chapter1-3

1Asian Development Foundation College

Tacloban City

Chapter I

The Problem and its Background

Introduction

From the very earliest moments in the modern history of the

computer, the people and the business world have witnessed the

proliferation of computer system that obliges to meet the goal of

Information technology.

We have the completely new world of information and

communication readily available through computer.

With its excellent standards and innovative brand of services, its

aims are to provide business to prefer outrageous performance of

Online Sales and Inventory System of ACME Tacloban Hardware.

Through this advancement in information, traditional business

managers are threaten with decrease of sales and fluctuation of profit

if they would stick to their old manual system of handling business

transactions. That is why computerized system is recommend to make

transactions faster, accurate, efficient and effective. This study is gear

towards this goal.

Online Sales and Inventory of Tacloban ACME Hardware is an

inventory control system that is design to enhance the productivity of

a company’s material department. This system will help them to

transact through online, and for delivery.

Computer Studies Department


Tacloban City

Since the transactions were done manually, like book keeping,

billing, information and inventory, it gave a hard time recording

ordered items and keeping the records of stocks. Thus, proposed

Online Sales and Inventory System of Tacloban ACME Hardware will

help them to lessen to eliminate problems on sales, storage and

retrieval of inventory data for the inventory status.

Statement of the Problem

This study aimed to develop an Online Sales and Inventory

System of ACME Hardware. Specifically it sought to answer the

following questions:

1. What problems are commonly encountered on the current

Sales and Inventory System of Tacloban ACME Hardware?

2. What must be proposed to improve the current Sales and

Inventory System?

3. What are the input needed to develop a system that can

improve the current Sales and Inventory System?

4. What are the assessment of the respondents on the developed

Online Sales and Inventory System of Tacloban ACME Hardware in

terms of:

a. Content

b. Usefulness



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Theoretical Framework

There are various problems in the existing sales and inventory

system has been detected using manual system in the preparation of

the Sales and Inventory in every company. The problem in the record

transaction as: Delays, errors, omission, and the like result of

misinformation to the management of the availability of stock and sold

items. Because of this problem its affect the effective decision on the

part of the management.

A proposed online sales and inventory system would eliminate all

this problems. Efficiency in the process obtained and brings

satisfaction for both management and company.

Sales and Inventories are materials stored, waiting for

processing, or experiencing processing. They are everywhere

throughout all sectors of the economy. Observation of almost any

company balance sheet, for example, reveals that a significant portion

of its assets comprises inventories of raw materials, components and

subassemblies within the production process, and finished goods. Most

managers don’t like inventories because they are like money placed in

a drawer, assets tied up in investments that are not producing any

return and, in fact, incurring a borrowing cost.

They also incur costs for the care of the stored material and are

subject to obsolescence. In the last two decades there has been a



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spate of programs developed by industry, all aimed at reducing

inventory levels and increasing efficiency on the shop floor.

Nevertheless, in spite of the bad features associated with

inventories, they do have positive purposes. Raw material inventories

provide a stable source of input required for production. A large

inventory requires less replenishment and may reduce ordering costs

because of economies of scale. In-process inventories reduce the

impacts of the variability of the production rates in a plant and protect

against failures in the processes. Final goods and inventories provide

for better customer service.

There are other kinds of inventories, including spare parts

inventories for maintenance and excess capacity built into facilities to

take advantage of the economies of scale of construction. Because of

their practical and economic importance, the subject of inventory

control is a major consideration in many situations. Questions must be

constantly answered as to when and how much raw material should be

ordered, when a production order should be released to the plant, what

level of safety stock should be maintained at a retail outlet, or how in

process inventory is to be maintained in a production process. An

inventory is represented in the simple diagram of Fig. 1. Items flow into

the system, remain for a time and then flow out. Inventories occur



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whenever the time an individual enters is different than when it leaves.

During the intervening interval the item is part of the inventory.

Figure 1. A system Component with inventory

Figure1 represents a manufacturing process that takes a fixed

amount of time. A product entering the box at one moment leaves the

box one hour later. Products arrive at a rate of 100 per hour. Clearly, if

we look in the box, we will find some number of items. That number is

the inventory level. The relation between flow, time and inventory level

that is basic to all systems is inventory level = (Flow rate) (Residence

time) (1) where the flow rate is expressed in the same time units as

the residence time. For example, we have inventory level = (100

products/hour) (1 hour) = 100 products.

