Colegio de Dagupan

Arellano St., Dagupan City

School of Information and Technology Education

Supplies Inventory System for

DSWD - Haven for Women

In partial fulfillment of the requirements for the degree in Bachelor of Science in Information

Technology.
 Isla Jr., Eduardo P.

Gabrillo, Emerson Clark L.

Taluban, William Fatih A.

Biazon, Gilz Bruce A.

Domalanta, Cyrnie July C.

 Chapter 1

INTRODUCTION

An inventory management system (inventory system) as defined by Pontius (2019) “is the

combination of technology (hardware and software) and processes and procedures that oversee

the monitoring and maintenance of stocked products, whether those products are company assets,

raw materials and supplies, or finished products ready to be sent to vendors or end consumers.”

Additionally, Marder (2017) states that an inventory system “tracks goods through the entire

supply chain or the portion of it a business operates in. That covers everything from production

to retail, warehousing to shipping, and all the movements of stock and parts between.” Another

definition by Jacobs and Chase (2016, p. 357) states that “An inventory system is the set of

policies and controls that monitor levels of inventory and determine what levels should be

maintained, when stock should be replenished, and how large orders should be.” Sarkissian (n.d.)

also states that an inventory system “monitors the levels of inventory and determines the

timeline and quantity of orders.” Furthermore, Ahmed (2018) defines an inventory system as “a

technology solution used to integrate all information regarding stock levels and stock movement

for an organization.”

The usage of inventory systems within organizations, companies, and different institutions

offers a plethora of advantages. One advantage as stated by Smith (2009) is that they “can

provide insight into which products are selling well and which products are selling poorly.”

With the information provided by the inventory system, we can make intelligent decisions on

how we can maximize sales. Another advantage as stated by Lockard (2010) is that inventory
systems can “prevent shortages and production delays.” Lockard (2010) additionally states that

inventory systems can also be used to “track inventory levels in real time… Knowing how much

inventory you have at all times is helpful because it lets you make smart decisions about when to

reorder products.” Furthermore, Ahmed (2018) states that inventory systems “provide a single

source of truth for the business, ensuring they are aware of item locations, vendor and supplier

information, product specifications and total count of materials… one of the main benefits of

using inventory systems is efficient stock operations. Businesses are able to save on the time and

effort required to manage their stock effectively, with up-to-date information at their fingertips.”

In addition, Pontius (2019) states that a comprehensive inventory management system offers

advantages to companies including “improved cash flow, better reporting and forecasting

capabilities, reduction in storage costs (overhead), reduced labor costs, reduction in dead stock,

better organization, enhanced transparency, and improved supplier, vendor, and partner

relationships.” Reddy (n.d.) enumerates the advantages of using inventory systems as cost

saving, time saving, efficient, and economical.

Although inventory systems have advantages, they may also have shortcomings. According

to Pontius (2019), “Most of the challenges associated with inventory management systems arise

from failing to follow best practices or relying on outdated methods, such as manual

documentation and inconsistent storage layouts and processes.” One disadvantage is the

reduction of physical audits. Leonard (2019) states that “it is important to continue to do regular

audits to identify loss such as spoilage or breakage. Audits also help business owners identify

potential internal theft and manipulation of the computerized inventory system.” Complexity is

also a factor to be considered. Reddy (n.d.) states that “Although the use of an inventory

management system makes handling the inventory quite easy… learning how to operate it is
quite a task. Special training sessions and manuals should be adhered to, in order to successfully

operate the system. Learning how to operate the system can be lengthy, cumbersome as well as

complex.” Another possible disadvantage is the limited elimination of business risk. As Reddy

(n.d.) has stated, “Although the management system helps the business in eliminating many

kinds of risk, but even after using the system, the business is open to many other risks. The

system helps in controlling many risks but the fear of facing and encountering many other is still

open. Hence, with this system in use, many kinds of risks are restricted but it fails to make the

entire process risk proof.” Last is a problem that all computerized systems face: the potential for

a system crash. Leonard (2019) states that “A corrupt hard drive, power outages and other

technical issues can result in the loss of needed data. At the least, businesses are interrupted

when they are unable to access data they need. Business owners should back up data regularly to

protect against data loss.”

After considering the advantages and disadvantages of using an inventory system, it is

perhaps for the best to employ its usage. Although there are a few disadvantages associated with

it, the benefits far outweigh the drawbacks.

