Professional Documents
Culture Documents
A Research Study
Presented to:
Presented by:
September 2020
TABLE OF CONTENTS
I. INTRODUCTION 4
A. Internal Assessment 7
3.Competitive Advantages 9
B. External Assessment 13
7.1 Competitors’ Information System 13
V. IMPLEMENTATIONS 20
VI. EVALUATIONS 21
In 1890, San Miguel Corporation was established and developed their products
in food, beverage, and packaging in the Philippines. The company is currently the
largest company that holds the largest selling beers and a part of the top three brands in
Asia. San Miguel Beer Corporation continues to find new ways to grow further its market
and volume in the Philippines. San Miguel Beer was incorporated on July 26, 2007, and
transitioned to San Miguel Beer on October 1, 2007, into a domestic beer business.
Across the Asia-Pacific region, the brand of San Miguel is recognized and became one
of the best brands known across the world. In 2010, San Miguel Brewing International
Limited (SMBIL) enabled San Miguel Beer to achieve full integration of its domestic and
international beer business. The company adapted its enterprise software into SAP and
became the country’s first company that adapted to SAP.
In 1995, SAP formally opened its doors in the Philippines and San Miguel
Corporation was one of their major consumers that were shifted towards the software.
In 2003, Ariba Incorporated released that San Miguel Corporation had chosen and
shifted towards a full Ariba Spend Management solution set to automate, streamline,
and manage its purchasing processes throughout the company. According to Philstar
Global, transitioning to Ariba solutions to San Miguel’s back-end ERP systems, including
SAP applications, will be managed by San Miguel’s IT team and will extend across 11
business services. According to Philstar Global, San Miguel Corporation launched a
project called STEP-UP that aims to improve San Miguel’s daily purchasing processes,
reduce cycle times, consolidate suppliers, and reduce purchasing costs of the company.
It is a key component in San Miguel’s efforts to consolidate and integrate operations
from its recent acquisitions and continue towards regional growth. The Ariba solutions
will help San Miguel aggregate purchasing power and knowledge across the
organization, channel spends to preferred suppliers, negotiate better contracts, and
ensure compliance against those contracts.
Objectives
The primary objective of the audit about San Miguel Corporation includes the following:
•To determine the effectiveness of the management information system
•To contribute to the improvement of a management information system and its
performance
•To verify the authenticity and validity of transactions
Significance of Audit
This study will provide information on how San Miguel Corporation became
Southeast Asia's oldest and largest brewer. This study includes the importance of
security, innovation, and marketing strategies that San Miguel Corporation used to be
the industry's number one. Therefore, the researchers created such a study to serve the
following entities: the Company, employees, the customers, and the students.
To the employees, This will help the employees progress, develop, work efficiently,
and effectively by providing them performance reports, sales reports, and monitoring
reports to improve its companies' business processes.
To the customers, For the benefit of the consumers, this research may provide
information about the business's net worth, and essential pieces of information. They
can have an idea of what kind of products and services they patronize.
To the students, this audit will be an excellent outlet to practice and experience finding
and providing credible and reliable data, which will help them apply to future careers
that enable them to pursue the business.
This study aims to determine the internal and external affairs of the San Miguel
Beer Corporation. The study will last until the end of the semester and will be
specifically done within the premises of our household. The researchers will collect the
data through internet-based data collection. However, this limits the research since it
cannot be said that the results are accurate and reliable.
As shown in the diagram above, it is the business process of San Miguel brewery
from manufacturing to selling beers to the people around the world. Also, San Miguel
corporation aims to give and help people give the best quality product the company can
offer and offer the best to the people in quality, affordable, and choice of the product.
Through this, San Miguel corporation created a business process that will help their
company’s flow properly and smoothly. San Miguel corporation’s business processes
are manufacturing, receiving orders, shipping their own products to respective business
partners, and having a certain market budget sale. This plays a big role in San Miguel's
business because it helps them to be more updated and they will function accordingly to
their business goal. The business must focus more on the manufacturing process
because San Miguel corporation creates and innovates high-quality products that they
can offer, which means they must be close to perfect to manufacture products in order
to serve the customers well.
