Inventory System Thesis

Only available on StudyMode
  • Download(s) : 3044
  • Published : March 23, 2011
Open Document
Text Preview

Background of the Study
Networking is an essential skill for most business people, but especially for entrepreneurs. The strong association between the entrepreneur as a person and his or her business demands that entrepreneurs should get out into the world and create and maintain business relationships. AIM Global INC. is a marketing company conceptualized to provide unmatched quality distribution of exceptional products and services to local, regional and global markets. A harmony of advanced technology, distinct marketing strategies and excellent product lines, together with the guidance of exemplary leadership secures the success of AIM Global.

Knowing for its success Mr. Richard Cabautan joined the team of AIM Global and introduced it to his fiancée Ms. Merly Baza. And last June 2008 Ms. Merly Baza along with her two other siblings Ms. Mylene Baza (oldest) and Mr. Marlon Baza (youngest) decided to get a franchise of AIM Global and making Mr. Richard Cabautan as its manager. And so AIM Global Tuguegarao was born. They are just one of the hundred networking agency here in the Philippines, they recruit members that could help them promote and sell their products. Recruiting members is their specialty but their main objective is to sell their products and be known. This business entity offers different food supplement like coffee that aids headache, memory enhancer, skin whitening and many more. Now their firm (AIM Global Tuguegarao) is growing rapidly in just short period of time. Having hundreds of members from different part of Cagayan and still counting. And this is where we enter, the timing was just perfect. As their small business is getting bigger, asking them for a little favor with a bigger help for them in return would be a great deal. An advance sales and supplies monitoring system would do the trick. Overview of the Current State Technology

Figure 1.0

The business starts when a customer request for a product as shown on the figure 1.0, after paying the customer will now have his/her requested items and a copy of receipt. At the end of the day the manager computes the sales and matches it with the remaining products. This is done by going over the receipts and computes it along with the counting of the remaining products. And when a product reaches the minimum number of stock the manager will have to order for a new product immediately so that they will not have any problem on the availability of the product whenever it is needed. The ordered products will be added to the stocks as soon as it arrives. Then the manager will have to compile all the receipts for the month and sends it to the main office for sales rebates.

Project Rationale
A good inventory tracking system accomplishes four things: 1) it shows what merchandise is in stock, 2) it shows which items are on order, 3) it notifies the retailer when ordered merchandise is scheduled to arrive, and 4) it tells what merchandise has been sold. This information is used to plan future purchases, to determine what is selling and when it is selling, and it helps determine what items need to be reordered or discontinued. The effectiveness of a pen and paper system depends on many things. These items include how much inventory the company carries, the variety of items, the frequency of ordering, and the number of new or one-time-only purchases. The AIM GLOBAL is currently using a pen and paper system. The firm manually checked their sales and products on a daily basis. This is updated every day and is used to track how many items have been sold and what portion of the inventory remains. And this is done by using their copy of receipts and the products left to tabulate their sales. The counting of product is done at the end of the day because a minimum number of products are required before ordering a new one. If a business maintains a small inventory with few items then a manual system may work fine....
tracking img