INCOME CONCEPT IN FINANCIAL REPORTING

INCOME CONCEPT IN FINANCIAL REPORTING


Profit is a basic and important post of the financial overview merniliki various uses in various contexts. Profit is generally seen as a basis for taxation, the determinant of the dividend payment policy, investment guidelines, and decision-making, and the element of prediction (Belkaoui, 1993) In SFAC no. 1 states that earnings information is a component of the financial statements provided with the aim of helping to provide information to assess management performance, a representative estimate earnings ability in the long term and assess risks in the investment or loan. Earnings in the conventional sense is the maximum value that can be divided or in consumption during the accounting period in which the state at the end of the period is still the same as in the beginning of the period.
Profit in accounting theory usually refers to the concept that the FASB called comprehensive income. Comprehensive Income interpreted as an increase in net assets other than those resulting from transactions with owners. While earnings are profits which are accumulated during a period or an increase in equity or net assets of a company caused by operating activities and outside business activities for a certain period. Earning the most narrow concept of comprehensive income is the broadest concept (Muqodim, 2005:110).
Inside there are various components of accounting income is a combination of several basic components such as gross profit, operating profit, profit before tax and profit after tax (Muqodim, 2005:131). Thus, in determining accounting profit investors can see from the profit after tax. SFAC No.. 1 in Belkaoui (2000:332) assumes that accounting profit is a good measure of the performance of a company and that the accounting income can be used to forecast future cash flows. Other authors assume that accounting income is relevant in the usual way for models of the decision of investors and creditors.
Accounting income with a variety of interpretations expected to be used among others as (Suwardjono, 2005: 456):
1) Indicators of efficiency of use of funds that are embedded in a company that embodied in the rate of return on investment (rate of retun on inuested capital).
2) Measuring achievement or performance of business entities and manajemcn.
3) The basis of determining the amount of taxation.
4) Equipment control the allocation of economic resources of a country.
5) Basic eligibility determination and assessment of the tariff in any public company.
6) Equipment control over debtors in debt contracts.
7) The basis of compensation and bonus.
8) motivational tool in the management of corporate control.
9) Basic dividends.
When viewed in depth, accounting profit is not the true definition of income but merely an explanation of how to calculate profit. Characteristics of such an understanding of accounting earnings contain several advantages. Some of the advantages presented by the accounting profit Muqodim (2005: 114) is:
ü Proven proven throughout history that accounting income is useful for the users in making economic decisions.
ü Profit accounting has been measured and reported objectively can diuj truth because based on real transactions are supported by evidence.
ü Based on the realization of the principles in recognizing revenue accounting income to meet basic conservatism.
ü Profit accounting useful for control purposes primarily related to management accountability.
PURPOSE OF REPORT EARNINGS
One of the objectives of financial reporting is to provide financial information that can demonstrate achievements of the company in generating profits (earnings per share). With a concept that has been used is expected to report users can make decisions appropriate to their economic interests. Although the concept of earnings used is expected to meet the needs of users, but the existence of various concepts and purposes of profit, resulting in the concept of a single income can not meet all the needs of the users of the report. On the basis of this fact there are two alternatives that can be used to formulate the concept of a single income to meet a variety of general purpose or use different income concepts and presents a clear concept of such profits in particular.
Regardless of the problems that arise, the actual earnings information can be used to fulfill many purposes. The goal is to deliver compelling earnings reporting useful information for interested parties. Information on corporate profits can be used:

   1. As an indicator of the efficient use of funds that are embedded in a company that embodied in the rate of return (rate of return on invested capital)
   2. As a measure of performance management
   3. As a basis for determining the amount of tax
   4. As a means of controlling the allocation of economic resources of a State
   5. As the base compensation and bonus
   6. As a motivational tool in the management of corporate control
   7. As a basis for increased prosperity
   8. As a basic dividend
QUALITY OF EARNINGS INFORMATION
M. Joseph, et al (2002) mentions that the earnings information to be seen in relation to the perception of decision-making. Because the quality of earnings information is determined by its ability to motivate individual action and assist effective decision making. This is supported by a published FASB SFAC No.. 1, which assumes that accounting income is a good measure of company performance and therefore the accounting profit should be used in the prediction of cash flow and earnings in the future.
Based on this background, Hendriksen in his fifth edition of Accounting Theory (1992:338) define three concepts in an effort to define and measure the return to the levels of language. The concepts include:
a. The concept of profit on the level of Syntax (Structural)
At the syntactic level the concept of income associated with the conventions (habits) and a logical and consistent with rules based on the premise and the concept has evolved from the existing accounting practices. There are two approaches to the measurement of earnings (income measurement) at the syntactic level, namely: Approach of Transaction and Assets Approach.
b. The concept of profit on the level Sematik (interpretive)
In this concept of income are reviewed its relationship with economic realities. In an attempt to give the meaning of the concept of interpretive accounting income (accounting income), the accountants often refers to two economic concepts. Both of these economic concepts are concepts of Capital and Income Maintenance as a Tool for Measuring Efficiency.
c. The concept of profit on the Pragmatic Level (Behavior)
At the pragmatic level (behavioral) concept of income is associated with users of financial statements information that is implied from the profits of the company. Some reactions can be shown to business users with decision-making process of investors and creditors, the reaction rates of reporting income or a letter of response feedback (feedback) from management and the accountant of the reported income.
The concept of this income should at least provide income as material implications for management decisions.


MEASUREMENT & RECOGNITION OF INCOME
Measurement of profit is the determination of the amount of dollars of profit are recorded and presented in the financial statements. Measurement of the profits is highly dependent on the amount of income and expenses. Since profits are part of the revenue, then the concept of raising the revenue realization also applies to profits. Thus the accounting treatment of income will not deviate from the accounting treatment of revenue.
Because profit is the difference between revenues and expenses, profit is recognized generally in line with the recognition of revenues and expenses. In Basic Concepts of Preparation and Presentation of Financial Statements, IAI (1994) states that:
income (income) will be recognized if the increase in future economic benefits associated with an increase in assets or decrease in liabilities has occurred and the amount can be measured reliably. (Paragraph 92)
Conceptually there are three approaches that can be used to measure earnings. Such an approach is the approach of the transaction, the approach of activities and approaches to maintain capital / wealth (capital maintenence)



   1. A. Transactions Approach
Transaction approach assumes that changes in asset / debt (income) occurred only because of the transaction, both internally and externally. External transactions arise because of transactions involving a change in the asset / debt with parties outside the company. Internal transactions arising from the use or conversion of assets within the company.
At the time of external transactions occur, the market value can be used as a basis to recognize revenue. Internal transactions derived from the value changes, ie changes in the value of the use or conversion of assets. If a conversion has occurred, then the value of old assets will be converted into assets baru.konsep or approach is similar to the concept of realization of income.
This approach has some goodness that is:

   1. Components of income can be classified in various ways. For example: on the basis of, the product / consumer.
   2. Operating profit can be separated from non-operating income.
   3. Can be used as basis in determining the type and quantity of existing assets and debt at the end of the period.
   4. Business efficiency requires external recording transactions for various purposes.
   5. Various reports can be created and linked the report to one another.
   6. B. Approach Activities
Profit is considered arise when certain activities have been implemented. So profits can arise at this stage of planning, purchasing, production, sales and cash collection. In practice, this approach is an extension of the approach to the transaction. This is due to approach the activity starts with the transaction as a basis of measurement. The difference is that the approach is based on transaction reporting process that measures the transactions with outside parties.
While the activity approach is based on the concept of event / activity in a broad sense, not limited to activities with outside parties. Yet both failed to show a profit in the real world measurements. This is due to the two approaches is based on the same structural relationships that do not exist in the real world.
Goodness activity approach are:

   1. Profits from the production and sale of goods requires the evaluation and prediction jenios different than the profits from the purchase and sale of securities in exchange for the procurement of capital gains.
   2. Management efficiency can be measured with better when earnings are classified according to the type of activities which are the responsibility of management.
   3. Allow better predictions because of differences in the behavior patterns of different types of activities.



