Sad Introduction
Chapter I
INTRODUCTION
Inventory management is vitally important for any business that sells a physical product. An inventory system must balance having enough inventories on hand to meet the demand of customers while investing as little money as possible in inventory. Perishable products add another dimension of management considerations because they must be cycled through the inventory system more quickly and stored in a way that preserves their value.
This study aims to on how inventory system would be put to use on helping the Lai-Lyns Catering Services, determine the problems it encounters, and find solutions to these problems in order to create an appropriate system that will help the company improve its system.
1.1 BACKGROUND OF THE STUDY
Inventory is basically the total amount of goods and materials held in stock by a factory, store and other business. An inventory system is a process whereby a business keeps track of the goods and material it has available. In its simplest sense it can be done manually by a count at the end of each day. In this way it is possible to keep a record of the goods coming in to the business and goods being sold.
Since manual inventory consumes a lot of time and is prone to errors, it would be helpful to build a system that will computerize the transactions from acquisition of the product description to updating the inventory database. The computerized inventory system will improve employees’ work efficiency by computerizing routinely and time consuming tasks such as the time spent in taking down product information. As a result, the time can be used in more productive activities. The accuracy of the current system will also be improved, since the computerized inventory system would eliminate the need of constantly encoding lengthy details of products by having an inventory database.
1.2 SYSTEM OVERVIEW
Lai-Lyns Catering Services uses a manual inventory system. Customers in different locations around the
INTRODUCTION
Inventory management is vitally important for any business that sells a physical product. An inventory system must balance having enough inventories on hand to meet the demand of customers while investing as little money as possible in inventory. Perishable products add another dimension of management considerations because they must be cycled through the inventory system more quickly and stored in a way that preserves their value.
This study aims to on how inventory system would be put to use on helping the Lai-Lyns Catering Services, determine the problems it encounters, and find solutions to these problems in order to create an appropriate system that will help the company improve its system.
1.1 BACKGROUND OF THE STUDY
Inventory is basically the total amount of goods and materials held in stock by a factory, store and other business. An inventory system is a process whereby a business keeps track of the goods and material it has available. In its simplest sense it can be done manually by a count at the end of each day. In this way it is possible to keep a record of the goods coming in to the business and goods being sold.
Since manual inventory consumes a lot of time and is prone to errors, it would be helpful to build a system that will computerize the transactions from acquisition of the product description to updating the inventory database. The computerized inventory system will improve employees’ work efficiency by computerizing routinely and time consuming tasks such as the time spent in taking down product information. As a result, the time can be used in more productive activities. The accuracy of the current system will also be improved, since the computerized inventory system would eliminate the need of constantly encoding lengthy details of products by having an inventory database.
1.2 SYSTEM OVERVIEW
Lai-Lyns Catering Services uses a manual inventory system. Customers in different locations around the