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A PROPOSED SALES AND INVENTORY SYSTEM

SISIGSAD BY #TEAMYOLO 1




PART 1 Summary of Proposal

System Title
This is a Proposal for a Sales and Inventory System of Sisig Hooray
Company.

Proponents of the System:

Oliver John Audrey Bernabe Onofre, Norzagaray, Bulacan
Lilian Lou Llantada Guillermo, 135 West Riverside St. Q.C.
Diane Faye Co Perez, Blk 37 Kalookan City

Description of the System

A transaction processing system, or TPS, is a system to capture and
process the detailed information necessary to update data on the fundamental
operations of an organization.
A transaction is essentially a single event that changes something. There
are many different types of transactions. For example, customer orders,
receipts, invoices, payments, etc. The actual processing of transactions
includes the collection, editing, manipulation and storage of data. The result of
processing a transaction is that the records of an organization are updated to
reflect the new conditions at the time of the last processed transaction.
An inventory control system is a system the encompasses all aspects of
managing a company's inventories; purchasing, shipping, receiving,
tracking, warehousing and storage, turnover, and reordering. In different firms
the activities associated with each of these areas may not be strictly contained
within separate subsystems, but these functions must be performed in
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sequence in order to have a well-run inventory control system. Computerized
inventory control systems make it possible to integrate the various functional
subsystems that are a part of the inventory management into a single cohesive
system.

System Cost

System Cost The total proposed budget is P361, 350 which will be
funded by the Sisig Hooray branch. It includes Personnel Cost (Analyst and
Programmer), Hardware Requirements (Desktop Computer and Printer),
Software Requirements (Windows Ultimate 7 and MS Visual Basic),
Miscellaneous Cost and Training Requirements (Users Training). This budget
is greatly estimated for the development of the proposed system during the
three months operation of the company.

Timeframe

In order to achieve the completion of the proposed accounting system, all
the requirements for the completion must be prepared and evaluated properly
and the company must also invest on the implementation of the computerized
accounting system. The system will be implemented at the end of the reporting
period and will take on approximately 6 months. The person who will carry out
the system activities are well trained persons and already have experience on
doing it therefore conducting a training program is needed. Refer to Appendix
A.

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PART 2 Technical Description

A. Introduction
Background
Sisig Hooray! The first and the Original Freshly Prepared
Sisig began in 2005 when seasoned caterer and certified foodie
Immanuel D. Balce was inspired to innovate the Pinoys favorite
pulutan, sisig and turn it into a dish served with rice. Starting with
a humble stall at Ever Gotesco Ortigas, Sisig Hooray! Soon became
a crowd favorite and exceptionally long lines starte to form around
the booth. It seems everyone was a sisig fan which was not really
suprising since Balce spent years trying to come up with the secret
recipe aside from having extensive knowledge in regional and
international cuisine.

Whats more, the trained crews chopping technique is a
performance worth watching while waiting for ones order.
Everything is prepared right before ones very eyes that makes one
crave even more.

Today, Sisig Hooray has become a recognizable food chain
with 25 stalls found all over Metro Manila. Although the company
has not gone into franchising, there is a steady increase in the
number of branches and remains committed to serving the best
Sisig in town.

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Objectives of the System
A sales and inventory system is a software-based business
solution used to simultaneously track sales activity and inventory.
Manufacturers and trade resellers can both benefit from a
thorough solution, where single transaction entry records
necessary details on the customer, products purchased, price and
date while also updating inventory levels.

Significance of the System
The system would help the company commit less error and
orderly presentation of documents. Providing a computerized
system will make easier for errors to be seen, and can easily be
changed, resulting to transparency and comparability of reports.

By having a computerized system, presentation will be more
organized, neat and easily understandable than those that are
hand written. It would also be a lot easier to access the sales and
inventory of the company.

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B. Analysis of the Current System
Assessment of the Current System


Hardware Set-Up

Sisig Hooray branch has only one laptop
which they are using to capture, process,
store data and generate reports. This
hardware was only used by the Branch
Manager in order to keep the privacy of the
transactions to the employee. This hardware
is used mainly to record all the inventory
and purchasing financial statements. As a result of this, the company is
having a hard time in working together and is time consuming.


Software and Other Applications Used

The companys records are all generated
through Microsoft Word Excel including all
the financial statements regarding the
inventory, purchasing and sales. Microsoft
Excel is a spreadsheet application that
features calculation, graphing tools, pivot
tables, and a macro programming language.
There is no other software or applications that
have an important role in maintaining all the
records of the companys transactions. The
necessary informations are all encoded in MS Excel in order to have an
organized record.

