V INTERNATIONAL CONFERENCE ON ARTIFICIAL INTELLIGENCE AND EMERGING
TECHNOLOGIES IN ACCOUNTING, FINANCE AND TAX
JOINTLY SPONSORED
BY
THE RESEARCH GROUP ON ARTIFICIAL
INTELLIGENCE IN ACCOUNTING, THE UNIVERSITY OF
AND
THE ARTIFICIAL INTELLIGENCE AND
EMERGING TECHNOLOGIES SECTION OF THE AMERICAN ACCOUNTING ASSOCIATION
NOVEMBER 2-3, 2000
PROGRAMME CO-CHAIRS
Enrique Bonsón.
Alan Sangster. The Open University.
SCIENTIFIC COMMITTEE
Barbro Back.
Amelia Baldwin-Morgan. University of Alabama. USA
Enrique Bonsón.
Carol E. Brown.
Marilyn Greenstein.
Mary Jackson.
Marco de Marco. Catholic University of Milan. Italy
Julio Moreno-Dávila. Enginyeria
Sri Ramamoorty. Arthur Andersen, LLP.
Alan Sangster. The Open University.
Carlos Serrano.
Hermann Siebdrat.
Guillermo J. Sierra.
Rajendra Srivastava.
Miklos Vasarhelyi.
Maia Wentland.
COLLABORATING ENTITIES
Asociación
Española de Contabilidad y Administración de Empresas (AECA)
Caja Rural Provincial de Huelva
Colegio de Economistas de Huelva
PriceWaterhouseCoopers
Universidad de Huelva
· Departamento de Economía Financiera, Contabilidad y Dirección de Operaciones
· Facultad de Ciencias Empresariales
· Vicerrectorado de Investigación y Tercer Ciclo
· Vicerrectorado de Nuevas Tecnologías
· Vicerrectorado de Relaciones Institucionales y Extensión Cultural
8:30-9:00 Registration
9:00-9:30 Opening Ceremony. Excmo. Sr. Rector
Magnífico de
9:30-11:00 Keynote speakers (I)
XBRL. THE DIGITAL MEDIA PERSPECTIVE. Zachary Coffin. KPMG Consulting.
DESIGN AND
APPLICATIONS OF AN INTELLIGENT FINANCIAL REPORTING AND AUDITING AGENT WITH NET
KNOWLEDGE (FRAANK). Presented by: Rajendra Srivastava.
11:00-11-30 Break
11:30-13:00 Keynote speakers (II)
REA ECONOMIC AGENTS
AS HOMINES ECONOMICI IN AN AGENT-ORIENTED INFORMATION SYSTEMS. William E. McCarthy.
THE MAP OF
FINANCIAL CIRCULATION IN THE BUSINESS ENTERPRISE: A NEW FINANCIAL STATEMENT. Moisés García. Universidad Autónoma de
Madrid.
13:00-15:00 Lunch
15:00-17:00 Management Accounting
A COST SYSTEM
GRAPHICAL DESIGN USING MULTILEVEL "COST-FORM GRAPH" TECHNOLOGY. Francisco López and
Manuel López. Universidad de Almería.
A SIMULATION SYSTEM
FOR THE MASTER PRODUCTION SCHEDULE. Francisco Aguado and
APPROACHING AN
ENTERPRISE KNOWLEDGE PORTAL FOR PUBLIC TRANSPORTATION BUSINESSES. Hermann Siebdrat.
DEVELOPMENT AND
COST EFFECTIVE APPLICATIONS OF EXPERT SYSTEMS FOR IMPROVING THE PRODUCTIVITY OF
ORGANIZATIONS: A CASE STUDY.
CONTROL AND AUDIT
OF OBJECT ORIENTED SYSTEMS. Kaustav Sen. Pace University.
INFORMATION
TECHNOLOGIES: CHALLENGES AND OPPORTUNITIES FOR THE MODERN MANAGEMENT ACCOUNTING
SYSTEMS. Gemma Hernando and María
Elena García. Universidad de Cantabria.
17:00-17:30 Break.
