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INTRODUCTION
1. The necessity of the thesis
Amid the current international economic integration context, Vietnam
enterprises suffer big competitive pressure not only from domestic counterparts
but also from giant multinational corporations strong in capital, brands and
management capacity. Accounting is known as a sharp and effective weapon for
enterprises in making plans and managing business operations. To develop
sustainably, enterprises need to have various factors, of which the very crucial is
a good accounting system. As globalization is increasing, the application of
information technology in accounting work has become common.
Computerizing accounting not only processes and provides information
accurately, rapidly and conveniently but also increases labor productivity and
raises accounting efficiency. Reality has shown that in recent years, the
Communist Party and Government have paid special attention to the
development and application of information technology to boost the national
cause of industrialization and modernization and affirmed that “Computerizing
management plays an important part and is a regular task of organizations to
raise management capacity, productivity, quality and efficiency. Enterprises
need to invest in information applications, considering them a fundamental
measure to renovate management” (Politburo, 2000). This guideline has been
reflected by different circulars and policies which specify the tasks of relevant
agencies in setting, implementing, supervising and evaluating action plans so as
to turn information technology applications into a new form of development,
raise operational performance and competitiveness to catch up with other
countries in the world. In this guideline, information systems play an essential
role in grasping new development opportunities, accelerating regional and
international integration process and renovating production. This may result in

Vietnam Chamber of Industry and Trade, 2016).
According to the report of Ministry of Construction in 2017, the
construction industry maintained a quite high growth rate of 8.7% over 2016,
contributing 0.54 percentage point to national growth rate, ranking third among
sectors with high percentage point contribution to the country’s GDP. Under the
forecast of BIM, the construction industry will grow at 6.6 % annually in the
2017 – 2025 period. Construction enterprises belong to infrastructure creating
sector in the economy. The construction sector is expanding and developing
under different forms including state owned, joint stock, private, limited and
informal. To integrate into the world economy, construction enterprises need to
strengthen their financial management solutions so that they can save costs in
each construction work.
The construction industry has some typical features such as products are
construction and architecture projects of big scales, complex structures, longterm completion period, these features can affect the process of informatic
application in the accounting system. Besides the normal accounting practices,
construction accounting needs to perform some functions such as making
estimates (estimating designs and construction), managing fixed assets,
adjusting annual asset depreciation and accumulated depreciation. Besides,


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product prices are calculated on the basis of negotiations with investors or
estimates. Assets are fixed at construction sites while facilities, materials, labor
force are mobile on each project. This makes it difficult to control the quality
and quantity of materials exported from warehouses; managing assets, labor
force and materials in the construction sites as well as creating accounting for
production costs depend on various factors. Besides, upon completion, products

complete replacement of the old software with a totally new one costs time and
money. Besides, when upgrading the system, problems may arise when the old

and new softwares have drastic differences in terms of technology, data
accessing and processing modes. To deal with these problems, the Enterprise
Application Integration (EAI) has been proposed to integrate new applications
into the existing ones to create a united system capable of sharing data among
applications, using prevailing infrastructure, recycling old software, thereby
increasing economic efficiency. EAI helps enterprises to save costs of setting up
the totally new system, enables them to apply different new solutions by
integrating the applications of various manufacturing firms.
In that sense, it is of great importance to conduct thorough and systematic
research on the computerization of the accounting information systems in
Vietnam’s construction enterprises so as to work out solutions and proposals to
complete the systems amid the context of development and integration.
Therefore, the dissertation titled “Research to Build Accounting Information
System in Vietnam’s Construction Enterprises – Pilot Implementation in Dat
Viet Investment Construction Trading Company” has both theoretical and
practical significance to boost the development of accounting information
system in the context of the fourth Industrial Revolution.
2. Research objectives and research questions
Overall objectives: On the basis of evaluating the current level of
computerization in construction enterprises and the needs to improve this issue,
the dissertation aims to design a synchronously-computerized accounting
information system for Vietnam’s construction enterprises.
Specific research tasks:
− Generalizing domestic and foreign research works related to the
research topic.
− Researching the theories on accounting information system,
computerization in accounting information systems, approaches to the

