Dee Why Pty Ltd is a company that produces specialist stationery and business cards. The company has recently computerised its accounting transactions. There have been some difficulties with the systems operations and a computer expert has visited the company to report on the problems and any inadequacies. The following points are in the report he sent to the management of Dee Why.

All computer personnel (except keyboard operators) were trained in system design, operation and programming when conversion from the manual to the electronic system took place.

Each time the computer program is run, it is assigned to a specific employee who is responsible for running the program and making any changes and answering all questions. No records of computer operations are kept because each employee is responsible for their own computer run.

All staff in the organisation have access to the computer room during office hours.

The accounting records are kept with the backup files in an unlocked cupboard in the computer room.

There are no computer checks built into the program as the organisation has decided to retain the manual controls from the previous system.

You are the auditor of Dee Why Pty Ltd. Your task is to describe the Weaknesses in the internal control system and recommend Improvements in these controls and processing procedures.