The Philippines' Department of Social Welfare and Development (DSWD) is the executive

department of the Philippine Government responsible for the protection of the social welfare of

rights of Filipinos and to promote social development. The DSWD - Haven for Women provides

temporary shelter and protective custody to women 18-59 years old who are victims of

involuntary or forced prostitution, illegal recruitment, battered/abused, victims of sexual abuse,

women in detention, and armed conflict. According to Ms. Jennifer, the administrative officer of

DSWD - Haven for Women located in Russia St., Binloc, Dagupan City, their institution is in

need of an inventory system to help them manage their supplies. The supplies include clothes,
food, (other supplies) that are distributed among the (number of clients) clients taking up

residence in their institution.

The developers, being the BSIT students of Colegio de Dagupan, visited the DSWD -

Haven for Women in Binloc for the first time when we conducted an application software

tutorial session in their institution as one of the requirements of our subject named Free Elective

3. That was when we were informed of their need for an inventory system, and as an extension

of our heartfelt service towards their goal of providing better lives for abused women, we have

decided to take up the responsibility of developing the inventory system they need.

Conceptual Framework

The developers used the Input-Process-Output approach to describe the structure for the

development of the Supplies Inventory System for DSWD - Haven for Women. The input

represents the objectives of the project, which includes the existing process, the hardware and

software requirements, the features, and the usability of the system.

The developers will adapt the Waterfall Model in the development of the system, which is

composed of six phases namely: Requirements, System Design, Implementation, Integration and

Testing, Deployment of System, and Maintenance.

The output will be the developed Supplies Inventory System for DSWD - Haven for

Women.

The conceptual framework shows the flow of the system and how its process. It starts when the user opens
the system with the inputs of information to be used in using the system. The process is a step or action that
is going to do the system which can be performed by the system in the entire transaction. The output
covers the result of the system studied to be implemented in the company that can be beneficial to the
management in order to have a high quality of transaction.

Statement of Objectives

The project aims to design, develop, and test the Supplies Inventory System for DSWD -

Haven for Women. Specifically, it seeks to meet the following specific objectives:

1. To identify the existing inventory process;

2. To identify the hardware and software requirements of the system;

3. To describe the features of the system; and

4. To test the usability of the system.

 5. A sales and inventory system is a software-based business solution used to simultaneously track
sales activity and inventory. Manufacturers and trade resellers can both benefit from a thorough
solution, where a single transaction entry records necessary details on the customer, products
purchased, price and date while also updating inventory levels.

Objective

At the point of a sale, your business receives cash or allows payment on account in exchange for
goods. This creates in inflow of cash or revenue and a corresponding outflow of product inventory.
The primary objective of an extensive sales and inventory software solution is to optimize efficiency
in recording each factor in the exchange. Historically, companies would have to complete separate
record-keeping processes for the income and the inventory change. With this solution, each factor is
coordinated with a single entry in the software program.

Significance of the Study

The design of the project when implemented will benefit the following beneficiaries:

DSWD - Haven for Women. The institution as a whole will benefit from the increased

efficiency and reduced labor of handling, managing, and distributing supplies.

Center Head. The inventory system will help the center head keep track of supplies and

generate reports for the institution’s use and reports to be filed to higher offices.

Center Clients. The inventory system will increase the clients’ quality of life from more

efficient handling and distribution of their clothes, food, and other supplies.
Administrative Officer. The supplies inventory system will help the administrative officer

monitor supplies, and will help to more efficiently document and manage supplies.

Future Developers. The project will help future developers become aware and knowledgeable

of the processes involved in the development of an inventory system. It can also help as a future

reference for more studies in the future.

Developers. The project will help the developers enhance their knowledge and skills in the field

of systems development.

Scope and Limitations

Inventory Systems
Inventory systems provide a basis for recording sales, purchases. and the quantity for
each item at the end of the accounting period. The two primary inventory systems are
the periodic system and the perpetual system. The periodic system records the
inventory only at the end of each period, leaving the balance unchanged throughout
the period. Since counting inventory takes time, smaller businesses are more likely to
use the periodic system. The perpetual system, in contrast, adjusts the inventory
balance each time a transaction, such as an inventory purchase or a sale, occurs, and
it provides real-time information.

Scope of Inventory Systems

The scope of an inventory system can cover many needs, including valuing the
inventory, measuring the change in inventory and planning for future inventory levels.
The value of the inventory at the end of each period provides a basis for financial
reporting on the balance sheet. Measuring the change in inventory allows the company
to determine the cost of inventory sold during the period. This allows the company to
plan for future inventory needs.
Limitations of Periodic System
The limitations of the periodic system include not knowing an exact inventory count in
the middle of the period and running the risk of stockouts. With the periodic system, the
company knows the inventory level with certainty only when it physically counts the
inventory at the end of each period. Throughout the period, the company takes
customer orders without knowing the exact inventory count or whether enough
products are available to meet customer demand.

