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CHAPTER 1 INTRODUCTION

It all starts through a single piece of merchandise introducing and promoting its

own identity to at least three firms – (1) the manufacturer, supplier or vendor; (2) the

wholesaler, consolidator or warehouse; and (3) the store, supermarket or merchandising

company. A customer might call a certain product by its brand name but an insider might

find out that merchandise is describable through long descriptions and often shortened

through codes. And that is the role of a product or stock-keeping unit records – to tell the

story of every merchandise by means of SKU code as reflected either on a tag, ticket or

label.

1.1 PROJECT OVERVIEW

The product or stock-keeping unit records are the stories or collection of SKU

records kept by the supermarket or merchandising information system. It stores and offers

significant information such as the merchandise classification, department, manufacturer,

brand, style, color, and size, and the season in which the merchandise was taken into

stock. It also translates these long descriptions through convenient and secured codes (e.g.,

stock-keeping unit codes, barcodes, category codes and packaging number). We can

proceed to the actual processing of product, stock or item information, the system must be

first molded and modified based on the company’s business processes and preferences.

On most merchandise a story is written in code on a tag, ticket or label; then who

reads this story on the ticket? Management reads it because the information on the ticket is

important for many different retailing tasks. It helps in completing inventories, in deciding

which merchandise lines are profitable, and in setting up sales policies for disposing

merchandise. It tells buyers how many items are left in stock and whether a price

reduction can be made, and it helps on that hopes sales people in adjusting returns and

complaints. It prevents the misquoting of prices and assists the cashiers (especially in self-

service stories). Finally, the customer reads ticket because it tells him the price and size of

an item.

It is therefore essential that incoming merchandise be marked after it is received

and checked. Marking is the process of putting a retail price on each item. In addition,

Merchandising System – Product/SKU Records Module

because of the increase importance of keeping a close track of inventory changes, marking

also often includes putting a detail identification of the item in code on the price ticket or

tag. Marked merchandise on the shelf or rack or in the bin must be checked often to keep

salespeople up to date on the availability of stock. As articles are sold, they must be

replaced in the selling area. These stock-keeping activities add to the inventory

information that marking provides. Marking and stock-keeping are important tools in the

management of retail sales.

In some stores, the marking of merchandise is handled in the place where goods

are received and checked. In other stores, there is a marking room or area to which

merchandise is brought after it has been checked. In small stores and in those kinds of

retail operations where the turnover of stock is very rapid, such as a supermarket, marking

is done on the selling floor.

If marking is done in the receiving and checking area, the personnel in that area

generally handle all three jobs: receiving, checking, and marking. If marking is done in a

special area, the job is usually done by trained markers. If marking is done on the selling

floor, salespeople usually do it.

These SKU’s or articles are information acquired piece by piece; that starts from

the manufacturer, supplier or vendor down to the market place. It will then be retrieved by

the system either manually or electronically. In whatever means, the system will store

essential information productive to various retailing tasks. Be guided, more details shall be

available through further reading of this document.

1.2 THE PROBLEM DOMAIN

1.2.1 Statement Of The Problem

What are the benefits or importance of a computerized stock-keeping unit system

once it has been implemented on a market or merchandising business?

How can a supermarket or merchandising industry manage its complex business

processes in more effective and efficient way, if possible without exerting any

additional amount of work force and cost?


Can a supermarket or merchandising business maintains or even alleviate its

integrity on their product records in terms of traceability and scale?

What could be the done in order to categorize the business’s products in more

convenient yet reliable way?

How can single merchandise be different and uniquely identifiable among the

other?

Would it be possible to track certain merchandise by its category?

Would it be possible to track certain merchandise by its marking date?

Would it be possible to minimize or much better to eradicate human errors?

What will the system generates to help the users on their decision-making when it

comes to managing a supermarket or merchandise business?

1.3 OBJECTIVES OF THE PROJECT

To record and manage various product or stock-keeping unit information.

To simplify complex retailing task by means of generating SKU code, barcode,

category code, etc.

To monitor all products and SKU’s received, checked and marked inside the

stockroom or warehouse.

To implement SKU coding in order to uniquely identify each - merchandise with

similar category, vendor, style, model, color, size and many other product

attributes.

SKU code that will provide easy access and alternative for long merchandise

descriptions.

Barcodes and descriptions that can be retrieved electronically by the system.

Category codes that will organize each of merchandise to where it suits.

Packaging number that will represent the number of merchandise, product or SKU

in each package.

Printing date that will serve as the basis on how long does a product was taken into

stock.

To visualize certain estimates when it comes to inventory.


To visualize certain estimates needed for future decisions and provided by the

number of merchandise per package.

To propose a generic system that is secure convenient and user friendly.

To synchronized retrieved product’s information by means of codes.

To generate essential merchandise reports.

To generate reports based on description, date-time, product category, SKU code

or in any available way that the system may offer.

To generate print outs of documents which may later be served as a ticket, label, or

markings; containing SKU codes, barcodes, description, category code, date, and

suggested retail price.

To verify product

Description through machine readable format necessary to process information

rapidly.

1.4 SIGNIFICANCE AND SCOPE OF THE PROJECT

It can be considered as a backbone of a Supermarket and Merchandising

Information System. As the name goes, “Product / Stock-Keeping Unit Records”, it will

actually record all of the items inside the stockroom. It is the source of information

valuable to perform and accomplish various stock-keeping tasks. Although it is the source

of merchandise information needed by the inventory controls, price management and other

relevant subsystems; it also retrieves information but rather directly from the

merchandising itself. Therefore marking and/or labeling products can be done by the

stock-keeping unit records. It only needs the retail price to be retrieved from the price

management. Thus, it produces a complete package of merchandise information ready to

generate labels for the shelf and/or item as well as other relevant significant reports.

