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Inventory System

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Shop Inventory System

Student No: 081835 : 082232

An Information Systems Project Proposal Submitted to the Faculty of Information Technology in partial fulfillment of the requirements for the award of a Diploma in Business Information Technology
Date of Submission: 10th February, 2015

Declaration
We declare that this project has not been submitted to any other University for the award of a
Diploma in Business Information Technology.

Student Signature:
Sign: ________________________ Date: ________________________
Sign: ________________________ Date: ________________________

Supervisor’s Signature:
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Abstract
In today’s growing market many businesses are turning towards automated systems to perform their everyday tasks. Automated systems have proved to outdate the cost and time wasting processes that are done and completed by manually while providing most businesses with more accurate and reliable data. The system will handle the processes in a well-manner running on a specific time, reducing the overwhelming power of doing them manually taking note of the products diversity. It will allow the business to input their inventory and track products that are delivered and sold on a daily basis.
At the time of arrival of new ordered stock, the goods are registered into the database and are added to the list of the current inventory. The depreciating inventory can be tracked the use of devices such as; barcodes and scanners on the goods being sold. On the sales module, products are subtracted from the inventory count the moment they are sold instead of being manually done at a later time or day. This process allows data accuracy than the manual process because the exact inventory stock is known at any given time. If the inventory is under-stocked, then the system will give out a notification for more order.
Another thing is, the system will keep track of product sales. Once a transaction is made, the sales module is updated with input of new figures and then saved into the database. Reports will be generated by various users and complied for the generation of the general report to be done by the finance manager, on a weekly basis

List of Figures Figure 1: Inventory System Use Case Diagram 22 Figure 2: Inventory System Data Flow Diagram 24 Figure 3: Inventory System Entity Relationship Diagram 25

List of Tables

Table of Contents Declaration 2 Abstract 3 List of Figures 4 List of Tables 5 Chapter 1: Introduction 8 1.1 Background 8 1.2 Problem Statement 8 1.3 Aim 9 1.4 Specific Objectives 9 1.5 Justification 9 1.6 Scope/Limitations 10 Chapter 2: Literature Review 11 2.1 Introduction 11 2.2 Companies and Businesses within Kenya. 11 2.3 Methods of Keeping Data Information in Companies (SMEs). 11 2.3.1 Weighing out the Methods of Data Keeping in Companies 13 2.4 Introduction of the Inventory System to Companies 13 Chapter 3: Methodology 17 3.1 Introduction 17 3.2 Analysis 18 3.2.1 Functional Requirements 18 3.2.2 Non-Functional Requirements 18 3.2.3 Narrative 20 3.2.4 Use Case Diagram for the Proposed Inventory System 20 3.3 Design 23 3.3.1 Data Flow Diagram (DFD) 23 3.3.2 Entity Relationship Diagram (ERD) 24 3.4 System Development Tools and Techniques 25 3.4.1 Qualitative Techniques 26 3.5 Deliverables 27 3.5.1 System Modules 27 3.5.2 System Documentation 27 References 28 Appendices 30 Appendix I: Elite Tools Questionnaire 30

Chapter 1: Introduction
1.1 Background
Elite Tools Limited was started 13 years ago. It is a growing company in the field of Construction and Industrial Machinery, Lifting and Rigging equipment, Welding equipment, Tools and Instruments covering a wide sector of the Construction and Industrial sectors. They supply power tools as well as hardware of all kinds in Nairobi. The company stocks all hardware items that are commonly used in the construction and industrial sectors. It also supplies a wide range of tools and machines.
The company works on a half digitized platform whereby they outsource services and products. They use Excel for their calculations, as stock records and sales are recorded on long white boards. This has proved to be hard on the company since they have to spend whenever they outsource their services or products, thus adding up on their financial costs.
In addition to that, on the event of recording product quantities and their sales on the white boards and account books, brings about cases of inaccuracy. As man is to error, so the records may be written wrongly thus wrong records generated. Also on the white board, if by any chance someone goes and rubs some part of the working or the entire writings, a problem may occur from remembering what was written especially if it was done by another person so generating them again would be hard.

