accounting?accounting information system subject
Description
it is a home work about a small local coffee shop? regarding my subject in accounting information systemyou
will see the file i attached with note & instruftions
there are four paragraphs
the first one is strategy & strategy position just edit it for me in good way and i have a note in *varaitey & needs
based strategy* if u can support it for me in more one sentences by just imagine it is a small coffee shop in ur
country and it is neither varaitey nor needs based!
second paragraph about revenue cycle
just write it in a narrtive story style
third paragraph IT (the same as up))
and conclusion
Strategy and strategic position :
Jumo?s strategy neither differentiation nor cost leadership.
? Why not differentiation?
Jumo are not different than any other coffee shop with serving drinks and desserts. Therefore, comparing to their products with other coffee shops, you can find the same type and similar taste. Therefore, they do not add any new value neither by the taste and service.
? Why not cost leadership?
Jumo coffee prices isn?t anything special when you compare their prices to other coffee shops. Furthermore, their cost might be a little bit cheaper but still have many other coffee shops that are the same or less price and with same quality.
Strategic position:
Jumo?s strategic position couldn?t be identified while taking into consideration all of need, variety and access based strategies.
? Why not need-based strategy? ((can you support me more why it is can not be need based startegy , u have overall information about it,, soin your opinion it can not bee need based because of??
It is true that Jumo?s idea was to deliver tradition yet quiet place but, that idea changed when they open their new location stores and into malls and crowd.
? Why not variety-based strategy? (( can u tell em more it not a variety based startegy ??))
Jumo deliver coffee for those who love coffee, however, they add support for other demands that customers in search for like desserts and sweeties while having coffee.
? Why not access-based strategy?
The idea of access-based strategy is to have the store all around the area, Jumo doesn?t have that many stores to classify as access-based because of their limitation on location spots.
The Revenue Cycle: ( the doctor want to write in in narrative way, he consider that in comings parts also and all parts here)
Old Draft
Jumo`s revenue cycle contains (consist) of two ways. The first way at the time the customer walks on to the coffee shop and make the order on spot. The clerk enters the transaction into the POS system via the register keypad, and a record of the sale is added to the sales journal in real time. The sale is also recorded on a two-part copy paper tape. One copy is given to the customer as a receipt and the other is secured internally within the register.The order goes to the point-of-sale (POS) system and reaches the kitchen’s POS System, the staff start working on the order after receiving a sale order via system at the same time the customer move from the ordering to receiving station to pick the order. POS system will help Jumo run smoothly because orders will be correct, inventory levels will be monitored. However, POS software records each sale when it happened, so the inventory records are always up-to-date. Jumo will get much more information about the sale, costs, and profits by each individual inventory item.
The second way, as we mentioned that the main business of Jumo is based on roasted coffee.
They provide yearly contract for supplying coffee beans, customers can sign a contract for one
year, then they can order weekly the mentioned quantity to be roasted, and the payment must
happened in advance by cash or check. When the customer place an order via email, and after
receiving the payment, by communication manager barista receives the stock release copy of the sales order and use this to locate the inventory ((to check the inventory
availability to start roasting, and after checking , barista starts roasting coffee beans that ordered by customer to be packed and ready to deliver)) the picking ticket document generated to inventory ( which is the roasting beans) and stock release are then sent to delievry. The driver will check the correct quantities to the customer .
Juma recognized revenue when the customers paid their orders. Finally, the accountant would then compare the cash received with the order forms and sales journals of the day. The cash then goes to the owner who determines whether to deposit the amount in the bank or not.Periodically the accountant summarizes all transcations into a journal register.
The use of information technology in their current operation and suggestion for enhancing:
( here down my old draft, my doctor did not like it and note: I need you to talk more about controls, security of the system from the point of view of auditors) ???!!!!!
Our client does use simple technologies in their business processes, JUMO used email which to send a purchase order to the suppliers about the inventory that is needed and to receive the sale orders to supply other businesses with roasted coffee beans. Moreover, JUMO used POS software to records each sale when it occurred in caffee, so will get much more information about the sale.Therefore, we may suggest that the company use NFC, or near field communication, is a way to make payment using a Smartphone via a wireless connection that uses radio waves. The customer simply swipes the phone near to a sensor in a payment terminal and the money is immediately deducted from their account.
We may suggest PC- based accounting system. PC applications tend to be general purpose systems that serve wide range of needs. This staretgy allowssoftware vendors to mass-produce low-cost and error-free standard products. Not surprisingly, PC accounting systems are popular with smaller firms, which use them to automate and replace manual systems and thus become more effiecnt and competitive.
Internal Controls
COSO internal control integrated framework discusses 5 inter-related components of internal control systems: control environment, risk assessment, control activities, information and communications, monitoring.
Control environment
The control environment includes the following areas:
? Integrity and ethical behavior: Jumo tries to impose integrity and ethical behavior within the firm by creating mutual respectful communication throughout the different staff level.
? Commitment to competence: Jumo is committed to hiring competent employees and spend adequate time in training them.
? Board of Directors and audit committee participations: This point is not applicable within Jumo.
? Management philosophy and operating style: Jumo policy revolves around providing the best delivery service by ensuring that each employee within the firm is performing their responsibility to the best of their ability.
? Organization structure: Jumo structure is based on decentralized operations where the owner is involved in all aspects of the business. Each staff level is responsible to supervise the lower staff level.
? Assignment of authority and responsibility: Each employee has his own responsibility to fulfill since duties are segregated within Jumo.
? Human resource policies and practices: Jumo does not have an official policy for HR, however, it in officially tries to impose a good working environment for its employees.
Suggested solution: Jumo should consider creating an official policy for HR in order to enforce strict rules that should be followed by all employees. It should maintain an environment that promotes integrity and ethical behavior at all times.
Risk assessment
Jumo assess on a regular basis the risk it may face due to its operations. When risks are identified Jumo tries to find a solution in order to eliminate them by imposing new/additional policies.
Suggested solution: Jumo should continue to assess risk on an ongoing basis and try to reduce the chance of risk by imposing rules that can mitigate risks.
Information and Communications
The information system of Jumo is somewhat adequate as they identify and record all business events on a timely basis, measure the proper monetary value of each event, and determine the time period in which events occurred. The communication within Jumo is also adequate since each employee understands their responsibility and role pertaining to internal control.
Suggested solution: As mentioned previously Jumo should implement an enterprise information system in order to facilitate data transformation and communication within the firm. Monitoring: Jumo tries to assess the quality of its internal control performance over time and take the necessary corrective actions. There is no solution to this area; Jumo should continue to monitor its activities on an ongoing process.
Conclusion and Lesson Learned
One might imagine that a business process is easy to understand but in reality creating an optimal process is more complex. Business policies and procedures all depend on how the business process will be implemented.
From this project we were able to analyze a business process internally and externally. By breaking down the company into detailed business cycles we were able to better understand its operations and helped the business improve on it. Furthermore, we implemented the business processes using a rational database (access). This helped us understand the importance of having an enterprise system and a proper business process that reflects the true nature of the firm.