Question

Based on your research, assess how corporate leaders may make improper assumptions related to accounting information systems and the related information. Indicate the most negative potential impacts on business operations related to these assumptions. Provide support for your rationale.

Answer 1

Answer

The improper assumptions related to accounting information systems that corporate leaders make can all be avoided with proper knowledge. One improper assumption is giving employees the information that they need and they will be fine. Also, I feel that two of Ackoff's assumptions apply to corporate leaders today; more communication means better performance and managers need only to understand how to use an information system. All three of these are improper An individual can have all the information, as well as, communication in the world and not benefit from. There is more to accounting information systems than just having the manual. In order for the system to be efficient and effective proper training is needed. The more training and refresher courses one receives on AlS the better the decision making process would be for corporate leaders. Many negative potential impacts on business operations elated to these assumptions may arise. However, some are of greater importance than others. These negative impacts include a decrease in the financial reporting process integrity, a decrease in the financial reports quality, a loss of time and money for shareholders, and an improper reflection of the company's true assets. Corporate leaders should remember that an organization's AlS plays an important role in helping it adopt and maintain a strategic position. Therefore, training and refresher courses are of great importance