CHAPTER I

THE PROBLEM AND ITS SETTING

I. Introduction

Monitoring is a periodic tracking of any activity’s progress by systematically

gathering and analyzing data and information. Monitoring is used to track changes in

outputs and status over time. In its simplest sense it can be done manually by using

logbooks and writing down all things that should be monitored including status and

updates. In this way it is possible to keep a record for all documents or accounts that are

coming and giving specific actions.

Since manual monitoring consumes a lot of time and is prone to errors, it would

be helpful to build a system that will monitor all the documents that are received. The

monitoring system will improve employees’ work efficiency by tracking easily the status

of documents received and giving immediate action. The accuracy of the current system

will also be improved, since the computerized monitoring system will eliminate the need

of constantly writing down lengthy details of documents resulting to more logbooks.

The Commission on Audit (COA), is an independent constitutional

commission established by the Constitution of the Philippines. It has the primary function

to examine, audit and settle all accounts and expenditures of the funds and properties of

the Philippine government.

 COA Region 4B office located at Camilmil, Calapan City, Oriental Mindoro is

one of the office of COA that are in-charged to audit different municipalities and

barangays of oriental mindoro. COA Region 4B is divided to different Team and assign

in different municipalities and barangays.

Team 1 of COA Region 4B are the one assign to Municipality of Baco, San

Teodoro, Calapan City and Provincial Government of Oriental Mindoro lead by Atty.

Emmerly Masangkay. All of the Municipalities and Barangays are required to submit

their monthly Accounts and reports to COA such as: Monthly Expenses, Fund Utilization

report, Collection Accounts, Accomplishment Repots, General Fund Accounts, Trust

Fund Accounts, Special Education Accounts, Fund Utilization Report and other accounts

and reports requested by COA. All accounts and reports received by Team 1 COA

Region 4B will be verify by Auditors if it’s correct or there are some discrepancies on the

accounts. The mission of COA is to ensure accountability for public resources, promote

transparency, and help improve government operations, in partnership with stakeholders,

for the benefit of the Filipino people.

The Computerized Accounts Monitoring System of Team Leaders office of COA

Region 4B Team 1 is a proposed system to the COA office of Region 4B Team1. It was

proposed to enable the production of correct reports, fast retrieval of correct data, reduce

the amount of paper used, and to store large amount of data and information occupying a

small office. Some benefits of the system are to provide a computer-based information

system for the current monitoring, to lessen the manual processes, and to make the

system store and generate efficient report

II. Background of the Study

The researcher was a former employee of COA Region 4B, While employed he

realized that the gathering of data and monitoring in the office of the team leader was

done manually. They only used different kinds of log books to monitor all paper works

and other documents.

The researcher talked to the team leader of COA and suggested that he can create

a system for them, The team leader immediately agreed and welcomed the suggestion.

Computerized Monitoring System will not only fasten their work but will yield a more

efficient and accurate work output.

III. Statement of the problem

Based on the conducted interview and observations, the researcher discovered

problems needing resolutions. Specifically, this research seeks to yield answers to the

following problems;

1. What are the problems encountered in Monitoring of Accounts and Documents

using the current system of COA Region 4B?

2. What are the procedures in Computerizing the Monitoring of Accounts and

Documents of COA?

3. What security measures are to be adopted?

4. What are the perceived benefits once the proposed project is implemented by

COA Region 4B?

5. How effective is the proposed system?

 6. What are the reports that can be generated by the system?

IV. Hypothesis

Ho: There is no significant difference between manual and computerized

monitoring system.

H1 : There is a significant difference between manual and computerized

monitoring system.

V. Theoretical Framework

The input–process–output (IPO) is a widely used approach in systems

analysis and software engineering for describing the structure of an information

processing program or other process. Many introductory programming and systems

analysis texts introduce this as the most basic structure for describing a process.

Input–Process–Output (IPO) will be use as theoretical framework for the project.