system
implemented?
− How is the synchronously-computerized accounting information
system experimented in Dat Viet Investment Construction Trading
Company?
3. Objects and scope of research
Research subjects: The accounting information systems and
computerization level of accounting information systems in Vietnam’s
construction enterprises, including different elements of: human, hardware,
network system, software, data, process, procedure, application efficiency.
Research scope: Research space includes construction enterprises within
the territorial border of Vietnam. However, due to limitations in time and
geography, most enterprises in the sample are located in Hanoi and Hochiminh
city. These are the locations with construction enterprises of different kinds and
forms. Research time lasted from 2014 to 2017.
4. Research methodologies
4.1. Determining research methods
A research method commonly used in the field of information technology
is the Design Science Research Methodology for Information Systems Research
(DSRM). This dissertation falls within the major of management information
system, a combination of the two fields of business management and
information technology. Besides, as construction is a big sector in Vietnam, its
operations are related to many other production and business areas. Therefore,
the author selected the DSRM method (Hever, 2004) to build and implement
accounting information system in construction via the following specific
methods:

- Method of system approach
- Method of professional process description
- Method of system analysis, design and building

current accounting softwares
- Synthesize demand for applications of
accounting information system
- Analyze necessary accounting modules in
construction companies.

Quantitative research results
- Analyze and synthesize the current situation
of computerization of the accounting
information systems
- Evaluate the need to apply accounting
information
systems
in
construction
companies.
- Identify the accounting modules not available
in the other softwares on the market today

Research to build an accounting information system
- Propose the model of accounting information system
- Specify business processes
- Analyze and design system
- Build the accounting information system

Implement and test the system

Conclusion

Figure 1. Process of conducting research

construction enterprises.
Thirdly, the dissertation has comprehensively analyzed and evaluated the
current level of computerization in construction enterprises based on the
published data and the author’s surveys.
Fourthly, the dissertation has proposed a synchronously-computerized
accounting information system for Vietnam’s construction enterprises, including
management accounting information that has not been covered in previous
accounting softwares. This system includes various cycles of: (1)- Accounting
for material and equipment; (2)- Accounting for production costs and
construction costs; (3)- Accounting for salary; (4)- Accounting for fixed assets;
(5)- Accounting for revenues; (6)- Accounting for business contract distribution;
(7) Financial reports, management reports, tax reports. These accounting cycles
are appropriate with the management conditions in Vietnam’s construction
enterprises at present and can integrate with other applications in the enterprises
on the basis of the Enterprise Application Integration (EAI).


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Fifthly, the dissertation has designed and coded accounting cycles by
using the method of Object-Oriented Analysis and Design to create a
synchronously-computerized accounting information system.
6. Organization of the thesis
In addition to the Introduction and Conclusion, the dissertation consists of
3 chapters:
Chapter 1. Theoretical grounds on accounting information systems in
construction enterprises
Chapter 2. Status-quo of computerization in accounting information systems in

(2) Research on technology and techniques to build accounting information
systems
- Research on the application of digital computers
- Research to the solutions to build accounting software
- Research on the solutions to build accounting information systems under
Client-Server model
- Research on the solutions to build accounting information systems under
Web-based model
- Research on the solutions to build accounting information systems under
service-oriented model on the basis of cloud computing
8.2. Overview of domestic studies
(1) Research on the accounting information systems and accounting software
- Research on the concepts, roles and resources in accounting information
systems
- Research on the quality of accounting information systems
- Research on the controls of accounting information systems
- Research on the procedures of building accounting software
(2) Research on technology and techniques to build accounting information
systems
- Semi-manual accounting information systems
- Partly-computerized accounting information systems
- Synchronously-computerized accounting information systems
8. Research gaps
A thorough investigation into domestic and foreign studies reveals that the
research works on accounting information systems are greatly various in both
theories and reality, they have covered different aspects of the concepts,
resources and procedures to build and implement the systems.
These are valuable sources of reference for managers, researchers and
lecturers in the field of accounting information systems. Accounting information
systems play a very important role in the management work of construction

