The business development, both in scope and size has led to a more complex broader business activities. This makes the management no longer able to control the company’s activities easily. To maintain the control of the company’s activities effectively, the management is rely on various types of reports and analysis.

This, of course, carries the risks of errors and irregularities during the process of presenting the various types of reports and analyzes. As an effort to reduce the risks mentioned above, management requires the controlling tools in the form of internal control. An adequate internal control will protect from human errors and other  irregularities.This could be through the checking and review functions attached to adequate internal control. By applying adequate internal control, it is expected to produce reliable reports and analyzes in order to make business decisions.

Within a company, expenditure control is very vital because the financial control is related to future activity plans. This expenditure control is also closely related to the profit that the company should achieve against the marketed products. This financial control can be done by creating a book or a list of corporate expenditures which are then stated in the company’s financial statements. Through these expenditure controls, the businesses are able to determine actions to compare between expenditures and profits. In addition, this financial control allows the company to prevent from loss.

The fast growing technology development,  especially related to the field of accounting software, it allows a company to monitor and control various company expenses. It also provides decision assistance to the management to recognize the business’ health, do the businesses earn profit or loss due to uncontrolled company expenses.

When a company implements an accounting software, the company will be able to manage all types of expenditures and recorded data on the software will be directly presented in various forms of appropriate reports. It will save time and facilitate the company to manage company expenses and earning.

In general, there are 5 basic tasks of accounting software, such as data collection, data processing, data management, control, data security and the last is information availability.

  1. Data Collection. This process is started by taking or retrieving data into the system, recording, and grouping them into categories
  2. Data Processing. The next stage is data processing. Data will be validated, can also be transferred, then the data is sorted. If the data includes quantitative, then the calculation can be done
  3. Data Management. There are various data in data management, such as storage into archives or databases, data adjustment and retrieve data for processing into information
  4. Control and Data Security. This stage serves to protect and ensure the data accuracy, since in data processing errors, lost and data theft often occurred.
  5. Information availability. It is the delivery of information or reports that are easily understood through the communication network to the user.