1.5 DOCUMENTATION OF EXISTENCE AND SERIOUSNESS OF THE

PROBLEM

At present time, some merchandising company prefers to utilize spreadsheets for

recording their product information. Although it can be lined up as a computerized means,


it still requires a lot of encodings and several repetitive human errors. Unless the

spreadsheet is pre-programmed, it is inevitable that it will consume more time, cost and

effort. As the employee will spent a lot of time encoding, there will always be an

equivalent human errors that cannot be track by simply pressing the control + F during or

as the customer returns the product and complain. And this would lead to the loss of

customers and sales. And the company’s revenue is not even enough to equate the

complex labor of the encoder. That is the reason why several large-scale supermarkets are

now patronizing Point-of-Sale System. But because of its intricate features, they would go

back to spreadsheets for stock-keeping purposes. Again, a lot of processes and labors are

needed to execute. By the workers, In addition, even though a certain firm utilizes an

almost perfect stock-keeping unit system it can still be modify and turn into a better one.

Like adding features and controls that the latter cannot render such functionalities.

Because as the saying goes, “Nothing is permanent except change”; a change for a better

stock-keeping unit records system. For an instance, SM Supermarket cannot escape

shopliftings and embezzlements in spite of their computerized and high technology means

for running the business. Wherein it only means that there is no guarantee for accurate and

real-time monitoring of their products.

According to some recent researches, theft in American business is big business.

Recently the yearly loss by manufacturers, wholesalers, and retailers from theft by

robbers, shoplifters, and employees was estimated at approximately 16 billion dollars.

Stock shortages are a real threat to retail profit. A stock shortage is the difference

between the amount of merchandise that a store estimates it has in stock and the amount of

merchandise that a physical count of goods reveals to actually be in stock. Such shortages

run between 1.5 and 2 percent of retail sales in the average store each year. Moreover,

many retailers have found recently that shortage as high as 3 and 4 percent have not been

unusual. Since some retailers are able to earn only 3 or 4 percent net profit, it is evident

that stock shortages can in fact destroy profit. If not stopped, they can cause the store to

lose money.


1.6 REVIEW OF EXISTING ALTERNATIVES

Most stock shortages are the result of the following two causes: either (1) mistakes

that have been made in keeping track of the inventory, which means that the discrepancy

is due to a recordkeeping error, or (2) actual theft of merchandise. Some bookkeeping

errors are inevitable because people make mistakes. Far more serious is theft by

employees or by customers. When a customer steals or stock from the selling floor, the

crime is called shoplifting. When an employee steals money or stock from the company

for which he works, he has committed the crime of embezzlement.

Theft, regardless of what is taken or who takes it, is a crime punishable by law. At

one time retailers were reluctant to prosecute thieves, particularly the nonprofessional

among shoplifters, because retailers wanted to avoid unfavorable publicity and loss of

goodwill. However, because of the growing seriousness of the problem, most retailers

now prosecute all thieves.

Most people are honest. Most customers would not consider taking merchandise

for which they had not paid, nor would they steal money out of an open cash register.

Most store employees are just as honest. However, a few customers and employees are not

as ethical, and they are responsible for a significant amount of theft. It is debatable

whether dishonest customers or dishonest store employees can be pinpointed as the major

cause of theft. However, it is not debatable that retailers are losing merchandise and

money in alarming amounts.

Employees have been known to steal cash as well as merchandise. Since

salespeople deal with both cash and merchandise all day long, they have many

opportunities to steal. Retailers have several effective methods of protecting themselves

against employee theft. Close attention to money handling and receipts each day is

essential. Periodic investigation of the accounts of the firm by outside accountants can

provide positive safeguards against large-scale embezzlement. Checking the contents of

packages which employees take out of the store removes the temptation to “borrow”

merchandise. Everyone in the store is expected to be alert for all cases of theft, even if the


thief is a fellow worker. Theft is a criminal act that hurts not only the company but

everyone working for the company.

One of the great menaces to today’s retailer is shoplifting. One chain estimates that

its member stores lose more than 33 million pesos a year from shoplifting. Unfortunately,

some of today’s retailing techniques have made shoplifting far easier than it was a few

years ago. Self-service layout, fewer store personnel on the selling floor, open counter

displays, the concentration of customers at peak buying hours, and the increase of night

openings are factors contributing to the shoplifting problem. An awareness of the situation

and an understanding of the kinds of people who steal from stores can help employees

counteract this form of theft.

In the end, a stock-keeping unit records would always be a helping hand to prevent

stock shortages and theft. As those customers and employees would think twice and

intimidate from doing wrong practices. But the perfect and proper run of the business will

always depend upon the environment.


CHAPTER 2 REVIEW OF RELATED LITERATURE AND STUDIES

The role of Information Technology has grown immensely through businesses and

organizations; as the market globalization defines IT as the backbone of any supermarket

or merchandising intelligent-mechanism for creating a system that enhance and develop

processes for market feasibility, supply traceability, supply maintenance, supply

aggregation, quality of services and many other beneficial capabilities that depicts the

modern world.

As the market industry defines its procedures as the dimensions of sales,

marketing, budgeting, outsourcing, franchising, and merchandising; on the other side, IT

industry further connotes another language to comprehend the utmost of market and

merchandising beyond the convenient manner through developed business processes and

integrated systems.

Supermarket/Merchandising Information Systems are the core of a supermarket or

merchandiser’s business systems. It is a specific version of the so-called Point of Sale

System as it gives emphasis on how a supermarket process goes. In line with this, every

certain program is also subdivided into different subsystems. Thus, some of its common

subsystems are as follows: point of sale, warehouse inventory, purchase order

management, good receipt, allocation, replenishment, price management, store inventory

control, point of sale control, and the product / stock keeping unit records. Although all of

these played an important role, let us rather focus on how the SKU unit records goes.