17:30-18:50 Neural
Networks, CBR & Decision Tables
COMPANY CLASIFICATION
AND BANKRUPTCY PREDICTION MODELS: AN APPLICATION TO CHILEAN COMPANIES. Gianni Romani, Patricio
Aroca, Nelson Aguirre, Paola Leiton and Javier Muñoz. Universidad Católica del
Norte.
THE USE OF A NEURAL
NETWORK IN THE PREDICTION OF THE IBEX-35 STOCK INDEX. Juan José Molero. Universidad Rey Juan
Carlos. Francisco Javier Sevillano. Universidad Complutense de Madrid. Piedad
Tolmos Universidad Rey Juan Carlos
CBR USED AS A
MECHANISM FOR SOLVING DECISION MAKING PROBLEMS AND FOR CONSTRUCTING MODELS: AN
EMPIRICAL STUDY. María José Charlo and
Guillermo Sierra. Universidad de Sevilla.
DECISION TABLES: AN
OVERVIEW OF THE EXISTING LITERATURE.
Ana María Moreno, M. Verhelle and Jan Vanthienen. Katholieke
Universiteit
21:00-24:00 Flamenco dinner
9:30-11:00 Digital Reporting
ARE SPANISH COMPANIES MAKING USE OF THE WEB
FOR FINANCIAL REPORTING? AN EVOLUTIONARY ANALYSIS. Francisco Javier
Sevillano. Universidad Complutense de Madrid Juan José Molero. Universidad Rey Juan Carlos.
DIGITAL REPORTING PRACTICES BY THE TOP 100
EUROPEAN COMPANIES. Enrique Bonsón. Universidad de Huelva.
THE EMERGING ELECTRONIC BUSINESS REPORTING
LANGUAGE XBRL. Liv A. Watson. Brian L. McGuire and Eric E. Cohen. XBRL working
group.
11:00-11:30 Break
11:30-12:30 Internet
INTERNATIONAL ACCOUNTING THROUGH THE
INTERNET. Leandro Cañibano. Universidad Autónoma de
Madrid. Sharon Lightner. San Diego State University. Jose Luis
Ucieda. Universidad Autónoma de Madrid.
PERSONALIZING FINANCIAL INTERACTIONS USING
WEB MINING. Maurice Mulvenna. MINEit Software. Tony
de Bree. ABN AMRO Bank. Sarabjot Anand. Alex Büchner. MINEit
Software. Matthias Baumgarten.
12:30-12:45 Presentation of The International Journal
of Digital Accounting Research. Enrique Bonsón and Miklos Vasarhelyi, editors.
12:45-13:30 Closing conference.
A DRAMATIC NEW AUDIT MODEL: TOWARDS CONTINUOUS
ASSURANCE. Miklos A. Vasarhelyi.
13:30-15-30 Lunch
16:00-20:00 XBRL SYMPOSIUM. With Zachary Coffin and Liv Watson. XBRL.org
16:00-17:00 XBRL
Overview.
17:00-17:30 An
XBRL Demo
17:30- 18:00 Break
18:00 - 18:45 Domain Group Taxonomy. We discuss the concept of an accounting taxonomy and the framework for
creating taxonomies by industry and by country.
18:45 – 20:00 XBRL-The
Next Step. An open discussion among all participants, moderated by XBRL
representatives, to assess the role of the Spanish institutions in XBRL's
development and how best to potentially launch a XBRL Committee locally
ABSTRACTS
A SIMULATION
SYSTEM FOR THE MASTER PRODUCTION SCHEDULE
Francisco
Aguado Correa. Departamento de Economía Financiera, Contabilidad y Dirección de
Operaciones. Universidad de Huelva
Santiago
García González. Departamento de Economía Financiera, Contabilidad y Dirección de
Operaciones. Universidad de Huelva
In the increasingly competitive environment of
enterprises, simulation has become a very powerful computerized tool for
management decision making.
Decision making is an essential aspect of all
management activity. Although the specifics of each situation vary, decision
making generally involves the same basic steps: recognize and clearly define
the problem, collect the information needed to analyze possible alternatives,
and choose and implement the most feasible alternative.