These questions are amenable to quantitative analysis with the

help of inventory theory. The application of scientific knowledge of

managing sales and inventory control which is called computer-

assisted instruction is given importance today. What is given emphasis

in the job market are variety of issues and opportunities for the

graduates to realize and be aware the importance of computer skills

they need to acquire to the present demand of the modern version of

computer era.


Flow Out(Residence Time)

Flow in Inventory level


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Conceptual Framework

The study would focus on trying to come up with a better

alternative in terms of Sales and Inventory System, which at the

present is being done manually for the most part.

The said alternative would be the Online Sales and Inventory

System of Tacloban ACME hardware.

It is expected that upon its implementation, all processes

connected to Online Sales and Inventory System of ACME would be

more efficient and effective.

Fig. 1.1: A schematic diagram of the development of the

proposed Online Sales and Inventory System of Tacloban ACME

Hardware.


FEEDBACK

Objective Problems

Encountered Gathered

Resources from books

Hardware Software

Online Sales and Inventory System of Tacloban ACME Hardware.

Interview Questionnaires System

Analysis System

Evaluation Programming

& Debugging System Testing

Input Process Output


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Scope and Delimitation of the study

This study is delimited to the assessment of the existing sales

and inventory systems flow implemented by the hardware and the

introduction of online sales and inventory system. It is further

delimited to the identification of the significance of the new system to

the company, the costs relevant to its implementation and the persons

involved in its operation.

The study is further delimited to the suggestions which are

offered by the researchers with regards to the use of the proposed

system.

The study limited itself to the respondents mentioned above,

because the researchers believed that such information needed for the

purposes of the study could be gathered.

This proposed system study is an important aspect in coming up

with Online Sales and Inventory System of Tacloban ACME Hardware.

One of the objectives of the study was to keep track the outgoing

products, availability of products, and the number of items or

remaining products.

In this research study the manual process or system used by the

said hardware was replaced by the automated one.



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Significance of the Study

With the implementation of the Online Sales and Inventory

System of Tacloban ACME Hardware will be able to closely monitor its

inventory and sales flows, accurate and updated reports, systematic

record keeping and other intangible advancement thus providing

quality service to its clients.

Specifically, information offered by the study would be greatly

beneficial to the following:

Customer. This system will provide them an accurate

information, fast transaction and accessibility.

General Manager. This system will provide him with accurate,

speedy and updated information and reports, keep track with the

movements of inventories and efficient flow of sales transactions used

in decision making.

Employees. This system will help them in the effective and

efficient performance of their tracks more specifically in the recording

and monitoring of sales and inventory transactions as well as the

preparations of reports.

Researcher. This system will serve to a more in depth

development and implementation of sales and inventory system and

related studies.



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Future Researcher. This system will serve as guide to a more in

depth development and implementation of sales and inventory system

and related studies.

Definition of Terms

The following terms are defined operationally, some conceptually

to give the reader a clear understanding of the terms used in the

study. Cost benefit. Analysis is done to determine how well, or how

poorly, a planned action will turn out.

Customer. As a person or organization that a market believes will

benefit from the goods and services offered by the marketer’s

serve as client that buys items.

Employee. Refers to the people or the working taskforce of Tacloban

ACME Hardware, who serve the clients by way of verifying the

clients order.

Inventory report. This is a written document describing the list of

supplies on hand.

Inventory. This is the making of an itemized list of merchandises or

supplies on hand. The process of listing articles, supplies of

materials with the description quantity and value of each item.



Tacloban City

Online. Refers to the proposed computerized system that can be

accessed by the user from one pc to another through internet.

Online Ordering System. E-commerce functions where a company

allows customers to order products or services via other website.

Process. Is a naturally occurring or designed sequence of operations

or events, possibly taking up time, space, expertise or other

resource, which produces some outcome. A process may be

identified by the changes it creates in the properties of one or

more objects under its influence.

Profit. Net income from business.

