3 SYSTEM ANALYSIS AND METHODOLOGY
For the design and implementation of online supermarket to be accomplished, system analysis of the organization is carried out. A thorough study is made on the existing system with a view to spot out the problem it has. Feasibility study and data collections where done through interview, questionnaire and assessing all vital forms and studying the system manually. The analysis involves the investigation of the present supermarket and its operation. The evaluation of the envisaged system is through gathering of information and analysis of the existing system. The extent to which this analysis is done determines the efficiency of the resulting system. A thorough analysis produces a system, which can easily be adapted to change in functions and applications. The system analysis report has
been divided into two parts, since check points should be incorporated into the system design. The two sections of this system analysis report are:
Ø Documentation package report
Ø Progress and recommendation report
3.1 DOCUMENTATION PACKAGES
This documentation package is the result of the investigation during the analysis. It includes
Ø Organizational chart of the affected area of the investigation
Ø Operations of the present system
Ø Input and output analysis
Ø Summary of the interview conducted during the investigation
3.2 OPERATION OF THE PRESENT SYSTEM
For us to be able to analyze the operation of the present system, we have been able to divide the organization into functional units.
Ø Purchase unit
Ø Sales unit
Ø Main store and warehouse unit
Ø Account unit
3.2.1 Purchase Unit
The purchasing section of CY supermarket is charged with the responsibility of making all the purchases on behalf of the company. They work hand in hand with the main store section because orders are placed for more supplies only when existing system stock goes beyond the companies approved re-order level. Information about the re-order level can only be obtained from the main sore. Purchase section maintains two files:
Ø The purchase form used to record all the items purchased.
Ø Transfer files where duplicated of transfer note books, which the purchasing section issues to the main store, are kept.
3.2.2 Sales Unit
The sales department in CY supermarket is charged with the responsibility of company’s goods and keeping record of all sale transactions carried out. It places selling price for customers from the information obtained from the purchases department on the cost price of goods. So that when an order is made, the sales department raises on invoice, which will be signed by the customer before the goods are supplied to him. Also, sales department maintains for the sales, item and stock information.
3.2.3 Main Store/Warehouse Unit
This is where the company keeps the various goods they have in stock. Also, it is where the inventory control activities are carried out. When the purchasing unit issues a transfer note book to the main store, the store manager in turn issues out a store receipt book for the goods received after cross checking the quantity quoted by the purchasing section. When the sales department makes request for goods from the main store, the store manager raises an invoice. The sales man who will convey the goods to the customer must counter sign this invoice.
Since the goods come in and go out of the main store, records are kept for each transaction which involves the movement of goods from the store. Calculations can be made to ascertain what quantity of any product is left in the store. Records of stock are however kept in stock/inventory file. The main store department works hand in hand with the suppliers. Once any good is getting out of stock, the store manager signals the supplier of more goods to replenish the store.
3.2.4 Account Unit
The account unit of the company is charged with the responsibility of keeping financial records for the company. This record helps the company’s management for adequate planning strategy for the company’s survival. The account department keeps track of the financial details accompanying each transaction so that at the end of the day, profit/loss from sales of the companies’ goods is obtained. When profits are made, the company in turn will be able to pay their staff wages, taxes and so on.
3.3 DATA COLLECTION AND ANALYSIS
The analysis of the present system is based on the data collected as well as the information gathered during the investigations. Interview was carried out in the concerned departments and questions based on the inventory and stock was gathered and sent across to departments. Also, personal observation of the system was undertaken. They include the study of the necessary files and documents; the collection of data yields all the elements of the system; objectives, constraints, input and output processing control and feedback. Based on the information so gathered, a flow chart, which shows the affected area by the proposed syste
m, is provided.
3.4 SUMMARY OF INTERVIEW
It was discovered from the investigation that there is a lot of redundancy, duplication of data and files which makes the present system inefficient. From the observation, majority of the workers attitude towards their jobs is not encouraging and this could be as a result of redundancy. Also, a lot of money is wasted preparing customers list every day.
3.5 INPUT AND OUTPUT ANALYYSIS
In input analysis, it involves invoice, sales waybill, order form, goods supplies form sales as the initial input for the companies’ daily transaction process. The invoice and sales waybill are issued to the customer by the sales man as soon as products are collected or when goods are delivered to the customer. Goods supplied and received by the sales department as well as the date of transaction are recorded by the sales department. Goods received form indicates the quantity of goods supplied by the manager. Based on this, the sales manager then prepares a sales report and this serves as a summary of all forms received from the sales supervisor. The report reflected:
Ø The quality and type of each item soled
Ø The quantity at hand
Ø Financial report
Also, the purchasing manager prepares a report, which serves as a summary of all forms received from the purchase supervisor. This report reflects:
Ø Stock level (quantity of stock at hand)
Ø Purchase report (quantity of item bought)
Ø Transfer/Supplier report (quantity of each item supplied to the sore).
In output analysis, this is the form any interested buyer should fill and submit before the required goods will be delivered to him or her.
3.6 PROGRESS AND RECOMMENDATION REPORT
This report is a continuation of documentation package report. It keeps the original scope and objective and the study along with an evaluation based on the available fact. As operational feasibility of the recommended charge is also discoursed in this section and it includes the consideration of the personal and the organizational factors that would be affected. A brief summary of the operation of the present system problems and a recommendation set of general specification that will be needed to overcome the problems are discoursed. The system design phase in the next chapter is developed as a result of the designed work covered in the investigation.
3.7 OPERATIONAL PROGRESS AND RECOMMENDATION
The operation of the present system along with the recommendation solution to overcome the identified problems from the operational progress and recommendation report, considering the present system which already been outlined, the following recommended solution help in solving the identified problem and these are;
3.7.1 Efficient Management Control
These are the many ways used by the management to control its inventories.
Ø Simplification and standardization of goods and services.
Ø Maintaining inventory record and furnishing data for accounting.
Ø Planning and determining total inventory requirement to meet the need of sales and purchases.
Ø Controlling the storage and flow of goods in progress.
Ø Procuring the required quantity of item in proper quantity at the right time.
3.7.2 Efficient Inventory Control
Efficient inventory control can be achieved by;
Ø Determining the place of inventory controls in the organization.
Ø Developing a method of classifying and identifying inventory.
Ø Setting up procedure for goods procured for specimen and for control.
Ø Establishing the step in the stock control cycle for the regulation of the flow of items from the requisitioning to the sales of goods.
3.7.3 Efficient Account Control
Ø Determining profit made during transaction
Ø Determining overhead cost of running the company
Ø Determining the actual facts about the company’s operations by producing a report showing either profit or loss for given period.
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