1.2 Problem Statement Elite Tools has a manual way of taking into account what happens in there, in terms of sales, inventory checks, generating weekly reports, recording product types and, quantities for supply and the stock. In case of theft or fire, the company may suffer a huge loss in sectors of accountancy as sales are manually calculated and recorded in books, weekly reports generated manually to show what activities took place i.e. what types of goods were supplied and in what quantities, what services were offered and if more goods were brought in to make more sales.
1.3 Aim
Developing a system for the company will help upgrade them from just using Excel for their calculations to having a sales module in that system, in that when an accountant inputs products’ quantities and prices it calculates in just a click of a button thus reduces labor expenses and time. Due to inconsistency loss of data in cases of theft or fire, developing this system will provide them with a backup system where data can be saved for future reference, on which it will be updated daily. All finding records activities will be done by the developed system; reducing cases of delays thus satisfying their customers not making them wait for too long.
1.4 Specific Objectives * Study the company’s way of functioning * Identify the challenges faced by the company in terms of data collection * Design an automated system for the company * Develop and implement the proposed system * To tests the system in an environment that will satisfy the functioning of the company

1.5 Justification
In terms of time management, the solution is good as it will help curb time wastage on making calculations manually by use of a calculator. The system will require data inputs i.e. products’ quantities and prices and on just a click of a button it will perform the necessary calculations. On the reports module, weekly reports can be generated without delays and inaccuracies encouraging fast decision making if there happens to be any. Also, it guarantees less time for accessing data or information once they are saved unlike retrieving information from books which takes time.
On the cost sector, there will be a reduction on labour expenses as there won’t be any need to employ accountants to generate the sales of all the product types. It will also reduce cost of data storing in that purchase of more books for recording keeping and sales documentation will be no more or will become less.
On storage, all data or information that is currently stored in the drawers or racks will be transferred to the database system that will be safely saved in the computer. Also, it will allow easy tracking down of purchases, expenses and inventory records. It will optimize security and validity of the number of supplies, sales, purchases and expenses all the time in that company. It will offer support to the Inventory Management that helps record and keep track on all materials on the basis of both quantity and value.

1.6 Scope/Limitations
Using a computerized accounting system comes with its own set of problems, such as the need to protect against data loss through power failure or viruses, and the danger of hackers stealing data. Computer fraud is also a concern, and you need to instigate a system of controls for who has access to the information, particularly customer information. If there is a security breach and data is stolen, management can be held personally liable for the loss of data. You also need to make sure that the data has been correctly entered into the system, as a mistake in data entry can throw off a whole set of data

Chapter 2: Literature Review

2.1 Introduction
This chapter is about the existing literature on the current inventory management systems not only in Kenya but also the rest of the world. This is shown in the process of picking up of an automated inventory system within companies and businesses. In the review, it starts with the viewing of how companies and businesses go about their duties both manually and digitally, the challenges faced with the manual way of keeping inventories or accounts and records to the reasons that led to picking up of an automated inventory system and finally the various inventory systems that are widespread at the moment and the advantages of these inventory systems.
2.2 Companies and Businesses within Kenya.
Companies in Kenya have grown thus bringing about motivation and a chance for establishment of new business opportunities and Small and Medium sized Enterprises (SMEs) in the region. The upcoming of these SMEs has showcased as potential avenues for job creation, especially among the youthful population as they dispel the myth that only employment can provide a source of livelihood. This being a main advantage (Business Daily, 2012) .
The company, Elite Tools, in question being an SME makes the research get narrowed down on fellow SMEs and business enterprises. In 2012, it was clear that the country faced challenges one of them being that the import bill perennially exceeded income from exports. But if the small and medium sized companies were to be nurtured and encouraged to export more of their products, they would have the potential of helping the country address the imbalance between imports and exports. One of the attributes that most of the companies share irrespective of their specialization is that they all are involved in one form of value addition or another (Business Daily, 2012). From the 2014 release of the top 100 SMEs Elite Tools is mapped as the 39th (Business Daily, 2014) .

