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CHAPTER 1

INTRODUCTION

1.1. PROBLEM BACKGROUND

Point of Sale (POS) systems, also known as POS software, have come a long way from

being bolt-on applications for cash registers. Today, the cash register as the cornerstone

piece of retail technology has been replaced by PCs, tablets and mobile devices. We offer

integrated software programs and POS systems for "mom-and-pop" stores to large retail

chains, and everything in between. Our web based solution can handle any combination

of checkout, inventory control (Stock) and customer management (CRM). Our system

will help you automate the point of sale, improve inventory tracking and enable more

effective management of customer data to grow profits and decrease store inefficiencies.

To calculate the amount owed by a customer, the merchant may use any of a variety of

aids available, such as weighing scales, barcode scanner, and cash registers. To make a

payment, payment terminals, touch screens, and a variety of other hardware and software

options are available.

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1.2. PROJECT GOALS AND OBJECTIVES

This project isn't that easy to do, we want for our project will be executed successfully.

This project Point of Sale (POS) can help which a customer makes a payment to the

merchant in exchange for goods or after provision of a service. After receiving payment,

the merchant may issue a receipt for the transaction, which is usually printed, but is

increasingly being dispensed with or sent electronically.

Retailers and marketers will often refer to the area around the checkout instead as

the point of sale (POS) when they are discussing it form the retailer's perspective.

This is particularly the case when planning and designing the area as well when

considering a marketing strategy and offers.

Objectives: The reason for deploying a Point of Sale information system are

obvious:

- Reduce Cost

- Respond to trends faster

- Improve Customers Service

- Buy Smarter

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- Control the money

- Less Saving

- Improve Marketing

1.3. SIGNIFICANCE OF THE STUDY

Technology is moving business forward. If you're a retailer who refuces to upgrade your

point of sale methodology, it's quite possible you'll be left behind in a world of

calculators, printed receipts and late night inventory checks. POS systems provide

retailers with a user-friendly.

POS technology refers to Point of Sale (POS) and this is being used in the restaurant,

Shopping malls, and retail sector industries to help this business grow at a rapid pace.

This is the advanced technology which helps the business in a various forms as they

easily track their sales, cash flow, food inventory and these businesses can also simplify

the book keeping extensively.

The sales and inventory system is focused on sales and inventory system of TH Garment.

The store is located at Car-Car City. Along the process, the sales incurred by the said

establishment will be updated automatically during every transaction. The transaction and

recording process will be made accurate, fast and reliable due to the reduction of human

error. The system will also provide computerized searching of inquired products; it will

generate accurate records in the inventory, and it will also provide system security to

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protect the business in the records. This study does not include the following features: the

use of barcode scanner technology, payroll for the establishment employees. It does not

support the online transaction and accepts payment through checks.

This study is beneficial and helpful for the following:

Customer. They will be given more quality service which will be more convenient for

them. The new system will lessen the time spent by customers in the buying and paying

process.

Manager. If the manager wants to check the status of their sale, he just needs to login

into the system than to check it manually.

Owner. The owner will also benefit from the system because he or she can manage the

system which provides everything for the user, he can also benefit from the accurate

records the system could produce.

Staff. The staff will have an easy way of recording the orders. They will not have

problems in product orders since it’s now computerized. They will not be having a hard

time searching and updating the stocks.

Future Researcher. The future researchers can use this project as a sample study guide if

ever they conduct some study to develop a system related to this kind of system. This

project can serve as their reference; they can use the data in this project for further

studies.

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Scope and Limitations:

Point of Sale (POS) they can use in the retailer like casher. POS stands for Point Of

Sale, a system that is used throughout the restaurant and retail industry. This

computerized system allows business owners to track sales, cash flow, food inventory and

can help simplify your bookkeeping enormously. It's an all-in-one solution that processes

your customer transactions, payments, and inventory levels. It streamlines your staff

management, provides you with live data access and helps you target customer

marketing, among its numerous benefits.

Limitation A point of sale (POS) system is what you see when you take your groceries

up to the front of the store to pay for them. It is a computerized system that links the

cashier and customer to an entire network of information, handling transactions between

the customer and store and maintaining updates on pricing and promotions. Although a

point of sale system has many advantages, it is important not to overlook the

disadvantages.

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1.4. THEORETICAL BACKGROUND

POS system can include the ability to record and track customer orders, process credit

and debit cards, connect to the other systems in the network, and manage inventory.

Generally, a POS terminal has as its core a personal computer, which is provided with

application specific programs and I/O devices for the particular environment in which it

will serve. a POS system for a restaurant, Shopping malls, Super Market for example is

like to have all menu items stored in a database that can be queried for information in a

number of ways. POS terminals are used in most industries that have a point of sale such

as a service desk, including restaurants, shopping malls, super market, lodging,

entertainment, and museums.

