Underestimated expenses, overspending, financial mismanagement, and fraud can cause disaster. A major reason organizations go out of business is their inability to forecast and/or secure sufficient cash flow. Planning is necessary, but not sufficient, and must certanly be supplemented by skillful control. Information systems play an incredibly important role in supporting organizational control, including: risk analysis, budgetary control, auditing, financial ratio analysis, and profitability analysis and cost control.
Risk Analysis – Companies must analyze the chance of using the services of other entities and giving credit to customers. The merchandise @RISK for Excel from palisade.com is an effective tool that performs risk analysis in Microsoft Excel spreadsheets using Monte Carlo simulation. You can answer questions like, “What is the probability of profit exceeding $1 million?” or “What’re the chances of losing money with this venture?”
Budgetary Control – The annual budget ought to be divided in to monthly allocations to ensure the business has sufficient funds to cover expenses, especially when the company is vunerable to long lapses between paychecks. Managers at various levels should monitor departmental expenditures and compare them against the budget and operational progress of the organization. Numerous applications may be used to support budgetary control; most of them are along with budget preparation packages from vendors such as outlooksoft.com, clarifysystems.com, and capterra.com IT-Berater Düsseldorf
Auditing – The major purpose of auditing is to ensure the accuracy and condition of the financial health of an organization. Internal auditing is done by the organization’s accounting/finance personnel, who also prepare for external auditing by CPA firms. Internal auditors can use information technology to facilitate auditing. As an example, intelligent systems can uncover fraud by finding transactions that significantly stray from previous balances.
Financial Ratio Analysis – A major task of the accounting/finance department is to view the financial health of the organization by monitoring and evaluating financial ratios. The number of data for ratio analysis is done by the transaction processing system, and computation of the ratios is done by financial analysis models. The interpretation of the ratios, especially the prediction of their future behavior, requires professional judgment and expertise.
Profitability Analysis and Cost Control – Many companies are worried with the profitability of individual products or services along with with the financial health of the whole organization. Profitability analysis software allows accurate computation of profitability and allows allocation of overheads. Oracle Hyperion Profitability and Cost Management provides valuable insights into costs and profitability by uncovering drivers of cost and profitability, empowering users with visibility and improving resource alignment.
How Critical Is Information Technology Training To Your Future?
Information Technology (IT) is really as important as some other discipline like marketing, accounting, human resource etc. Information Technology is a very essential part of almost every business in this world. Having proper Information Technology training ensures that you have the ability to differentiate yourself from your own major competitors and hence attain a competitive advantage over them.
Effective IT training contains giving in-house workshops or training sessions, many universities and schools also organize such workshops to train students the top information technology skills. Information Technology training means helping managers and firms conform to various business processes and changing circumstances. Such training centers around the techniques emerging new technologies affect how business is conducted on a advanced level or large scale. IT training courses help provide knowledge and information about the use of technologies in different IT areas, which results to make quick informed decisions, yield profit for your organization, improved customer care and ensures survival of one’s organization in this increased competitive world. A number of the roles that professional are interested in the area of IT in getting training are mainly
• Management such as MIS (Management Information System), PM (Project Management) etc.
• System Administration
• Business Intelligence
• Support Operations
• IT Development
• DBA (Database Administration)
• Graphics and spreadsheets
• Word processing
There are various Microsoft training and programming languages courses available. Various training courses are given in the most used programming languages such as C, C++, Java courses, PHP, Microsoft visual studio courses etc. Moreover; Database management training is part of Information Technology that helps develop your skills and understanding of data management, for instance: MySQL, Oracle etc. Cisco training courses provide you in-depth knowledge on Cisco Networking Technologies.
Significance of Information Technology training
The technology department of any organization should be familiar with the changes which are taking place on regular basis in different technological areas in order to sustain and survive competition. The objective of IT training is to get ready an organization to effectively manage its information and resources. Proper Information Technology training can increase productivity and efficiency of the employees of the firm. IT training in the regions of computing such as getting training on how to manage flow of information by utilizing new technologies and computer systems may have significant effect on the company’s along with its employee’s performance. Out-dated and old ways of computing, managing data and flow of information may be time intensive and can produce delayed results and outputs. IT training in the regions of management such as ERP (Enterprise Resource Planning) or SAP which is the newest data integration module can increase effectiveness and efficiency of the firm. Apart from that, the key significance of IT training is increased customers satisfaction and customer loyalty, as customers are always interested in getting quick, fast services and deliverables.