2.3 Methods of Keeping Data Information in Companies (SMEs).
Most companies in Kenya being SMEs still operate using bookkeeping methods, accounting and record keeping. This is whereby the companies or businesses use books to keep records (Simple Alliance, 2014). Bookkeeping and accounting share two basic goals: to keep track of income and expenses, which improves chances of making a profit, and to collect the financial information necessary for filing various tax returns. There is no requirement that records be kept in any particular way. As long as records accurately reflect the business’s income and expenses, there is a requirement, however, that some businesses use a certain method of crediting their accounts the user can either choose to use accrual- or cash-based bookkeeping system, or consult with the tax advisor (Onaolapo A. A., 2014).
The bookkeeping is mainly manual whereby accountants are hired. Few companies have had the chance to of owning a bookkeeping software. The bookkeeping softwares include: QuickInvoice, WinInvoice, PerForm Pro Plus, and Timeslips and the advantages of using the software is that the company benefits by getting professional looking invoices (Simple Alliance, 2014).
Saving time pointed out the following as the most important reasons to set up a good record management: * To control the creation and growth of records to reduce operating costs. * Improve efficiency and productivity (Laughlin, 1999).
From a case study, PHNSY stores tooling, personal protective equipment (PPE), and consumable products in centrally located tool rooms. With the exception of the occasional walk and wait time to and from the waterfront tool room, getting the needed items for the task at hand was generally a simple process. Simple, that is, if you are a first shift mechanic. Because the tool room was staffed for the first shift only, getting materials was somewhat more complicated for the other shifts.
For second and third shift mechanics, this process required additional steps in the process. If the mechanic from the previous shift didn't turn over the materials to the next shift, he/she would have to submit an item request for the needed materials for the task at hand. Upon receipt of the request, the tool room would supply the materials.
There was only one problem - the materials came 24 hours later (PHNSY, 2010).
However, it was found that there could be a better way of keeping data and taking into account what happens within country by using an automated system. Thanks to technological evolution the automated inventory system/management system was introduced. But why introduce an inventory system if the companies had used the manual book and record keeping system for years?
2.3.1 Weighing out the Methods of Data Keeping in Companies
Most SMEs opt for the manual way of data entry, recording and evaluation of data, it is better when the option of the manual way is evaluated further on finding its advantages and disadvantages.
The advantages of the manual system was that; the manual system applies to any business, it is much easier to set up, can be more flexible than a computerized accounting system, it is more secure and that it is clearly cheaper. However, it is also realized that the manual system has its disadvantages that include; it is prone to human error, it takes longer to generate reports thus time wasting, the company or business records are susceptible to perils such as fire and water, the disaster recovery plans harder to implement and it is not particularly suited to environments where there are a large volume of transactions (Design, 2012).
With these results from the comparison it is visible that the disadvantages of using a manual way of data keeping is outweighing the advantages of manual method. Thus, a better idea had to be brought up so as to make data keeping and recording easier. By this I mean that the inventory system idea had to be introduced.
2.4 Introduction of the Inventory System to Companies
An inventory is the stock of items, sales and reports used in an organization. An inventory system monitors the levels of inventory and determines the timeline and quantity of orders. Companies maintain inventories of raw materials, work in development or final products for various reasons, including unpredictable raw material delivery time, allowing for production scheduling flexibility or demand variations (Sarkissian, n.d.). There are many inventory-related costs including holding, ordering and shortage costs. An effective inventory management system can minimize these costs (Sarkissian, n.d.).
There are various types of inventory systems used in the different companies however the choice of inventory system will depend on the type of work being done, the amount of goods and transactions of the company and the size of the company among other factors (Sarkissian, n.d.). The types of the inventory systems include: * Visual Inventory Systems
Visual inventory systems are the most common systems in small businesses. In these systems, the manager periodically checks the availability of various items and determines the order quantity. It works best in companies with low variety of items that can easily be ordered and replenished. This system is the least-effective system, and oversight may result in inventory shortages (Sarkissian, n.d.). * Partial Inventory Systems
A partial inventory system might be the most practical system for a small business. It relies on the 80/20 Rule. According to this rule, about 80 percent of sales value is generated by 20 percent of the items in inventory. Focusing efforts on the 20 percent of items helps reduce the costs and complexity of inventory management (Sarkissian, n.d.). * ABC Method
