situation B Who sat where at a board meeting C The rules for drawing DFDs D The local outsourcing vendors in the area for documentation tasks 48 Copyright © 2015 John Wiley & Sons, Inc All rights reserved Software Tools for Graphical Documentation and SOX Compliance Microsoft Word, Excel, and PowerPoint CASE Tools SOX and AS5 Compliance 49 Copyright © 2015 John Wiley & Sons, Inc All rights reserved CASE Tools Computer-Assisted Software Engineering Automate documentation tasks Examples include:     iGrafx allCLEAR SmartDraw Visio Rapid Application Development (RAD) 50 Copyright © 2015 John Wiley & Sons, Inc All rights reserved CASE Tool ExceleratorTM 51 Copyright © 2015 John Wiley & Sons, Inc All rights reserved SOX and AS5 Compliance Emphasis on entity-level controls Compliance software packages Symantec Control Compliance Suite OpenPages FCM BizRights 52 Copyright © 2015 John Wiley & Sons, Inc All rights reserved End-User Computing and Documentation Non-IT employees create their own computer applications Important of documentation:    Require training manuals and reference guides Identify how to accomplish and undo actions Greater efficiency when altering system 53 Copyright © 2015 John Wiley & Sons, Inc All rights reserved Documentation Information 54 Copyright © 2015 John Wiley & Sons, Inc All rights reserved Policies for End-User Computing and Documentation Formally evaluate large projects Adopt formal end-user development policies Formalize documentation standards Limit the number of employees authorized to create end-user applications Audit new and existing systems 55 Copyright © 2015 John Wiley & Sons, Inc All rights reserved .. .Chapter 5: Documenting Accounting Information Systems • Introduction • Why Documentation Is Important • Primary Documentation... Types of DFDs Context Diagrams  Overview of the system  High-level Physical Data Flow Diagrams  Focuses on the physical entities of organization Logical Data Flow Diagrams  Emphasizes tasks of. .. departments involved Classify documents and activities by department Identify documents by numbers or color Account for the distribution of each copy of a document 23 Copyright © 2015 John Wiley & Sons,

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