Management Accounting Research Paper – IPOS - SOFT
The chosen technology is the Enterprise Resource System (ERP) IPOS. IPOS is a system that was created and has been developed for use mostly in civil-engineering companies. It is also software developer by a Czech company that is mostly used in the Czech Republic, but also in Slovakia. It is one of the best software programs in this industry and is widely used by small companies as well as by large companies foreign origin such as COLAS CZ, a.s., IMOS Brno, a.s., and Chládek a Tintěra Litoměřice, a.s. This system combines a classic accounting system adhering to all necessary legal requirements with a program for planning, managing, controlling and results evaluating results of civil-engineering contracts. It is possible to use this system without the accounting part. The production part is used by the companies Strabag CZ, a.s., Mostecká uhelná společnost, a.s., Stavby mostů Praha, a.s., etc. (IPOS-SOFT, s.r.o., 201b). * What are the origins of the technology? When did it start to be widely used in business? The necessity for profitable management of the civil engineering sites came after the Velvet Revolution. Many new companies were established, was growing and these companies needed to start to do their work more effectively and be one step ahead of their competitors. Due to the fact that each site is different, these companies needed to know their estimated costs to be able to be competitive and offer better prices for to investors. The company IPOS-SOFT was established in 1992 and since that time has been developing its IPOS program. (IPOS-SOFT, s.r.o., 2013a). * What are the major features of the technology?
As was mentioned before, this technology is unique in combining the classic accounting program with a production part, which is useful for planning, managing, controlling and evaluating civil-engineering sites. ORACLE offers a very similar program and it is widely used as well, but one of the main advantages of IPOS is its lower price. Another advantage mostly for Czech-speaking people is its familiar language, not only translated words that make no sense. It has been developed by a Czech company, any changes is legal requirements are promptly implemented in the software. * What company stakeholders typically provide input? What is the role of the financial staff? Company stakeholders provide many inputs into the software. The number of inputs depends mostly on the volume of the company and the parts of software, company used. Production part of the software:
Every site usually begins with a bid. This bid is made by the business department. To create an appropriate bid it is possible to use URS databases, which consist of estimated prices for civil engineering work (cubic meter dig by a worker, 1 m2 of plaster, 1 ton of transported soil per 1 km, etc.) and average material prices. Multiplying these prices by the amount of the work and material, the company can get an estimation of direct material and direct labor costs. Other costs such as site arrangements are usually calculated using a percentage corresponds to the direct costs. Overhead is calculated the same way. Finally it is necessary to apply the amount of the desired profit and the calculation is over. This was a very brief explanation, in the real world there are more inputs in the calculation. After the bid is sent to the customer and is accepted, the business department usually attaches a production number to the contract and the calculation becomes budget no. 1 of the site. The costs of the budget no. 1 are usually the source of negotiations between the site manager and his superordinate. Prices are usually changed a somewhat. After the 2 spaces costs are accepted by the site manager, budget no. 2 is created. This is the most important budget for a site manager and his evaluation. The site manager can use the program for issuing orders. In the accounting part of the software bookkeepers...
References: IPOS-SOFT, s.r.o. (2013a). Zamereni spolecnosti. Retrieved on March 17, 2013 from: http://www.ipossoft.cz/zamereni-spolecnosti/
IPOS-SOFT, s.r.o. (2013b). Reference. Retrieved on March 17, 2013 from: http://www.ipossoft.cz/reference/
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