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Future Challenges For Accounting Information Systems

Accounting information system (AIS) are the most complex and most demanding information systems used by firms to resolve various problematic financial issues faced by the organization.

AIS and related integrated software’s are a transformative force on the accounting profession. With the evolution of business trends in the market, AIS are expected to make broader contributions for tracking accounting activity such as reporting on non-financial transactions, processing of financial data, auditing information systems, implementing management controls within information systems, and providing management consulting services.

Accounting Information Systems

Fig: Subsystems of AIS

AIS is generally composed of three subsystems:


Supports and automates the daily business processes and activities.

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GLS is the summarization of transaction cycle activities like the revenue cycle, the expenditure cycle, and the conversion cycle while the FRS is concerned with the measurement and reporting of financial resources.


MRS offers management with special purpose financial reports and data needed for decision-making such as budgets, variance reports, and responsibility reports.

Besides these subsystems AIS has to overcome a number of challenges as follows:


Accountancy Tendencies and information Technology Answers:

The above below clearly describes the accounting tendencies and the technological answers for an AIS.


Fig: Accounting Tendencies and Information Technology Answers

Web Services & Internet of Services

Web Services leads to communication through the Internet. It facilitates the integration among applications as well as the interoperability of the data which flows in an organization, like electronic commerce with Clients and suppliers.

Web services also allow integration between different systems like AIS, operational Systems, and web applications. Definitively, they enhance real-time reporting and information availability to a wider range of stakeholders, with almost a full-time accessibility.

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➢ Cloud Computing :

With the on growing business requirements, it is more feasible to have web-based AIS. The AIS may range as a hosted solution, a mixed online and on-premise solution or a wholly online AIS Solution based on the cloud, which means an architecture based on Software-as-a-Service (SaaS), also known as Cloud Computing.

With this kind of solution, users can access AIS from anywhere there’s an internet connection.

➢ Big Data

Businesses tend to produce a large amount of data. Big Data Handling techniques are important to be integrated by AIS.

➢ Computer Assisted Auditing Tools and Techniques (CAATTs)

Auditors need Computer Assisted Audit Tools and Techniques (CAATT) to enhance capabilities and productivity for business.

AIS must include such techniques with minimal cost and the relative ease of the use of standard office suite software.


The AIS needs to be thoroughly studied to discover new potentialities and benefits that these systems can add to the organizations and impact the role of the accounting.

The figure incorporated in this article represents the existing relations between the challenges and technological responses, defining the path for future research in order to improve the alignment between technology and organization.

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