   1. C. Maintaining Prosperity Approach (Capital Maintenance Concept)
On the basis of this approach, earnings are measured and recognized after the initial capital can be maintained. Before discussing the measurement of return on the basis of the concept of maintaining wealth / capital will be discussed in advance about the concept of profit and capital.
In the concept of maintaining prosperity, capital (capital) broad sense and in its various forms. So capital is defined as a group of property without regard to who owns the property. Thurs (1990) defines income as follows:
Earnings (income) is the change in corporate capital between the two different time points (beginning and end), excluding changes due to investments by owners and distributions to owners, where capital is expressed in the form of value (value) and is based on a particular measurement scale (p. 194)
While Hendrikson (1989) defines capital income as follows: Profit is the flow of services sepanjangperiode time. Capital is the stock of wealth (the embodiment of future services), and profit is the flow of prosperity that can be enjoyed during a specific period (p. 142)
From the definition above, can be formulated on the basis that the concept of capital as the level of prosperity, then it is profits that can flow in konsumsikan prosperity (enjoyed) for a period, without reducing the level of the previous prosperity. Thus, profit can be measured from the difference between the level of prosperity at the end of the period with a level of prosperity in the early period [profit = total net assets (end of period) - the invested capital (initial period)]. The concept of income measurement is referred to the concept of maintaining capital / wealth (wealth or capital maintenance concept).
Capital used in this concept is the net capital (net worth) or net assets. Capital expressed in terms of economic value on a particular measurement scale. measurement of highly influenced by the value (measuring unit), the type of capital, and the scale of measurement. The difference of these factors will lead to differences in the profits to be obtained.

ACCOUNTING INFORMATION SYSTEM

ACCOUNTING INFORMATION SYSTEM
SYSTEM A group of elements that are integrated with the same intent to achieve a goal.
Elements of the system:Not all systems have the same combination of elements, but a basic structure are: Input, Transformation, Output, Control Mechanism, Purpose.
Type of System:Open Circle System  system that has no element of control mechanisms, and goals.Closed Circle System  system accompanied by the presence of elements of the control mechanism and purpose.
System properties:1. Open system: The system is connected to its environment through resource flows.2. Closed system: The system is completely unrelated to the environment.
Physical system: a system consisting of a number of physical resourcesConceptual system: a system that uses conceptual resources (data and information) to represent a physical system.

Evolution of Computer-Based Information Systems
Early Focus On DataIn the early 20th century the use of computers is limited only to the accounting application and used the name of the EDP which is the application of the most basic information systems in each company. Now we use the term SIA to replace the EDP.
New Focus On InformationThe concept of using computers to support the management information system was introduced in 1964 by computer makers. MIS concept to realize that computer applications should be applied to the primary purpose of generating management information.
Revisions Focus On Decision SupportWhile the SIM continues to grow in the face of its weaknesses, a new approach emerged with the name of the DSS, the system of producing information that is aimed at a specific problem to be solved by the manager.
Focus Now On CommunicationApplication of OA (Office Automation) to facilitate communication and increase productivity among managers and other office workers through the use of electronic tools.
Potential In Focus ConsultingCurrently ongoing movement to implement Artificial Intelligence (AI) for business problems. The basic idea of ​​AI is that the computer can be programmed to perform some logical reasoning is the same as humans.
SIA definition:An organizational components that collect, classify, process, analyze and communicate financial information and decision making relevant to parties outside the firm and external parties.
AIS characteristics that distinguishes it from other CBIS subsystems:1. SIA melakasanakan tasks required2. Hold on to a relatively standard procedure3. Handle detailed data4. Historical focus5. Provide minimal information solution
Differences SIA and SIM:• SIA collects classify, process, analyze and communicate financial information is being• SIM collects classify, process, analyze and communicate all types of information
Two components of the AIS- Information Specialist- Accountant