In the field of inventory management, a stock keeping unit or SKU (more-

grammatically-correctly written with a hyphen as stock-keeping unit) is a distinct item,

such as a product or service, as it is offered for sale that embodies all attributes associated

with the item and that distinguish it from all other items. For a product, these attributes

include, but are not limited to, manufacturer, product description, material, size, color,

packaging, and warranty terms. When a business takes an inventory, it counts the quantity

of each stock keeping unit. SKU can also refer to a unique identifier or code that refers to

the particular stock keeping unit. SKUs are not always physical objects. Anything that can

be sold separately from anything else has a stock keeping unit, such as extended


warranties, delivery fees, installation fees, and licenses. Other entity tracking methods,

with varying regulations, are Universal Product Code (UPC), International Article

Number (EAN), Global Trade Item Number (GTIN), and Australian Product Number

(APN).

On the following case studies, it all focused on how Information Technology

Industry reached its helping hand to a certain market. Thus, shall disclose the profiles and

the system being utilized by these companies with a goal to share a highly comprehensive

way of how Information Technology links its various specializations toward the market

systems. Most especially on the field of record creations with stock-keeping unit which

prevails on at the back-end or on operational basis of the market.

2.1 RELATED LITERATURE

2.1.1 Foreign Literature

2.1.1.1 Vitamin Cottage Natural Food Markets, Inc.

Vitamin Cottage Natural Food Markets, Inc (commonly referred to as "Vitamin

Cottage" or "Natural Grocers") is a Colorado based health food chain founded in 1955 by

Margaret and Philip Isely and now operated by their children. Natural Grocers are found

in 13 states, mainly west of the Mississippi River. The company operates 65 retail grocery

stores in Colorado, Texas, Utah, Oklahoma, Oregon, Kansas, Missouri, Montana, New

Mexico, Nebraska, Idaho, Arizona and Wyoming with approximately 1,500 employees

and new stores opening monthly. Products include vitamins, dietary supplements, natural

and organic food, organic produce and natural body care products. The company is a

longtime proponent of consumer education about health and nutrition, and runs an

ongoing free lecture series with nutrition and health experts for both customer and

employee education. Each store provides a free trained "Nutritional Health Coach" for its

customers. All education activities are science-based, refer to most recent published

studies, and not related to specific products or brands. The company filed an S1

registration statement with the SEC on June 18, 2012 under the name Natural Grocers by

Vitamin Cottage, Inc. As of July 25th, 2012, the company is trading on the New York


Stock Exchange under the ticker "NGVC". Investor information can be found here. The

company is best known for its manifesto entitled "What We Won't Sell and Why", which

is a list of substances not proven to be safe. These ingredients are not allowed in foods

sold by the company even though government agencies approve of their use. This list

includes artificial colors and flavors, artificial preservatives, irradiated food and meat-

raised using artificial hormones and antibiotics among others. All products ingredients and

claims are screened by highly qualified review committees before being approved for sale.

Only USDA certified organic fruits and vegetables are sold. The company differs

distinctly from "gourmet natural smorgasbords markets" like Whole Foods in that it does

not focus on promoting many indulgent, but often unhealthy and expensive, processed or

prepared foods. As a consequence, its customers tend to be highly aware of and concerned

with the link between a good diet and improved health, using the Natural Grocers stores as

a "food pharmacy". In August 2009, Whole Foods acknowledged its longtime lack of

focus on nutrition education and the link between diet and health, and vowed to repent its

"gourmet luxe" market positioning. Many of the company's guidelines for ensuring

product purity and quality, developed over many years due to the previous lack of existing

government standards, were used as the foundation for the Dietary Supplement Health and

Education Act of 1994 (DSHEA) legislation of 1994. Company founder Margaret Isely

contributed to forming the precursor group that became the international trade group

Council for Responsible Nutrition. The company maintains an active role in community

education, regulatory affairs and scientific nutrition research. Natural Grocers is the only

major grocery retailer operating "Bag Free" stores, asking customers to bring reusable

bags for their purchases or take a recycled box in place of plastic or paper bags. The

company also operates an all-green retail location in Northglenn, Colorado, employing

geothermal heating and cooling among other features. The store uses net zero energy for

heating and cooling the interior. All Natural Grocers locations (not just distribution

centers) undergo third party audits of their organic handling and processing practices by a

USDA-accredited organic certification agency and are USDA certified organic

handlers/processors. The company operates in compliance with all National Organic

Program rules.


2.1.1.2 Super Target

Super Target is a chain of hypermarkets that are about 174,000 sq. ft (16,200 m2)

and feature double entrances on one-story stores. The first Super Target opened in Omaha,

Nebraska in 1995, and the second Super Target opened in Lawrence, Kansas the same

year. As of October 2008, Target operated 218 Super Target stores in 22 US states, the

majority of which are in Texas and Florida, with sizable numbers in Minnesota and

Colorado.

Until 2006, the store logo spelled "Super" in green script, while newer locations

are signed in red block letters in the Helvetica typeface in favor of a streamlined brand

look. These stores offer everything found in a regular Target as well as a full grocery

selection, fresh produce, bakery and deli, with most locations having a Target Optical.

Many Super Targets feature Starbucks Coffee, Pizza Hut Express, Taco Bell Express,

Target Pharmacy, The Studio @ Target (a portrait studio), Target Photo, Target Mobile (a

Wireless kiosk), and a Wells Fargo Bank or U.S. Bank. In the past, some Super Targets

featured an E-Trade trading station in place of a bank, though ETRADE removed all of

their Super Target branches in June 2003 without any prior notice. Mitchell Caplan,

ETRADE's CEO at that time, said that "We were not able to make it into a profitable

distribution channel. We're better off exiting." ETRADE also sent a letter of notification to

their customers informing them about this change. Select stores in Florida, Illinois,

Maryland, Minnesota, North Carolina and Virginia have a new Target Clinic concept.

Unlike other hypermarkets, such as most Walmart supercenters, Super Targets are not

open 24 hours.