IPO is often called IPOS or input, process, output, storage. Storage is where the data is

kept once the computer is turned off. An example of IPO can be given with a toaster; the

input is a slice of bread, the process is heating and the output is toast. A simple computer

IPO example is; pressing keys on a keyboard is the input, the process is making words

and the output is displaying words or symbols, or printing them.

INPUT PROCESS OUTPUT

STORAGE

Figure #1 Theoretical Framework

Input

 Input is something from the external environment that is fed into

the system.

 In an information system, The inputs may be raw data “captured”

in some way or pre-existing data which has been provided by an

external system.

 In either case, the data input is provided by an external entity.

Process

 The transformation process is the most important element of the

system.
  The process accepts the inputs into the system and performs some

type of operation on it which transforms it into some other state. In

the simplest of terms, the process is at the heartof any system.

Output

 Output from the system which is the result of processing the input.

 Without output, a system has no link back into its external

environment.

 Output of an information system or a picture on a computer

monitor, or even data that is fed into another external system.

Storage

 Storage is a process through which digital data is saved within a

data storage device by means of computing technology. Storage is

a mechanism that enables a computer to retain data, either

temporarily or permanently. Storage may also be referred to as

computer data storage or electronic data storage.

VI. Conceptual Framework

In this study, the proponents aim to provide a better way of monitoring for COA

region 4b team1. In order for the Auditors to have a better way of monitoring system. The

system will provide an efficient way of record keeping activity. This study aims to
provide better results of documents monitoring system that can cover up with the

Auditors needs.

•Gathered information by interviewing personnel.

•Sharing Idea.
•Get information about the flow of documents.
INPUT •Know the limit of accessible datas.

•Combine the gathered information and idea.

•Design proposed system.
PROCESS •putting scypts and codes to the system.

•Accounts monitoring system of Team leaders office of COA region 4b Team 1.

•Faster retrieval of data needed.
OUTPUT •Easy to update Monitoring system.

Figure #2 Conceptual Model of the proposed System.

VII. Operational Framework

COA is one of the National Government Agencies that holds many kinds of

accounts. This needs proper flow of documents from the time they receive an account to

the process where audit result will release. In this framework, the researcher show the

proposed system will operate.

 INPUT
SOURCE
The process where all documents
Different kinds of documents
forwarded to office of the team
submitted by municipalities and
leader are encoded such as FUR,
barangays forwarded to office of
AAR, MOA and other different
the team leader.
kinds of documents.

PROCESS
This is where the system will
work by storing and make clear
monitoring for all documents that
are inputed.
DESTINATION
All monitoring results and data
stored will be used by COA
personnels to give them all
needed information.

OUTPUT
A Computerized monitoring
system that gives reliable
information and fast results.

Figure #2 Operational Model of the proposed system.

Figure #2 show how the proposed system will operate. The proposed system will

start at the SOURCES were it has to be monitor. Barangays and Municipalities submitted

their accounts and reports every month.

 Not all Accounts submitted to COA are forwarded to office of the Team Leader,

INPUT is the process were selected accounts and reports are transferred to office of the

team leader. After the accounts are forwarded, the PROCESS will start. PROCESS is the

main task of the proposed system, it will store all data and make an accurate monitoring

on all documents forwarded.

The Team Leader will look at all forwarded accounts and give an specific action.

in some cases, The team leader will forward some documents to other auditors,

DESTINATION is the process of transfering of documents to other auditors, The System

will record the date forwarded and the action required for the documents.

OUTPUT is the Computerized monitoring system that fasten their work and yield

a more efficient and accurate work output.

VIII. Significance of the Study

This project intends to provide an accurate and effective Monitoring System

which will benefit the following:

Commission on Audit, Region 4B, team1. The proposed system will lessen the

time, enhance the level of work, make its processes more reliable and efficient, and

provide accuracy and security of data and information. It will contribute to the

development of the COA region 4B team1 and add to its competence.