- Most enterprises have not established accounting information systems
towards providing management accounting information for managers but only
provide financial information. Some systems have functions of management
accounting reports but the contents are inadequate, simple, dispersed with no
deep analysis of business operations in the enterprises, so the information that
accounting reports provide to managers remains limited.
- Accounting information systems are not flexible enough in formatting
reports and updating new accounting mechanism. Whenever Ministry of Finance
changes reporting formats, users have to update the new formats manually or
wait for software providers to update them. Accounting books and bills do not
comply with the current accounting regime. There has not yet been sufficient
research on theoretical frames and a comprehensive accounting information
system model has not yet been developed to meet the requirements of the
construction industry for accounting practices and reports. Moreover, the
processing speed of the systems is low, causing difficulties for users, especially
when updating prices or searching information.
- Techniques of collecting and processing information are not advanced
enough, thereby cannot create the cohesion and stability between the
requirements of management boards and information for management.
Functional divisions in enterprises are not organized under the models of
responsible accounting centres.

Particularly, there has been no survey on the computerization in
accounting work in Vietnam’s construction enterprises (except for annual
surveys conducted by VCCI on the applications of information and
communication technology in enterprises in general) to analyze the strengths
and weaknesses of these applications and their capabilities in meeting the
demand for accounting calculation so as to identify which accounting
professions in the construction industry have been computerized and which
accounting professions need to be implemented in order to facilitate the



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1.2.2. Features of accounting in construction industry
Accounting calculation in the construction industry is characterized as
follows: products are separate construction works implemented in a long time
and affected by social environment; production places depend on construction
sites; construction prices change in accordance with market fluctuations.
1.2.3. Features of accounting information systems in construction industry
Accounting calculation in construction differs from other industries in:
accounting for production costs and construction prices, accounting for material
and equipment, accounting for revenue, accounting for fixed assets, accounting
for business performance, management accounting.
1.3. Computerization levels of accounting information systems
This part presents the features of manual accounting system, semi-manual
accounting system (conducted in Excel), partly-computerized accounting
information systems, synchronously-computerized accounting information
systems and accounting information systems in ERP.
1.4. Technology to build accounting information systems
In this dissertation, the author inherits the model of Service Oriented
Architecture (SOA) based on Web service technology proposed by IMB (2004)
CONCLUSION OF CHAPTER 1
In this chapter, the author presents fundamental theoretical issues of
accounting and accounting information systems, the roles and principles of
building accounting information systems. The author also analyzes the typical
features of accounting work in construction industry and features of accounting
information systems in construction industry. The author generalizes and

- As to the function of ensuring data safety in the software
2.2.4. Status-quo of professional procedures and accounting regime
Some enterprises do not have regulations on printing account books,
reporting and saving data, erroneous figures on vouchers are adjusted directly on
the vouchers without creating correction vouchers. The practices of removing
duplication of accounting entry in enterprises greatly vary, there are no absolute
scientific and effective measures: duplications are mostly removed manually
when vouchers have entered the same data or have been calculated via
intermediate accounts and this does not comply with the accounting nature. In
fact, when computerizing accounting applications, enterprises often combine
between software and manual work.
2.2.5. Status-quo of users

CHAPTER 2. STATUS-QUO OF COMPUTERIZATION IN ACCOUNTING
INFORMATION SYSTEMS IN VIETNAM’S CONSTRUCTION
ENTERPRISES
2.1. Sample descriptions
This part describes enterprises participating in the survey.
2.2. Analyzing the status-quo of computerization in accounting information
systems in construction enterprises
2.2.1. Status-quo of hardware and network system


Most users are accountants who have specialized knowledge of
accounting trained in universities, colleges or vocational schools nationwide
(those with post-graduate degrees account for 26.34% while those with graduate
degrees make up 54.20%). Their computer skills are created via personal
experience and self-training. Managers rarely manipulate the applications by
themselves, they are provided with financial-accounting reports periodically or
on request.