The ABC method focuses efforts on the small percentage of items that generate the majority of the firm's sales. The inventory is divided into three major categories based on the value of items. The A category represents the highest-value items in the inventory. B and C items account for the moderate- and low-value items, respectively. Managers minimize total inventory costs by dividing time and effort spent on items based on their value (Sarkissian, n.d.). * Multi-Period Inventory Systems
There are two types of multi-period inventory systems: fixed-order quantity models and fixed-time period models. In the fixed-order quantity model, an inventory item is ordered when the stock of the item reaches a specific reorder level. Demand for items, cost per unit, ordering costs, and lead time and holding costs are considered when determining the reorder level. In the fixed-time period model, orders are placed at the end of a specific time period, such as a week or month. It works by counting inventory and placing orders periodically. It works best in situations when vendors make routine visits to customers and take orders for their complete line of products (Sarkissian, n.d.). * Just-in-Time Inventory Systems
Managers now believe that holding inventory masks other problems such as poor quality and bad supply chain management. Reducing inventory will expose these hidden problems so that they can be solved. A just-in-time inventory system tries to maintain no extra raw materials or work in progress. Supplies arrive “just in time” for production. Holding costs, employees and space needed to manage the inventory is reduced in this way (Sarkissian, n.d.).
From a case study, PHNSY decided to address the situation of time wastage by getting back to basics. The senior personnel started by interviewing the mechanics about the barriers put in place that harm productivity. What they uncovered was the need to improve access to consumable materials, tools, and drawings. The first step in removing these barriers was to address the accessibility and accountability for the consumable materials. Consumables are commonly used items such as paint brushes, batteries, washers, nuts, and gloves. PHNSY looked to WinWare, Inc., the makers of CribMaster to provide a solution. CribMaster is the name of the inventory system that was to be applied in PHNSY (PHNSY, 2010).
2.4.1 Why Use an Inventory System
Every company needs an inventory management system. Whether you are in wholesale, retail, service or virtually any other industry, you have to keep track of your products. Here are five reasons why it is so important to use business inventory software: * Prevent goods from spoiling and expiring.
If one has too many goods within the storage/ warehouse, he/she might find that the goods are either damaged, expired or even stolen without their knowledge. This risk depends on the type of industry one is and the size of the industry. With large companies and businesses, the damage may be larger than the income within the company thus recording great losses that can lead to company closure. * Prevent disappointing customers.
On the other end of the inventory spectrum, if the company has few goods to store and sell then the business faces a whole new level of risk. This is seen whereby the customers will expect good processing, packaging and delivery to be fast but if the service delivery is not impressive to the customer then the customer will opt to leave and cancel the order. This shows the how much an inventory system will be needed. * Stop wasting time.
Manual inventory management can be time-consuming. Speed is vital in a business environment. How fast you reorder products, deliver customer orders and update your inventory records could build or destroy your business. Scanning product barcodes and setting up automatic reorder points can save time by streamlining complex processes. * Foresee (look into the future).
You cannot afford to be purely reactionary in your inventory management. One needs to start planning for the future and apply innovation. Try to track down n note down the trends ahead of time by monitoring social media channels for mentions of certain products and looking at historical records to spot seasonal upticks in sales. Also do research on other similar companies, check what they have been doing and how they have been able to counter attack any obstacles. * It proves to be cost-effective.
This is whereby an automated inventory system can be implemented. This is because the system ca do multiple duties simultaneously and accurately. This can seem to be expensive at the point of purchase however, you realize that the system gets to be cheap. By this, we mean that the system gets to do the duties of multiple workers who you will no longer need and the money for their pay can be applied elsewhere.eg, the money can be used for business upkeep.
From the above, it can be easily derived that an automated system can get to be a better idea as compared to a manual system of bookkeeping and record keeping.
From a case study, although the system was recently implemented in September 2009, PHNSY has realized immediate and positive results on their operation. Stock-outs in their consumable materials have been greatly reduced. The min/max feature on the software ensures optimum inventory levels by sending an email alerting someone when replenishment is needed.
More importantly from the mechanics point of view, they enjoy having the right material at the right time 24 hours a day, 7 days a week. This has allowed them to do their job regardless of which shift they are working and allowed PHNSY to control material usage all at the same time. (PHNSY, 2010)