Collaboration Tools
San Miguel Brewery Inc. (SMB) is the biggest maker of brew in the Philippines,
with the vast majority of lager consumers favoring its brands. San Miguel Beer items
have reliably commanded the market for a brew in the Philippines, the nation's biggest
mixed drink fragment. By setting up this Center, SMC re-insists its obligation to its
clients. Progressions in data innovation make it feasible for the Corporation to set up an
increasingly close to home correspondence interface with its clients. The incorporated
SMC Customer Care Center gives elective channels to simple access and quick
reaction to different sorts of client needs and demands. The Center backs SMC's
organizations in reinforcing client relations, and by implication piece of the overall
industry also. It is kept an eye on by an expert staff utilizing better innovation and
utilizing imaginative arrangements than guarantee consumer loyalty and catch item
reliability. Stroll in clients who may lean toward up close and personal collaboration feel
welcome in the midst of the Center's warm environment.
The Center's call dealing with administrations deals with both inbound and outbound
calls, giving data on the quality, estimating, dispersion, and accessibility of an item or
administration while working as a called community. It likewise handles request taking,
selling, deals battle, advancement of new items, and consumer loyalty reviews.
Electronic client linkages come through email, faxes, and SMS (short message
administrations).
The Center's incorporated arrangement makes it simple for SMC's working divisions to
connect up with it for their client and item concerns.
Competitive Advantage
Established Brand
San Miguel Corporation can only be described in superlatives. It is Southeast
Asia’s oldest and largest brewer. San Miguel Corporation is currently one of the largest
companies in the world. It also ranks as the Philippines’ largest and one of its most
consistently profitable companies. San Miguel’s flagship beer utterly dominates the
Filipino market, with a 90 percent market share. One of the biggest competitive
advantages of San Miguel is its name itself. Its brand has already been established in
the industry since 1890. The company grew with the people, it is part of the nation's
growth. The people have been buying their products through the years. It became part
of their customers' lives. It is the country’s biggest cheerleader and the Filipino’s partner
in progress are one and the same entity.
Customers Satisfaction
One of its biggest competitors' advantages is that they prioritize the satisfaction
of their customers. They have quality Management that is focused on continuous
improvement and enhanced customer relations. They always do their best to offer the
best for their customers. San Miguel Corporation re-affirms its responsibility to its
customers by enhancing their customer service center.
Ethical and Social Issues in the Company’s Information System
With regards to beer in the Philippines, San Miguel Beer is the head of-mind
decision. Each jug of San Miguel Beer served on the table is a result of longer than a
century custom brewing greatness. Regardless of its prevailing business sector
position, SMB keeps on finding better approaches to develop further its volumes and its
piece of the pie in the Philippine drink industry.
The way of life of value has penetrated the San Miguel association for over four
decades now. All out-Quality Management (TQM) is a business reasoning identified with
an association's administration framework that prompts a more grounded serious
position, expanded profitability, and improved consumer loyalty. At present, the mission
for constant improvement proceeds as SMC stays resolved to continue business
greatness and keep up its convention as the "home of value items and people''.
Computer Hardware
San Miguel Corporation uses Center’s call handling services to take care of both
inbound and outbound calls, providing information on the quality, pricing, distribution
and availability of a product service while operating as a call center. It also handles
order taking, telemarketing, sales campaign, promotion of new products, and customer
satisfaction surveys. Electronic customer linkages come through email, faxes, and short
message services.
Filipino conglomerate San Miguel Corp (SMC) is preparing itself to turn into the
nation's fourth portable administrator when it dispatches administrations by means of its
Bell Telecommunications (BellTel) unit – procured through its 100% possessed auxiliary
Vega Telecom in July 2010 – by January 2016.
