Diffusion of new financial system in MHM Organization Assignment

Diffusion of new financial system in MHM Organization - Assignment Example But with the concept of globalization, the entire landscape of the accounting system in business changed. Every organization computerised their accounting system that reduced the work time considerably. Today almost every Multi National Company relies on modern accounting software and telecommunicating of accounting information to different units for running the business successfully and reaching clients all over the world. The company MHM is one of the chief suppliers of electrical equipments and it is currently operating in Qatar. The company was established in the year 1972 and it has also diversified in to other sectors including manufacturing, facilities management, contracting, and contracting. The company has the capability of handling large volume projects with limited assistance from third party. The strategic aim of the company is to empower the present electrical industry of Qatar with quality, technical expertise, and competitive price. The company has favorable attitude towards globalization and it also believes that with the introduction of new technology in various sectors, the opportunity to improve existing processes also increases. This is because with new investment in various sectors, foreign technological expertise and advice is also accessible (Harvie and Lee, 2002, p.172). The up gradation from old ways of paper based record keeping into automated software based entry manage systems is both challenging as well as rewarding. It is challenging in the sense that the company might face hostility from their employees who are not comfortable with technological advancements (Seacord, Plakosh, and Lewis, 2003, pp.1-2). Even till date there are some sections in the society that believes that machines can take over their jobs. Such negative sentiments have the potential to become a hurdle in the way of achieving company’s objectives in the long run. Hence it is important for the company to take care of such problems and provide proper traini ng to employees first so that the company does not face any opposition from the employees of the company (Hite and William, 2006, pp.22-25). The replacement of old fusion paper ways of financial recording into modernized computer software based recording is rewarding in the sense that automated record keeping reduces the time required for paper works significantly. Traditional ways of record keeping, especially in double entry system, required consistency which often led to clerical errors of accounting. In the automated systems, the computerized software has the ability to store or transfer the documents as per stored formats. The documents are saved and updated automatically whenever any changes are made or any transaction take place. At the same time the chances of losing important business critical document reduces as all the important data will be stored in centralized database. This would in turn also minimize the security requirements and the man hours of works taken by the a ccountants (Nobles, Scott, and McQuaig, 2012, pp.237-238). Strategic Role of New Technology The company’s business operations include Electrical showrooms, Facility Management, Electrical Switchgear Manufacturer, and along with this the company is also involved in MEP Contracting