Accounting System Paper
William Zhang / Instructor
In the business world today, it is crucial to have some type of accounting system, a system that will coincide with all aspects of a business and can be integrated with all information systems. REMS which stands for Retail Enterprise Management System is a modular system that consists of a General ledger, Asset management and accounting, Accounts Payable, Bank Reconciliation and Point of Sale modules.
Kudler Fine Foods has will be hiring a firm (consulting) to help with the installation of this system. To be cost effective the Asset Management and Accounting module have not been purchased just as of yet. Reason being, all of their stores that they have are on long term leases therefore whatever remaining assets KFF has ...view middle of the document...
Balance Sheet, Cash Flow, Balance Sheets and Income Statement are just a few of the ledger modules that it has. With that in mind the module has what Kudler Fine Foods will need to provide its financial and budget reports for all stores.
The approximate budget to spend is $50,000 for the consulting firm; they will handle the installation and maintain the system once a year. With the implementation of the customer loyalty program the whole concept is to create new customers therefore creating more shopping from old customers as well as the new. Hand in hand this will bring more revenue to Kudler and the accounting department will.
Upgrading the system will help manage the anticipated growth of KFF customers both old and new. The allotted money $50,000 has already been spent on the first store with the intent of installing the RMS system in the other two stores. However there is a slight problem the system, which is that it moves a little slow for this company. KFF is steadily becoming an establishment that people are frequenting; the two reasons are its products and the loyalty program.
Once the other stores are put on this new system it may not benefit the company, the reason is the system will not keep up with all necessary data for all three locations. Combining the growth of employees and customers will make the workload increase significantly. Eventually a new system will need to put in, in order to keep up with the growth of the company.
Now a day’s companies have to look at the overall big picture when and the deciding factors when it comes to the accounting system. The new accounting system when be set up like the current one Kudler has and all modules will pay more attention to detail unlike the old system.
New technology provides for faster reporting and data auditing. So Kudler will benefit greatly one this implementation of the REMS system is in all three store locations. It will keep them more organized and detailed.