Limitations of Perpetual System

The limitations of a perpetual inventory system include a false sense of reliability and
dependence on human entry. Although a perpetual system updates each time a
transaction enters the system, it might lack information regarding stolen, damaged or
scrapped units. The company remains unaware of the theft or waste, known as
shrinkage, until it performs a physical count at least once per year. The other limitation
is that an employee might enter data incorrectly, introducing inaccurate information
that can compromise decision-making.

Definition of Terms
 Chapter 2

REVIEW OF LITERATURE

Existing Inventory Processes

Hardware and Software Requirements for Inventory Systems

Features of Inventory Systems

Usability of Inventory Systems

 Chapter 3

METHODOLOGY

Research Design

The study adapts the descriptive-developmental research design. According to Reeves

(2004), “Descriptive-developmental research is a systematic study of designing, developing, and

evaluating instructional programs, process and products that must meet criteria of internal

consistency and effectiveness. This involves intensive collaboration among researchers and

practitioners and maintains a commitment to theory construction and explanation while solving

real-world problems.”

The description is used for frequencies, averages, and other statistical calculations.

Although the data description is factual, accurate, and systematic, the research cannot describe

what caused a situation. Thus, descriptive research cannot be used to implicate causation, where

one variable affects another.

In developing the system, the developers used the Waterfall Model of the Software

Development Life Cycle as its software development methodology.

Rouse (2019) defines the waterfall model as “a linear, sequential approach to the software

development life cycle (SDLC) that is popular in software engineering and product development.

The waterfall model emphasizes a logical progression of steps. Similar to the direction water

flows over the edge of a cliff, distinct endpoints or goals are set for each phase of development

and cannot be revisited after completion. The term was first introduced in a paper published in

1970 by Dr. Winston W. Royce and continues to be used in applications of industrial design.”
 Figure 3.1 The Waterfall Model

The following are the phases of the Waterfall Model:

Requirements. The first phase involves understanding what needs to be designed and what

is its function, purpose etc. Here, the specifications of the input and output or the final product

are studied and marked.

In this phase, the developers determined the inventory system’s requirements and what it

will be used for. The also developers constructed the conceptual framework, and determined the

system’s desired functionality.

System Design. The requirement specifications from the first phase are studied in this phase

and the system design is prepared. System Design helps in specifying hardware and system

requirements and also helps in defining overall system architecture. The software code to be

written in the next stage is created in this phase.

During this phase, the developers prepared the initial system design. The hardware and

software requirements were determined, and preparations were made to begin program

development.
 Implementation. With inputs from system design, the system is first developed in small

programs called units, which are integrated in the next phase. Each unit is developed and tested

for its functionality which is referred to as Unit Testing.

In this phase, the developers began creating programs according to their desired

functionality. Each program was tested individually to identify and fix flaws and errors, and was

prepared for integration.

Integration and Testing. All the units developed in the implementation phase are

integrated into a system after testing of each unit. The software designed needs to go through

constant software testing to find out if there are any flaws or errors. Testing is done so that the

client does not face any problem during the installation of the software.

During this phase, the developers integrated all the programs created in the implementation

phase into the inventory system. The developers then tested the system again as a whole to

further identify and fix flaws and errors. After the final tests, the developers prepared the system

for deployment.

Deployment of System. Once the functional and non-functional testing is done, the product

is deployed in the customer environment or released into the market.

In this phase, the developers deployed the inventory system to the DSWD - Haven for

Women. The developers only deployed the system after thoroughly testing each component and

the system as a whole for their compliance to functional and non-functional requirements.

Maintenance. This step occurs after installation, and involves making modifications to the

system or an individual component to alter attributes or improve performance. These

modifications arise either due to change requests initiated by the customer, or defects uncovered
during live use of the system. The client is provided with regular maintenance and support for

the developed software.

During this phase, the developers will make modifications to the system or its components

in to fix errors uncovered during the system’s live usage, or in accordance to the request of

DSWD - Haven for Women. These modifications may simply alter minor attributes of the

system, or improve its performance.

The developers chose the Waterfall Model as their methodology because it provides a

structured approach, with clear and well-defined steps that ensures problems are resolved before

moving on to the next phase. The requirements and goals are determined from the beginning,

ensuring a methodical development process. Also, the transition of between the phases of

development becomes smoother because the model encourages proper documentation.

