Accounting Information System 7

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Executive Summary
This report aims at finding suitable accounting software to replace current accounting system that no longer meet the needs of the company. A brief introduction to the company Q.L. Medicine is firstly delivered, followed by a comprehensive needs analysis, which focuses on the requirement of a new accounting software. Three solutions—Microsoft Dynamics AX, Sage PFW and TRAVERSE—will then be provided. Each will be evaluated with the same criteria and then conclude with the best one—Microsoft Dynamics. Finally, a recommendation for the next steps towards the company will be suggested.

Introduction
Q.L. Medicine is a multinational company, exporting the traditional Chinese medicine worldwide. Since current accounting information system is out-of-date and not effective, management decides to introduce new and more sophisticated accounting software. The report follows steps of decision making in order to help the company find the most suitable solution. First, to identify the problems brought by the existing system, the report provides a need analysis to comprehensively examine the urgent and future needs of Q.L. Medicine. Next, three accounting software is selected and developed as possible solutions and then the point scoring metrics analysis is used to evaluate them. In the point scoring metrics, the report assesses alternatives by allocating weights to identified criteria. A possible best solution is then picked according to scores of each solution. Finally, the report will discuss the steps of the new accounting software implementation.

Overview
Q.L. Medicine Export Co., Ltd. is a medium-size private enterprise established and registered in Ningbo in May 2008. The company has the headquater located in Ningbo and two branches in Shanghai and Guangdong respectively. The business is committed to export a range of traditional Chinese medicines to US and Malaysia. All the exports are transported in the form of shipping, and Port of Beilun is the regular place for loading and unloading. Followings are the main assumptions of Q.L. Medicine: ➢ Q.L. is not a listed company and 4 members in Board of Directors are in charge of 100% of the shares. ➢ Q.L. Medicine is not involved in investments currently. ➢ Q.L. Medicine uses time sheets to track the hours that employees work. ➢ Q.L. Medicine pays wages in the form of cheque rather than cash. ➢ Due to the limited resource, the distribution job is outsourced to professional distribution companies. ➢ To standardize and simplify the operation, Bank of China is the only recognized bank for payment and letter of credit. ➢ Inventory control department usually places purchase requisition to purchase department twice a week. ➢ Purchase department can place purchase order to vendors on any weekday. ➢ Usually, the goods will be delivered to Q.L. Medicine a week after Purchasing department placed purchase order to vendors. ➢ The payment of customers is processed through warranty bank.

The company has eight departments: Purchasing Department, Marketing &Sales Department, Documenting Department, Inventory Control Department, Office, Accounting Department, Information Service (IT) Department, Human Resources Department, and Legal Service Department. A total of 43 staff works for Q.L. Medicine, including four members of Board of Directors and one CEO. [pic]

The supporting departments are in charge of internal operations. However, departments related to the core business, such as Purchasing Department, Marketing & Sales Department and the Documenting Department are illustrated below.

Purchasing Department is designed to purchase medicines from local market for exporting purpose. Marketing & Sales Department is responsible for analyzing the local demand for medicine and expanding the market share. The Documenting Department is the key operation department in the organization which consists of three subdivisions: the Documenting division, the...
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