The Information system: An Accountant’s Perspective
R.Q.1
I have divided the question into two sub-questions, the first one: What are the four levels of activity in pyramid representing business organization??
- Operations personnel which consist of product oriented work of organization as manufacturing, sales and distributions. (p.3 lines 9-11)
- Operations management which is directly responsible for controlling day to day operations. (p.3 Line13 )
- Middle management which is accountable for short term planning and coordination of activities necessary to accomplish organizational objectives. (P.3 lines 14-15 )
- Top management which is responsible for longer term planning and setting organizational objectives. (P.3 lines 15-16)
The second sub-question is: Distinguish between horizontal and vertical flow of information??
- Horizontal flow supports operations level tasks with highly detailed information about many business transactions affecting the firm.
- These transactions include information on events as sale, use of labor and material in production and internal transfer of resources from one department to another. (P.3 line 20 – P.4 line 3).
- Vertical flow distributes summarized information about operations and other activities upward to managers at all levels to support planning and control functions .
- It can be downward from senior managers to junior managers in form of instructions, quotas and budgets. ( P.4 lines 3-7)
Thank you