Program. An organized list of instructions that, when executed,

causes the computer to behave in a predetermined manner.

Without programs, computers are useless.

Software. Is the collection of computer programs and related data

that provide the instructions telling a computer what to do.



Tacloban City

Notes

http://fcit.coedu.usf.edu/network/chap1/chap1.htm

http://fcit.coedu.usf.edu/network/chap1/chap1.htm

http://en.wikipedia.org/wiki/Flowchart

http://www.dcag.com/webdocs/invent01.htm

http://www.snowbd.com/warehouse.htm



Tacloban City

Chapter II

Review of Related Literature and Studies

Foreign Literature

According to Jeff Wourio, online sales and inventory system are

designed to immediately record any and all sales and inventory

transactions. Not only does that mean timely and accurate sales

tracking, but this system also lets one readily identify inventory levels,

particularly when what you have on the books doesn’t jibe with actual

stock. Little is more maddening to a business owner than watching his

or her staff bogged down with inefficient, unproductive responsibilities,

from double-checking his inventory disparities to seemingly endless

cash-register reconciliation. Perhaps the greatest advantage to a

comprehensive point-of-sale network is the freedom it can afford on

personnel to devote their energy to what genuinely matters the most

helping customers.

According to Donald Reimer and Ravi Nayar they disclosed that

maintaining the right inventory levels is tough challenge. If not

properly managed, the inventory can result in a significant expense.

Looking over the shoulder is the lender who is concerned about the

cost of carrying too much inventory – which can affect profitability.

Fortunately, there are management information systems that

exist which use microcomputers and variety of industry specific



Tacloban City

software. The cost of carrying inventory today has become a major

expenditure and requires immediate attention. The benefits of

inventory control far outweigh the costs. Any reduction in inventories,

whether it is raw material, work-in-process, finished goods or supplies,

can have a dramatic impact on your bottom line.

Industry averages suggest that a 20 percent reduction in

inventory is achievable with an online inventory control system. For a

company with a yearly sales volume of $1 million, such a reduction

would result in savings of $14,400 per year and would free up $48,000

of new dollars for reinvestment. For a company with a yearly sales

volume of $10 million, the figures are proportionately higher:$144,000

per year in savings and $480,000 in a new dollar for reinvestment.

According to www.udatasolutions..com/lumbergear.asp that was

founded in 2002,Unique Data Solutions began consulting with

hardwood lumber companies to grasp the unique requirements of the

hardwood lumber industry, and after years of research and

development, Lumbergear software was rolled out. Despite the fact

that we come from modest beginnings and have come a long way,

they continue to provide their customers with quality service and

innovative technology solutions.

Lumbergear sales and inventory software is a powerful,

affordable and easy to use lumber business management system that



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increases efficiency in the workplace. They give control of hardwood

lumber inventory and costs. The system also features a core set of

modules that make it possible to run lumber operations effectively, and

get products to customers on time.

The aforementioned lumbergear system specifically helps

manage and maintain inventory and costs for hardwood lumber and

distribution, and wholesale operations. Lumbergear is flexible system

that can be used by wholesalers, kiln facilities, hardwood and softwood

lumberyards, brokers, lumber sales, and sawmills.

LumberCell is a new software add-on that works hand in hand

with Lumbergear in real-time. A mobile transaction processing system,

and is compatible with the most hand held devices such as Blackberry,

Pocket PC, and others. LumberCell allows mobile workers to be

productive on the road. A Non-Parametric Asymptotic Analysis of

Inventory Planning with Censor and Demand of Columbia, School of

Operations Research and Information Engineering, Cornell University,

Ithaca, NY 14853. They conduct a stochastic inventory planning with

lost sales and instantaneous replenishment, where contrary to the

classical inventory theory; the knowledge of the demand distribution is

not available. Furthermore, they observe that only the sales quantity in

each period and lost sales are unobservable, that is, demand data are

censored.



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The manager must make an ordering decision in each period

based only on historical sales data. Excess inventory is either

perishable or carried over to the next period. In this setting, they

propose non-parametric adaptive policies that generate ordering

decisions over time. It shows that the T-period average expected cost

of our policy differs from the benchmark newsvendor cost-the

minimum expected cost that would have incurred if the manager had

known the underlying demand distribution.

