Scribd
Upload
72 views2 pages

Ais Case Studies

The document outlines two cases related to payroll processing and mail order operations for No-Wear Products and a skin and body care company, respectively. In Case 1, the internal auditor is tasked with documenting the payroll system to improve efficiency, detailing the current process of time data collection, data entry, and report generation. Case 2 describes a mail order company that processes customer orders and is seeking to computerize its operations, requiring the creation of context diagrams and data flow diagrams for both cases.

Uploaded by

ايهاب حسنى
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
72 views2 pages

Ais Case Studies

The document outlines two cases related to payroll processing and mail order operations for No-Wear Products and a skin and body care company, respectively. In Case 1, the internal auditor is tasked with documenting the payroll system to improve efficiency, detailing the current process of time data collection, data entry, and report generation. Case 2 describes a mail order company that processes customer orders and is seeking to computerize its operations, requiring the creation of context diagrams and data flow diagrams for both cases.

Uploaded by

ايهاب حسنى
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 2

Case 1

As the internal auditor for No-Wear Products of Hibbing, Minnesota, you have been asked by

your supervisor to document the company’s current payroll processing system, Based on your

documentation, No-Wear hopes to develop a plan fo0r revising the current information system

to eliminate unnecessary delays in paycheck processing. Your best explanation of the system

came from an interview with the head payroll clerk:

The payroll processing system at No-Wear Products is fairly simple. Time data are recorded in

each department using time cards and clocks. It is annoying, however, when people forget to

punch out at night and we have to record their time information by hand. At the end of the

period, our payroll clerks enter the time card data into a payroll file for processing. Our clerks

are pretty good though I’ve had to make my share of corrections when they mess up the data

entry.

Before the payroll file is processed for the current period, human resources sends us data on

personnel changes, such as increases in pay rates and new employees. Our clerks enter this

information into the payroll file so it is available for processing. Usually, when mistakes get back

to us, it’s because human resources is recording the wrong pay rate or an employee has left and

the department forgets to remove the record.

The data are then processed and individual employee paychecks are generated. Several

important reports are also generated for management-though I don’t know exactly what they

do with them. In addition, the government requires regular federal and state with holding

reports for tax purposes. Currently, the system generates these reports automatically, which is

nice.

Required

a. Prepare a context diagram and Level O DFD to document the payroll processing system

at No-Wear Products.

b. Prepare a document flowchart to document the payroll processing system at No-Wear

Products
Case 2

A mail order skin and body care company advertises in magazines. Magazine subscribers initiate

most orders by completing and sending coupons directly to the company. The firm also takes

orders by phone, answers inquiries about products, and handles payments and cancellations of

orders. Products that have been ordered are sent either directly to the customer or to the

company’s regional office that handle the required distribution. The mail order company has

three basic data files, which contain customer mailing information, product inventory

information, and billing information based on invoice number. During the next few years, the

company expects to become a multimillion-dollar operation. Recognizing the need to

computerize much of the mail order business, the company has begun the process by calling

you.

Required

Draw a context diagram and at least two levels of DFDs for the preceding operation

You might also like