Accounting Information Systems: The Processes and Controls, 2nd Edition

ETHICAL CONSIDERATIONS AT THE FOUNDATION OF ACCOUNTING INFORMATION SYSTEMS (STUDY OBJECTIVE 10)

Several important topics have been presented in this chapter regarding the various features and options for an organization's accounting information systems. Most of these topics relate to business processes that are computerized, at least in part. The existence of computerized accounting information systems presents specific challenges for accountants in terms of the potential for unethical behavior.

Recall from Chapter 1 that the accounting information system is often the tool used to commit or cover up unethical behavior. This is true regardless of the extent of computerization. However, it can be especially difficult to detect instances of computer fraud within certain computerized environments, especially if there is only one person or a limited number of IT personnel within the organization with responsibility for maintaining these computer systems. For instance, if an organization's business processes involve the use of sophisticated software programs, the number of personnel with sufficient expertise to recognize wrongdoing within the system may be limited. Likewise, if an organization continues to maintain legacy systems and the number of personnel trained to administer the older computer system becomes limited, the company's ability to detect unethical conduct is compromised. Fraud could be perpetrated and go undetected for a long time if these systems are not carefully monitored. ...