Upon their internal procedures, however, even how perfect their system is; an

employee especially the user of the program still needs to learn the basic knowledge for

every data or information he/she is going to communicate with. Thus, here comes the

strangest thing inside every POS system – the SKU. SKU or stock keeping unit keeps

track of a product/stock, either for retail, trade, wholesale, reseller, bundle, etc. Inside the

supermarket, a bottle of soft drinks is not the only soft drink inside the shelf but rather

have a minimum number of 50 – 100 bottles displayed and all arranged with similar

identifier but let us not generalize that a specific SKU is intended only for on and only


product but rather designated for the whole other similar products made by the supplier if

and only if it came from the same vendor (manufacturer) with the same size / color / shape

/ weight / volume, etc.

2.1.1.3 Fairway Market

Fairway Market is an American grocery chain. Founded in the 1930s, it is one of

the United States' highest grossing food retailers per square foot with 14 million customers

per year. Fairway has had significant store expansion in the New York area, with 13

locations in the tri-state area including 13 food markets and 3 wine and spirit shops.

The flagship store still occupies the original Broadway location at West 74th Street

on the Upper West Side of Manhattan, with larger locations in Harlem; the Red Hook

neighborhood of Brooklyn; Paramus, New Jersey; Plainview, Long Island; Pelham Manor,

New York; Stamford, Connecticut; and Woodland Park, New Jersey. In 2011, Fairway

expanded even further with two more locations: one on the Upper East Side of Manhattan,

which opened July 20th, and the other in Douglaston, Queens, which opened on

November 16th. In 2012, Fairway Market opened three more locations: Woodland Park,

New Jersey on June 6, Westbury, Long Island on August 22 and in Kips Bay in midtown

Manhattan in late December. The company currently employs about 4,000 people.

Sterling Investment Partners bought a controlling stake in Fairway Market in 2007.

In 2011, the chain had revenues of $550 million. It was spun off in an IPO on April 17,

2013, trading under its parent Fairway Group Holdings on NASDAQ under the ticker

symbol FWM.

Fairway's original store is at Broadway and West 74th Street. In January 2007,

Sterling Investment Partners, Westport, CT private equity firm, acquired Fairway Market

and committed to substantially expanding Fairway in the greater NY metropolitan area.

Sterling made a $150 million capital investment in Fairway four years ago, and has thus

far committed to in excess of $100 million for Fairway’s expansion, enabling Fairway to

grow rapidly and generating 2,100 new jobs in the tri-state area in the last 18 months.


2.1.2 Local Literature

2.1.2.1 Puregold Price Club – TP Linux POS System

Puregold Price Club, Inc. is a chain of supermarkets in the Philippines established

in 1998. It began in 1998 when Puregold opened its first branch in Mandaluyong City.

Presently, it has grown into a retail chain with more than 50 stores nationwide. In 2012,

Puregold Price Club Inc. acquired Parco. Over 19 operating outlets were purchased and

converted to Puregold. Puregold is planning to open more stores as of 2012 to upgrade

sales growth target. In 2012, the shareholders of the retail chain Puregold have approved

the merger of the other two operating units into the parent company, consolidating

Puregold's supermarket businesses under the publicly listed supermarket operator. On

February, 2013, global investment firm Capital Group Companies (CGC) bought 5.4%

total outstanding stock of Puregold.

Aforementioned is a brief history of Puregold depicting on how the company

grows as the years goes by. On the otherhand, as we all know, a supermarket is always

been driven not only by their products and employees but also on what kind of point of

sale system they used to have.

According to the site of AGSB, Puregold Price Club utilizes a Linux-based

Supermarket / Merchandising System. In behalf, Puregold is also the very first Filipino

company to utilize a German firm’s open source-based software.

TPLinux is one of the most flexible Linux-based store solutions available on the

global market. Coupled with its versatility of use, outstanding integration mechanisms and

the experience gained with over 50,000 TPLinux installations worldwide, TPLinux is

ideal both for modernizing store IT and for migrating and using established POS hardware

platforms. TPLinux is owned by Wincor Nixdorf, a German corporation that provides

retail and retail banking hardware, software, and services. TPLinux has the capability to

run on other vendors’ hardware as well as Wincor Nixdorf’s own systems. Through

TPLinux, the smooth run of every Puregold Branches is continuous up to the present time.


2.1.2.2 Robinsons Supermarket Corporation

Established in 1985, Robinsons Supermarket has evolved into one of the largest

supermarket chains in the Philippines. Apart from its commitment to provide shoppers the

freshest merchandise and the most reasonably priced grocery goods, Robinsons

Supermarket seeks to educate and empower its customers on their choice of food and

products to promote healthy living and proper nutrition. The first major retailer to stake

this promise, it is a bold, lifelong commitment to customers old and new to reach out and

touch lives by bringing together healthy choices at affordable prices in one refreshing

shopping destination that is Robinsons Supermarket.

Behind Robinsons Supermarket Corporation success’, is their company’s robust

Supermarket / Merchandising System. It is actually the hidden pride of every supermarket

due to its various essential works, functionalities and processes concealed at the back of

every employee.

Robinson Supermarkets are not liable to create the SKU’s of each product / stock

unless they are the supplier of their own sales. For an instance, a customer will buy a

certain product; he/she will notice a barcode. And that barcode is the unique identifier of

that specific product made only by the supplier. Different code for each suppliers or

vendor, different date of manufacturing and different sizes/weight of each product will

correspond to a different barcode stripes and number combinations. The reason behind

these coding designation for each goods played an important role on how to conveniently

throw codes from one supermarket branch to the main office and vice versa. It is not

necessary and practical to encode the whole name of a certain product inside the

Supermarket System because it will absolutely waste a lot of time and effort to promulgate

such technique.


2.1.2.3 Wellcom Telecom Supermarket (Philippines)

Founded in 1945, Wellcom is Hong Kong's longest-established supermarket chain.

Since 1964, the company has been wholly owned by Dairy Farm following the merger

with rival supermarket Dairy Lane. Wellcom has an overall staff of 5,000 in more than

240 stores and serves more than 14 million customers every month.

