A SYNOPSIS
ON
A COMPARATIVE STUDY OF DIFFERENT ACCOUNTING SOFTWARES E.G.
TALLY, SAP LOCAL ACCOUNTING SOFTWARE
IN THE
FACULTY OF COMMERCE
(FOR PARTIAL FULFILLMENT OF M.COM DEGREE)
SIR PARSHURAMBHAU COLLEGE, PUNE
BY
ABHILASHA SHELKE
ROLL NO: 14515
UNDER GUIDANCE OF
MRS. MRUNAL RISBUD
(SIR PARSHURAMBHAU COLLEGE, PUNE)
2020-2021
RESEARCH CENTRE
SIR PARSHURAMBHAU COLLEGE, PUNE – 411030
1) INTRODUCTION:
Earlier, when accounting software was not in use, businesses had to spend resources and time to maintain
huge data from the accounts department. Not only data maintenance but the transfer of files from one
department to another took a month. After some time, computers were not so useful to maintain the
accounting records so they want to innovate some special software which is used to maintain all accounting
transactions and also the bill of business and also the software which creates the trail and balance sheet of
the business. To prepare the accounting software they want to use the accounting function which can be used
in bookkeeping and accountancy. In 1972 SAP accounting software is introduced. After SAP introduce,
many companies introduced different types of accounting software such as Tally, Busy, Oracle, etc.
2) STATEMENT OF THE PROBLEM:
Tally fails to be user-friendly software. It does not help you use it with ease. It is of course a simple software
but not everyone can grasp the knowledge of accounting soon after installing it. Hence, it fails to guide its
user in a simple way on how to use it when you do not have much accounting knowledge.
SAP has the high cost of purchasing and implementing this program the company must purchase the
software and hardware necessary to run the program company-wide. Cost includes the labor cost of internal
information technology (IT) employees or external consultants overseeing the process. Once the company
implements the software, employees need to be trained. This involves training each employee in the
functions they have access to. On-going costs include software maintenance and periodic upgrade.
3) NEED OF THE STUDY:
To know by comparison the advantages and disadvantages of both the software (TALLY & SAP), which
will give a brief view of which software is more desirable and suitable where and why there is a demand of
particular software in some particular sector only.
4) RELEVANCE AND IMPORTANCE OF STUDY:
Proper and right software implementation helps a business in achieving its financial and business role. Some
of the software due to its user-friendly quality gets easily, widely accepted by users. Users become so
friendly with the available functions and quality of the software.
5) ASSUMPTIONS:
There are two types of accounting software so we will study both types of accounting software one is
System application and product in data processing (SAP) and the other one is TALLY. We will focus on
the study of which type of accounting software is more suitable for which type of organization/ user.
One of the business management software helps the user to create and manage ledgers, vouchers, reports,
and other essential payroll management of a company. Multiple modules will present Tally ERP 9 as a
handy solution for accounting professionals.
6) OBJECTIVES:
● To understand the concept of different accounting software.
● To analyze the advantages of accounting software.
● To study how different accounting software are similar to each other.
● To study and analyze the basic functions of accounting software.
7) STATEMENT OF HYPOTHESIS
● The use of accounting software is better concerning manual accounting.
● The basic functions of the accounting software same.
8) WORKING DEFINITIONS:
Tally:
Tally is being used by almost all companies from large establishments to even small businesses for its
accounting purpose. It is mainly used by chartered accountants, financial auditors, and other financial
institutions for its easy-to-use, simplicity, user-friendliness, and reliability.
SAP:
SAP is one of the world’s leading producers of software for the management of business processes,
developing solutions that facilitate effective data processing and information flow across organizations. SAP
helps companies and organization of all sizes and industries run their business profitably, adapt
continuously, and grow sustainably. This software collects and processes data on one platform from raw
material purchasing to production and customer satisfaction.
9) SCOPE OF THE STUDY:
Accounting software is considered an important factor affecting the day-to-day functioning of the firm or
organization. It affects the efficiency and productivity of the firm, and it also leads to reduced costs of the
firm required to be paid to the accountant and thereby increases its profits. The scope of this study is to
compare various accounting software such as Tally and SAP.
10) LIMITATIONS OF THE STUDY:
● Tally
Low security: You have to be very careful with the password as well. Once you lost or forget the user
password the retrieving of data is very difficult and quite time-consuming. Also, there is an alarming
possibility of losing the data in case of a virus or hard disk crash.
● SAP
SAP system tends to have complexity that makes them quite complicated when used by beginners.
11) CLASS OF RESPONDENTS:
For this research project, we considered the individuals, partnership firms, companies (Pvt. Ltd., Public Ltd),
etc. in and around Pune who are the users of SAP and Tally.
12) UNIVERSE AND SAMPLE SIZE:
People in and around Pune city, havenformation about the software and the organizations that are making
use of such software.
13) JUSTIFICATION OF SAMPLE SIZE:
By randomly choosing from each type of client like individuals, partnership firms, companies, etc. we will
get a representation of the entire universe and will help in the research as every type of client would be
studied.
14) RESEARCH DESIGN:
It consists of a series of steps or actions that are necessary to execute research effectively. The researcher has
used descriptive research.
15) SOURCE OF DATA:
We will use different SAP users and TALLY users to collect the data.
16) METHODS OF DATA COLLECTION:
As we know there are two methods to collect the data i.e. primary method and secondary data will use both
methods for data collection.
17) TOOLS OF DATA ANALYSIS:
Usage of Percentage Analysis by seeking the Google spreadsheet help in the analysis of all the clients.
18) NOTE ON STATISTICAL TOOLS TO BE USED:
For data analysis, statistical tools like the Tabulation method and Pie charts are used for the purpose.
19) TECHNIQUES OF DATA ANALYSIS:
Techniques like Microsoft office, Excel sheet, and Word; and software like CompuOffice are used for this
purpose.
20) REVIEW OF RELEVANT LITERATURE:
Various books, the internet, and other sources.
1. https://www.scribd.com
2. http://issuu.com
21) SCHEME OF THE REPORT:
1. Introduction
2. Objective
3. Hypothesis
4. Limitation
5. Research design
6. Methods of data collection
7. Techniques of data analysis
8. Review of relevant literature
