The purpose of this research was to determine how the effectiveness of a payroll information system can be used as an internal control in a hotel. Therefore, the effectiveness of Bossotel Inn Chiang Mai's payroll information system can still be used as the hotel's internal control.
INTRODUCTION
- Research questions
- Research objectives
- Research contributions
- The structure of the thesis
How the effectiveness of the payroll information system as an internal control tool at Bossotel Inn Chiang Mai, Thailand. Knowing how the effectiveness of the payroll system at Bossotel Inn Chiang Mai, Thailand can be a tool for internal control.
LITERATURE REVIEW
Theoretical basis
- Definition of effectiveness
- Accounting information system
- Definition of accounting information system
- Accounting information system functions
- Elements of accounting information system
- The role of accounting information system
- The effectiveness of accounting information system
- Measurement of the effectiveness of accounting
- Payroll accounting information system
- Definition of salary
- The functions of payroll accounting information
- Procedures on payroll accounting system
- The purpose of preparing payroll procedures
- The documents used in the payroll system
- Accounting records used in the payroll system
- Network of procedures that make up the payroll
- System tool
- Flowchart symbols
- Flowchart of payroll system
- Internal control
- Definition of internal control
- The Elements of internal control
According to Mulyadi, the payroll system involves several functions within the company so that the payroll transactions are not centered on one part. In the payroll accounting system, the accounting function is responsible for recording the obligations that arise in relation to the payment of employees' salaries. This department has a debit entry function that is in the payroll accounting system and is responsible for processing payroll payments as stated in the payroll.
This section publishes a proof of pay that authorizes payroll to pay salaries to employees as stated in payroll. This section contains the cost accounting function that is responsible in the payroll system for recording the distribution of costs in the product cost card and the costs based on the wage statement and the work hours card. Proof of disbursement is an order to redeem the finance function by disbursing an amount of money, on the date and for the purposes stated in the document.
This document uses the timekeeping feature to record the attendance of each employee in the company. This document is a money order issued by the accounting function to the finance function based on the data in the received payroll and payroll functions and the payroll and payroll register function. When recording salaries, the distribution of labor costs of individual departments in the company is recorded using general diaries.
This record is used to record indirect labor costs and non-production labor costs for each department in the company. Proof of disbursement is an order to the finance function to issue an amount of money, with a solid budget, and for the purposes stated in the document.
Conceptual framework
Making a list of salaries and wages must be verified by the accuracy and precision of the calculations by the accounting function before payment is made.
Research questions and analysis model
- Research questions
- Main research questions
- Mini research questions
- Analysis model
- The proposition used
- Logical affirmation between data and proposition
- Qualitative instrument design
RESEARCH METHODOLOGY
- Research approach
- Type and data sources
- Research boundaries and assumptions
- Research boundaries
- Research assumptions
- Unit of analysis
- Data collection technique
- Data analysis technique
The results of this study can be used as a source of information about the effectiveness of the company's payroll information system. This chapter consists of the research rationale, research objectives, research contributions and additional information.
RESEARCH RESULT
Overview of the hotel
Bossotel has several units, one is Bossotel Bangkok and Elements Krabi which is the family business. Bossotel Chiang Mai becomes one of the choices for travel agents and family when they go on vacation to Chiang Mai. Bossotel Chiang Mai has many facilities such as a hotel in general i.e. swimming pool, free bicycles, restaurant and building used for various purposes.
Location of the hotel
As for the organizational structure implemented by Bossotel Chiang Mai, you can see in the following image. Here are some parts of the staff distribution working at Bossotel Chiang Mai. The following is an explanation of the job descriptions that exist in Bossotel Inn Chiang Mai.
From the evaluation made regarding the payroll accounting information system at Bossotel Inn Chiang Mai, the following statements are made. The payroll system used by Bossotel Inn Chiang Mai is very beneficial for the hotel. The company also takes into account the cost of living of employees working at Bossotel Inn Chiang Mai.
Because the employees of Bossotel Inn Chiang Mai are not only local residents, but also many foreign workers. An explanation of the payroll process at Bossotel Inn Chiang Mai as shown in Table 4.2 is as follows. The explanation of the overtime payment process at Bossotel Inn Chiang Mai, as shown in Table 4.3, is as follows.
