University Name
Analysis of Implementation of Accounting Information System
A Case Study of Etisalat – UAE Based Company
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Date Submitted: 06 Sep, 2019
Table of Contents
1. Introduction …………………………………………………………………………………………………………… 3
2. Etisalat Background ………………………………………………………………………………………………. 3
2.1. The Use of Accounting Information System in Etisalat ………………………………………….. 4
3. Findings/Need for AIS …………………………………………………………………………………………….. 4
3.1. Users of AIS ……………………………………………………………………………………………………… 4
3.2. AIS Functions ……………………………………………………………………………………………………. 5
4. Research Methodology ……………………………………………………………………………………………. 6
5. Findings and Discussions ………………………………………………………………………………………… 7
5.1. Strategic Role and AIS ……………………………………………………………………………………… 10
6. Suggestions for Improvements ………………………………………………………………………………. 11
7. Conclusion ……………………………………………………………………………………………………………. 12
References …………………………………………………………………………………………………………………… 13
1. Introduction
As the technology is improving and catering all fields, industries, and business, so does the field
of accountancy and finance is also getting digitalized. The Blockchain technology-based
accounting, management information system, accounting information systems, ERP systems, and
likewise other accounting and finance systems are just the examples of how traditional accounting
is turning towards advanced accounting and finance system (Grabski, Leech, and Schmidt, 2011).
The new phenomenon in accounting, Accounting Information System (AIS) is also considered as
equally important to all types of organizations and according to financial analysts and researchers,
this must be maintained equally in all organizations whether it is profit-oriented or not profit-
oriented (Medina-Quintero, Mora and Abrego, 2015). Moreover, the increasing demand for
digitalized accounting system is increasing especially in the tech-oriented industries as accounting
information systems have become more adaptive to changing business managers and executives
demands. This demand can be because of many reasons such as aligning the financial operations
across all business sections, collaborating with the stakeholders of the companies at both internal
and external level and much more.
The aim of this research report is to evaluate the Accounting Information System (AIS) as launched
by the Etisalat, a leading telecommunication company in the UAE. The research will examine the
different aspects of the implementation of this system in the company along with highlighting the
users of the systems, how the information know organizing is adding value to the organizational
operations, and how the different financial aspects such as sensitivity analysis, CPV analysis, and
NPV analysis were involved in the project analysis and its implementation in the organization.
This research report will also examine how the knowledge is being managed in Etisalat and how
the AIS system is contributing to organizational performance and enhancing its strategic role.
The rest of the report will be organized into the following parts: the following section describes
the Etisalat background, the decision for implementing AIS, and the third section is research
findings on AIS implementation in Etisalat.
2. Etisalat Background
Etisalat is one of the leading telecommunication groups in the world, especially in emerging
markets. Currently, the market cap of the company is approx. AED 148 billion or USD 40.3 billion
(Etisalat.com, 2019). The high credit ratings of the Etisalat list it among those companies having
a strong balance sheet and showing the long term performance. With the headquarter based in Abu
Dhabi, Etisalat is the first-ever telecommunication service provider in the UAE. Moreover, being
a global blue-chip organization, it also provides the innovative telecommunication and cellular
services and solutions to its 143 million subscribers in the fifteen countries across Asia, the Middle
East and African regions.
2.1. The Use of Accounting Information System in Etisalat
Etisalat has recently implemented an automated system known as RADIUS Accounting in its
finance department that is, in fact, the accounting solution being offered by the Network RADIUS
(Network Radius, 2019). RADIUS Accounting is, in fact, a fully automated and digitalized
business and according to solutions for telecommunication and engineering companies. With the
implementation of this system in its financial operations, Etisalat will be able to generate financial
data by this system that will be analyzed by its managerial and financial accountants and will be
used in next start by the executives or top-level management for the strategic decision making
purpose. So based on that system and financial reports being generated b this system, Etisalat
management would be able to identify the opportunities and limitations if any face by it and overall