On the off chance that it is fruitful in its arrangement, BellTel would turn into the fourth
portable system administrator (MNO) in the Philippines, after the PLDT Group (Smart
and Sun Cellular), Globe Telecom, and advanced remote trunking administrator NOW
Telecom (previously Next Mobile). It would likewise confront rivalry from built-up
versatile virtual system administrator (MVNO) ABS-CBN Mobile. TeleGeography takes
note of that BellTel was authorized to give business interchanges administrations in
January 2002 and propelled tasks soon thereafter.
To promote technical manpower development, San Miguel Brewery runs the San
Miguel School of Brewing, which offers various programs spanning all levels of
professional brewing technical training, starting from the basic brewing course for newly
hired personnel to the advanced brewing course for senior technical personnel. Courses
offered at the school included those highly-advanced classes necessary to qualify the
most senior of its technical personnel known as brewmasters. Each of the more than 35
brewmasters has extensive advanced coursework and over ten years of on-the-job-
training experience with SMB.
Present Securities for Company’s Information Systems
The Company has adopted a policy that regulates the acquisition and disposal of
Company shares by its directors, officers, and employees, and the use and disclosure
of price-sensitive information by such persons. Under the policy, directors, officers, and
employees who have the knowledge or are in possession of material, non-public
information, are prohibited from dealing in the Company’s securities prior to the
disclosure of such information to the public. San Miguel Corporation also adopted a
whistle-blowing policy on November 16, 2016, aimed at encouraging employees to
speak out and call the attention of management to any suspected wrongdoing. The
whistleblowing policy provides procedures for interested parties to communicate even
anonymously, concerns regarding accounting, internal accounting, auditing financial
reporting matters directly to the corporation’s audit committee through the office of the
general counsel.
B. External Assessments
Competitor’s Information System
E-Commerce presence
JD.com, Inc., also known as Jingdong and formerly called 360buy, is a Chinese e-
commerce company headquartered in Beijing. It is one of the two massive B2C online
retailers in China by transaction volume and revenue, a member of the Fortune Global
500, and a major competitor to Alibaba-run Tmall.
The company was founded by Liu Qiangdong on June 18, 1998, and its retail platform
went online in 2004. It started as an online magneto-optical store, but soon diversified,
selling electronics, mobile phones, computers, and similar items. The company changed
its domain name to 360buy.com in June 2007 and then to JD.com in 2013. The latter
purchase is understood to have cost $5,000,000. At the same time, JD.com announced
its new logo and mascot. It is partly owned by Tencent, which has a 20% stake in the
company.
San Miguel has joined JD.com's “Global Fruit Strategic Alliance”, through which the
world's leading fruit companies are getting into e-commerce.
III. FINDINGS
STRENGTHS WEAKNESSES
1. Asset leverage 1. No Online
2. Loyal Customer Presence
3. Strong brand equity 2. Dynamic Market
4. Reputation Environment
Management 3. Losing
5. Strong and firm International
stakeholders Assets
4. Risky information
system
OPPORTUNITIES SO WO
1.Product and services San Miguel Corporation Focusing on improving
expansion provides excellent quality in privacy and access to
2.Emerging markets and services & products; the information system
expansion abroad skyrockets the markets and can help the company
3.Asset Leverage gains leverage from the have a safer system.
4. Strengthen Information different competition.
system’s privacy and access
THREATS ST WT
1. Economic Slowdown Expanding products abroad By expanding the
2. Competition to reduce economic company’s digital
3. Price wars slowdown which still aspects to virtually
4. Companies information leverages the competition connect to customers
could be hacked and through smart domestically and
anonymously marketing strategies, we internationally which
can gain more buyers increases revenue and
without lowering our price still be leading in price
by half and still be above against competitors.
others.
Table 1. SWOT Matrix of San Miguel Brewery
IV. RECOMMENDATION
San Miguel Corporation should put employees to utilize their online resources as one of
its weaknesses shows that the company has no online presence. Being active in their
online services can cater to more customers that have inquiries about the company and
the product that they are selling. People nowadays would prefer to use online services
as it is easier and convenient that’s why San Miguel Brewery should also have a focus
on people who wish to process their transactions online. Also, their online presence can
help to promote their products by using social media which can help the company get
more audience and grow bigger. Furthermore, San Miguel should keep their information
system a secret to avoid chaos and any circumstances since the company has a risky
information system where it can be easily hacked and anyone in the organization who
has the power can access and their system anonymously which falls under the
weaknesses of the company because if something unexpected happens, they cannot
easily locate the suspect since they have no trace on someone who opens the system.