Examples of AIS as a corporate information center:Marketing departments are considering introducing a new product in the company's production line, for that part of the requested analysis report estimates the benefits to be gained from the proposed new productSection SIA projected cost estimates and estimates of revenues associated with such products, then the data obtained is processed by the EDP. After processing the results returned to the SIA for later given to the marketing department.The next two sections will discuss the results of the analysis is to look for an appropriate decision.
From the example above can be found two aspects of dealing with modern business systems, namely:1. The importance of communication between departments / subsystem that leads to achievement of a decision.2. The role of AIS in generating information that can assist other departments to make decisions.
Accounting information generated by the SIA can be divided into two, namely:- Financial accounting information, information that shaped the financial statements addressed to the extern.- Information Management Accounting, useful information for management decision making.
In Management Accounting, there are two components that are used for planning and controlling the company, namely:1. Cost Accounting System2. Budgeting System
Cost Accounting System Used to assist management in planning and supervision of the activities of procurement, distribution and sales processBudgeting is the company's financial projections for the future that are useful to help managers in planning and supervision
Elements that can affect the application of SIA in the company:1. Analysis of Behavior2. Quantitative Methods3. Computer
Analysis of BehaviorAny system that tertuangkan in the paper will not be effective in its application unless an accountant will be able to know the needs of the people involved in the system.Accountants do not have to be a psychologist, but enough to understand how to motivate people to lead to positive corporate performance.In addition, an accountant must realize that everyone has different perceptions in receiving any information, so that the information to be supplied can be designed and communicated in accordance with the behavior (behavior) of decision makers.
Quantitative MethodsIn compiling information, an accountant must use this method to improve the effectiveness and value of information.
ComputerAt some companies, the computer has been used to replace the routine work of an accountant, thus providing more time for accountants to be involved in the decision making process.