One of the key decision areas of Operations Management
is master production scheduling, that obtain the master production schedule
(MPS), i.e. the time-phased plan specifying how many and when the firm plans to
build each specific item, with an acceptable cost and level of service.
This way, the firm’s operation function must attempt
to lower the cost of labor, inventories, overhead, etc.
The importance of the costs requires the development
of a correct planning and control of the same ones, question that affects to
the accounting function, which is the one in charge of developing accurate cost
data.
In this paper, a simulation system for the master
production schedule (MPS2000) is presented. This has been designed for the case
of discrete production. We have provided it, with a "friendly" and
very helpful interface aimed at giving, even the non-expert user, quick and
easy access. Furthermore, solutions such as integration with aggregate plan,
on-line updating, performance measuremen or graphical representation are added,
as well as the possibility to transfer data to other software packages.
PREDICTING STOCKS
AVERAGE PRICE: A NEURAL FUZZY APPROACH
José Manuel Andújar Márquez.
*Patricio Salmerón Revuelta
Omar Sánchez Pérez.
**Juan José de
Department of Ingeniería
Electrónica de Sistemas Informáticos y Automática.
**Departament of Física Aplicada
e Ingeniería Eléctrica.
**Departament of Economía
Financiera, Contabilidad y Dirección de Operaciones.
This paper is related to the application of adaptive
fuzzy system for human expert emulation.The variables taking into account for
financial investment (more precisely, stocks transactions, average price and
closing price) are used as input-output information for black-box modeling.
The advantage of this method is that thanks to the
adaptive fuzzy system it is possible to incorporate to the model the knowledge
of an investment advisor. To do it, we have to define the investment advisor’s
membership functions in the universe of discourse.
Although only three variables are used here, the
method proposed is flexible. More variables can be used to obtain a more
precise result. Additionally, different membership functions can be taken into
account in the modeling process.
Keywords: financial
investment, stocks transactions, average price, closing price, artificial intelligence,
financial prediction, fuzzy logic.
DIGITAL
REPORTING PRACTICES BY THE TOP 100 EUROPEAN COMPANIES
Enrique Bonsón
Ponte
Departamento de
Economía Financiera, Contabilidad y
Dirección de
Operaciones
Universidad de
Huelva.
The dissemination of accounting information by means
of Internet is adding a new dimension to corporate reporting. Online, real
time, information will soon replace historical financial statements at present being
provided by companies to stakeholders. Businesses could provide current
information used by managers for decision making. Search and presentation
capabilities of the Internet will allow companies to add value to their
corporate information. Companies should be able to offer to main stakeholders a
wide range of additional non financial information that could be accessed on
demand depending on the stakeholder´s interest.
In this work we aim to analyze the scope and impact of
electronic dissemination of accounting information in
INTERNATIONAL
ACCOUNTING THROUGH THE INTERNET
Leandro Cañibano, Jose Luis Ucieda
Departamento
Contabilidad y Organización de Empresas
Universidad
Autónoma de Madrid
Sharon Lightner1
Business globalization, information technologies, and
international accounting harmonization are all taking place in today’s business
world. Professionals must acquire new skills to operate in the new economy,
think globally, and understand and comprehend the possibilities of the new technologies.
In this context, an experimental international accounting course has been
developed to make students, practitioners, and members from standard setting
bodies from the Technological University of Hong Kong (China), Université of
Fribourg (Switzerland), San Diego State University (California, USA), and
Universidad Autónoma de Madrid (Spain), participate in a synchronous course
using the latest internet-based communication technologies.
