Chapter I Introduction

In any manufacturing company, Inventory System plays a vital part in companys operation. This is where the owner monitors the volume of merchandise produced by the production department, this is also where the profiteer could see which product is fast moving and which is not. The sales department also relies on the Inventory System regarding the availability of merchandise in the stock room. Inventory Department is also the one in charge of releasing the items into the logistics department which will deliver the sold products into the clients. Because almost all departments connect into the Inventory System, it must be well secured. So that there would be no discrepancy inside the stock room, and no product will be loss. Therefore, Inventory System must be fast, efficient, reliable and secured. To create more productivity in the company, having a slow Inventory System will caused delay in Sales and Logistics operation. Fast and reliable system, will mean more productivity, more income for the company

Company Background
SCHEELE LABORATORIES PHILS., INC. (SLPI) is a Filipino-owned pharmaceutical laboratory organized and established in 1993. It was registered at the Philippines Securities and Exchange Commission on 02 February 1993 and subsequently granted a license to operate by the Bureau of Food and Drug on 02 March 1993. SLPIs base of operation is strategically located in Dalandanan, Valenzuela City, one of the first areas in the Philippines to be declared as industrial zone. Its production and administration divisions are housed in four separate buildings specifically design to accommodate the most modern facilities and machineries now available in Southeast Asia and the world even. It also produces almost complete line of generic and branded pharmaceutical products and preparations as a result of 15 years of experience in quality pharmaceutical manufacturing. The company has dedicated buildings, equipment and facilities for the following: Aside from its modern research tools, equipment and research and development, SLPI continues it quest for the best and the brightest professionals among its human resource. True to its commitment to provide the pharmaceutical and healthcare industry with quality products that exceeds customers expectation; it adheres to International Quality Standards, hence gained the trust of most Filipino owned Pharmaceutical companies and other multinational pharmaceutical companies as well.

Statement of the problems

Inventory System is a vital part in companies operation, it is where the warehousing and monitoring of products inside the warehouse are conducted. Presently Scheele Laboratories Philippines Inc. Inventory System is manual, they store data in MS excel 2003 which they will retrieved and write on flash cards for daily inventory. Over 200 varieties of products are tallied daily. After all products are tallied, Head of inventory will print the data and have signed it by Audit Personnel and store the printed daily inventory into a folder. Excel is updated whenever products coming from production department arrived and whenever the products are sold. The stored data in MS Excel was also used by the Sales Dept for checking of Products availability, since Inventory is manual, often times it takes too long to update the items and it is more prone to human error. That causes discrepancy in inventory. And sometimes sales department sell products that are already sold because of false inventory, so in order to omit that fault, sales personnel call Inventory Department to check product availability. The process which should be done in much shorter time took so long because of manual inventory. Fast processing means more productivity auditing is done twice a year, last week of June and third week of December. The Audit team manually tallies the printed daily inventory report which composed of 120 days, which also make the Auditing slow and not so efficient because of manual inventory system.

Objectives of the project

The objective of this project is to create an Inventory System for Scheele Laboratory Philippines INC.

Specific Objectives

To be able to produce an accurate and precise Inventory system for Scheele Laboratory Philippines INC. To provide more security in the database. To lessen human access in the system and lessen human errors. To be able to develop a system that can provide fast, efficient and reliable inventory reports

Scope of the Project

The scope of the project is The Inventory System SLPI, the system will be dealing with data manipulation of inventory such as adding, updating, deleting and generating inventory reports. The system will record the Information and order statement of the customer. Also the transaction that is being done between the customer and the company will be recorded.

Limitations
The said system will not use a barcode system and cover only the inventory system. The system will only run only in windows xp environment , the function of the system is limited to just manipulating database and printing datas.

Chapter II
Requirement Analysis Project Requirements

Human Interface
Audit Department they will use the system to access the database and to check if the data have discrepancy Inventory Head using the system to help them tally and generate inventory reports Production Department they are the one to update when another product is add in inventory

Chapter III
Project Analysis

Narrative description of existing system

The present Inventory System is done using Microsoft Excel, where in over 200 varieties of products were tallied daily. The inventory personnel also used flash cards for daily inventory which they tallied into the data saved into the Microsoft excel is updated every delivery of products from production department and when shipping of sold products to clients. They used to call that method in and out method. Whenever a customer order products, the sales department check the availability of the products to the inventory department via phone or sometimes windows messenger, the inventory department will then check the Microsoft windows excel which serves as a database for inventory, then confirm availability of the product to the sales person. The sales person will then prepare necessary documents like sales invoice and order slip, official receipt etc. and forward it to the inventory department. The inventory department will then prepare the products and forward it together with the official receipt to the logistics department for delivery of the products to the clients. Upon replenishing stocks in the warehouse, the inventory department will send a list of items that needs to be reorder in the stocks to the production department. The production department will then produce the product and deliver it to the warehouse together with the delivery receipt. When the inventory personnel received the items they will verify the number of delivered products and update the Microsoft excel inventory database. Auditing is done twice a year, last week of June and third week of December. Auditing team is a composed of one sales personnel, one human resources department personnel and the company auditor. Auditing is done manually, daily inventory report is tallied from the day after the last inventory up to that day of inventory.

Context Diagram Existing System

EXPLODED DIAGRAM EXISTING SYSTEM

Narrative Description of the Proposed System

The proposed system will be running on Microsoft Visual Basic 2008 Express Edition environment as its front end and Microsoft Office Access 2007 as its Database. The said system will have security features like user log-in and password to prevent unauthorized person from accessing companys confidential data. The system should be installed in every computer in the office who might need access to inventory, the said computer should be connected to a local area network which will allow the software to access the database which will be saved in the server. Every department will be having different view of the system, the user log-in will route the user into the interface that they will be using according to their corresponding department. Sales department will only be allowed to view the content of the Database o live inventory and not to add or deduct from it, in the purpose of checking product availability whenever ask for a certain product. The only time the sales could deduct from the database is whenever they make a sale, they will input the product id, product name and quantity together with the sales invoice number. The system will forward the data to the inventory department to prepare the product sold and forward it to the logistics. Simultaneously the system will deduct the quantity of sold items into the Live Inventory and send data to Inventory Report tables for daily inventory report purposes. In delivery, Production department will input the product id, product name, quantity of delivered items together with the delivery receipt number into the system. Upon receive of the products, the Inventory department will confirm into the system that said delivery upon verification process. The system will then update the live inventory and will add the delivered products. Also the system will send data to Inventory Report table for daily inventory report purposes which will in Auditing. In Warehouse Monitoring, the Inventory Department will be allowed to print the content of live Inventory for the purpose of tallying the product on hand and the live inventory, in case of discrepancy the said department will create incident report and will be forwarded to the Audit department. If theres no discrepancy the Inventory department will save a copy of Inventory Report table for daily inventory report purposes. In replenishing stocks, the Inventory department will input product id, product name, quantity of requested items into the system. The system will forward it into the Production department to produce those requested items. The In and Out method is secured as two department will have the hand on it. In sales, sales department input sales data then inventory verify it, while in receiving items the production department will input delivery data and then inventory department will verify and confirm it.

Context Diagram of the Propose System

Propose Inventory System of Scheele Lab Phils Inc.

Chapter IV
Project Design Entity Relationship Diagram

Database Design

Visual of Table of Content

Interface Design