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CHAPTER 3. DESIGNING SYNCHRONOUSLY-COMPUTERIZED
ACCOUNTING INFORMATION SYSTEMS FOR VIETNAM’S
CONSTRUCTION ENTERPRISES AND PILOT IMPLEMENTATION IN
DAT VIET INVESTMENT CONSTRUCTION TRADING COMPANY
3.1. Proposing model for accounting information systems
3.1.1. Functional model for accounting information systems
The proposed model for the accounting information system is an
integrated model which manages all financial – accounting practices in
construction enterprises. The main modules in the accounting information
system include voucher management, accounting book management,
construction accounting management and report management. Some other
modules to ensure the system’s operations include set-up management and
portfolio management. These modules are updated first to ensure that users can
use them to declare and enter fixed data. The proposed model uses network
system and hardware that are available in the enterprises after they are upgraded
and supplemented. These modules are integrated in the system and use the
centralized database.
Construction accounting management is an important module, it is
separated from others to help manage calculate construction accounting
practices. This enables accountants to do their work easily and conveniently.
The module for construction accounting profession management presented in
the following figure consists of 6 functions for 6 construction accounting
profession, including: accounting for material and equipment, accounting for
production costs and construction prices, accounting for salaries and salary
deductions, accounting for fixed assets, accounting for construction contract
revenues and construction transfer, accounting for business result distribution.


Manage detail books of
accounts

Manage material
accounting

Create financial reports

Set up accounts

Manage units

Manage recording of
reducing fixed assets

Manage detail books of
sales

Manage production
costs accounting

Create management
reports

Set up accounting
periods

Manage information of
fixed assets


Manage warehouses

Manage construction
contract revenue
accounting

Set up display format

Manage suppliers

Manage exporting
forms

Manage cash books

Manage identified
business results
accounting

Set up accounting
entries

Manage customers

Manage entry forms

Manage bank deposit
books

Set up the entry


Winform

Mobile

.Net Framework, DevExpress, Javascript,HTML,CSS...

Business Logic Layers
1. Manage
system settings

6. Manage reports
2. Manage
portfolio

3. Manage
vouchers

4. Manage
accounting books

Financial
reports

Management
reports

Tax reports

Enterprise Application Integration (EAI)

Manage
transactions

Manage storage

Synchronize
data

Manage
directory

Manage Objects

Manage
data

Dynamic
files

Static Files

Dictionary
lists

Intermediate
files

Accounting
reports


machines use the system by sending requests to the server. The server is
connected to the Internet to strengthen the sharing and can be secured by
switching devices such as Switch, Router or Firewall.
- Building accounting software: The biggest difference of this system
from existing accounting softwares is the AISC (Accounting Information System
in Construction companies) model proposed by the author has full independent
accounting functions and kinds of reports to help accountants perform their
work rapidly and accurately. The software has decentralization mode and runs
under the control of anti-virus software to intensify the capability of accounting
data security. When in use, this software does not change the nature, principles
and methods of accounting regulated by legal documents. Besides the necessary
modules of a normal accounting software such as system management, portfolio
management, voucher management, accounting book management, report
management, the proposed system has the module Construction accounting
management which directly supports accounting professions related to
construction field and the module Report management which automatically
creates kinds of reports as requested by users. The new feature of this proposed
software in comparison with the existing ones in the market is the author has
built the software with programming modules which can work independently or
integrate with functional modules in other softwares.
- Building accounting database: In this model, the database is the
structured set of data created from files of accounting data that record the daily
business activities. The collected accounting data are updated and saved in
relation panels. The software will automatically update data from relevant
departments and calculate the allocation of production costs. The database
encode cost objects and items. The result panels will collect production costs
under categories of half-completed or completed projects. With accounting for
materials: fixed data and items related to accounting cycles must be entered first.
With accounting for labor costs, some items such as the number of dates, hours,
basic salaries must be entered after payroll has been created. With accounting