Correspondence
address:
Jose Luis Ucieda, Departamento de Contabilidad y Organización de Empresas,
Facultad de Ciencias Económicas y Empresariales, Universidad Autónoma de
Madrid, Ctra. Colmenar km. 15, Madrid 28043; email: joseluis.ucieda@uam.es
Development and Cost-Effective
Applications of Expert Systems for Improving the Productivity of Organizations:
A Case Study
Nova Southeastern University
Shwu-Min Horng
Supply Chain Services
Motorola
This paper presents a case study of combining the use
of an expert system and regression analysis to support decision making involved
in improving the productivity of an organizationillustrate . A pharmaceutical
distributor in
CBR
USED AS A MECHANISM FOR SOLVING DECISION MAKING PROBLEMS AND FOR CONSTRUCTING
MODELS: AN EMPIRICAL STUDY.
María José
Charlo Molina.. universidad de Sevilla .
Guillermo J.
Sierra Molina. Universidad de Sevilla.
There is an area of research which tries to demostrate
the importance of accounting as useful information in different decision-making
models. In these models the commonly used statistic-econometric approach is
abandoned in favour of Artificial Intelligence (AI).
At the same time, we are concerned by the complexity
of the decision-making process in general, and especially, in those processes
which, from an external point of view, classify companies and are based on
variables calculated on the basis of accounting, profitability, solvency, etc.
Among those decision-making processes for companies analized externally, we
were particularly attracted to the problem of the granting of bank loans.
So, banking institutions make decisions on the basis
on the information which experience has shown to be most relevant in the light
of different variables: the type of company, the sector in which it operates,
etc. This action led us to think about the possibility of applying Case
Based-Reasoning (CBR) technology to this type of decision and seeing if it were
possible to arrive at the same decision as the analyst regarding bank loans.
The objective of this project is to demostrate that
the process of risk analysis in a corporate environment can be carried out
using the AI technique of CBR which will let us reach the same credit decisions
as the analyst, and will allow the individual analysis of each credit,
underlining, as well, the reasons which prompt us to take the decision and the
most significant variables in the process. The objective of this project is not
the identification of the best possible model, but rather the establishing of a
model which helps the risk analyst with his decision on possibly granting a
bank loan in a simple and understanding way, explaining the steps to be taken
in order to recommend a determined reply.
To complete this process, we have divided it into the
following sections: firstly, the introduction of AI and CBR; secondly, the
decision-making process of the risk analyst and the key factors to be borne in
mind in the decisions on bank loans. Thirdly, an explanation of how the
research has been designed and what questionnaire was completed by the analyst
on the different financial institutions in order to supply a database. We shall
see how we can work with the sample obtained and what is the result of the
study carried out, underlining what we consider to be the most important
variables for the computer tool. Lastly, we shall put forward the most relevant
conclusions of this research and the work which, along similar lines, we could
carry out in the future.
XBRL—The Digital Media Perspective
Zachary Coffin
Program Leader – Digital Media Institute
KPMG Consulting
This paper is intended for strategic executives in
every sector, and assumes only general knowledge of financial reporting and
technology. Financial reporting is fundamental to every business and
organization, and XBRL ("Extensible Business Reporting Language") is
a key development in the reporting of financial information over the internet.
In fact, in the internet age, every company is a digital media company, because
communicating financial performance-required of every business-is,
fundamentally, communicating information, which is to say, content. Just as entertainment
companies seek to reach key audiences, companies will adopt the best practices
of digital media to communicate their performance in order to gain support from
analysts, creditors and investors. For many companies, XBRL will be this first
step toward "digital reporting." It then becomes increasingly
difficult to identify entities by their traditional role, and, if we look at
today's digital media companies as a glimpse of the future, companies will be
able to be identified only by the way they interact with others. The
"calculus of digital reporting" (continuously measuring and reporting
at the micro-level) will propel a number of societal and business model
transformations. The companies that will benefit most in a world of digital reporting,
will be those who recognize and adopt the best practices in digital media.
THE MAP OF
FINANCIAL CIRCULATION IN THE BUSINESS
Moisés García
Departamento
Contabilidad y Organización de Empresas
Universidad
Autónoma de Madrid
e-mail: moises.garcia@ uam.es
The reality represented by financial statements of
business enterprises is the structure of economic accumulation(financial position).