Local Literature

Salavador P. Catelo denoted the importance of the Philippine

Retail Food over the past decade. The Philippines witnessed a

substantial growth in the retail industry. Although there is dearth of

recent literature and statistics to support this observation, a

reconnaissance of places especially in the urban areas can attest to

this. Growth is seen not only in terms of numbers but more visible in

terms of size, investment on structure and modernization in operation.

Digal (2001) pointed out that the Philippine retail industry’s

performance comprises about 11 percent of the Gross Domestic

Product (GDP) in 1997. There are clear indications that this magnitude

has been more or less maintained in the past 3 years. Total retail sales

in 2002 increased by 11.1 percent and its GVA contributed 10.6

percent to GDP in the same year. About seventy-three percent (72.84



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%) of this share was in the trade sub-sector while 25.43 percent was in

the service sector. From 1981 to 1997, the industry grew by 5.83

percent annually, outpacing the average annual GDP growth rate of

2.27 percent over the same period.

Combined with the wholesale sector, the industry absorbed 15

percent of the country’s employed labor in 1998 (Digal, 2001). The

food, beverage and tobacco industry contributed 37 percent of the

total employment in the wholesale and retail industry in the Philippines

in 1995. Within the food sector, 87 percent of the total employment

comes from small food retailers with less than 10 employees (Digal,

2001).

In the Philippines, food retailing industry involves a wide array of

sellers from the sidewalk vendors, wet and dry markets, sari-sari

stores, groceries, supermarkets, hyper marts, warehouse and discount

clubs and convenience stores. Food means brisk business. Food is

intricately linked with its culture and traditions. In the family, food

accounts for 43 percent of total expenditures. Outside the home,

eating has become lucrative for the retail business. Expenditures for

dining out, excluding corporate representation registered an average

growth rate of 15 percent to 20 percent per annum in the last 10

years. In the quick service or fast food segment, the total market in

2000 was over PhP 30 B. (Palma, 2005). According to the Family



Tacloban City

Income and Expenditure Survey (FIES) of the National Statistics Office

(NSO), household spending on food increased by 26 percent from 1997

to 2000. Personal consumption expenditure (PCE) on food and

beverages in 2002 reached about PhP 448 B from PhP 401.7 B in 1998,

or an average annual growth rate of about 3 percent (Omana, 2005).

Motor Image Pilipinas (MIP), exclusive distributor of Subaru in the

Philippines reported a year-end sales performance of 602 units,

marking an increase of 100 percent from 2007. It also registered the

biggest growth in performance in the Philippine automotive industry

based on the figures released by the Chamber of Automotive

Manufacturers of the Philippines (CAMPI). Subaru has been the fastest

growing automotive brand since its arrival in 2006 and Motor Image

has announced plans to expand its business in 2009.

Since its arrival in 2006, Motor Image Pilipinas has continued to

sustain its growth in the market with Subaru establishing itself as the

premier sport-luxury in the country. In 2008, Motor Image launched

three new models that further strengthened its position in the market;

the luxury SUV Tribeca, the 300-hp WRX STI and the third generation

compact SUV, the Forester. Aside from these three models, Motor

Image has also made available other well- known Subaru models such

as the Outback, the Legacy and Impreza 2.0R variants.



Tacloban City

According to www.helium.com Henry Sy started to work at an

early age of 12, usually manning the small family sari-sari store and

preparing the traditional way of recording the sales and inventory

control. Shortly, Sy thought of selling small portions of their grocery

items to accommodate customers buying small volumes of products.

Thus, the concept of retail marketing came to his mind. He entered the

buy-and-sell industry to obtained funds to start his own retail business.

Sy imported retail products from the US and sold it in the Philippines

and the rest as they say was history. Mr. Sy is now the CEO and the

founder of the SM Prime Holdings- one the largest publicly-listed

companies in the Philippine Stock Exchange.

Related Study

Foreign

An Online Inventory Control System can also help company with

new inventory management techniques such as Just-in-time (‘JIT’).

Such techniques cut the use of company resources such as

warehousing, equipment and personnel. However these techniques

require error-free environments and better control over inventory since

the buffer zone to compensate for the errors is less.

