Closing Out
Part 1 Initial Response
Some of the factors that make users of accounting software such as QuickBooks fail to record the transactions in time in the system affecting the closing of books at the end of a quarter includes incompetent staff, fewer staff, and system breakdown. Other is limited authority in the system, high turnover of staff, and absenteeism of staff. If the organization has employed incompetent staff, they will experience challenges in posting entries in the system within the stipulated time. This can be overcome through training of the staff on the software. Further, an organization having lean accounting staff will experience a delay in posting of entries due to high workload (Fordham, & Hamilton, 2019). If there is frequent system breakdown with limited authority for entries in the system many financial transactions will remain unattended. For organizations with high turnover and absenteeism, there is lack a of good follow-up on the maintenance of books of accounting that goes far in altering the posting of entries in the QuickBooks system.
Part 2 Response to Meliane
Hello Meliane. It is true that through timely recording of transactions, the organization plans for future revenue targets, marketing strategies and widen the customer base. I also agree with you that the following factors affect the recording of transactions in accounting systems such as QuickBooks; having a few accounting staff, delayed invoice receipts from vendors, technical failure of the system, and having careless accounting staff. Also, your observation that absenteeism of staff, lack of authority among key staff, hiring staffs without skills in the accounting department, and complex accounting policies contribute to failure to record transactions in time. Therefore, the human resources manager needs to apprise the department with the guidance of the department head to facilitate smooth workflow.
References
Fordham, D. R., & Hamilton, C. W. (2019). Accounting information technology in small businesses: An inquiry. Journal of Information Systems, 33(2), 63-75.