This structure is determined by the discrete topological structure of
economic(financial) circulation, that in turn, is propelled by economic
activity and economic events. Then we have the following causal chain for a
full explanation of the economic(financial) accumulation:
ECONOMIC ACTIVITY AND EVENTS® ECONOMIC(FINANCIAL)
CIRCULATION ® ECONOMIC(FINANCIAL) ACCUMULATION
There is a lack in the conventional accounting theory
and practice explaining the changes in the economic accumulation of a business
enterprise from economic activity and events. This lack has a name: THE
economic (financial) circulation in the business enterprise.
In a recent speech(September 28, 1998) in the NEW YORK
UNIVERSITY CENTER FOR LAW AND BUSINESS Mr. Arthur Lewitt Chairman of the
Securities and Exchange COMMISSION, worried about the recent accounting
practices included in the so called "Earnings Management", said:
"First I have instructed the SEC staff to require
well detailed disclosures about the impact of changes in accounting
assumptions. This should include a supplement to the financial statement
showing beginning and ending balances as well as activity in between (the
remarks are mine) including any adjustments".
The proper means showing that "activity in
between" is the map of financial CIRCULATION in business enterprise,
which is the subject of this paper.
INFORMATION
TECHNOLOGIES: CHALLENGES AND OPPORTUNITIES FOR THE MODERN MANAGEMENT ACCOUNTING
SYSTEMS
Gemma Hernando
Moliner
María Elena
García Ruiz
Dpt. of Business Administration,
The generalized incorporation of IT has implicated a
radical change in economic and social areas because of the modification of the
principal factors in economic development (from tangibles resources to
intangible information and knowledge), the game rules (global field) and
consequently, the values for social unfolding for people and firms (quickly
adaptability to the environment).
Technology revolution has been, and is, the cause and
the consequence of organizational change process in big and small enterprises,
adapting themselves to the environmental changes in order to subsist at medium
and long terms. About this, IT are seen as key facilities these entrepreneurial
adaptation processes.
Both the disposition and the competence
intensification that appear in the majority of economic sectors, joined to the
necessity of the possibility of more and better information for entrepreneurial
management. This being the point of the new systems development in order to
take competitive advantages of good information. In this sense, MAS, as one of
the most important formal information subsystem in the organization, has
assumed the challenge of adaptation to new organizational approaches through
its models redesign and the rethinking of its tools, in order to guaranty its
utility as a service tool for managers.
With the present process of globalisation, the
economic world has become impregnated of a integrated attitude that has a
reflect, specially, in management with diverse approaches: the conjunction of
economic and social field in the conception of the firms, the difumination
between short and long term in decisional processes, the narrow attaching
between real and financial areas and the juxtaposition of human and technologic
factors. And all this renders obvious the flexible and virtual organisational
structure as a model for the more adapted firms to the competitive environment.
As it was possible to hope, this integrated and
flexible attitude has been extended to the management techniques, like MAS.
Theses systems must answer consequently: integrated posture of tools, and
versatile and coherent structuration with the new organisational modelling.
This last aspect lets us to propose the suitability of the present integrated
proposal of the balanced scorecard as a backbone model of a MAS in his most
wide conception.
A cost system graphical design using
multilevel "cost-form graph" technology
Francisco López
Cruces
Manuel López
Godoy
Departamento de Dirección
y Gestión de Empresas
This paper has a double aim: to present the
methodology designed by the authors to represent the production process using
the cost-form graph language —developed by Professor Moisés García and frameworked
in the circulation analysis theory—, and show an empirical evidence of the
aforementioned methodology in co-operatives companies involved in fruit and
vegetable marketing and selling. With this aim we start showing the basis of cost-form
graph, essential to the understanding of the value circulation maps. We
follow presenting the proposed methodology, which includes: a working plan, the
notation conventions used, and a multilevel focus for showing the process
cartography. We end with the application of that methodology in three
production lines of one of the co-operatives involved in fruit and vegetable
marketing.