Basic Concepts of Information System

Basic Concepts of Information System

Basic Concepts of Information Systems Systems Systems: a collection of elements that interact to achieve a particular purpose. According to Jerry FithGerald; system is a network of procedures which are interconnected, gathered together to perform an activity or completing a particular target. Characteristics System / System Elements: Contains component; A system consists of several components that interact with each other, work together to form a unity. System components can be either a subsystem or parts of the system. Each system no matter how small, always contains the components or subsystems. Each subsystem has the properties of the system to perform a particular function and affect the overall system. A system can have a larger system called the supra-system, for example, a company can be called with an industrial system and a larger system can be called with a supra-system. If the industry is seen as a system, then the company can be called a subsystem. Similarly, if the company is seen as a system, then the accounting system is subsistence. System boundary (boundary); boundary that limits the system is an area between a system with other systems or with the outside environment. Limit of this system allows a system viewed as a whole. Limit of a system shows the scope (scope) of the system. Environment outside the system (environment); is anything outside the boundaries of the system which affect system operation. Liaison system (interface); is a media liaison between one subsystem to another subsystem. Input system (input); energy is put into the system. Input can be either input treatment (maintenance input) and input signal (input signal). Maintenance energy input is included so that the system can operate. Input signal is processed to obtain the energy output. For example in a computer system, the program is maintanance inputs used to operate the computer and the data is the input signal to be processed into information. System output (Output); It is the product of the energy processed by the system. Processing system (Process); is the part that processes the input to be output as desired. Target system; If the system does not have a target, then the operating system will not be any good. ? Classification System: System abstract; system in the form of thoughts or ideas that do not appear physically (system of theology) a physical system; an existing physical system (computer systems, accounting systems, production systems, etc..) Natural systems; system that occur through natural processes. (Solar system, space system, reproductive system etc.. Man-made systems; system designed by humans. Man-made systems that involve human interaction with a machine called the human-machine system (example: the information system) System Specific (deterministic system); operate with behavior that could have been predicted. The interaction of the parts can be detected with certainty so that the output of the system can be predicted (eg; computer systems) Indefinite Systems (probabilistic system); system that future conditions can not be predicted because it contains elements of probability. System closed (close system); systems that are not related and are not affected by external systems. The system works automatically without any intervening from the outside. Theoretically such systems exist, but in fact no system is completely closed, the existing Relatively closed systems only (relatively closed, it is not completely covered.) Open system (open system); system-related and affected by external environment. The system is simple and complex system level Information Systems Several types of IT are developed based on managerial lines, has functions and benefits for each level managerial. The SI levels are: Transaction Processing Systems (TPS Transaction Processing-sytems.) TPS is an outgrowth of the establishment of an electronic office, where most of the work including automated routine for processing the transaction. At the polling station, the data included are data transactions. Management Information System (MIS). SIM is a complete management of the processes that provide information for managers to support operations and decision making in a organisasi.Pada SIM, given input data in the form transactions have been processed, some of the original data, models data.Kemudian processing such data will be processed. The process that occurs in the form of making the reports concise, routine decisions and answers from a given query. Decision Support System (SPK) is an increase of the SIM with the provision of special procedures and unique modeling that will assist managers in obtaining alternative decisions. e-Business Information System is built to meet the challenges of integrating data and information from the Internet-based business processes. More specifically known also that called the automated system; that is part of man-made systems and interact with the control by one or more computers as part of the system used in modern society. automated systems have a number of components, namely: Hardware (CPU, disk, printer, tape). software (operating systems, database systems, communications control programs, application programs). Personnel (who operate the system, provide input, output and consuming manual activities that support the system). The data (which must be stored in the system during a certain period). procedures (instruction and policies for operating systems.) automated system is divided into a number of categories: On-line systems. on-line system is a system that receives direct input on the area where the input was recorded and produced output that could be the result of computing in the areas where they is required. Area itself can be broken down in scale, such as hundreds of kilometers. Typically used for air transport reservation, railway reservation, banking, etc.. Real-time systems. The system is real-time control mechanisms, data recording, processing very quickly so that The resulting output can be received in relatively the same time. The difference with on-line system is the unit of time used real-time is usually a hundredth or a thousandth of a second on-line while still dalah scale of seconds or sometimes even a few minutes. Another difference, on-line usually only interact with the wearer, while real-time directly interacting with the user and the environment are mapped. Decision support system + strategic planning system. The system that processes transactions on a daily organization and help managers make decisions, evaluate and analyze the organization's goals. Used for system payroll, ordering system, accounting system and production system. Usually, statistical packages, etc. The marketing package. This system not only record and display the data but also the functions of mathematical, statistical data analysis and display information in graphical form (tables, charts) as conventional reports. Knowledge-based system. Computer programs are made close to the capabilities and knowledge of an expert. Commonly used hardware and specialized software such as LISP and PROLOG. The system is based on the basic principles are generally divided into: System is specialized; is a difficult system diterakpan on different environments (eg biological systems; fish moved onto land) of the system; is a system that serves most of its resources to do the daily maintenance (eg dinosaurs as a biological system spends most of his life by eating and eating). System as part of the system other; system is always a part of a larger system, and can be divided into smaller systems. The system evolved; although not apply to all systems but almost all the systems are always evolving. Executors system consists of 7 groups: Users; In general there are three types of users, namely operational, supervisory and executive. Management; generally consist of three types of management, user management is responsible for handling use where the new system implemented, the management system involved in the development of the system itself and the general management involved in planning strategies and systems decision support systems. Group management is usually involved with decisions relating to people, time and money, for example: "the system must be capable of performing the functions x, y, z, otherwise it must be developed within six months with the department involving the programmer of w, at a cost of x ". Examiner; size and complexity of systems that work and the natural form of organization where the system is implemented to determine a conclusion as to whether the examiner. examiner usually determines everything was based on standard measures developed in many of its peers. Analyser system; Function -functions such as: Archaeologists; namely that track how long the system actually works, how the system is running and all matters relating to the old system. Innovators; namely that helped develop and open horizons for the users of other possibilities. Mediator; namely that runs communications functions of all levels, including users, managers, programmers, inspectors and agents to the other systems that may not have the attitude and the same light. Leaders of the project; analyzer system should be more experienced personnel from the programmer or designer. Also remember the analyzer system is generally set in advance in a job before the other work, it is natural that a portion of the work in charge analyzer system. Designing the system; Designer system analyzer system receives the results of user needs that are not oriented in a particular technology, which is then transformed into design high-level architecture and can be formulated by the programmer. Programmer; Working in the form of program design results that have been received from the designer. Personnel operation; Assignment and responsibility in the computer center as networking, security hardware, software security, and backup printing. Performer is may not be needed when the system is running is not large and does not require a special classification for the running system. The basic point in the development of analyzer systems are part of a team system that serves to develop a system with high efficiency and meet the needs of end users. This development was influenced by a number of things, namely: Productivity, the current system needs more, better and faster. This requires more programmers and systems analysts quality, extra working conditions, the ability of users to float its own, better programming languages, care system more well (generally 50% to 70% of resources are used for system maintenance), use of technical disciplines software and automated systems development. reliability, time spent on testing the system in general spend 50% of the total system development time. In the period 30 years a number of systems used in companies experiencing errors and ironically is not easy to change it. If something goes wrong, there are two ways you can do, namely to triangulate sources of error and must find a way to correct such errors by replacing the program, eliminating a number of statements long or add a new statement. Maintabilitas, treatment will include modifications to the system according to the development of hardware to improve speed of processing (which plays an important role in the operation of the system), modifications to the system according to the development needs of the user. Between 50% and 80% work performed on most system development carried out for revision, modification, conversion, enhancement, and tracking errors. Basic Concepts of Information: Information: data that has been processed into a form that has meaning for the recipient and may be a fact, a useful value. So there is a process of transforming data into an information == input - process - output. Data is raw material for some information. Differences of information and data is relatively dependent on the value of requiring a use for management. A certain level of management information for the data for management can be a level on it, or vice versa. Representation of information: information figuratively, for example: binary representation. The quantity of information: the unit of measure information. Depending on the representations. For the binary representation of the unit: bit, byte, word, etc.. The quality of information: the bias against error, because: measurement and collection errors, failure to follow prmrosesan procedures, loss or unprocessed data, recording or correction of data errors, the error history file / master, error processing procedures lack berfungsian system. Age of information: when or how long the information has value / meaning for its users. There informasion condition (refer to particular point in time) and operating information (stating a change in a range of time). The quality of information; depends on 3 things, that information must be: Accurate, meaningful information should be free from mistakes and not biased or misleading. Accurate also means that information must clearly reflects the masudnya. Stay in time, means information that comes at the receiver should not be too late. Relevant, means that information menpunyai benefits to the wearer. The relevance of information for each person differ from one another. Value of Information determined from two things, namely benefits and costs to get it. An information said to be worth if its benefits are more effective than the cost to get it. Measuring the value of information is usually associated with the analysis of cost effectiveness or cost benefit. Definition of Information Systems: An integrated system capable of providing useful information for its users. Or; A integrated system or human-machine systems, to provide information to support the operation, management in an organization. The system utilizes hardware and computer software, manual procedures, models and database management. From the above definition there are a few key words: computer-based and Human Systems / Computer-Based Machines: the designer must understand the knowledge of computers and information processing of human machine systems: there is an interaction between man and machine as the manager as a tool to process information. There is a manual process that must be human and there is an automated process by the machine. By because it required a procedure / manual system. The integrated database system