1940's-50's Wellcom was established in 1945 by Mr. Wu Chung-Wai, Mr. Lau

Lim and Mr. Ko Yin-Yu. Wellcom established its first store on Ice House Street in

Central. The shop specialized in imported products including wines, biscuits, canned food

and beverages. Wellcom was the first supermarket to establish a Home Delivery Service

division, and an average of 600 customers enjoyed this one-of-a-kind service through

orders in person daily.

1960's-70's Wellcom became a member of The Dairy Farm International Group in

1964. Wellcom was the first to introduce a "self-service" retailing concept. Customers no

longer require the assistance of service staff to get products; they can personally select

products from the shelf. Wellcom was the first to offer pre-packaged rice products in

1973, offering consumers a convenient and hygienic choice to purchase rice.

1980's-90's Wellcom launched its first corporate brand "No Frills", offering

customers over 300 products at the lowest prices as compared to other products in the

same category. Wellcom was the first supermarket to employ Electronic data interchange

(EDI) technology to improve the efficiency of operation. Wellcom pioneered the 24-hour

supermarket concept in Asia and set up its first 24-hour store in Great George Street,

Causeway Bay on 23 October 1998. Wellcom established its second corporate brand, First

Choice, with a product range of over 1,000 items. With prices at 20-30% less than

competitive international brands, it is a well-known brand in Hong Kong. A $400 million

investment, "Wellcom Fresh Food Centre" was opened in 1998. Occupying an area of

161,000 sq. ft., it is the top, state-of-the-art fresh food-processing centre in Asia, ensuring

quality, safe and efficient supply of fresh food.

1992's-98's, Wellcom Hong Kong to become the first to use the UPC system in

Hong Kong supermarkets, offers a more efficient and more convenient payment services.


According to the report of 2004-2008, Wellcom supermarkets and thus increase the

number of branches.

The New Millennium Wellcom introduced the "Vote for Your Favorite Brand"

campaign in 2000 and it has been a successful annual consumer event ever since. Wellcom

opened the first ultra-modern superstore at Town Plaza. The Wellcom superstore

introduced a new "one-stop" shopping service, embracing the concepts of both wet market

and grocery shop under one roof. Wellcom announced its double refund offer with lowest

price guarantee by doubling the difference back to customers. Wellcom unveiled its

Stanley store in January 2003. It is the first supermarket located inside a 100-year-old

historical building - the old Stanley Police Station.

Wellcom Telecom Supermarket, Inc. also sprouts its branch in the Philippine

Territory – Wellcom Telecom Supermarket Phil. And as the research goes, among some of

the offered functions enabled by their Merchandising System are as follows: (1) web –

based reports and alerts such as up to the minutes sales figures or alerts on product returns,

(2) emailed reports scheduled by a customizable interface menu, (3) customer service

related functions such as speed of service monitoring, (4) frequent shopper programs

supported by POS data, and (5) accounting and other back office functions that have

eliminated the need for back office data entry positions.

The said POS System has a great variety of functionality that can be effectively

integrated into the back office functions of any enterprise. Back office refers to procedures

performed out of the view of customers. Among some of the most common back office

functions are the following: a) inventory tracking and real-time updating based on sales

movement as indicated by POS data, b) the selling of products in inventory even beyond

product that is on the shelf or on display, c) reordering and fulfillment system integrated

into the POS System based on inventory movement, d) product sign in and reception

recorded through the POS system, e) employee scheduling and time keeping, and f)

accounting functions such as total sales, part of day sales, and account reconciliation.


2.2 RELATED STUDIES

2.2.1 Foreign Studies

2.2.1.1 Vitamin Cottage Natural Food Markets, Inc.

SAP POS Point of Sale is the merchandising system being utilized by the

company. It has long-defined as the standard of excellence in the POS industry. SAP POS

meets the needs of a wide variety of retailers. Retail customers include department, hard

goods, convenience stores, liquor, specialty, apparel, big box, and a number of other retail

verticals. Additionally, the solution is offered with powerful back-office applications, for

in-depth, store-level management and reporting. SAP POS consists of a store server with

cash register terminals or other devices. With SAP POS, Vitamin Cottage Natural Food

Markets is satisfied with the following benefits:

-Unmatched flexibility - Retailers can quickly and easily configure SAP POS, thanks to an

easy-to-use configuration tool and business rules engine, which contains more than a half

million options.

-SAP POS business rules can be easily modified without custom programming; it easily

adapts to retailers' changing needs and provides a low TCO.

-Versatile deployment - SAP POS is available for deployment at the register, in kiosks,

through e-commerce and, importantly, through mobile devices.

-Multiple levels of system redundancy to weather the realities of retail

-Multiple application extension points - connect your store system to other internal or

external specialized solution environments while maintaining your core, standard POS

implementation.

2.2.1.2 Super Target

The Toshiba SurePOS 500 is the current system of Super Target. It employs a

highly efficient Intel processors (Model 570 and 566) and efficient power supply that save

on energy costs. Plus Toshiba’s innovative deep sleep, when enabled by Toshiba Remote

Management Agent, can cut energy use by up to an additional 47 percent. The Model


570’s 80 Plus Gold Power Supply offers even greater energy savings with the potential for

an additional 11 percent. Available Solid State Drive (SSD) options on the Model 570 and

the Model 566 provide the latest in storage technology. SSDs eliminate all moving parts

and motors used in conventional Hard Disk Drives (HDD) and thereby deliver faster

performance while consuming less power. The Model 570 comes standard with choice of

(1) 500 GB SATA2 HDD or (1) 64 GB SSD. Optional upgrade to a 2nd 64 GB SSD is

available on the Model 570.Environment friendly packaging includes high-density

polyethylene (HDPE) inserts made from recycled post-consumer waste, saving space for

energy and cost-efficient shipping and disposal. Box and inserts are 100 percent recyclable

2.2.1.3 Fairway Market

Fast, reliable, easy to learn and use, intuitive and touch-screen based, the ETP

Store is a retail software that makes your point-of-sale a point-of-delight at the retail store

for both your customers and your counter staff. The ETP Store retail solution makes it

easier to reduce user errors and lower your operational costs. Allowing you to bill,

exchange, return, order, tender and search for inventory across stores and warehouses, the

ETP Store POS software also effectively incorporates a comprehensive retail CRM

Software and CRM solution and provides service levels at the storefront for tracking

customer buying patterns. You can also efficiently manage promotions designed in ETP

Accelerator seamlessly through this point of sale solution. ETP Store is 100% Java based,

platform independent solution that is a robust and flexible system, capable of high volume

transactions that can fit within various corporate environments leveraging your company's

existing IT infrastructure.


