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University Report

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Assignment Cover Sheet

Technical Report

Accounting Systems 204

Due: 4pm, Friday of week 10 of the semester (please refer to the unit outline, lecture and BB announcement for more details).

Name of Tutor: | Tutorial day / Tutorial Time: | Vincent Chang | Online: Wednesday 6:00pm | Family Name / Surname: | Other Names: | Student ID: | Topini | Louise Antonette | 1558 1972 | | | |

Table of Contents 1.0 Introduction 1 2.0 The organisation 1 2.1 Background information 1 2.2 Key goals needed………………………………………………………………………………………………………2 3.0 Transaction cycles or business processes 2 3.1 Revenue cycle 3 4.0 Database and file structure 4 5.0 Reports 4 6.0 Controls to mitigate threats & Residual risks identification 4 7.0 Conclusion 5 8.0 Appendices – File relationships and file structure, entry screens, reports, and Risk Analysis – Risk Matrix 6 9.0 Reference List 9

1.0 Introduction
The importance of this report is to outline various business goals of an organisation whilst identifying particular control activities that are applied to manage any inherent risks or threats the organisation may face. The manager will be presented with information based on the background of the organisation with the assistance of its vision and missions. The organisation will impose various risks based on the given industry and will provide the manager with cycles, a database and control procedures that will be implemented in order to reduce the likelihood of the risk occurring. 2.0 The organisation
Furniture retailers in recent times have entered into a rather competitive and challenging market; however with the nature of the industry’s life cycle it has only become evident that the development has possibly reached capacity levels (“Furniture Retailing in Australia” 2013). Urbane Holdings Limited is considered to be one of the world’s most successful mass-market retailers selling transitional and modern-style furniture in over 33 countries (Innovation Leaders 2011). First established in the 1950’s, Urbane Furniture have built a strong-based reputation providing furniture that contains unique qualities at prices that customers will be overly satisfied with. 3.1 Background information
Like all well-established organisations, they apply numerous business activities in order to stand out from their opponents. Core business activities identified within Urbane Furniture contain the retail, manufacturing and import activities of quality furniture (Fantastic Holdings Limited 2011). Retail activities consist of the engagement of offering goods and providing their services based on the type of furniture that will appeal to particular customers. The manufacturing department consists of constructing Urbane’s own designed furniture; however this type of organisation imports their furniture from various suppliers. The importing sector involves connecting with overseas suppliers to ship through their furniture for Urbane to sell in their show rooms.
Our mission at Urbane Holdings Limited is to be referred to as a global and international leader in delivering quality-styled furniture at prices that are considered reasonable and satisfactory towards our prime target, our customers.
Our vision takes into consideration our view and what we are willing to achieve for the future. We will focus on providing customers with welcoming and highly-experienced service whilst also being a well-respected company within the industry.

3.2 Key goals needed
We have outlined key goals that Urbane Holdings Limited is willing to successfully achieve in order to support its vision and mission. An explanation to each goal will provide consumers with evidence on how we’re willing to strive and become successful within the furniture industry. 1. Quality furniture
Providing superior and value worthy furniture will not only attract consumers but will impose an advantage within the furnishing market against rival competitors. We will apply quality control procedures to our products to ensure our consumers that a great deal of attention has gone into the manufacturing process of the product before it is made available in our showrooms.

2. International Suppliers
Building a solid relationship with international suppliers that are loyal and reliable will impact the reliability relationship between Urbane and its customers. We continue to develop a professional and productive connection with our suppliers in order to receive top quality furniture with approval from both the organisation and supplier.

3. Customer focus
We will provide our customers with up-to-date information in relation to the furniture we are selling. Our aim is to create a customer relationship based on trust and dependability in order for them to feel comfortable when finalising their decision on the right furniture to purchase.