Sources of Data

The primary source of data was the administrative officer Ms. Jennifer, and the employees

of DSWD - Haven for Women. The developers gathered pertinent data required for the system’s

development such as information regarding the existing process of their inventory by conducting

an interview with Ms. Jennifer, and by collecting sample documents such as inventory forms

from the employees.

The developers also gathered data by browsing the internet, reading articles related to

inventory systems, and studying the process of existing inventory systems. Pertinent data from

these sources were gathered and processed to serve as secondary sources of data.

Instrumentation and Data Collection

 The developers used the following data gathering procedures to gather pertinent data for the

development of the Supplies Inventory System for DSWD - Haven for Women:

Interview. Interviews are used to collect data from a small group of subjects on a broad

range of topics. You can use structured or unstructured interviews. Structured interviews are

comparable to a questionnaire, with the same questions in the same order for each subject and

with multiple choice answers. For unstructured interviews questions can differ per subject and

can depend on answers given on previous questions, there is no fixed set of possible answers.

The developers conducted an interview with the administrative officer of DSWD - Haven

for Women to identify the requirements for the inventory system and determine its functional

and non-functional requirements.

Document Analysis. Documentary analysis (document analysis) is a type of qualitative

research in which documents are reviewed by the analyst to assess an appraisal theme.

Dissecting documents involves coding content into subjects like how focus group or interview

transcripts are investigated. Document analysis can be used to accumulate requirements for a

project. It collects available documents of related business procedures or systems and attempts

to extract relevant data. Requirements can also be extracted from stakeholders via questionnaires,

interviews, or focus groups.

The developers collected data concerning the inventory process of DSWD - Haven for

Women from potential users of the system through the collection and examination of documents

such as forms and reports.

Library Research. Library research begins when the developers need information to solve

a problem to fulfill an academic assignment or for own purpose needs.

 The developers used library research as a method to gather obligatory information from

different testimonials which include the consultation of books, articles, related thesis and other

resources about inventory systems.

Internet Research. The developers used the internet to gather recent information and some

related articles regarding inventory systems. The developers also used the internet to search for

related information to obtain a thorough understanding of the system.

Tools for Data Analysis

The developers employed the usage several tools to produce the fundamental basis for the

project’s development, which are the following:

Database Schema. The database schema is a database system’s structure described in a

formal language supported by the database management system (DBMS). In a relational

database, the schema defines the tables, the fields within each table, and the relationships

between the tables, among other things.

The developers used the database schema as a tool to logically represent the structure of the

database system. The database schema acted as one of the bases in the construction of the

database system.

Entity Relationship Diagram. An entity relationship model, also called an

entity-relationship (ER) diagram, is a graphical representation of entities and their relationships

to each other, typically used in computing in regard to the organization of data within databases

or information systems. An entity is a piece of data-an object or concept about which data is

stored.
 The developers used the Entity Relationship Diagram as a tool to create an in-depth and

detailed graphical representation of the database system.

Use Case Diagram. A use case diagram is the primary form of system/software

requirements for a system under development. Use cases specify what the system is expected to

do, but not how it is done. A key concept of use case modeling is that it helps design a system

from an end user's perspective. It is an effective technique for communicating system behavior

in the user's terms by specifying all externally visible system behavior.

The developers used this tool to identify the system’s behavioral requirements and the

functionality accessible to each kind of user in the system.

Flow Chart. A flow chart is a type of diagram that represents an algorithm, workflow or

process. Flow chart can also be defined as a diagrammatic representation of an algorithm (step

by step approach to solve a task). The flowchart shows the steps as boxes of various kinds

depending on how they are being used, and the order is shown bu connecting the boxes with

arrows. This diagrammatic representation illustrates a solution model to a given problem.

Flowcharts are used in analyzing, designing, documenting or managing a process or program in

various fields.

The developers used the Flow Chart as a tool to represent the step-by-step process of the

inventory system.

Weighted Mean. The weighted mean is used to test the acceptability of the system. The

role of the weighted mean is that it is the notion of the descriptive statistics of the system. The

weighted mean accompanies a questionnaire for an approach to scaling responses in survey

research.
 The developers used the weighted mean to compute for the final average of the evaluation

of the system’s deployment. This allowed the developers to evaluate the system’s output and its

acceptability rating.
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https://www.academia.edu/16863814/Sales_and_Inventory_System_Thesis_Documentation