2.2.2 Local Studies

2.2.2.1 Puregold Price Club, Inc.

According to the list of accredited machines as utilized by several companies,

Puregold is one of those companies that utilize a program called JDA WINDSS. While

point-of-sale (POS) systems are critical to Puregold’s success, some of their recent

supermarket systems cannot efficiently handle the scale and complexity of multiple

channels, complex promotions and constantly changing pricing strategies. Further,

inefficient back-office processes often hinder their effective inventory management. Thus,

after Puregolds’ upgrade to JDA, it leverages a powerful pricing engine, enterprise-wide

visibility into inventory levels and easy cross-channel access to customer information and

orders while providing an integrated solution for comprehensive store-level inventory

management. Although today, some Puregold branches are now shifting to a different kind

of system coming from the famous company of IBM, still JDA WINDSS left a rising

trademark of PPC that lasts.

2.2.2.2 Robinsons Supermarket Corporation

The IBM 4694 was one of IBM's PC based point of sale (POS) systems, successor

to the IBM 4683 and IBM 4693; and RSC’s powerful Point-of-Sale System. Introduced in

1991, the 4694 became a flagship model for the company's SurePOS system. The system

consists of a PC-based controller (thin client), and POS workstations—typically an IBM

keyboard and monitor, or touch screen. The system requires the IBM 4694 computer

which is used as a "Controller", or also more or less, as a server on the network. The

controller can be set up to boot from a floppy disk, or from a main server on a network.

The 4694 was a best-selling POS System, widely used in most large chain stores such as

supermarkets, department stores and restaurants. That’s why Robinsons Supermarket

Corporation is enticed to use such POS platform. As IBM 4694 offers commercial

security, convenience, reliability and immense functionalities, RSC is proudly convinced

to choose such product to be their partner to serve their thousands of customers.


2.2.2.3 Wellcom Telecom Supermarket (Philippines)

Zhejiang Wellcom Technology Co., Ltd was established in 1999, which specializes

in manufacturing fingerprint products. The company does not only sell devices, but also

solutions. Their specialized products include fingerprint scanner, fingerprint reader,

fingerprint UKEY, fingerprint module, fingerprint controller, fingerprint access control,

fingerprint safe and fingerprint locks etc. As a supplier of core technology, product and

solution, Wellcom has become the leading enterprise in the biometric identification

industry. At all times, Wellcom has devoted itself to research of biometric product and

solution with fingerprint identification technology and vein identification technology as

core technology. The company owns more than 40 patents and more than 20 high-tech

results. All products of Wellcom have been widely used in fields like finance, transport,

telecommunication, E-government, etc. They fall into two types, namely, information

security products and security products. The former includes: bank teller ID authentication

products, driving training school products, fingerprint scanner, fingerprint reader,

fingerprint UKEY, fingerprint mouse, fingerprint USB drive, fingerprint network

management system; the latter includes fingerprint module, fingerprint access control,

fingerprint time attendance, fingerprint locks, fingerprint cabinets and safes etc. All of

these products own independent intellectual property rights entirely and now have been

widely used in banks, army, transportation, telecommunications, hospitals, E-government

and schools, also civil market and companies, to name just a few. Wellcom adheres to the

cooperation strategy "integration of resources and sharing of the value", combining the

best application practices of the identity authentication and information protection in all

industries, thus providing a broad "win-win cooperation" platform for the world's agents

and dealers.


2.3 SYNTHESIS AND SIGNIFICANCE OF THE STUDY

After a thorough study on different local and foreign market cases; as apportioned

by different proprietors of software technologies; as handlers of the common market

process/system that barely determine that there are matters which are similar into these

diverse mechanism – and these are the objectives that was initiated; to develop market

processes which often define an automated sales of inventory and record creation,

maintenance and routing and regeneration, accounting systems, etc.

As focused on record creation with SKU, almost all organizations, as stated in the

study, has their own way of creating, formatting and formulating this SKU-codes, which is

oftenly depends on the market’s products and services.

Therefore the conclusions aroused with the help of various stitches of literatures

and studies as stated above are as follows:

SKU’s are internal product and service identifiers which are defined by the

common supplier of the product or the market itself, create such SKU‘s for their

own reasons.

SKU’s may vary across different supermarket and merchandising facilities.

SKU’s are based on generic to specific standard which depends on the kind of

market system.

Formulating of SKU code or numbers came from the product or service attributes

with allocation identifiers, product category, type and its corresponding stock-

keeping facility that is trailed by the product’s price or cost.

On the other stories researched pertaining to Supermarkets:

A conventional supermarket is a self-service food store offering groceries, meat,

and produce with limited sales of nonfood items, such as health and beauty aids and

general merchandise. Perishables like meat and produce account for 50 percent of

supermarket sales and typically have higher margins than packaged goods.

Whereas conventional supermarkets carry about 30,000 SKUs, limited assortment

supermarkets, or extreme value food retailers, only stock about 1250 SKUs. The two


largest limited assortment supermarket chains in the United States are Save-A-Lot and

ALDI; a firm that makes Wal-Mart seems luxurious.