Chapter 3: Methodology
3.1 Introduction
A methodology is a systematic, theoretical analysis of the methods applied to a field of study. (Irny & Rose, 2005)
The system’s development will be applied through waterfall methodology. Reasons being; a waterfall model is seen as a linear sequential flow, in which our progress will be seen flowing steadily downwards through the phases of the software development. This means that, in order to proceed to the next phase the previous phase must be completed. This gives us a clear guide on making a plan and time schedule for the entire development process. (Benington, 1983)
It is easy to manage due to the rigidity of the model-each phase has specific deliverables and a review process, curbing mix-ups during the development process. (What is waterfall model-advantages, disadvantages and when to use it?)
Each phase is discrete and team members involved in a stage ensures the perfection of the stage before delivering to the next phase. Thus waterfall process ensures greater project output. (BitMascot ltd, 2011)
Easy to explain to the user the system’s structure approach as it provides a very well structure approach and it is easier to measure progress by reference to clearly defined and identifiable milestones in the development progress. (Smart Method Limited, 2006-2011)
Progress is easily measured, as the full scope of the work is known in advance. All works out well if the plan chart is well drawn to run throughout the development process at its specific period of time.
A lot of emphasis is laid on paperwork in this method as compared to the newer methods. When new workers enter the project, it is easier for them to carry on the work from where it had been left. The newer methods don’t document their developmental process which makes it difficult for a newer member of the team to understand what step is going to follow next. The Waterfall Model is a straight forward method and lets one know easily what stage is in progress. (Wordpress & Atahualpa, 2015)
Development moves from concept, through design, implementation, testing, installation, troubleshooting, and ends up at operation and maintenance. Each phase of development proceeds in strict order. (SDLC Waterfall Model-TutorialPoints.com, 2014)
Waterfall development process tends to be more secure because it is so plan oriented. For example, if a designer drops out of the project it is not a huge problem, as the Waterfall method requires extensive planning and documentation. A new designer can easily take the old designer’s place, following the development plan without a problem.
3.2 Analysis
Software requirements analysis is the process of determining user expectations for the new or modified product. (TechTarget, 2006-2015)
The system is comprised of both functional and non-functional requirements.
3.2.1 Functional Requirements
Functional requirements are statements of services the system should provide, how the system should react to particular inputs and how the system should behave in particular situations. (Requirements Engineering, n.d.) There are several functions that are include in the system to satisfy the needs of the customers. Some of these are as follows:
The proposed system is intended for inventory and sales purposes. Thus, it will perform different processes included both in the inventory and sales modules. It will be able to monitor the supply of certain items: addition of newly ordered goods to the current stock and also, subtraction of sold goods from the current stock.
As a result, the company will be able to track items or supplies that are running out of stock and thus prepare an order. It can also monitor staff’s orders and purchases from different suppliers.
3.2.2 Non-Functional Requirements
These are constraints on the services or functions that specifies criteria that can be used to judge the operation of a system, rather than specific behaviors. Often applies to the system as a whole rather than individual features. (Wikimedia Foundation, Inc., 2015)
3.2.2.1 Performance Requirement
The system would require the hardware and software specification stated below to maximize its performance. If the specified requirements are not provided by the company, the system will not satisfy the company’s expectation on the system.
