Level 1

Level 1

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Level 0

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Context Level Diagram

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CHAPTER 4: Design

4.1 Screenshot

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3.3 Structured English

3.3 Structured English

Process 1.0 log In Page


Input username and password


IF Inputted information matched with the database 1 (STOCKMAN INFO)

Then Display Info




Until end-of-file

Process 2.0 Inventory System

Update Materials Info

Check availability of the items in the Warehouse

Received notifications from the Warehouse.


Check Inventory records

IF Stocks reached critical level


Send critical reports to the Head Office

Send request to the Warehouse.


Stocks are more than critical level

System will send a report through the Head Office.

Send balance notifications to the transactional System

Process 3.0 Transactional System


Received balanced notification from the Inventory System

Received order confirmation from the Head Office


Generate Order to the Suppliers


Balanced notification is match with order confirmation


Send order to the supplier

Pay the order amount to the supplier



Receive supplies /Order Receipt from the Supplier.

Update transaction Information INTO the D.S.

Send supply to the Ware House.



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CHAPTER 2: Review of Related literature

2.1 Related Articles

All warehouse inventory software systems are not created equal. The most rudimentary of these track what goes in and what goes out, with serial numbers if you’re lucky, and without any kind of redundancy or scalability for you to use as your business grows. More advanced versions provide powerful real-time analysis and seamless integration with your portal software.

There is a right way to tackle inventory management, and it takes more than knowing what you have. Good software anticipates your needs, highlights trends and allows you to examine the business from any order of magnification ensure you are doing what you want. That kind of power was until recently the province of a few blue chips and hardly anyone else. The best warehouse inventory software system was safely out of reach.

An Effective Warehouse Inventory Software System

Thankfully, the democratization of inventory management software has finally arrived, and with it come some of the best suites to hit the market in years. Not a moment too soon, small business owners can finally track their wares from container to the customer’s doorstep with total control along the way. That means your employees know what’s going on and your customers know exactly what to expect.

Keep everyone in the loop and you’ll find yourself with better customer service and a customer mailing list to prove it. Stay on top of the intricacies of your inventory and you will soon find you can tweak it as needed long before your competitor gets a whiff of what’s happening. A great warehouse inventory software system is one of the finest investments you can make.



Planning a Warehouse Inventory System


The estimated resources and costs for a project depend on how you intend to do the job.

A dialog between engineers, managers, customers, and estimators leads to a better understanding of the job (product, process, and project), and so to more complete estimates. The example in this chapter illustrates the benefit of writing something down, either as text, as spreadsheet, or a diagram, so that others can review and discuss it. The various notes and diagrams help the engineers, customers, and estimators communicate. (Chapter 7 describes more key diagrams.) During the class exercise, students see the benefits of having multiple people review the documented estimate. There is often a lot of discussion about the estimating assumptions and rationale, questions, and risks. This quickly improves the estimate as people point out missing items, double counting, and bad assumptions. Over the years, students have uncovered new items to add to the solution. (It is still not complete, of course.)


This example reveals that to prepare good estimates you need the following:

1. A basic process to identify items and to validate these items and their estimated amounts

2. Standard formats to record various types of information

3. Ways to measure characteristics, sizes, and amounts4. Techniques to estimate characteristics, sizes, and amounts



2.2 Software Development Methodologies

Warehouse Inventory is a system that provides you with complete inventory tracking, item accountability, purchase order control, allocations, usage, purges, inquiry options, reports, and First-in First-out (FIFO)

Standard Features

– Predicts Impending Stock-outs

– Track Allocation by Item and Job

– Easy Error Correction Procedure

– Complete Receipt history of FIFO Valuation

-Reduces Late Jobs Due to Inventory Shortage


Optional Features

– Automated Physical Inventory Using Bar Code Scanners

– Waste and Waste Variance Tracking

– Electronic Data Interchange




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1.4 Scope and Limitation

Financial and technical product information must be available through the Inventory System, as needed to support the functional responsibilities of personnel within the finance and contracts management departments.