using a data base together (sharing) in a data base management system. Support for Information Operations are processed and generated used to support the organization's operations. The term = Management Information System Information System Information Processing System = = = Information System Decision Information System. It refers to a computer-based information system designed to support the operation, management and decision-making functions of an organization. According to Robert A. Leitch; information system is a system in a organizations that bring together the needs of daily transaction processing, support operations, are managerial and strategic activities of an organization and provide certain outside parties with the necessary reports. Physical Component Information Systems: Computer hardware: CPU, Storage, device Input / Output, Terminal for interaction, communication media data computer software: system software (operating system and utilitinya), common software applications (programming language), software applications (accounting applications, etc..) database: data storage on computer storage media. Procedure: measures the use of the operating system for the management Personnel (HR), include: Clerical Personnel (to handle transactions and processing the data and perform inquiry = operator); First level manager: to manage the data processing is supported by planning, scheduling, identification of out-of situation -control and decision making to lower middle level. Staff specialist: used for analysis for planning and reporting. Management: for making periodic reports, requests periodicals, special analysis, reports Khsusus, supporting the identification of problems and opportunities. Applications = + program operating procedures. RELATIONSHIP WITH INFORMATION SYSTEMS MANAGERS In part 1 already mentioned that one of the components of the system as information is information management personnel. Therefore the relationship between information systems managers very closely. The system information needed depends on the needs of managers. Management information systems are organized in a management structure. Therefore the form / type of information system is required in accordance with the level of management. Top Level Management: strategic planning, policy and decision making. Manejemen Intermediate Level: for tactical planning. Manejemen Level Below: for planning and supervision of operations Operators : for transaction processing and responding to requests. For the development of an information system necessary structure of the organization's management personnel. Strutktur basically: Director of Information System Development Manager Systems Analyst Systems Programmer Computer and Operations managers. Variations in the management structure is highly dependent on Managerial Efficiency vs. User Service. APPLICATION SYSTEM INFORMATION IN HUMAN ACTIVITIES, ARE: aircraft reservation system: used in a travel agency to serve the reservation / ticketing system to handle credit sales of motor vehicles so that it can be used to monitor the customer's debt biometric systems that can prevent unauthorized people to access information confidential by analyzing fingerprints or eye retina Systems POS (point-of-sale) is applied to the supermarket with a barcode reader support to speed up data entry system or remote monitoring telemetry using radio technology, for example to get the ambient temperature on the mountain flaming or vibration monitor railroad bridge pillar system based on smart card (smart card) which can be used by medical interpreters to determine the patient history system installed in public places that allow one to get information such as hotels, tourist places, shopping etc.. Web-based system of academic services electronic data exchange system (Electronic Data Interchange / EDI) that allows the exchange of documents between companies electronically and the data which is contained in the document can be processed directly by computer e-government or government information system-based internet services .. DESIGN INFORMATION SYSTEM information system planning is the development of new systems from existing old system, where the problems occurred on the old system is expected to be resolved in the new system. INFORMATION SYSTEMS DEVELOPMENT LIFE CYCLE (SYSTEM DEVELOPMENT LIFE Cycles - SDLC) Conceptually a development cycle system information is as follows: System Analysis: analyze and define problems and possible solutions for information systems and organizational processes. Design System: designing output, input, file structures, programs, procedures, hardware and software required to support the development of information systems and Testing System: building software required to support the system and test it accurately. Perform installation and testing of hardware and operating system software implementation: switch from the old system to the new system, conduct training and guidance as needed. Operation and Maintenance: supporting operation of information systems and make changes or additional facilities. Evaluation System: sejauih evaluate where systems have been built and how well the system has been operated. The cycle takes place repeatedly. Cycle on a classic model of information system development. The new models, such as prototyping, spiral, 4GT and the combinations of the classical model developed above. ANALYSIS SYSTEM The reason for the importance of starting the analysis of the system: Problem-solving: the old system is not functioning as needed. For that analysis is needed to fix the system so it can function as needed. Needs new: a new need in the organization or environment so that it is necessary or additional modifications to support the organization's information systems. Implements new ideas or technologies. Improve overall system performance. Limitation of Systems Analysis: Activities conducted in the analysis system must be able to answer common questions, as follows : The new system is to be built? or system is to be added or modified on the old system that already exists? For that detailed questions to be answered: What information is needed? By whom? When? Where? In what form? How how to get it? Where's he from? How do I collect it? Proposal conduct systems analysis; Contains: Definition of a clear and consistent definition of the reason for the analysis of restriction analysis to be carried Identify facts that will be collected and studied for the analysis of identification of sources where the facts can be obtained Description of purpose and constraints that may be in the projection analysis of possible problems that will occur during the analysis of the tentative schedule analysis of sources of facts that can be studied for the analysis of the system: The system of internal sources such as: people, documents, and the relationship between person-organization or any function of External Resources : interfaces with other systems, seminars, vendors, journals, textbooks and other information or knowledge that are outside the system of Framework Analysis: An analysis of the level of decision makers (management organization): analyzing the organization, functions and information needs and information