Aside from the software and hardware specification, the system also requires a user that is capable of navigating the system well. It is not necessary that the user types very fast, even if it is just the average speed as long it can manage the system well. (linkedln Corporation, 2015)
3.2.2.2 Hardware and Software Requirements
Software Requirement
The system requires either Windows 2000 or other windows higher than Windows XP.
Hardware Requirements;
Main Power supply or Backup Power Supply
Monitor
Keyboard
Mouse
Minimum of 16GB Hard disk or higher
200 Memory or higher
Intel Pentium 4
A Printer
3.2.2.3 Service Requirement
The system will provide limited access for security purposes, so only persons with correct usernames and passwords can have access to the system. These people will be the only ones to enjoy the services that the system will provide such as performing inventory functions, adding and subtracting sales from the sales module and generation of reports.
3.2.2.4 Control and Security Requirement
Need for proper security and control over the data is necessary in creating and developing a system. Its aim is to curb issues of unauthorized data manipulation and data loss. A unique username and password will be provided to authorize personnel in the company. This will appear at the start-up of the system. Through these constraints, the company will have total control over the confidential data or information.
3.2.2.5 Information Requirement
The specific inputs are required by the system in order to perform its functions well. Some information is necessary to gain to provide and to gain desired output. Information like staff names, addresses, contacts are required by the system to recognize the authorize persons that can use the system in the company. Item ID, item name, item code name and other information about the item is necessary. Staff ID, name, position, designated room are also needed. There should be unique identifier of each item, staff, and supplier because the identifier will be the one that will set a difference among all other data. Most of the data are stored in the system itself, but some of it kept manually for the purpose of the company. (linkendln Corporation, 2015)
3.2.3 Narrative
For one to have access to log into the system, he must be a user to do with necessary password to do so. The system will have accessible slots for the following ; the administrator (maintains database-backs up and restores), inventory database(maintains database too and reports impending expiry of the database, sales person (enters a new order), accountant (inputs orders in terms of price and quantity), inventory supervisor (tracks stocks and reports to the inventory manager), inventory manager (prints an inventory report and re-stocks the inventory), senior accountant (sees what is done by the accountant and does a financial report), finance manager ( sees the report from the senior accountant and generates a general report on sales), warehouse worker or supervisor(views goods information, adds new goods, maintains goods category information, issues stocks up request to the inventory manager and orders too).
3.2.4 Use Case Diagram for the Proposed Inventory System
UML Use case diagram for the proposed inventory system is as shown below. The various participants or actors, the corresponding use case and the dependencies are shown in the table below.
Table 1: Inventory System Use Case relationship Actor | Corresponding use case | Dependencies | Administrator | * Database backup * Update database | Update database <<extend>> database backup whereby the backup only happens when need be or after a week or so. | Inventory Manager | * Generate reports * Record sales * Update database | Record sales <<include>> generate reports as it simultaneously <<include>> update database. With sales being recorded in the general company records they are also included in the final reports which are updated in the company database. | General/warehouse worker | * Record stock * Record new goods * Record expiry date of goods | Record stock <<include>> generate reports via the inventory manager.Record new goods <<include>> generate reports whereby any new good within the company is put into the company database via the inventory manager.Record new goods <<extend>> record expiry dates of goods. | Customer | * Buy goods. | |