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Personnel Involved

Branch Manager
The branch manager is the one who controls and manages all the
necessary transactions of the business. He is the one who is liable for all
the records of the company. He computes the day to day sales, inventory
and purchasing transactions. He is also the responsible person for all the
customer related issues and for the payroll of the employees. All the
Microsof Excel informations are all gathered by him.


Cashier
The company has two lady cashiers who are responsible for the sales
transactions of the company. They are employed in a shifting position,
one cashier in the morning and for the evening. They maintain the record
of the sale for the day until the branch manager gets it from them. Their
job was hard because they are responsible for the money inflows of the
company.

Crew
The three crews are responsible for the cooking, cleaning all the mess
and the counting of the ending and beginning inventory items of the
company. They are mainly responsible for the cleanliness and
organization of all the items that are used in the day to day processes of
the company.

Data Processing Procedures

All the data that are recorded was maintained by the branch manager
of the company. Before the purchasing transaction was done, the branch
manager checks their inventory records first. After purchasing the
necessary items, the crews will conduct the counting of the beginning
items for the day and the branch manager was the one who is
responsible to include it as the beginning inventory of the day.

At the end of the working day, the cashier is responsible to turn over
all the cash and the sales record to the branch manager. The branch
manager is the one who will check if the amount and transactions were
correct. With regards to the inventory, the crews are liable for the
counting of the entire ending inventory items. After the counting, still the
branch manager will be the one who keeps record of the ending inventory
that will be the basis for tomorrows purchasing transactions.

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Users Interface Design Specifications

Problem Definition
Based on the interviews that we have conducted, we found
out different problems that needed to be solved for improvements of the
said fast food. Basically, the system uses manual way of determining
their inventory this then uses more time, and is prone of errors. They
have a system already working, but it lacks, and it needs improvements.
So much time exerted to count the inventory, and the tallying of
inventories happen every end of the day, which simply means, the
workers are already tired, meaning errors occur at one point or another,
and we dont want that.

Users Requirement Analysis
According to the interviews that we have conducted, the
company requires a more convenient sales and inventory control system
that will increase the productivity of the said establishment. They require
something that will work with less time and effort and at the same time
fewer errors.




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C. Design of the Proposed System
Data Design and Process Specifications
Current System

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Proposed System

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User Interface Design Specifications
System Menu

















This is the homepage design of the proposed system. The users can
decide what menu they could open. Sales, Inventory, Reports including the Exit
command are indicated in this main menu. It is easily understood and
organized to be accessible for the intended users of the system.



USER
INTERFACE
ITEM
DEFINITION
SYSTEM
NAME MENU NAME
PROGRAM
NAME PAGE
Sisig Hooray
Sales and
Inventory
System Main Menu Main Menu 1/4
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Design of Individual Form/Screen








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This Log-in program is used to be able for the system to know who the
intended user of the program is. It is necessary to maintain the privacy of the
records from the employees. The private records can only be access by the
manager through this log-in program.

FIELD NAME DATA TYPE
INPUT/
OUTPUT
DEFINITION REMARKS
1 NAME TEXT I Users name
Required
Entry
2 PASSWORD TEXT/INTEGER I
Expenses of
Supplies
Required
Entry
USER
INTERFACE
ITEM
DEFINITION
SYSTEM
NAME MENU NAME
PROGRAM
NAME PAGE
Sisig Hooray
Sales and
Inventory
System Sales Sales 3/4
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This Sales program intends to identify all the sales transactions of
the company. It eases the job of the cashier in summarizing the sales
transactions of the day. It also makes the load work of the manager
easier because he is rest assured that the data presented in the
system is accurate and correct. This program presents the
accumulated sales for the whole day.

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The Inventory System of the company is all computer generated program
except for the beginning inventory which requires the manual entry of the data.
The beginning inventory requires this information in order to generate the
number of sales while computing for the ending inventory. This system controls
and avoids all the errors in computing for the ending inventory of the company
for the day.