 Researcher. The project serves as a basis of his study. It engages his knowledge

in programming activities to create a computerized system. It will also serve as a tool to

sharpen his knowledge and ability in developing a computerized system.

IX. Scope and Limitation of the Study

The proposal aims to establish a better way of Monitoring System for the COA

Region 4B Team1. It also aims to lessen the work of the authorized personnel in

accordance with the monitoring of different kinds of documents such as Barangay

Accounts, Monthly Reports, Letters, Audit Reports, Collection Accounts, Accountable

Forms and other reports requested by COA.

lastly, the project aims to lessen data discrepancies and errors which are

frequently arising from the current operations.

X. Definition of Terms

These are some of the words and terms that were used in this project. Their

definitions are given based on how they are used in this study;

Fund Utilization Report(FUR)- The fund utilization report gives details

concerning the way funds were used in a selected period of time. It shows the amounts

issued from a fund selected and how much was paid back or deposited to the fund.
 Barangay Accounts- This accounts are submitted to COA by different

barangays. It includes all the expenses of barangay every month which the COA will

verify if its correct.

Annual Audit Report (AAR)- This kind of reports contains all the findings

within the year in specific barangay or municipality.

General fund (GF)- A general fund is the primary fund used by a government

entity. This fund is used to record all resource inflows and outflows that are not

associated with special-purpose funds.

Trust Fund (TF)- A trust fund is a special type of legal entity that holds property

for the benefit of another person, group, or organization.

Memorandum of Agreement (MOA)- A Memorandum of Agreement (MOA) is

a written document describing a cooperative relationship between two parties wishing to

work together on a project or to meet an agreed upon objective. An MOA serves as a

legal document and describes the terms and details of the partnership agreement
 CHAPTER 2

Review of Related Literature

This chapter includes the ideas, finished thesis, generalization or conclusions and others.

Those that were included in thus chapter helps in familiarizing information that are

relevant and similar to the present study

Foreign Related Literature

Sales & Inventory Monitoring Systems

by Audra Bianca, Demand Media

Data Collection for Decision-Making

Using this type of system, a company 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.

Function

A sales and inventory monitoring system collects data to aid in production scheduling.

For example, some systems use recent sales data to forecast how many of a type of

product will be needed to meet consumer demand in the near future. This includes
monitoring the levels of a product at all locations. A good example is a global company

with customers all over the world. The customer may live in Japan, but the system must

see if the warehouse in Canada has a product available to ship to Japan.

How it Works

The system compares current inventory levels of a product and the number scheduled for

production with the number needed, and determines if the level of production must be

changed. If necessary, the system sends a message to the master production schedule to

increase production. Also, the inventory monitoring system slows down production when

a product's retail sales levels don't meet the sales forecast and the company overproduces

the product.

Competitive Advantage

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 world.

Local Related Literature

Inventory Ordering System

By Globe Business Philippines

With just a few keystrokes, track your supplies using Globe’s Inventory Ordering

System. The cost-effective and highly innovative inventory management system gives

you instant access to stock levels, allowing for timely orders and zero wastage.

Get real-time reports

What the inventory system does is allow you to order supplies based on the most current

data. This minimizes overstocking and at the same time, frees up resources for more

urgent needs.

Cut through red tape

The Inventory Ordering System gives you better control over your supply chain,

affording you the convenience of being able to place orders online or via SMS. And

because the system automatically generates inventory and sales reports, your employees

will have less paperwork to file and more time to focus on operations.

Perfect for businesses with franchise operations, this user-friendly inventory management

system can be customized for any multi-site company, commissary, or warehouse

backend ordering operation.

Features & Benefits

 Registration Module

 Order Management

 Inventory Management

 Sales Management

 Reports Module

 Text Broadcast

.
 Computerized Accounts

Monitoring System of Team

Leader Office of COA

Region 4B Team 1

Johnson C. Lizardo

(BSCS III)