inventory system

Topics: Business, Marketing, Inventory Pages: 7 (1320 words) Published: September 28, 2014
Chapter I

INTRODUCTION

BACKGROUND AND RATIONALE

In today’s generation, we are engaged in highly computerized technology aiming to enhance individual lifestyle and most especially in the world of business. Certainly, there are plenty of small retail outlets, manufacturers, and other businesses that continue to rely on manual means of inventory tracking. Many companies and businesses are using sales monitoring and inventory systems for their success and growth. It is an effective way for monitoring sales and   tracking different   products and materials that are transferred in and out of a company’s warehouse or establishment. Moreover, a sales monitoring and inventory system promotes effective inventory control which ensures stocking the marketable and correct items in correct quantities. This system can help the company to avoid overstocking. When a company overstocks, money is wasted since procuring, storing, and accounting for unneeded items require time, space, and money which could have been used on more favourable and marketable assets. Having a developed system on sales monitoring and inventory makes the company more productive, efficient and convenient both to the company and its client. The sales and inventory system is meant to help the company employees and personnel to show customers more relevant items, hoping to expedite and increase the sales and most importantly to increase the profit of the company. With the aid of a sales monitoring and inventory systems, product management will be more consistent, reliable and efficient.

Soundpoint Electronics and General Merchandise is a retail enterprise located at Brgy. Taboc, Borongan City, owned and managed by Mr. Crisanto Jose C. Labro.
The computerization of their existing system is one of the primary reason why I conducted this study. I believed that with the computerized sales monitoring and inventory system, the problems met on the existing system will lessen and eventually eliminate.

STATEMENT OF THE PROBLEM

This study aims to solve the following existing manual sales monitoring and inventory problems: 1. Their present sales and inventory system is highly labor intensive because they require continuous monitoring on their business enterprise on a daily basis. 2. In terms of their sales transactions, the only record that they have are the customer’s official receipts and the problem with that is not all customer’s ask for an official receipt. They cannot determine how much their total earnings are at the end of the day because their records or the official receipts that they keep are not complete. 3. Lack of security in terms of their sales and their products. The business owner will find it difficult to see if some products are lacking or missing because they don’t have any written records about the available products. 4. Unreliable inventory and sales report. Because they don’t have a complete records of their inventory and sales transactions, they cannot produce any inventory or sales report that are really consistent and dependable.

SCOPE AND LIMITATION OF THE STUDY
This study was conducted at Soundpoint Electronics and General Merchandise located at Brgy. Taboc, Borongan City. This was conducted during the first semester of school year 2013 – 2014. The proposed sales monitoring and inventory system will: 1. This can no longer be highly labor intensive because with the aid of the sales monitoring and inventory system, they can monitor their sales and determine their lacking and unavailable products with the accurate reports that the system will generate. 2. After each customer transaction, the system will generate an official receipt and from then, they will be able to have a record and they can now determine their earnings. 3. Promote data security in terms of making the files always updated and easy to locate to provide a faster mean of doing the inventory. Unauthorized employees and persons will not be able to use the...
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