Computer technology has provided opportunities for improving

instruments management. Online inventory management system has

the capability to manage and process large volumes of data quickly


http://www.helium.com/


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and provide reports that help the healthcare facility do a better job of

managing its surgical instrument inventory. It is important to be aware

of which systems are currently available in the marketplace and what

they offer. Most computer management systems track the instrument

set through all processes and service. Others have additional options,

such as instructional features online, instruments preventive

maintenance reminders, and employee tracking for productivity.

Although an automated system may require a substantial initial

investment, it has proven to be a cost effective instrument

management program. According to Valerie DeVries, RN, sterile

processing manager at Lenox Hill\hospital in New York City. “It may

cost thousands of dollars, but it’s worth it”. Now we can find the trays.

At Lenox Hill, we have a outrageous volume of instruments inventory.

“However, the system requires maintenance, backup, and someone to

sit and input consistently”.

When it comes to inputting data, bar coding, is a valuable tool.

Inputting data using a bar code system is a definite time saver over

annual input as long as the information is recorded at time of use. Bar

coded trays and a bar code scanner provide improved tacking of

instrument sets. Using a tray system that provided a location for

labeling as well as the ability to bar code is a clear advantage.



Tacloban City

Improving information management has become the critical

issue for most small retailers, says Judy Newdom, a principal of

Computer Sciences Corporation national retail practice, based in

Cleveland, As a result, cash registers at many small businesses have

been transformed into Online POS Systems. Silverman say he selected

the upgraded CounterPoint software after evaluating other packages

because it would run on the assortment of POS hardware his firm

already had. Switching to competing POS software would have

required Blades to purchase new hardware, he says.

The new version of CounterPoint gives the company a quicker, a

more accurate, and more detailed picture of its sales and inventory

than the previous version. Moreover, the program can be tied into the

firm’s accounting software. Dynamics, from Great Plains Software Inc.

of Fargo, N.D. This enables each sale to be entered instantly into the

accounting ledger.

The aforementioned related studies seem to reveal the strengths

and weaknesses of the Sales and Inventory System both local and

abroad. Thus, the writes cited the aforementioned studies since it

served as a guide to the present study.

The “Quasem Dry Cells Ltd” is an old and premier manufacturing

company of Bangladesh. The factory of the company is situated in

Tangail district. The company mainly produced various types of



Tacloban City

batteries. The demand of the product of the company is high. So, the

company has to follow a proper inventory management system. The

company follows “Safety Stock” inventory management system.

Safety stock system helps the company to fulfill its market

demand. For instance, the demand of inventory is likely to fluctuate

from time to time. In particular, at certain points of time the demand

may exceed the anticipated level. In other words, a discrepancy

between the assumed and actual usage rate of inventory is likely to

occur in practice. Similarly, the receipt of inventory from the suppliers

may be delayed beyond the expected lead-time. The delay may arise

from strikes, floods, transportation and other bottlenecks. Thus, a firm

would come across situations in which the actual usage of inventory is

higher than anticipated level and or the delivery of the inventory from

the suppliers is delayed. The effect of increased and or slower delivery

would be a shortage of inventory. That is, the firm would face a stock-

out situation. This, in true, as explained in detail below, would disrupt

the production schedule and alienate the customers. The company

would, therefore, be well advised to a keep a sufficient safety margin

by having additional inventory to guard against stock-out situation.

Such stocks are called “Safety Stock”. This would act as a buffer or

cushion against a possible shortage of inventory caused either by

increased usage or delayed as the minimum additional inventory to



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serve as a safety margin or buffer or cushion to meet an unanticipated

increase in usage resulting from an unusually high demand and or an

uncontrollable late receipt of incoming inventory.