"REA ECONOMIC
AGENTS AS HOMINES ECONOMICI IN AN AGENT-ORIENTED INFORMATION SYSTEMS
ENVIRONMENT"
William E. McCarthy, Arthur Andersen Alumni
Professor
Michigan State University, East Lansing, MI., USA
Email: mccarth4@msu.edu
The REA model is a pattern for an internal business
process or an external market exchange. It consists of two mirror image
constellations of the economic objects involved in a transaction -- economic
Resources, economic Events, and economic Agents – connected by a duality
relationship.In microeconomic terms, the full REA pattern is a representation
of a production
function that transforms one or more types of input into an output of greater
value. More recent REA work has extended this basic pattern in two directions:
1. horizontally into types and commitments; and
2. vertically into enterprise value chains and
workflow representation.
In REA, economic agents are assumed to be homines
economici, that is rational parties who engage in arms-length commerce with
the specific objective of maximizing utility. For a traditional information system,
these REA economic agents are representation artifacts (like tuples in a
relational database) that model retrospectively the actual behavior of real
world parties. However, in certain types of agent-oriented information systems,
the software agents become the economic actors themselves, not mere
retrospective representation artifacts. This speech will overview current REA
research that seeks to build information system prototypes with intelligent
software agents that act as homines economici, both in the way their
assumptions, goals, and plans are modeled and in the way in which they act on
those modeled components as parties in e-commerce.
THE
USE OF A NEURAL NETWORK IN THE PREDICTION OF THE IBEX-35 STOCK INDEX
Juan José Molero
López . Universidad Rey Juan Carlos
Francisco Javier
Sevillano Martín. Universidad Complutense de Madrid
Piedad Tolmos
Rodríguez-Piñero. Universidad Rey Juan Carlos
This document aims to seek a useful tool for the
predictive analysis of the stock market, particularly the index of the
continuous market of the Spanish Stock Market, Ibex-
Two forecasts have been made. The first one, made in
December of last year, for the first quarter of the year 2000, and the second
forecast, made in late May, for the months of June, July and August of this
year.
The neuronal network used, Perceptron, has been
trained with the real data originating from the Stock Market using different
periods of time and making changes in the parameters that condition the
capacity of prediction of the network. The results of the first quarter have
been contrasted with the real data, studying the deviations found and
attempting to justify them. The results of the second period, which will be
contrasted after August, are to be set forth at the congress meetings.
Contact
address: Juan José Molero López, Facultad Ciencias Jurídicas y Sociales,
Universidad Rey Juan Carlos, Paseo de los Artilleros s/n, Madrid 28032, Spain.
E-mail:jjmolero@poseidon.fcjs.urjc.es
Personalizing Financial
Interactions using WEB Mining
Maurice D.
Mulvenna, Tony de Bree, Sarabjot S. Anand
Alex G. Büchner
& Matthias Baumgarten
5a
Gustav Mahlerlaan,
10,
Faculty of
Informatics,
COMPANY
CLASSIFICATION AND BANKRUPTCY PREDICTION MODELS: AN APPLICATION TO CHILEAN
COMPANIES
Departamento de Ciencias
Empresariales.
Universidad Católica del Norte.
Chile.
Control
and audit of object oriented systems
ARE
SPANISH COMPANIES MAKING USE OF THE WEB FOR FINANCIAL REPORTING? An
evolutionary analysis
Rey Juan Carlos University.
Approaching an
Department of
Information Systems
THE
EMERGING ELECTRONIC BUSINESS REPORTING LANGUAGE XBRL
Liv A. Watson, Dr.
Brian L. McGuire, CPA and Eric E. Cohen, CPA
Predicting Economic
Time Series with a Finite Impulse Response Neural Network
1Yañez J. C., 2Borrajo L., 3Corchado J. M.
1Facultad de Ciencias Empresariales. Universidad de Vigo (Ourense)
2E. S. de Ingeniería Informática. Universidad de Vigo (Ourense)
3Dept. de Informática y Automática. Universidad de Salamanca
DESING
AND APPLICATIONS OF AN INTELLIGENT FINANCIAL REPORTING AND AUDITING AGENT WITH
NET KNOWLEDGE (FRAANK).
Alexander Kogan y Miklos Vasarhelyi