Companies nowadays do not only focus on how to improve the company itself but also
on their own information system. Technology is increasing and it's helping not only the
people but also companies in a way that they can easily do their work effectively and
efficiently. However, we cannot be so sure that the important information about the
company is safe with technology because we cannot deny the fact that information
systems can be hacked by someone at unexpected times. The company should change
those who can have access to their information system to overcome one of their
weaknesses that was written in the SWOT analysis and should discuss their important
information privately so that no one can let them down through their information system.
Business
Challenge
-The use of
information system
might failed and break Business
People
during the process Solutions
-Unforeseen events
-Select those might occur -Strengthen and IS
people who can -Invest more on
have access with Information information system
the information System as most top
system companies are
- Keep important
Organizatio depending on
informations technology
n privately nowadays
-SMB must be fast - Update
in innovating as the regularly
taste of of liquor
and brewery of
most people are Technology
rapidly changing.
-Use updated
technologies
Diagram 3. The framework of the Recommendation
IMPLEMENTATIONS
The team would like to implement a strong security system for the information of the
San Miguel Brewery where only selected employees can have access to the system to
avoid getting scammed and assure the security of the important information.
Having this would be a big help to the company to keep their information
privately since the analysis shows that they have a risky information system. The team
likes to encourage the San Miguel Brewery to focus more on improving and making
their information system best among the other company’s information systems, for us
the company needs to focus on their information system for some reason.
One of the reasons is that technology nowadays is rapidly changing and
improving, as this can strongly affect the company in positive and negative aspects.
With the company focusing on the information system they can be one step ahead from
their competitors.
EVALUATION
The enumerated actions may be good as soon as possible to prevent threats and
for the betterment of the company. For San Miguel brewery to maintain its class and be
on top the company must proceed on focusing on its information system in order to
have a more efficient and secure security system. The company should have
comprehensive cybersecurity policies for the workers to follow. Also, it is still important
to stay on guard to help assure the company’s data and network are safe and secure.
All of the devices that are used in the company should have the protection of strong
security software.
CONCLUSIONS
The researchers were able to gather conclusions from the audit report conducted.
1. The overall result of this audit shows that San Miguel Corporation has a weak
information system where it can be easily hacked and anyone in the company
can open it anonymously.
2. As one of the top brewery management companies in our country, we can say
that San Miguel still has lapses and holes that need to be improved in order for
them to sustain at the top.
3. San Miguel Brewery is still one of the top companies in the world, to maintain this
standard the company must be able to adapt always to the needs of the market.
They must make sure that they can offer good and high-quality breweries to keep
their customers at their side.
4. San Miguel Corporation has its own strengths which they can use as an
advantage to other brewery companies, but they also have weaknesses and
some lapses which their competitors can use to take advantage.
APPENDICES
Figure 1. Company Shareholding Structure
Figure 2. San Miguel Aims to Shake Up It’s Heady Brew of Beers and Fuels
Figure 3. SMC Cashes in our consumer spending boom
Curriculum Vitae
EDUCATIONAL BACKGROUND:
ACHIEVEMENTS
March 2013 Most outstanding student in basketball club
October 2018 Senior-high Honor student
March 2017 Ateneo forever awardee
March 2019 Blueknight awardee
February 2017 Basketball MVP award
CLUBS/ORGANIZATION:
PERSONAL INTEREST: Basketball, Playing other sports, Reading books, and Listening
to music
CHARACTER REFERENCE:
EDUCATIONAL BACKGROUND
EDUCATIONAL BACKGROUND:
SUMMARY
PERSONAL INFORMATION
EDUCATION:
Penong's Barbecue Seafoods & Grill – Davao City Brainworks School, Inc.
Waitress (2018) Assistant Teacher (2017-2018)
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