RFID Tracks Jewelry Sales, Inventory of Middle East, they created

a study wherein once the tag is applied to a piece of jewelry, a store

employee uses a handled interrogator to capture the tag’s unique

identification number, then again on a daily basis for inventory

management. Any attempt to cut the cord disables the tag, making it

impossible to transfer it from one piece of jewelry to another one that

is cheaper in an attempt to disguise a theft. The data related to those

daily read is transferred to an inventory database managed by TJS’s

software service, and TJS forwards a daily report to the bank. The

database contains detailed information on each piece of jewelry. The

system can be operated as a stand-alone system or integrated with the

store’s IT system. Handheld interrogators manufactured by Feig

Electronics, or by PDA reader module supplier ACG, can be waved a

few inches above the jewelry to retrieve information about the item

from the database. When the store sells a product, employees scan the

label once, and then cut the tag, disabling it. The tags are then

returned to Sokymat, which removes the chips from the hard plastic

cases and put them into new casings. While the system offers special

advantages to the Middle East, where bank ownership is an attractive



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option, the system has also caught the attention of jewelry retailers

worldwide. “From a technical point of view, it’s a solution for the whole

world,” Nasser says. “Not everyone needs a financing solution; instead,

it’s about inventory management.” TJS charges the stores a monthly

fee for the system, depending on the size of the retailer.

By June, Nasser says, its system will be deployed at 25 locations.

The company is not the only one offering an RFID solution for jewelry

retailers. French RFID systems manufacturer Tagsys and Swiss auto-ID

software solutions provider Solid have co-developed a 13.56 MHz RFID

system aimed at increasing inventory accuracy and reducing theft.

Swiss watch and jewelry maker de Grisogono has developed the

system at its stores in Geneva and Paris, and also plans to roll it out

across all 15 worldwide retail locations by the end of the year.

A prototype warehouse sale order and inventory system via

Pocket PC phone using GPRS communication has been created for

sales departments in tire factories to manage with sales orders

effectively and efficiently. This prototype will work as the order-center

for administrators, sale persons and customers. This warehouse sales

order system has been created using PHP, which is server side script

and MySQL, which is a database program. The application has five

sections: Firstly, a product data management system and sale order

data management through website.



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Secondly, a sale person-order system through website via a

computer PC or laptop. Thirdly, a customer-order system through

website via a computer PC or laptop. Fourthly, sale person-order

system through website via a pocket PC phone. Fifthly, a summary

report system for the manufacturing department and director.

The system will require an internet network for a computer PC or

laptop, and the GPRS communication network for a pocket PC phone.

After the application was implemented by sale persons, customers and

administrators, the result of order products through websites was very

satisfactory. It decreased the order processes, and at the same

brought information technology to apply to the sale process. It reduces

the processing time by 77.98 percent and increased satisfaction for all

users.

Local Study

Michael Cruz’s of De La Salle College of Saint Benilde a graduate

of Bachelor of Science in Business Administration, Major in Information

Services Management by 2004-2007 and Senior Business Systems

Analyst of KFC Philippines. He conducted a research study on

Enterprise Content Management to any store or company which

tackles sales and inventory control that aims to help concessionaires in

their inventory stocking and as well as in preparing their sales report.



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A Research Study of Longjas Trading Online Sales and Inventory

was conducted by the student’s of Leyte Normal University Computer

Science Department. They develop a system with high levels of

reliability and availability required of business-to-consumer Websites

that requires not only great technology, but also great operational

processes. Building a scalable, highly available application is a

necessary process in becoming functional as an e-commerce entity.

They have tried developing the most basic modules required in

an online business, using MySQL-server, PHP and Apache Web server.

All of the key processes and tools are covered in this store from retail

storefront to back end management.

Another research study with the title name “Sales Inventory” for

Gaisano Capital Tacloban Branch”, that was conducted by the group of

researchers of Eastern Visayas State University Bachelor of Science in

Information Technology Students. The study also deals with sales

inventory wherein the customer will purchase the item, and then the

cashier will scan the barcode to the barcode reader machine and

automatically compute the sold items, available and generate sales

inventory report. The objectives of their research study is to have an

accurate sales, stock, availability of an items, lessen the work load of

the management employee and have smooth flow of sales inventory.



