PAMANTASAN NG LUNGSOD NG MARIKINA

City of Marikina

Development of Sales and Inventory System

For

Jonjon Grasa Motor shop

A Thesis Submitted in Partial Fulfillment of the Requirements for the subject entitled

CAPSTONE 1

Alcantara, Rica Mae G.

Citra, Renz S.

Desales, Aldrin P.

Domingo, Lawrence Ivan D.G

Felix, Jhanica Pamela G.

Pamantasan Ng Lungsod Ng Marikina

September 2021
 Chapter I

Introduction

Project Context

In the years, individuals can do things simple as current innovation occur in each

work of each man. Many organizations and enterprises are adjusting in each specialized

angle to manage their transactions and supplies and it should have this innovation to have

the option to handle enormous measure of information without focusing on a great deal of

time managing this.

According to the Book of David J. Piasicki entitled " Inventory Management

Explained ", it says there that Inventory Management isn’t easy. If it were, more

companies would be good at it. But being competent at managing your inventory isn’t all

that difficult either. It just requires that you invest the time to develop an understanding

of factors that should be affecting your inventory management decisions. Then use this

understanding to start to put together calculations and decision logic you will use to

manage your inventory.

Explained. Calculations for forecasting, lot sizing, and safety stock are well

known to the inventory management community but are generally not understood to the

level necessary to effectively use them. This lack of understanding result in incomplete
calculations, incorrect inputs, flawed logic, or a fall-back to less effective, keep it simple

approach.

Inventory Management Explained helps readers build a solid understanding of the

key planning aspects of inventory management. It does this by clearly explaining what

inventory management is but then goes well beyond typical inventory management and

exposing the hidden flaws and limitations. It then builds on this by showing readers how

they can use their understanding of inventory management and their specific business

needs to modify these calculations or develop their own calculations to more effectively

manage their inventory. The readers can actually use what they’ve learned.

Motor shop businesses give us things of building and fixing motorcycle. With

numerous items they sell, they should handle a lot of information to have the option to

give the satisfaction with their clients. Mainly their Inventory system contains the data of

each item they sell, the records of clients who purchases from them, their providers and

also their staffs. This kind of ventures should adjust the advanced world and accepted the

innovation. This will build their benefits and will see the more prominent picture of

having modernized frameworks that will alter their outlook in the field of industry. This

will clearly make their lives simpler.

The researchers are conducting a study in JonJon Grasa Motor Shop. We chose

the JonJon Grasa Motor Shop for the reason that with their current system, they are

experiencing issues in certain spaces handling their transactions and managing different
works within their documents. Their current system can deal with storing the data yet

finding and arranging it is a certain issue. Due to lot of data and it is written in papers, it

might be hard to find it manually and it takes huge amount of time dealing with this.

oThe Motor shop's system can't deal with the significance of precision of enlightening

outcomes that ought to be accounted for in their clients and their providers. Keeping this

kind of the management may be terrible and can influence the image of the shop. The

owner even their staffs only rely on information that is written in some papers that is

being recorded in their inventory. This causes of information being delayed or unable to

comply within the given time. That's why we are conducting a study which can help them

to make all their transaction easy, faster and more managable.

Review of Related Studies

Sales and Inventory System

In accordance to the study of De Alday Espino Ragudo (2010), Computerized

Sales and Inventory system for Ramon Trading. The replacement of manual system with

the proposed system provided more efficient and accurate processing of the transaction.

The system is reliable, eliminates errors and inaccurate information, and provided

valuable reports with integrity.

In accordance to the study of Navarro (2012), Sales and Inventory System,

computer is general purpose device which can be programmed to carry out the finite set

arithmetic or local operation, the computer has a big role in our nation today because of
technology. Wherever you go, computer exists, especially in business it makes the

procedure easy and source by programming the manual system into a computerized

system. The role of technology in our life today has a big impact.

Sales and Inventory Monitoring System

According to Bianca, Demand Media (2011), Sales and Inventory Monitoring

System using this type of system, a company makes strategic business decision regarding

raw materials purchased, production scheduling pricing, and other decisions in the

supply, Sales and Inventory data enables the company to increases or decreases of

products in the factory so that the company won’t have too finished goods stored in its

warehouse.

Sales and inventory monitoring system collects data to aid in production

scheduling. For example, some system uses recent sales data to forecast how many of a

type product will be needed to meet consumer demand in the near future. This includes

monitoring the levels of a product at all location. A good example is global company with

customers around the world. The customer might live in Japan, but the system must

monitor if the warehouse in Canada have available product to ship to Japan. Other people

used computers in their daily living. Some use it for transactions; some people used it for

educational purposes and used it for data storage. Though it might sound unnecessary but

in case storing files and etc. With the help of computers, it simplifies the process of

storing and managing the file you need for future use and make finding file easier than
the manual process. Computerized Sales and Inventory System is a product of human

knowledge with the use of technology, so why not use technology as advantage and

benefit to ourselves.

This proposed system aims to lessen works and to resolve problems involving

strict and complex recording and calculations. Sales and Inventory system is important in

planning a small or big business transaction and to that business who don’t want to be

bankrupt and lost profits.

According to Janes (2011), computers are extremely reliable device and very

powerful calculators with some great accessories application like processing problem for

business activities, regardless of size, computers have three advantages over other type of

business equipment that process information because computer are faster, more accurate

and more economical. Through the guidance of Audra Bianca (2015), using this type of

system, a company makes strategic business decisions regarding purchased raw materials,

scheduling production, pricing, logistics and other decisions in the supply chain. Sales

and inventory enables the company data to increase or decrease production in the factory

so the company won’t have too many finished goods that stored in their inventory.

