Royal Crown Inventory System

Topics: Inventory, RC Cola, Cola Pages: 4 (1173 words) Published: October 6, 2011
I. RC Cola Automated Inventory System
II. Summary / Abstract
III. Introduction

a. Background
* Explain the situation
RC Cola Orani Enterprise was established on January 2008 catering to 20 sub dealers all over Bataan and 50 stores from Orani to Balanga. The manner of operation is manual, thus every transaction is recorded and solved manually. In terms of supply ordering process, all emptied bottles/cases are delivered to the mother company located at Lubao, Pampanga; this is done if they reach the maximum cases of 1,720 needed for hauling. When it comes to operation, the number of cases of goods delivered to the sub dealers and stores are written on Daily Remittance Report. However, the report cannot monitor if how many cases are available on the warehouse or how many bottles/cases are missing.

* Show what created the problem

The problem mainly concerns on the inventory. They are relying on physical count of incoming goods and recorded on a piece of paper and transfer to columnar book. Every transaction upon the outgoing of goods is being recorded to Daily Record and being transferred to Daily Remittance Report. However, this process provide redundant records, inaccuracy on their daily report and make it hard for them to determine how many cases are still available in the warehouse and if those stocks are enough to sustain the needs of their customer, stop operation will cost them an estimated value of P 20, 000.00 losses on their income. Another scenario that causes problem exists upon the return of deliveries, loose cases specially in rolling of goods occurred. For instance, RC Cola 8oz. cost P 95.00 per case and emptied bottle cost P 90.00 per case, every bottle that are not completely returned cost P185.00 loss on the net income, to redeem the loss,12 cases was needed to be sold because the profit for every case cost P 15.00 only. Hence, they find it difficult to trace the loss because they are more focus on the daily sales....
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