generated. Analysis of flow of information: identifying what information is required, who requires, where it came from. The analysis of input and output. In this analysis techniques and tools used, al: interview, questionaire, observation, sampling and document gathering, charting (organization, flow , dfd, ER, OO, etc.), decision tables and metrics analysis report: Report of the results of the analysis must contain: Description of the reasons and scope (limitations) Description of the analysis of existing systems and operations. Description of the purpose (objective) and the constraints of the system description of the problem unresolved issues and potential problems Description of assumptions made by the system analyst during the analysis process The recommendations of the new system and the need to design the initial projection of resource requirements and costs are expected to include in the design of new systems or modify it. This projection is including eligibility for the next process. Categories feasibility aspects: technical feasibility: the feasibility of hardware and software. Economic Feasibility: are there any advantages or disadvantages, common operational efficiency of the organization. Feasibility operations: associated with operating procedures and the people who run the organization Feasibility schedule: can using scheduling models such as PERT and Gantt Chart. Whether or not feasible development schedule. The final result analysis system (decision): Stop a job, because the proposal is not feasible. Wait a moment, because there are other considerations. Modifications, management decided to modify prososal with other subsystems. The process of the condition, there are eligibility requirements. Process unconditionally, all requirements are met. The proposal received and proceed to the preliminary design process. JFKelly according to the system development cycle; Research Definition of the scope of the system. The analysis of research studies and system design studies research data collection and analysis system Design Development Plan for the implementation of the system development cycle Maintenance Testing Operating system development according to Martin L and Thomas Harrel; conception of systems analysis preliminary investigation preliminary Pendefinisan problem Preparation Analysis of the proposed system in detail the system design decisions Design Design Design of target systems re Solving Programming Develop design flow chart outlines the program Assemble Writing instruction programs Preparing test data for testing Perform Checking the results of correcting errors Diagnose Start program testing system Operating system Installation Documentation Design of systems analysis systems are used to answer the questions what? While the design is used to answer the question how ? Design concentrates on how the system is built to meet the requirements analysis phase. The elements of knowledge related to the design process: Resource organization: the organization rests on the five elements, namely: man, machines, materials, money and methods. The information needs of users : information obtained from users during the analysis phase of the system. System requirements: results of the analysis system. Methods of data processing, are: manual, elektromechanical, puched card, or computer base. The operation data. There are some basic operating data, al: capture, classify , arrange, summarize, calculate, store, retrieve, reproduce and disseminate. design tools, such as: dfd, DCD, dd, decision tables, etc.. The basic steps in the design process: Define the purpose of the system (the defining system goals), not only based on information users, but also in the form of abstraction and study characteristics of the overall needs of system information. Building a conceptual model (develop a conceptual model), a picture of the overall system that describes the functional unit as the unit system. kendala2 Applying organizations (applying organizational contraints). Apply system constraints to obtain the most optimal system. Elements of the organization is a constraint, whereas the functions to be optimized are: performance, reliability, cost, schedule instalation, maintenability, flexibility, grouwth potential life expectancy. The model for optimal system can be described as a model that contains: system requirements and organizational resources as inputs; weighting factor consists of the functions above optimal, and the total value of which must be optimized from the weighting factors. Defining the data processing activities (defining the data processing activities). Defining this can be done with the approach of input-process-output. To determine this requires an iterative process as follows: Mengidentifikasn output is important to support / achieve the objectives of the system (the system's goal) Me-list field specific information required to provide the output Identifies the input data spesifikik required to build the required information fields. Describes the data processing operations are applied to process input into output is required. Identify the input element which becomes the input section and stored during the processing of inputs into outputs. Repeat steps ae continuously served until all the required output is obtained. Build data base that will support the effectiveness of the system to meet the needs of the system, data processing and data characteristics. Based on these constraints the system development, priority support, the estimated cost of development; subtract the input, output and extreme processing Define the various control points to regulate the activity of data processing which determines the general quality of data processing. Complete input and output format is best for system design. Setting up the system design proposal. This proposal is necessary for proper management is the next process to be continued or not. The things that need to be prepared in the preparation of this proposal are: Declare re about the reasons for initiating the system of work including goals / objectives specific and related to user needs and system design. Setting up a simple model but the whole system to be proposed. Displays all available resources to implement and maintain the system. Identify critical assumptions and unresolved issues that may affect the final system design. The format of this design is very berfariasi proposal but contains things above. Basic Principles of Design There are two basic principles of design, al: Design of a monolithic system. Emphasized the integration system. Resource which can be integrated to obtain an effective system, especially in the cost. Design of a modular system. Emphasized on solving the functions that have a low idependensi into modules (functional subsystems) are separate making it easier for us to concentrate on designing a module. An information system can broken down into seven functional subsystems, ie: data collection, data processing, file updates, data storage, data retrival, report information and data processing controls. A general guideline in the design of functional subsystems of a system of information: Sources of data should be collected only once as an input to the system