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1.5. REVIEW OF RELATED LITERATURE

James Ritty, an Ohio native and saloon owner, invented the first cash register in

1879 with his brother, calling it "Ritty's Incorruptible Cashier." As explained by

Ohio History Central, an online encyclopedia that discusses Ohio-specific history,

Ritty was inspired to create such a device a year earlier:

“In 1878, while on a ship bound for Europe, Ritty saw a machine that counted the

number of times that the ship's propeller completed a revolution,” the article

states. "Using the same sort of technology, Ritty became convinced that he could

invent a machine that could keep track of his sales.”

Ritty, as the story goes, was especially motivated to do this, as he had discovered

several years earlier that an employee was stealing money from him, and thought

this would be a way to stop such occurrences from happening again.

Ritty’s register was a simplified version of the cash register that we know today.

In fact, his didn’t even have a cash drawer!

“Instead,” Ohio History Central states, “it simply recorded the number of sales

and also the amount of each one. This machine allowed Ritty to keep accurate

track of the number of sales and the amount of each sale that was made.”

Ritty didn’t see much of a financial benefit to his invention, so he eventually sold

his patent to John H. Patterson, who would establish the National Cash Register

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(NRC) Company in 1884. This is still in business, now known as the NRC

Corporation, and is responsible for making the initial mechanical cash register a

necessity for every business..

The programmability of such system allowed retailers to be more creative.

in 1979, Gene Mosher's Old Canal Cafe in Sysracuse, New york was using

Point of Sale Software written by Mosher that operated on Apple II to receive

customer order at the restaurant's front entrance then complete preparation details

in the kitchen. With such process in place, customers would often proceed to their

tables to find their food already waiting for them. The software also included real

time labor and food cost reports.

In 1985, Mosher introduced the first color touch-screen driven POS interface. This

software operated on the Atari St,which was the world's first consumer-level color

graphic computer. By the end of the 20th century, adoption by many cash register

manufacturers and other Point of Sale Software developers as the de facto standard

for POS Software Systems.

Improvements to the cash register were made following Ritty's invention. This included

adding a cash drawer and paper roll for receipts. As a result, an increasing number of

businesses started to utilize the machine, making it easier to record transactions and

manage capital.

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As the 20th century continued, even more changes were made to further refine the cash

register, partly in response to other new inventions.

According to the NCR Corporation, technological advancements, such as liquid crystal

display (LCD) screens, credit card magnetic stripes, and thermal printing, occurred

during the mid-1900s, resulting in additional changes to the cash register. Ultimately,

these helped transform it into a digital machine that would be widely used, for decades.

Online resource The Green Sheet discusses some of the changes that took place in the

1980s and 1990s. One 2016 article specifically explains that between Gene Mosher’s

touch-screen interface invention in the late 1980s and Martin Goodwin and Bob Henry's

Microsoft platform POS system, the original cash register got a whole new makeover.

However, it’s important to note that POS systems differed—and still do—depending on

the industry. For example, Mosher’s touch-screen was initially for restaurants.

Additionally, the NCR Corporation highlights other new features introduced during this

time, including store automation and signature capture.

POS systems that emerged during this time look a lot like those we use today. There, of

course, have been other technological advancements throughout the 21st century,

specifically when it comes to connecting the physical and digital worlds.

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Today, everything is in the “cloud.” This has pushed manufacturers to further revamp the

POS system. Due to so many consumers reaching for their phones to pay for items and

utilize store membership discounts and coupons, it's no longer enough for POS systems

to simply facilitate cash, credit, debit, or gift card purchases anymore.

POS systems nowadays are expected to do much more than simply complete transactions.

This is the reason why companies, such as Clover®, designed highly efficient and

technically savvy POS systems capable of tracking employee activity and inventory,

delivering invoices, providing real-time information, even operating when the internet is

down, and offering applications merchants can easily download for additional features

that make running an organization easier.

However, while POS systems have indeed come a long way, these advancements will

surely continue alongside the ever-evolving realm of technology.

Today, There are hundreds of software vendors making software for POS. The software

runs on all types of machines and different operating system (OS). although Windows

variations (XP, Windows Embedded, known as WEPOS and Windows Server) dominate

the industry. Large businesses run via a client server model in which there is a dedicated

database server, which all the other station talk to for retrieving and storing data. Even

small businesses like Shopping Mall can run on this model. The industry continues to

grow rapidly as more and more businesses realize the value to be gained by adopting

POS.

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1.6. DEFINITION OF TERMS

Garments – An item of clothing where clothes are manufactured

Inventory – Or stocks refer to goods and materials that a business holds for the

ultimate purpose of resale sales and inventory system.

Sales – Is a type of selling an item or product in return for money or other

compensation it is an engagement between customer and seller.

System – a set of things working together as parts of a mechanism or an

interconnecting network.

Program – Programming language, based on XML, that is used to create

applications for a POS terminal. Normally the programming language used to

develop such applications is C or C++.

Software – Is a based solution used to track sales and inventory of the garments.

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Hardware – The main component of a point of sale system is the CPU, or

computer, that runs the software. It may have a standard operating system running

the machine or it may come loaded with proprietary software from the POS

software vendor inventory control. This means you should resist the urge to use

your point of sale system for any Internet activities.

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