Budget Information System Architecture

A budget information system architecture should support and promote the exchange of information across a variety of software and hardware vendors' specifications. This type of flexibility gives managers access to additional resources that can be used in analyzing or developing accurate budget information.

The evolution of technical standards is reducing the risk that systems that employ accepted standards will suffer from an inability to exchange data. Standards for structured query language (SQL) commands and open database connectivity (ODBC) are two examples of technologies that can increase users' opportunities to share information. As these and other newer technologies are implemented into budget systems, managing the system's complexity becomes key.

Specifically, a budget information system's architectural design must consider factors that impact its ability to exchange numerical and text data. The integrity of the data must be the primary concern during exchange transactions. Potential constraints may include incompatibilities among data storage formats or other physical characteristics such as the record layout schemes. For instance, a system should consider the possibility of varying precisions among exchanged numerical data and its own storage format. These differences may affect the host system's ability to generate reliable information if its record storage format was not designed to accommodate the exchanged data's level of precision. If considerations such as these are not present, a subtle corruption may gradually accumulate into significant data distortions. The system's architecture should ensure reliability and information quality.

Again, flexibility is a critical factor in the successful development of an operational budget or forecast. The organization's operational managers often need to research and analyze budget information in addition to carrying out the normal duties of their positions. These managers need technology that will enable them to develop information during non-peak working hours, when they might be better able to focus their efforts on the tasks of budgeting. Frequently, this means remote access or portable data. By using mainstream technologies in the design of an information system's architecture, the options for data access are increased. These options also give managers greater opportunities to utilize third party tools in their analysis and research.

Application Interface

As users' levels of computing sophistication grow, their productivity and demands for capable tools grow as well. New users are becoming accustomed to standard software interface features that not long ago were considered state-of-the-art and innovative.  

Few users are willing to suffer through an extended learning curve trying to master a new application's logic and features. Most users appreciate familiar commands and an interface design that enables them to orient themselves quickly within a new application. Software applications that provide this type of interface support result in lower training costs and higher productivity for the end user.

Users expect computer software to introduce and normalize ever increasingly higher levels of automation in their work processes. At the same time, users do not expect technology to add new levels of manual procedures and additional complexity to their existing tasks. Software developers must continue to meet these challenges with application interfaces that mask complexity and deliver real productivity to the end user.

Data Security

Securing data has become one of the most important considerations for both administrators and end users involved in the budget process. The process may require that confidential information, such as employee salaries, is available only to the administrators involved in projecting operating expenses. Administrators may need to refer to this information when calculating related line items such as tax withholdings and insurance contributions.

In order to ensure that this data can only be accessed by responsible parties, a budget system must be able to provide adequate security. A client/server system may be able to accomplish this through table-level security and encryption on a remote server. Additionally, the secured information may be the responsibility of a database administrator who is also able to control physical access to the remote server.

Desktop systems are usually capable of offering user-defined password security at either the application, table, or operating system levels. These types of security offer protection for end users who are located at network workstations and standalone PCs.

Security for budget information should not be completely dependent upon current technologies. Budget administrators should also put into effect policies and procedures that will help safeguard their organization's data. With the right combination of technology and policies, budget information can be exchanged throughout the organization without risking its negligent or intentional misuse.