The system collects data to aid in production scheduling. For example, some

systems use recent sale data to forecast how many of a type product will be needed to

meet consumer demand in the near future. The monitoring includes the levels of the
product at all location. The system compares current inventory levels of product and

number for scheduled production with the amount needed and it determines if the level of

production must be changed or not, if changed is necessary, the system sends a message

to the master production scheduler to increase production. Also, the system slows down

the production if the products retail sales don’t meet the sales that the company wants to

reach.

Inventory Management System

According to Shanker (2013), the difference between manual and computerized

system is speed. The processed data can minimize errors and increases efficiency. The

data inputted can easily be summarized in just a few seconds. While the manual

computing with paper and pencil or ball penis cheaper than a computerized sales system,

which requires a machine and system software. Other expensed associated with computer

process include training and program maintenance.

According to Aberdeen Group (2012), companies are prioritizing supply

visibility, inventory optimization and supply chain analytics, and supply chain

outsourcing as ways to cut Supply Chain Management (SCM) cost this year.

Inventory System
 According to the U.S. Small Business Administration (2010), inventory refers to

stocks of anything necessary to do. The U.S. Small Business Administration describes

what constitutes successful inventory management balancing cost benefits of inventory,

including sustaining a wide collection without spreading the rapidly moving items too

thin, increasing inventory without sacrificing service, keeping stock low without

sacrificing performance, obtaining lower price by making purchases volume, Maintaining

an adequate inventory without an excess of obsolete items.

From the work of Jonas Claymore (2012), the cost-effective and highly innovative

inventory management system gives you instant access to stock levels, allows timely

orders and zero waste of time. Get real-time reports what the inventory system does is to

allow you purchase supplies based on the most current order data record. This minimizes

overstocking and at the same time, frees up resources for more urgent needs. The

Inventory Ordering System gives you better control over your supply chain, affording

you the amenity of being capable to place orders online or via SMS. And because the

systems automatically produce inventory and sales reports, your workers will have less

paperwork to file and more time to focus on operations. For superlative businesses with

franchise activities, this user-friendly inventory management system can be customized

for any multi-site such as company, commissary, or warehouse backend.

Objectives of The Study

General Objectives
 The main objective of the project is to became their automated from selling to

inventory. We will replace their manual system. We will build a point of sale and

inventory system. We propose a system which is composed of two computers and another

one monitor in order to success the project.

Specific Objectives

 To give detailed descriptions of the company's goods and services.

 To gain a better understanding of the proposed project's industry profile,

including its Strengths, Weaknesses, Opportunities, and Threats.

 To determine the demand and supply for the motorcycle parts, accessories and

services in the target area.

 To develop the most effective marketing system and plan in order to compete

fairly and sell the proposed product to its target market. Technical: To understand

the processes involved in the service process for obtaining the company's products

and services in order to calculate the time and labor costs.

 To determine the equipment, machinery, furnishings and fixtures, and materials

that will be employed by the company to guarantee that it runs well.

 To design and layout the business's floor plan in order to ensure that operations

run smoothly and efficiently. -To enhance the process on ordering of supplies, this

can help them to maintain the right amount of their stocks.

 System that has a user access control for them to help themselves to easy

administered their system.

 System that has Log history for the security for them to easy to track who is using

their system.
  System that has an accurate amount of supplies in the inventory which help them

to avoid overstocks or less-stocks of their products.

 System that has a Point of Sales which is to replace their manual system which is

you need to write manually the order of the customer.

 System that has an Inventory system for them to be more organize. -System that

can Integrate with desktop/unit.

 System that generate a daily, weekly, monthly and annually Reports to help them

to track their sales.

 To enhance the process of ordering supplies for customer to become satisfied the

customer.

 To create and develop a security module of the system.

Significance of The Study

An effective inventory management system is the cornerstone of successful

eCommerce. With a strategic plan in place that optimizes the process of overseeing and

managing inventory, including real-time data of inventory conditions and levels,

companies or Shop like JonJon Grasa Motor Shop can achieve inventory management

benefits that include:

-Accurate Order Fulfillment

-Better Inventory Planning and Ordering

-Increased Consumer Satisfaction

 -Improved Accuracy of Inventory Orders

-Increased Efficiency and Productivity

-Save Time and Money

-Repeat Customers

It’s difficult to gauge which products are needed if there isn’t a clear way to tell

what products are already stocked. If the owner doesn’t properly manage the inventory

they already have, they can easily overstock items, and some of these items might not be

strong sellers. Detailed inventory management mitigates these issues, allowing them to

refresh inventory only when needed. It’s both space and cost-effective.

Customers that shop online are eagerly awaiting their orders, and there’s nothing

worse than when their orders arrive not-as-described, late or damaged. When that

happens, buyers are less likely to purchase from the brand again. On the other hand, good

inventory management leads to orders being fulfilled more quickly and shipped out to

customers faster. Accuracy of product orders, status, and tracking are critical to good

inventory management. An effective fulfillment partner will have real-time software and

systems in place to make sure no product is left untracked throughout the fulfillment

process.

A good inventory management strategy leads to an organized fulfillment center. It

results in more efficient present and future fulfillment plans. This also includes cost-
savings and improved product fulfillment for businesses utilizing the warehouse for

managing inventory. With proper inventory management in place, less time and resources

are spent invested in managing inventory and can be allocated to other areas. Technology

is often used to speed up tracking and fulfillment operations, ensuring inventory records

are accurate.

Due to improved ordering accuracy, efficiency, and product flow, good inventory

management results in saved time and money. Effective inventory management and

control protects from incorrect or damaged goods being shipped to customers. This helps

improve customer experience, protect from issues such as refunds, and achieve more

repeat buyers.