Selecting a Financial Information System
The controller is primarily responsible for seeing that the financial information system meets the needs of those who receive and use its output: management, shareholders, creditors, suppliers, customers, government agencies, and stock exchanges as well as the general public.
This chapter contains a proven approach to selecting and implementing an automated financial information system (FIS). It includes an overview of reasons why financial system software should be purchased instead of developed in-house, an explanation of how to thoroughly define systems requirements, an approach to preparing a request for proposal (RFP), and ways to evaluate software, hardware, and the vendors who sell it. Selection and implementation of an FIS are extremely important to an organization's financial operation. As a result, the organization must be willing either to devote a substantial amount of time and effort to these activities or to hire outside consultants to assist in the process.
For the purposes of this chapter, it is assumed that the selection process includes both computer hardware and software. Many selecting organizations already have computer hardware in place. However, where possible, it is recommended that an organization select software that best meets its needs without being constrained by the hardware currently in place.
Reasons to Purchase Software
In general, it is recommended that software packages be purchased, instead ...