3.0 Transaction cycles or business processes
In order to achieve the organisational goals stated earlier, Urbane Holdings Limited has applied a “group of related processes” which are individual cycles that outline different procedures undergone to get the furniture to the customer. Each cycle will take into consideration the types of decisions that will need to be made as well as relevant information they’ll consider in order to result in an effective decision (Gillies 2012, 25). All five cycles will assist in reaching the organisational goals of Urbane Holdings which include; revenue, expenditure, production, financial and human resources.
Revenue: Will take into consideration the process of selling the finish product to its customer. Urbane Holdings will provide both the product (being the furniture) and the service of conducting the sale in order to result in an exchange of cash or other form of payment from the customer.
Expenditure: Involves the process of placing an order and purchasing the product from its international suppliers. Another process would include purchasing raw materials to manufacture its own designed furniture. Both procedures will involve an exchange for cash or other form of payment when receiving the raw materials or the finished product.
Production Cycle: Whether the company decides to sell its own designed-furniture, the involvement of manufacturing the required parts to result in a finished product will be considered.
Human Resources Cycle: Activities associated with managing a workplace. This includes the hiring, training and termination of each individual that is considered an employee within the organisation.
Financing Cycle: Urbane Holdings contains numerous shareholders that purchase shares within the organisation in order for an exchange of dividends. The finance department will deal with repaying its creditors if there were to be a loan situation involved. 4.3 Revenue cycle
When the customer has finalised its decision, they’ll then determine whether they have sufficient funds to pay for the furniture. Once the customer has gathered its funds together to pay for the furniture, they will then discuss the procedure on how the customer will transfer the payment that will satisfy both the customer and the finance department. In exchange for payment, the customer will receive an invoice as well as the selected piece of furniture they purchased. Once the payment has gone through, the information will then be sent to the Accounts Receivable department where they will record the customer’s payment and provide a remittance advice which will be entered into the database of Urbane. The credit manager will receive the customer data and relevant information in order to update the payment of the customer which will then be entered into an Accounts Receivable file that is stored in alphabetical order along with other customer purchases.
Document Flowchart:

With the use of files and fields brings a process into perspective based on how the company stores the data of customers. Within an organisation’s database contains files that consist of a “group of related records” (Gillies 2012, 52) which in this case will contain records of each customer that has purchased furniture from Urbane. The database will apply transaction files to be more specific in order to enhance a more structured procedure when searching past customers. As each customers purchase records are formed in a file, the computer then stores the data in a field which contains data of a particular attribute (Gillies 2012, 693). Each individual field is used to store data based on the customer’s personal details such as their name and any form of contact information. 4.0 Database and file structure
Refer to Appendices (8.0) on page 6. 5.0 Reports
Screen dumps of the reports are displayed on page 8 in the appendix.
A report is a written non-verbal form of writing that has been collected as a result of research and analysis of data (Uni Learning 2000). The idea of conducting reports for Urbane Holdings Limited is to be able to demonstrate they are capable of fulfilling their organisational goals consistently and successfully. The report Urbane has conducted through the database is stating their achievement to become a customer-based organisation that relies on trust and dependability. With the report containing information about each customers personal and purchase details, this depicts a reliable database that has considered all information that a customer will appreciate if there were to be any post-service procedures.

6.0 Controls to mitigate threats & Residual risks identification

With all organisations, there are numerous risks that are involved with every decision the management department makes. What results in an organisation to stand out from its competitors is determining the amount of risk they are willing to accept in order to achieve their goals (Gillies 2012, 209). Within Urbane Holdings, they’ll need to consider all aspects that come with selling furniture; financial risks, supplier risks, customer demand risks and employee risks. As it comes with the territory to deal with these industry circumstances, Urbane Holdings are willing to accept these risks in order to over shadow its rival competitors. 7.0 Conclusion

Overall, an organisation that is based around providing quality furniture whilst meeting customer expectations is the reputation Urbane is presently achieving. The organisation has portrayed various goals that target each main aspect of what they tend to convey towards the public. Achieving goals doesn’t come easy as there are numerous risks or obstacles that could make it difficult; Urbane have supported that statement and outlined possible risks they could face to ensure customers and other users they have taken into consideration what could stand in their way. How they’ll become successful is the controls they’ve imposed and the type of actions they’ll consider in order to prevent the risk from occurring in the future. The creation of a database was put in place in order to convey a collection of data that was considered relevant to the organisation. The database contained numerous primary and foreign keys that showed a relationship between each field. With the organisation identifying their goals, outlining their risks with the corresponding control procedure and conducting a thorough database, it only ensures internal and external users they are successful and are willing to improve their past success to stay on top of the furniture retailing industry.

8.0 Appendices – File relationships and file structure, entry screens, reports, and Risk Analysis – Risk Matrix
File relationships screen dump:

Record layout screen dump:

Report screen dumps:

9.0 Reference List

Fantastic Holdings Limited. 2013. Annual Report 30 June 2011

“Furniture Retailing in Australia Market Research | IBIS World.” 2013. Aussie Furniture Care, October 19.

Gillies, Jill. 2012. Accounting Information System. Sydney. Pearson: Curtin University.

Innovation Leaders, Profile: IKEA.2011.

Uni Learning: Report Writing Purpose. 2011. Accessed October 19,

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