outside the enterprises. Computers should be connected with each other under


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3.3.1. Accounting for material and equipment
3.3.2. Accounting for production costs
3.3.3. Accounting for salaries
3.3.4. Accounting for fixed assets
3.3.5. Accounting for construction contract revenues and construction
transfer
3.3.6. Accounting for determining business results
3.3.7. Financial reports
3.3.8. Management reports
3.4.9. Tax reports
3.4. Analyzing the design of the accounting information system
3.4.1. Overall Use Case diagram
3.4.2. Class diagram
3.4.3. Component diagram
3.5. Pilot implementation in Dat Viet Investment Construction Trading
Company
3.5.1. Analyzing the status-quo of computer application in accounting
At present, Dat Viet is implementing Unesco software with 3 modules of
Accounting for materials, Accounting for production costs, Accounting for fixed
assets. Salary calculation is conducted manually on Excel when construction
teams send their employee timesheet at the end of every month. Financial
reports and tax declarations are conducted annually based on the results of these
three modules and updated into Excel reporting format that is created by

company rapidly and accurately.
- Enable managers to adjust financial goals and plans promptly thanks to
management reports with detailed analysis of costs, material and
production profits of the company.
For tax and auditing offices: support checks, supervisions and
comparisons of all kinds of invoices and vouchers in the company.
3.6. Proposals to enterprises when implementing the system
- Survey the demand of enterprises
- Invest in building and applying accounting information systems
- Open to technological innovations
CONCLUSION OF CHAPTER 3
In this chapter, the author presents the theoretical frame and builds
software modules for the accounting information system in Vietnam’s
construction enterprises with sufficient functions capable of integrating with
existing applications in the enterprises based on the Enterprise Application
Integration EAI.
The overall theoretical model (including functional modules and
technological modules) consists of the basic modules: (1) Accounting for
material and equipment; (2) Accounting for production costs and construction
prices; (3) Accounting for salaries; (4) Accounting for fixed assets; (5)
Accounting for revenue; (6) Accounting for construction contract revenues; (7)
Financial reports, management reports, tax reports. These are accounting
cycles that are appropriate with the current management conditions in
Vietnam’s construction enterprises.


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accounting professions and 3 reports for construction enterprises.
6. The author has evaluated the pilot implementation of the accounting
information system in Dat Viet Investment Construction Trading
Company. The pilot implementation indicates that the model proposed by
the author has facilitated accounting work of the company greatly.
In the context of global economic integration, enterprises need to
implement systems to facilitate all accounting practices which not only manage
finance – accounting but also help managers to take charge of management
accounting, adjust economic goals and plans. The systems should create

information connection between functional departments, build digital
information environment, save costs, utilize existing resources and limit the
purchase of new equipment. Data should be standardized under the common
principles of data format, limit abundance and data anomalies to the lowest
level. The accounting information system proposed in the dissertation can
integrate with existing applications in the enterprises, support all aspects of
construction accounting professions, automatically update new accounting
regime, rapidly create reports when there are requests from tax agencies,
administration offices with formats appropriate to regulations of Ministry of
Finance. Besides, the system can be upgraded and maintained easily, have high
efficiency and do not depend on technological experts.
In brief, the research results of the dissertation not only make theoretical
contributions by enriching the knowledge of accounting information systems but
also have great practical significance. The integrated accounting information
system proposed by the author is appropriate with enterprises which are starting
to apply or have applied information technology in accounting. It is the
foundation to implement the accounting information systems to facilitate all
accounting tasks and raise the efficiency of financial management in Vietnam’s
construction enterprises.