Accounting Information System Exercises
Case 1: In the illustrative photo below, provide your comments and describe the duties and
responsibilities of Operations Personnel, Operations Management, Middle Management and
Top Management.
Operations Personnel are responsible for the organization's production of goods and
services as well as to oversee and direct the day-to-day administrative operations and
procedures of the organization to the Middle management. Operations management is
concerned with the administration of business practices to ensure that the operations of the
company will execute its projects efficiently. It means that the person in charge of the
department will be expected to carry out a variety of strategic tasks which includes supply chain
management, product design, forecasting, quality control, and delivery management. Middle
management is in charge of dealing with the day-to-day challenges that arise at a single
business location or within a specific department as well as monitoring the employee’s
performance, assigning and supervising specific work tasks down to the operations personnel,
and reporting issues and performance up the chain to top-level management. Top management
is responsible for setting the overall direction of a company, has the authority to establish
policies, guidelines and strategic objectives, and to making sure that major organizational
objectives are achieved.
Case 2: What is the difference between Management Information (MIS) and Accounting
Information System (AIS)
Management information system is an information system that uses non-financial data
for decision-making, and for the coordination, control, analysis, and visualization of information
in an organization which also involves people, technology, organizations, and the relationships
among them. While in Accounting Information System, it collects, stores and process financial
data for the improvement of their decision-making.
Case 3: Distinguish between financial and nonfinancial transactions. Give 2 examples of each.
Financial Transaction involves the transfer of funds between accounts and an example
of this are cash receipts and purchase orders while, Non-Financial Transaction means any
transaction which does not cause movement of funds or affect the balances in the accounts and
an example of this are appointment of new staff and changing of user details.