References:

http://en.wikipedia.org/wiki/IBM_4694

http://wellcomtec.ecvery.com/profile.html

http://www.jda.com/solutions/jda-store/


CHAPTER 3 ANALYSIS AND DESIGN

3.1 SOFTWARE REQUIREMENTS SPECIFICATION

3.1.1 Introduction

Product / Stock Keeping Unit-Record Creations system is an application intended

for product record creation of a supermarket or merchandising firm. It provides such

convenient ways in creating article of a certain product, which defined in terms of SKU’s

or an SKU codes, capable on giving less information in a high dense quality of data for

further utilization on a high-end fast growing merchandise or market business. With the

system’s friendly yet professional looked GUI or Graphical Unit Interface, the users may

experience much easier access to the software, provided that these users have enough

authentications to utilize the system on its dedicated functions. As it offers

comprehensible terms, user-friendly interface, and secure storage of data; every user might

not have to attend seminars, trainings or tutorials just to attain his/her familiarization on

how to use the program. Furthermore, it also lessens the work behind tracking of product,

records statusesand even trailing of such histories essential for auditing tasks and, etc.

Therefore, this can save the business’s thousands of money in many ways; as it increases

the profit, it also decreases the work load exerts by the firm itself.

3.1.1.1 Goals and Objectives

Goals and objectives are always synonymous as it signifies a successful ending

point of every milestone. But this ending point will just serve as the beginning of a new

project. Developing SKU system is not just a stereotype of a previous one but a high level

and improved kind.

This is the introductory part of the product/stock-keeping unit system. It will

highlight the requirements, and insights interest from various stakeholders involved in the

business of merchandising. As the name goes, it will play an important role of record

creation and record keeping and will later benefit the customers, the employees and the

company’s several retailing tasks at its different perspectives. It eases the manual


retrieving and storing of thousands of information and also provides an accurate tracking

of available product.

All of the SKU processes will be depicted through modeling diagrams resulting for

a much comprehensive illustration of the said application. Descriptions and further

discussions on how the system will go through are also appended along with its various

requirements. Different ways on how to convey stock-keeping flows will be stressed out

in order to attain clear understanding with regards to what SKU offers. However, the

prime goal is to reach every ones expectations, goals and objectives necessary to

implement a productive stock-keeping.

3.1.1.2 Statement of Scope

The following discussions will enlighten the process, significance and descriptions

involved with the stock-keeping unit system. It includes both external and internal factors

that contribute for the input, process and output of the software. This will also serve as the

system guide, basis and foundation in order to fulfill the goals and objectives of a stock-

keeping unit application.

Let us first consider these scenarios: (1) merchandise arrives at the store from the

supplier or vendor and has been pre-marked with the appropriate price and item

identification information; (2) the store is the one who supplies the prepared tickets and

the store is the one who supplies the prepared tickets and the vendor put them on the

merchandise; the vendor both prepares and attaches the tickets; (3) the price is nationally

advertised one that the manufacturer has printed on the package. All of these scenarios

supplies stock-keeping unit records that are needed by the system. The only difference

upon the system is that it processes these information in a more refined, secured,

convenient, and identifiable form depending upon the supermarket/merchandising firm.

Now, in order to access the stock-keeping unit system, the employee will be

prompted by the system to enter his/her username and password; wherein the employee is

either an administrator with full access grant or simply a user with authenticated

privileges. Afterwards the first move would always be given to administrator in order to

perform manipulation. Upon the purchase order or delivery of merchandise has been done,


by then the administrator would be given an option to either retrieve or create a standard

format for SKU records. It will either support the default categorization of the SKU code

(merchandise classification ID, department ID, manufacturer ID, brand ID, style ID, color

ID, and the size ID), barcode (scanned by a barcode scanner or reader), description

(provided by the manufacturer), category code (merchandise classification ID and the

department ID) and the packaging number (the number of merchandise received and

checked per package). Upon the successful recording of product information available

inside the market, the system will then automatically save the dates needed to estimate the

duration of specific merchandise. By then it would be possible to print tickets, tag and

labels for items or shelves. (And it would be clear to identify printed product information).

And the reports generation would be based on each category that can be sorted either by

similar manufacturer, similar classification, similar department, similar date, and even

similar packaging number. It would also be possible to track merchandise ten days before

the printing date and on what aisle it was placed. It would also be helpful to verify the

number of products being received, checked and marked at a specific date. Generally,

stock-keeping unit system will support meet of the administrator’s and user’s preferences

especially upon searching, sorting and filtering merchandise records of information.

Aforementioned system manipulations like creating, retrieving, adding and editing

are only allowed for administrators. Otherwise the user is not allowed but both granted for

system searching and viewing only.

On the other hand, both administrators and users of the stock-keeping unit system

will be granted to leave a business notes for their comments, reminder, suggestions,

question, etc. It will serve as the message box necessary for the whole run of the SKU

records system.

Thus, the following table further defines the scope of the system through these

enumerated user requirements. Each requirement is assigned with three levels of priorities:

(1) High priority must be implemented; (2) Medium priority can be implemented; while

(3) Low priority may be left out.


User Requirements for the Product or Stock Keeping Unit Subsystem Project

Req. No. Priority Reference Description

Access Privileges

R1 High Customer

There shall be two levels of access; (1) for

managers and/or supervisors as

Administrator (2) for assistants, clerks

and/or regular employees as User.

R2 High Customer

Only the Administrator shall retrieve

necessary data from warehouse and/or

store inventory control.

R3 High Customer

Only the Administrator shall

add/edit/modify the stock keeping unit or

SKU code of each product/stock package.

R4 Medium Customer


add/edit/modify the category code of each

product.

R5 Medium Customer


add/edit/modify the package number of

every product.

R6 High Customer

The Administrator shall be allowed to view

and print daily, weekly, monthly and

annual product reports.

R7 High Customer

Only the Administrator shall be allowed to

view and print shelves and product label

display

R8 High CustomerAll employees shall be allowed to view the

SKU subsystem.

Security

R9 High CustomerAdministrator and User shall be required to

log on with a unique username and

password in order to access the system.


R10 Medium CustomerThe username and password shall contain

8-20 alphanumeric characters.

R11 Low CustomerBoth username and password shall be in

caps lock.

R12 Low SKU

The username shall be the last name of the

employee plus the initial/acronyms of

his/her position.

