Business Systems: Classification, Analysis, and Structure
Classification of Business Systems
1. Production System: Manages and controls all transactions in the production or manufacturing process, including planning, scheduling, raw material control, and production costs.
2. Sales System: Based on business activity, including billing, collection, distribution channels, and marketing.
Billing and Collection
Billing
- Control of product prices
- Classification of goods
- Issuance of budgets
- Definition of payment terms
- Control of customer orders
- Issuance of invoices
Collection
- Registration of accounts receivable
- Registration of partial or total payments
- Collection process management
- Calculation of seller fees
- Collection analysis
- Issuance of debit and credit notes
3. Administration and Finance System: Includes investment management, accounts payable, purchasing, fixed assets, inventories, banking, human resources, and accounting.
Systems Analysis
Systems analysis breaks down and explains an information system. The steps in the system development life cycle are:
1. Preliminary Analysis: Addresses a problem or user requirement.
2. Requirements Definition: Determines system needs and objectives.
3. System Design and Development: Specifies system logic and component relationships.
4. System Implementation: Strategies include pilot implementation, parallel processing, and immediate installation.
5. System Maturity and Maintenance: Minor changes to maintain system operation.
Types of Systems
Administrative System: Supports management decisions to guide company operations.
Integrated Systems: Involves information sharing between two or more systems. Stages include:
- Definition of parameters
- Information capture
- Information transfer
- Transfer controls
Non-Integrated Systems: Information is transferred at defined periods.
Operational Systems: Handle all business transactions.
Elements of an Accounting System
- Hardware
- Software
- Human resources
- Accounting policies and standards
Main Objectives of Analysis
- Ensuring data integrity
- Proper recording and processing of operations
- Reliable financial information presentation
- Timely reporting of information
Areas of Analysis
Technology, software programs, accounting policies, and organizational structure.
Analysis of Programs and Software
- Document programs processing accounting information
- Ensure analysis and development follow established methodology
- Check for audit trail
- Verify methodology for software evaluation and selection
- Check for program controls to ensure information integrity
- Check data processing policies
Policies
Policies: Actions for development, planning, formulation, and evaluation of decisions.
Accounting Policies: Regulated activities related to accounting records, treatment, and presentation of financial transactions.
Examples of Accounting Policies
- Recording of expenses and amortization of prepaid expenses
- Fixed asset capitalization
- Depreciation and amortization methods
- Investment assessment methods
- Policies for loss provision and inventory
- Consolidation of financial statements
- Calculation and registration of accumulations and reserves
Organizational Structure
Organizational Structure: Shaping of companies to carry out their functions.
Key Considerations
- Degree of specialization
- Delimitation of the organizational structure
- Definition of functions for each area
- Compliance with set levels
- Knowledge of the structure by operational levels
Classification of Companies
- By activity: Agriculture, mining, industrial, commercial, and service sectors
- By size: Small, medium, and large
- By capital origin: Private, official, and mixed economy
- By number of owners: Individuals and companies
Corporation: A potentially autonomous consortium dependent on a joint decision center.