From the data generated above the use case diagram below was generated.

Figure 1: Inventory System Use Case Diagram

3.3 Design
Design is the process of defining the architecture, components, interfaces, and other characteristics of a system or component" and "the result of [that] process (Owens, 2011).
Below are the data flow diagrams and entity relationship diagrams that show how the system works and how the actors relate to the system.
3.3.1 Data Flow Diagram (DFD)
This is a diagram that shows how data processes flow simultaneously within the system.
The application used in creating the diagram below is Visual Paradigm.
The diagram below shows a detailed explanation of what runs through the system and how data should flow. The customer approaches the business and makes an order with a motive of buying goods. A warehouse worker will attend to the customer and will sell goods to the customers. This will be recorded in the sales accounts by the inventory manager. The warehouse worker will so record any new goods within the business and also record the expiry date of goods to prevent good spoilage and then put it down in the report. The information is the sent to the manager who keeps the general report. Another duty of the warehouse worker is to record the stock amount and put it in the report.
The inventory manager generates the final report and then updates the database.
The system administrator updates and backs-up the database.

Figure 2: Inventory System Data Flow Diagram
3.3.2 Entity Relationship Diagram (ERD)
This is a diagram that shows the relationships between the various entities within the inventory system.

Figure 3: Inventory System Entity Relationship Diagram
3.4 System Development Tools and Techniques
The proposed inventory system will need various applications and tools that will be used in the development of the software. The tools will be categorized differently as per the stage.
Table 2: Inventory System tools required and reasons. Tool | Reason | Visual Studio 2008 | This will be for the coding of the program using C++ programming language. It will also be used in the attaching of the code to the desired interfaces. | Visual Basic | This will be used for the creation of some of the interfaces. | MYSQL | Used for the creation of the system database. |

3.4.1 Qualitative Techniques
In the proposed inventory system, qualitative tools and techniques were used.
This includes the methods of data research that were used in the research of this system. The following methods include questionnaire, interview and online research.
In the questionnaire method the following questionnaire was generated (in the appendices).
Under the interview method, we were able to get one on one answers as directed by the questionnaire above. Clearly, information is both delivered and understood better when both parties are talking face to face. By this, we mean that however much a questionnaire was provided, an interview was what we preferred. Over the interview, we used the questions from the questionnaire to retrieve helpful information. The interview was done with Mr. Harun Kimani, the IT specialist in Elite Tools Limited.
The online research was simply when the information within the research being generated from the internet websites for example www.google.com.
3.5 Deliverables
The deliverables in the proposed system will include various system modules that will be included and a simple documentation.
3.5.1 System Modules
The inventory system module includes the following:
Table 3: Inventory System Modules Module | Links/Aspects | Relations | Inventory | Count stockAdjust stockAdd new product | Product typeProduct prices | Reports | Inventory/stock reportSales report | Product typeProduct pricesProduct profits | Sales | New orderProcess orderInvoice orderNew customer | Product typeProduct priceProduct order amount | Vendor information | Receive stockPay stock orderVendor name | Product typeProduct list | Employee/Worker | Employee nameSales conductionCheck stock | Product sale amountProduct priceProduct type |

3.5.2 System Documentation
The following system documentation will be used in the proposed inventory system.
System documentation requirements will include the System roles and types, System inventory, and the Network topology.
The system documentation should follow the templates and best practices for the Elite Tools initial manual system. This will be able to help in the step by step development of the proposed automated inventory system. This will help minimize any forthcoming challenges.
Under the system roles and types, the properties within include what the system should do and how it should function. This includes the storage, networking and other services that will support the functioning of the system.
Under the system inventory there is the hardware inventory and the software inventory. The documentation provides the general environment of the Inventory system. This will include the network and the security within the system.

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What is waterfall model-advantages, disadvantages and when to use it? (n.d.). Retrieved from ISTQB EXAM CERTIFICATION: http://istqbexamcertification.com/what-is-waterfall-model-advantages-disadvantages-and-when-to-use-it/
Wikimedia Foundation, Inc. (2015, February 9). Non-functional requirement-Wikipedia, the free encyclopedia. Retrieved from Wikipedia: http://en.wikipedia.org/wiki/Non-functional_requirement
Wordpress & Atahualpa. (2015). Waterfall Model. Retrieved from Waterfall Model: http://www.waterfall-model.com/

Appendices
Appendix I: Elite Tools Questionnaire
1. Does your company own an information system? If yes:- a) How long have you had it? b) What type of information system is it? c) What functional area does it cover?
2. Is this information being applied in all your outlets around and if it is so, how is the head office connected to branches? 3. How does the use of this information system affect the company? a) Internally b) Externally
4. Acknowledging that Elite Tools Limited was ranked 25th in the Top 100 SMEs, did the information system in use at the moment help out in reaching this point?
5. Does the information system have impact on your decision making this? If so, please explain how.
6. To what depth or extent does the company rely on the information system and whether the above system has got a bearing on the financial and accounting aspects of the organization?

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