SKU

R13 High CustomerThe Administrator shall only be allowed to

create or edit stock keeping unit records.

R14 High Customer The SKU shall consist of 6-digit code.

R15 Medium SKUThe system shall prompt the administrator

for invalid SKU code.

R16 Medium Customer

The administrator shall add/edit SKU

directly through a table or through a dialog

box.

Barcode / Description

R17 High Customer

The administrator shall be allowed to

retrieve product barcode/description via

barcode scanner/reader and/or through the

other subsystem.

R18 High CustomerThe barcode or description of a product

shall be editable.

R19 Medium CustomerThe administrator shall be allowed to

create a barcode for a certain product.

R21 High Customer The barcode must consist of 13-digit code.

R22 High SKUThe system shall prompt if the user enters

invalid barcode.

Category Code

R23 High Customer The administrator shall add/edit the

category code.


R24 High CustomerThe category code shall categorize each

product by code.

R25 Medium CustomerThe administrator shall define the category

codes.

Packaging No.

R26 High CustomerThe administrator shall input the packaging

number.

R27 High CustomerThe packaging number shall be the number

of products inside each package.

SKU Records

R28 High Customer

The SKU records shall consist of the

following information:

1. SKU Code

2. Barcode

3. Description

4. Category Code

5. Packaging Number

6. Date

R29 High CustomerThe administrator shall be allowed to both

view and print all SKU record reports.

R30 High CustomerThe user shall only be allowed to view all

SKU record reports.

User Interface

R31 High CustomerThe system shall be LAN-based interface

that works with different platforms.

R32 Medium CustomerThe background color of SKU subsystem

shall be black and white.

R33 High CustomerThe system shall respond to all user

requests within 20 seconds.

3.1.1.3 Software Context


Stock-keeping helps everyone; the management, the buyer, the salespeople, the

cashier and of course the customer. Based on a book entitled retailing management,

efficient stock-keeping helps management do its job.

Efficient stock keeping helps management do its job. Merchandise represent

money invested. It must produce sales at a minimum expense of selling. If merchandise is

in the right location, customers can find it and buy it. More important, if stock is in good

condition, it will probably sell quickly. This means that management receives sales with

which to pay for the goods within a reasonable amount of time, to buy replacement

merchandise without delay, or to buy fashion or specialty items that attract new sales

between major changes in merchandise lines,

Good stock keeping also helps the floor salespeople do their job and increase their

own commissions. It is difficult to make a sale if goods are soiled or in poor condition, but

well-stocked displays of merchandise encourage customers to buy. Good stock keeping

helps reduce the amount of goods returned because customers who can find the right style,

size, and color are usually satisfied with their purchase and will not return it. If they

cannot find what they really want and buy damaged goods or something they are uncertain

about, they will often return their purchase. This results in expense for the store and

sometimes, in ill will.

In self-service retailing, the stock is not on the way in which it is arranged are the

“salesman” if stock is not on the floor, it cannot sell itself. If it is in the wrong place, it

misses opportunities to catch the customer's eye. If it is not fresh and attractive, it will not

convince the customer to buy. Stock must be replenished daily and may have to be

brought forward from the stockroom to the point of display several times on every busy

day. Stock keepers use a basic book list that shows the minimum amount of each item that

must be on hand. The minimum is based on average sales over a period of time. When

shelf stocks are replenished, the merchandise should be checked to see that the articles are

correctly. These labels should be checked to see that the articles are correctly priced.

When shelves are restocked, the stock is rotated. Rotating the stock means that

older merchandise is always brought to the front of the shelf or to the top of the stack.


This is called the “First-In First Out” method, or FIFO. It is important because older stock

left on the shelf becomes shopworn or stale; it is difficult to sell and may result in a loss

for the store.

Customers like to choose from an adequate assortment of goods. Well-filled racks

and shelves make them feel they are being offered a wide selection of merchandise.

Customers also want to buy stock that is fresh and clean. They are interested in the latest

styles and do not want leftovers from last season unless a big price reduction is offered. If

a store does not offer them these things, they will not patronize the store. In other words,

good stock-keeping is a vital part of the total impression the store makes on its customers.

It is one way of preventing loss of trade to competitors who carry similar lines of

merchandise.

After all stock keeping unit records system simply translates organize and

document the aforementioned benefits of good stock-keeping. For the management, it aids

decision making processes through visual basis and reports. For the salespeople, it lessens

the work and time required for each day of service and for the customers, it offers

satisfaction upon the purchase of their quality merchandise.

3.1.1.4 Major Constraints

The SKU system will synchronize and unite with the other significant subsystems.

Thus, the integration must form a full package of a Supermarket or Merchandising

Information System with compact and interrelated database; normalized and

without any issue.

3.1.2 Usage Scenario


3.1.2.1 User Profiles

The following actors and definitions will draw the procedural flow of the SKU

subsystem’s business processes:

Administrator An administrator has the full access for the whole run of the system;

even capable of giving or creating various grant privileges on any

other users. It may represent the managers, supervisors, department

head or any other position with equivalent administering tasks.

He/she is the one responsible for adding new user; modify user

profiles and user statuses.

Employee Any personnel inside the organization granted with privileges to

utilize the system’s functionalities.

System It refers to the tangible and intangible computer components

constrained to execute a productive Supermarket/Merchandising

Information System. Specifically on this case the Product / SKU-

Record Creation System.

Database Server A computer system locally or remotely allocated on such

organization that utilize this SKU system, having complemented

software and hardware components which in capable of giving

various services in doing database management.

3.1.2.2 Use - Cases

The following use-cases define the transactional and procedural interactions

between the external environment and the internal software system. Each use-case is

described in section 3.1.2.2.2.

1. Log onto system

2. Create new User

3. Modify Users

4. Add or Retrieves Products information.


5. Create and modify Product Classification or Categories

6. Update Price

7. View Product details

8. Print Product details

9. Create Reports

10. View report

11. