SALES and INVENTORY monitoring system

Topics: Inventory, Supply chain management, Marketing Pages: 21 (2687 words) Published: September 21, 2014
Introduction
The used of manual processes in business has decline since the rise of computerized and automated systems. And in fact, nowadays, the use of computer-based business system has become prevalent all throughout the developed and developing countries around the world due to the increased productivity and efficiency of data processing

A collection of components that work together to realize some objective forms a system.There are three major components in every system, namely, input, processing and output. The most commonly used system by several companies is the sales system and inventory system creating a window based system. Inventories are often the largest asset of company and a precise inventory management system is often needed to take into accent the sales, orders and the need for replenishments. It also ensures that goods are always stocked to an optimum level to meet customer demands. One of the most samples of overstock levels is Hardware’s, Marketing’s and the Furniture’s that are using manuals.

A sale is an activity involved in the selling of products or services in return for money or other compensation. It is an act of completion of a commercial activity while inventory A list of what you have. In company accounts, inventory usually refers to the value of stocks, as distinct from fixed assets. Advanced system on sales provide more reliable recording of sales of the company with comparison to its actual cost. In addition, the data needed by the company to decide matters in relation to inventory can be easily generated.

 Moreover, the inventory system promotes effective inventory control which ensures stocking the in demand and correct items in the correct quantities. This system can help the company to avoid overstocking. It maintains a Database of the Suppliers and Customers to handle a hundreds to thousands of products for sale, allow several users to use the system with varying access level, easily track items that need to be re-ordered, track purchase history by supplier and by product the company will be trusted by the customer and will be updated.

To understand the need for this type of system ( which is really a combination of software programs) consider a customer's needs. For example, if you go online and order a new digital camera and arrange to ship it to your home, your purchase triggers different events in the seller's system. The system must decide where the camera will be shipped from, then notify the appropriate warehouse to pack it and ship it. Think about where that information comes from so the camera will reach your home on time.

Using this type of system, a company/business makes strategic business decisions regarding raw material purchases, production scheduling, pricing, logistics and other decisions in the supply chain. Sales and inventory data enables the company to increase or decrease production in the factory so the company won't have too many finished goods stored in its warehouses.

BACKGROUND OF THE STUDY
The automated sales and inventory monitoring gives a company a competitive advantage by linking different automated processes within the supply chain. For example, automating the ordering process for customers and the production scheduling, then adjusting manufacturing based on up-to-date inventory levels, makes a company more flexible, capable of deciding how to best satisfy customer orders. When automated activities are linked -- ensuring information flows rapidly from one part of the supply chain to another -- a company can exploit these linkages. Management can make rapid decisions to increase revenues, such as ramping up production immediately in one location because of a sudden surge in demand in another part of the country/world.

The problem of the conducted research is about the company’s sales monitoring and inventory system. Keeping records of sales and inventories manually are...
Continue Reading

Please join StudyMode to read the full document

You May Also Find These Documents Helpful

  • Online Sales Monitoring and Inventory System Essay
  • Sales and inventory System Essay
  • Sales and Inventory System (Revised) Essay
  • Related Literature of Sales and Inventory System Essay
  • Sales and Inventory System Essay
  • Sales And Inventory Management System Essay
  • Sales and Inventory System Essay
  • Sales and Inventory System Essay

Become a StudyMode Member

Sign Up - It's Free