Text 3 Accounting Software in Small Business

A growing number of small business owners are turning their accounting functions over to personal computers. Software packages can handle a company’s general ledger, accounts payable and receivable, inventory control, purchasing, and financial statement preparation much faster and more accurately than manual systems.

There are two types of accounting software: modular and integrated. A modular program is built around a specific accounting application (such as accounts receivable) and can be used alone or combined with other modules. A complete accounting system built from modules is more expensive than an integrated system, but it is usually more flexible. In addition, the owner can choose only those modules he (or she) needs in his (or her) accounting system.

An integrated package is a comprehensive accounting system that usually operates from the transactions entered through the general ledger. Once the owner enters transactions into the general ledger, the integrated accounting package automatically posts them to the appropriate subprogram.

Popular accounting programs include 4-in-1 Basic Accounting, The Accounting Partner 3, Accpac Easy Accounting Series, Dac Easy Accounting, Back to Basics, and Interconnect Software’s modular package.

Some business owners have discovered that personal finance programs can be tremendous time-and money-saving tools in meeting their accounting needs. Because most of these packages run from a single-entry bookkeeping system, they are not meant for larger companies with many complex transactions. However, the most common function – automated check writing, bank statement reconciliation, budgeting, tax planning, categorizing expenses, and others – are ideally suited for many small firms. Although designed for home use, most personal finance programs can handle most small business accounting tasks – even basic payroll functions.

Popular personal financial management packages include Andrew Tobias’s Managing Your Money, Sylvia Porter’s Personal Financial Planner, Smart Check-book, and Financial Navigator.

Text 4 Office Automation Systems

An office automation system is a communication tool. Today’s office automation systems make good use of the microcomputer networks in many companies. The key elements include

-word processing systems for producing written messages;

-e-mail systems for communicating directly with other employees;

-departmental scheduling systems for planning meetings and other activities;

-cellular phones (mobiles) for providing telephone service away from the office, as in cars;

-voice mail systems (the oral version of e-mail) for recording, storing, and forwarding phone messages;

-facsimile (fax) systems for delivering messages on paper within minutes;

-electronic bulletin boards and computer conferencing systems for discussing issues with others who are not present.

These office automation systems let managers handle most of their own communication. Many managers now write their routine memos and letters instead of relying on a secretary. At any time each manager may have had a secretary to take dictation, type, answer the phone, and help with other clerical and administrative tasks.

Office automation systems also make telecommuting possible. Many people can work at home, using microcomputers and other high-tech equipment to keep in touch with the office.

Managers agree that telecommuters work more effectively. But some have trouble scheduling face-to-face meetings with telecommuters. Changes in management style may also be needed. For instance, managers may have to judge workers by what they turn in at the end of the week rather than by how hard they seem to be working every day.

Not all jobs are suited to telecommuting. Some involve so much interaction with co-workers that they can be done only at the work site. Workers who require little interaction – computer programmers, technical writers, designers, and others who work mostly on their own – may be good prospects.