USER
INTERFACE
ITEM
DEFINITION
SYSTEM
NAME MENU NAME
PROGRAM
NAME PAGE
Sisig Hooray
Sales and
Inventory
System Inventory Inventory 4/4
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FIELD NAME DATA TYPE
INPUT/OUT
PUT
DEFINITI
ON
REMAR
KS
1
BEGINNING_INVENTORY_
CHICKEN
TEXT/INTE
GER
I
Number
of
chickens
in the
beginnin
g
Require
d Entry
2
CONTRACT_PRICE
BEGINNING_INVENTORY_P
ORK
TEXT/INTE
GER
I
Number
of pork
in the
beginnin
g
Require
d Entry
3
BEGINNING_INVENTORY_
SQUID
TEXT/INTE
GER
I
Number
of squid
in the
beginnin
g
Require
d Entry
4
BEGINNING_INVENTORY_
BANGUS
TEXT/INTE
GER
I
Number
of
bangus
in the
beginnin
g
Require
d Entry


Report requirement Specifications
Summary of Report Requirements
The main purpose of the system is to produce a
computerized and printed form of the report for the main branch to have
annual report.
The intended user of the output report is the general
manager. It will be beneficial for the general manager for it will be used
for economic decisions for the benefit of the company and workers.
Reports will be printed whenever collections are received and
when the general manager needs to do quarterly or annual financial
statements.
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Report Design/Layout


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D. Appendices


Appendix A. Project Schedule of Activities


Activity October November December
W1 W2 W3 W4 W1 W2 W3 W4 W1 W2
1. Presentation of the
feasibility study.


2. Discussing about the
problems of the company
and the proposed solutions.


3. Presentation of the details
of the proposed system.


4. Users interview about
their feedback of the
presented datas.


5. Informing the company
about the requirements of
the system.


6. Presentation of the
proposed system design.


7. Summarizing all the
reports about the proposed
system and design
specifications.


8. Companys approval of
the proposed system.


9. Implementation of the
system in the company.

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APPENDIX B. Project Cost and Benefit Analysis (CBA)
DEVELOPMENTAL COST OF
THE SYSTEM

Qty Unit Cost Sub-Total Total Cost
(For 3 months)
A. PERSONNEL COST
System Analyst 1 19,500.00 19,500.00 58,500.00
System Programmer 2 11,500.00 23,000.00 69,000.00
Total 127,500.00
B. HARDWARE REQUIREMENTS
Desktop Computer 1 21,000.00 21,000.00 63,000.00
External Drive 1 2,500.00 2,500.00 7,500.00
Total 70,500.00
C. SOFTWARE REQUIREMENTS
Windows Ultimate 7 1 7,450.00 7,450.00 22,350.00
MS Visual Basic 2 20,000.00 40,000.00 120,000.00
Total 142,350.00
D. MISCELLANEOUS EXPENSES
Miscellaneous 2,500.00 2,500.00 7,500.00
Total 7,500.00
E. TRAINING REQUIREMENTS
Users Training 2 5,000.00 10,000.00 30,000.00
Total 30,000.00
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DEVELOPMENTAL COST OF
THE SYSTEM (3 months)
377,850.00

The prescribed development cost will cover from the start of the
application of system up to 3 months or the end of the installation.
Operational Cost is the expense which is used to maintain the business.
The estimated monthly operational cost of the system is 38900 pesos.

MONTHLY OPERATIONAL COST OF THE SYSTEM


Qty Unit Cost Total Cost
(Per Month)
A. PERSONNEL COST
Computer Programmer
( Retainer )
1 8,000.00 8,000.00
Total 8,000.00
B. HARDWARE COST
Maintenance 13,250.00 13,250.00
Total 13,250.00
C. MISCELLANEOUS EXPENSE
Miscellaneous 1,500.00 1,500.00
Total 1,500.00
OPERATIONAL COST OF THE
SYSTEM
22,750.00
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MONTHLY BENEFIT OF THE SYSTEM
Qty Unit
Cost
Total Cost
(Per Month)
A. POSITIVE BENEFITS
Income from Sales 15,000.00 15,000.00
Employee Productivity 12,000.00 12,000.00
Total 27,000.00
B. COST-AVOIDANCE
BENEFITS

B.1. Personnel
Overtime Pay 5 2,000.00 10,000.00
Total 10,000.00
B.2. Materials
Bond Paper (reams) 1 250.00 250.00
Pen (box) 1 150.00 150.00
Miscellaneous 1,500.00 1,500.00
Total 1,900.00
Benefit of the System 38,900.00



Positive Benefits arise from increase in employees productivity, a total of
27000 pesos. On the other hand, Cost Avoidance Benefits are benefits that are
acquired through installation of the system which constitutes a total of 1900
pesos. The estimated total monthly benefit is 38900 pesos.

Cost and benefit Analysis

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YEAR COSTS CUMULATIVE
COSTS
BENEFITS CUMULATIVE
BENEFITS
0 582,600 582,600 350,100 350,100
1 273,000 855,600 466,800 816,900
2 286,650 1,142,250 490,140 1,307,040
3 300,983 1,442,233 514,647 1,821,687
4 316,032 1,759,265 540,379 2,362,066
5 331,834 2,091,099 567,398 2,929,464

The table shows the anticipated annual cost, cumulative cost annual
benefit and cumulative benefit of the proposed system. Cost and Benefits
increases by 5% starting Year 1.

The annual amount of 582,600 in Year 0 includes the developmental cost
amounting to 377,850 pesos and 204,750 pesos (22,750 pesos monthly
operational cost times the remaining 9 months). The amount of benefit for Year
0 which is 350,100 (38,900 pesos monthly benefit times the 9 months).

Payback Period Analysis


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Return on Investment Analysis

ROI = TOTAL BENEFITS TOTAL COSTS
TOTAL COSTS
= 567,398 331,834
331,834
ROI = 70.99 %



For Sisig Hooray Company, the projected return on investment of this
project must exceed or at least meet the minimum ROI set by the company.
The minimum ROI can be an estimate of the return the company would receive
from investing an amount of money in available investment opportunities. The
computed return of investment is Nineteen point five percent (70.99%).


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APPENDIX C. Office Layout


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APPENDIX D. Organizational Chart
Jesmond Fernando
Branch Manager
Cashier Cashier
Service Crew Service Crew Service Crew
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APPENDIX E. Others

Technological Institute of the Philippines
363 P. Casal Street Quiapo, Manila



Dear Sir/Maam,


Greetings!

We, students of TIP Manila, are writing to request permission to conduct
research study documentation about your company. We are currently having a
proposed system about Sales Monitoring. Our required task in this System
Analysis and Design course is to make a documentary report on how a
company runs concerning with their Sales and Inventory Department. The
reports include all the necessary information in and outside the company
focusing on its sales, inventory, purchasing departments.

In connection with this, we would like to ask for your help to provide all the
necessary data needed for our study, please feel free to answer the
questionnaires. The data of this study will remain absolutely confidential and
to be used for educational purposes only.

Your approval to conduct this study will be greatly appreciated.

Sincerely,
Guillermo, Lilian Lou L.
Onofre, Oliver John
Perez, Diane Faye C.



Approved by:


________________

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Proponents Curriculum Vitae

Guillermo, Lilian Lou L.
E-mail: g.lilianlou@yahoo.com
Contact No. : 09358971011

Address: 135 West Riverside St. S.F.D.M., Quezon City
Date of Birth: October 11, 1995
Place of Birth: Manila
Nationality: Filipino
Marital Status: Single

Objective
I am willing to give total support the organization that I am in, with the
experience and capability that I have, in order to achieve organizations goals
and create mutual benefits.

Education

2012 Present Technological Institute of the Philippines
Bachelor of Science in Accountancy

2008 2012 Quezon City Academy



Work Experience
Sales Promodizer

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Skills
Computer:
MS Word; MS Excel, MS Office
Power Point
Visual Basic
Other Skills:
Good interpersonal skill.
Can speak English language fluently.
Training and Seminars
Boardwalk Seminar
Accenture
English Proficiency

Onofre, Oliver John Audrey B.
E-mail: ojaygwapo@gmail.com
Contact No. : 09367174301

Address: #1990 SN Bartolome, St., Minuyan, Norzagaray, Bulacan
Date of Birth: February 9, 1996
Place of Birth: Manila
Nationality: Filipino
Marital Status: Single

Objective
I am willing to give total support the organization that I am in, with the
experience and capability that I have, in order to achieve organizations goals
and create mutual benefits.

Education

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2012 Present Technological Institute of the Philippines
Bachelor of Science in Accountancy

2008 2012 Vilage Montessori School

Skills
Computer:
MS Word; MS Excel, MS Office
Power Point
Visual Basic
Other Skills:
Good interpersonal skill.
Can speak English language fluently.
Training and Seminars
Boardwalk Seminar
Accenture
English Proficiency


Perez, Diane Faye C.
E-mail: smart_babe56200@yahoo.com
Contact No. : 09353439767

Address: Blk 37 Lot 9 Torsillio St. Dagat-Dagatan Caloocan City
Date of Birth: August 8, 1996
Place of Birth: Manila
Nationality: Filipino
Marital Status: Single

Objective
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I am willing to give total support the organization that I am in, with the
experience and capability that I have, in order to achieve organizations goals
and create mutual benefits.

Education

2012 Present Technological Institute of the Philippines
Bachelor of Science in Accountancy

2008 2012 Kasarinlan Highschool

Skills
Computer:
MS Word; MS Excel, MS Office
Power Point
Visual Basic
Other Skills:
Good interpersonal skill.
Can speak English language fluently.
Training and Seminars
Boardwalk Seminar
Accenture
English Proficiency

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