Asset status must be included in the Inventory Management system, so that the component(s) can be serviced in adherence to legal, environmental, business, and industry requirements.  This process should be used to drive the facilities management department via form routing when components change status from active to redeploy, donate, terminate, of scrap.  An audit trail of activities associated with equipment status changes and associated actions must be maintained to certify actions and eliminate legal and civil exposures.

The Standards and Procedures Manual section relating to Inventory Management must be created and published.  This section must describe the process by which assets are identified, entered into the Inventory Management System, tracked, and finally deleted.  All information needed by personnel to perform Inventory Management functions must be clearly described.


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1.3 System Objectives

Inventory system software is an automated way for companies to keep track of their inventory from initial full supplies to critical quantity.


Inventory management is a very simple concept – don’t have too much stock and don’t have too little. Since there can be substantial costs involved in straying above and below the optimal range, careful inventory management can make a huge difference in the profitability of a business. Although the concept is simple, the process of getting the right balance can be quite a complex and time consuming task without the right technology.


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1.2 Statement of the problem

1.2 Statement of the problem


The main idea of this research is to solve the problem of inventory management for the Smart Design production inventory. The aim of this research was to find a methodology by which the inventory of raw material could be kept at minimum level by means of buffer stock level.


Safety stock (also called buffer stock) is a term used by logisticians to describe a level of extra stock that is maintained to mitigate risk of stock outs (shortfall in raw material or packaging) due to uncertainties in supply and demand.

The main objective then lies in finding the minimum level of buffer stock according to daily consumption of raw material, finding the Economic Order Quantity (EOQ) reorders point and how much order will be placed in a year to control the shortage of raw material.

In this study, we discuss continuous review model (Deterministic EOQ models) that includes the probabilistic demand directly in the formulation. According to the formula, we see the reorder point and the order up to model. The problem was tackled mathematically as well as simulation modeling was used where mathematically tractable solution was not possible.


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System Analysis and Design

CHAPTER 1: Introduction


1.1 Background of the Study

SMARTDESIGN Inc. is well-known worldwide for its exceptional products, excellent production facilities, environmentally friendly manufacturing methods and equipment, and its highly skilled workforce.

It is a 100% corporation owned by Dutch Nationals headed by its president, Rudy Frimmel. The establishment of this corporation started in August 2006 at Philexcel Compound of Clark Freeport Zone, Pampanga. It is primarily engaged in the manufacturing of quality standard decorative and high technology composite moldings.

In the first phase of its production in 2007, the finished products were exported in Germany. Since its establishment, the company have exported a lot of products in different areas in Europe. They produced planters, statues and other decorative products to some top retailer in Europe.

In October 2009, they had their first exhibit in SMX Manila. One of the largest international exhibit in the Philippines, the Manila FAME International Exhibit. In that exhibit, they introduced their new products with a brand name All Shapes.

All SHAPES offers unique, stylish and luxurious décor products created from high-quality, natural materials. Designers create original designs and each piece is handmade every step of the way,  from the original concept sketches to the final product. Traditional craftsmanship is combined with the best that modern materials and talented designers have to offer, resulting in a superior product—classic, natural yet modern—perfect for today’s style-conscious and environmentally aware global market.

With the overwhelming appreciation that visitors and buyers expressed, the company decided to join another awaiting big exhibit, Manila Now. It was held in World Trade Center Manila in March 2010. A lot of respected designers were there.

The company also participated in the 2010 Manila FAME International Exhibit which was held in World Trade Center Manila (April 2010) and Philippines Trade Training Center Manila (October 2010).

Some All Shapes products were also requested to be displayed in one of the biggest international exhibit in Europe, Frankfurt Exhibit. Items were displayed in February and September 2010.

The company has started gaining more potential clients around the world. With the 2010 exhibits, the company is expecting orders from Asia and United States.

While exhibits were taking place, SMARTDESIGN opened their first showroom that is headed by the Philexport R3. The showroom inaugurated in February 2010 at Clark Freeport Zone. Different items were displayed in that showroom. The company started having the local sale.

SMARTDESIGN also displayed products in different showroom in Manila, to name few, the EZRA and Diretso Trading.

SMARTDESIGN envisioned to conquer the global market. To join Singapore Exhibit and Frankfurt Exhibit.

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