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Notes

http://www.oppapers.com/essays/Online-Customer-Database-And-

Inventory-System/423743

http://www.oppapers.com/essays/A-Study-On-Inventory-System/

356638

http://sensoria.in/TU/knowledge-pool/35/225.html?start=1

http://www.microsoft.com/business/en-us/resources/technology/

business-software/7-reasons-to-switch-to-a-point-of-sale-system.aspx

http://systems.almyta.com/Inventory_Management_History_4.asp

http://systems.almyta.com/Inventory_Management_History_4.asp

http://answers.yahoo.com/wuestion/index?

qid=20090304011531AAvb1XT

http://www.udatasolutions.com/lumbergear.asp

http://www.columbia.edu/~th2113/files/DataLostSales-MOR-2008Oct-

1.pdf

http://www.pecc.org/food/papers/2005-2006/Philippines/ppecc-catelo-

paper.pdf



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http://www.tsikot.com/subaru-sales-in-the-philippines-doubles-in-2008/

http://www.helium.com/items/1913377-the-most-successful-

businessmen-in-the-philippines.

http://www.reportbd.com/aricles/119/1/Inventory-Management-System-

amp-Safety-Stock/Page1.html

www.rfidjournal.com/article/articleview/2348/2/1definitions_off

http://tesla.eg.mahidol.ac.th/Internet/TH/articles/abstract/13.pdf

http://entertainment.ezineseeker.com/sales-and-inventory-

management-with-bum-buys.com-162b55524f.html

http://www.apdip.net/projects/ictrnd/2004/L62-ph/index_html

http://www.dlsu.edu.ph/research/journals/dlsuengj/pdf/vol1no1/11.ppd

http://ph.linkedin.com/pub/michael-cruz/19/b6/b63



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Chapter III

Methodology

This chapter contains the discussion of the research design, the

locale of the study, the respondents of the study, research

instruments, and validation of instruments, research procedure and

statistical treatment of the data used in the study.

Research Design

The descriptive method of research will be use in this study with

the questionnaire as the main tool in gathering the needed data. Also

use to obtain information concerning the current status of the

phenomena to describe “what exists” with respect to variables or

conditions in a situation. The methods involved range from the survey

which describes the status quo and deals with everything that can be

counted and studied to justify the validity of the research study that is

beneficial to the company, schools and future researcher.

The method revealed the personal background of the company

and the status of the system, as well as certain perceptions of the type

of system, how the present system works, as well as certain files and

the common problem encountered in using their present system.



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The different personnel in the company will also be interviewed

in order to document the exact work of each employee and so that the

data that have been gathered will be analyse and interpreted by the

researcher in the development of the propose system.

Research Locale of the Study

The study was conducted at Tacloban ACME Hardware at Rizal

Ave., Tacloban City. The main objective of their company is to meet

the satisfaction of Utheir customers and to have a quality products.


r

Salazar Street

B

U

R

G

O

S

S

T

R

E

E

T

Del Pilar Street

Rizal Avenue

Sto. Nino extention

TaclobanACME Hardware

JOLLIBEEDAMAR

ADFC


Tacloban City

Respondents of the Study

The respondent of this research includes the Branch Manager

(1), sales lady (4), Cashier (1), Delivery Boy (1), Stockman (1), and

Customer (250) with the total of two hundred fifty eight (258)

respondents of Tacloban ACME Hardware.

Research Instruments

Since this study is designed to implement the proposed Online

Sales and Inventory System, the researchers used questionnaire and

interview as instruments in gathering data and information.

Validation of Instruments

The gathered data by the researcher was validated by Krystel

Ann Doyon, branch manager of Katrina

Research Procedure

The researcher have ask permission from the branch Manager of

Tacloban ACME Hardware before gathering data and information

needed in the study regarding the history of the business and the

problems encountered in their current system through a proposal letter

and permission to conduct interviews.

Statistical Treatment of Data



Tacloban City

The data gathered will be tallied, organized analysed and

interpreted with the use of appropriate tools such as the following.

Percentage Formula:

f

Where:

P = Percentage

f = Frequency

n = Total number of Respondents

Weighted Mean. This was used to determine the respondents

assessment of the system in term of content, manner of presentation,

and usefulness of materials.

x = fxn

The qualitative description of the weighted mean was

determined using the following scales.


P =

* 100n

chapter1-3

Documents

computer studies

tacloban acme

motor image

pocket pc

yearly sales

proposed online

related studies

motor image