The explanation of the proposed overtime payment process for Bossotel Inn Chiang Mai as shown in the flowchart above is as follows. The following are additional suggestions for the job description to improve the organizational structure of Bossotel Inn Chiang Mai.
Vision and mission of hotel
The goals of the hotel
Organizational structure
Besides service and sales, Bossotel Chiang Mai's rapid growth rate is also supported by the existence of a supporting technology system. The activities carried out by Bossotel Chiang Mai are retail, which includes sales promotion and marketing activities. The target market for Bossotel Chiang Mai is consumers from all walks of life, especially foreign tourists.
Bossotel Chiang Mai also cooperates with hotel room service providers such as Agoda, Booking.com, Traveloka, Hotelbeds, Air BNB and others. In addition, Bossotel Chiang Mai also uses Payroll Scan Finger software as a payroll information system. The services offered by Bossotel Inn Chiang Mai, such as the presence of fingerprints, are very effective for employees, where employees do not need to do manual procedures such as writing entry hours and completing work on the time card, and the payroll department can faster and easier. to calculate salaries for employees.
Based on the organizational structure, Bossotel Inn Chiang Mai is divided into several departments, with each department's tasks and responsibilities being different. To minimize this, Bossotel Inn Chiang Mai deliberately installed CCTV in several parts that functioned to monitor employee performance. The payroll function in Bossotel Inn Chiang Mai is quite efficient because the systems used for payroll and finance are also different, automatically the payroll section with finance is also separate.
Bossotel Inn Chiang Mai has used an automatic time recording system which is incorporated with the time recording function. From the weaknesses obtained by the author on the effectiveness of the payroll accounting information system as an internal control, the author offers suggestions or recommendations for Bossotel Inn Chiang Mai to achieve the goals optimally and more effectively, as follows: 1.
Aspects of the hotel activities
The competent employee
If the company has competent and honest employees, the company can produce reliable financial information. To obtain competent and reliable employees, the company recruits employees through personnel selection. In the application test, the company explains what future employees will do once you have joined the company.
Once accepted as an employee, the company will conduct training to evaluate the employee's performance.
Analysis result
- The documents used in the payroll system of Bossotel
- Accounting record used in the payroll system
- The factors that influence employee salaries
- Element of internal control
In the manual procedure for issuing wages to employees, employees must sign a document containing the amount of wages, and a list of attendance of working hours, which is usually used for trainees, is attached. Salary handover to interns is usually delivered manually in the form of a salary envelope with the employee's name and work department on the front. Proof of payment in the form of a receipt and paper signed by the employee will be used as proof of payment.
General journals are used by the payroll department to record the allocation of labor costs to each department in the company. In this service company, responsibility for assigned tasks, discipline in work attendance and the behavior of employees towards the customer will be used as consideration for increasing the amount of salary or bonus of the employee. When the company is in a state of crisis, the possibility of salaries for employees can be reduced, and even bonuses will be removed.
For the sake of smoothness, the company is also advised to make a reserve of money for the payment of employees' salaries in the future. The title and salary of Bossotel employees, which are listed in the payroll, are in accordance with the employment contract signed by the general manager. Still an inefficient procedure in the overtime recording system, as sometimes the head of the department forgets to submit the overtime card, which must be signed by the employee, so that the HR department cannot make a mistake when calculating the employees' salaries.
Interpretation
- Analysis of the weakness identification of payroll
- Proposed problem solving and payroll prosedures at
- Explanation of the proposed payroll flowchart
- Proposed organizational structure
Then the personnel department will make the following salary list and salary slip will be submitted to the cashier. The personnel department will process overtime pay with salaries and will prepare pay slips that include overtime pay. Lack of detailed task and calculation of employee's overtime working hours because it still uses a manual system and can lead to fraud which leads to the system being used inefficiently.
Even though what is provided is not in the form of money, non-financial incentives are effective enough to motivate employees to work better for the company. The personnel department will make an overtime list of employees based on the overtime list provided by the employee. Overtime slip 1 will be used by manager to make employee overtime report while overtime slip 2 will be given to personnel department to make salary slips to employees.
Based on some conclusions based on the results of this research, it can make some recommendations, such as the following. Bossotel should consider updating or replacing the system more accurately in the process of employee attendance and also include overtime calculation. Non-financial incentives in the form of certificates or awards can increase employees' motivation and enthusiasm for work.
CONCLUSIONS AND RECOMMENDATION
Recommendation
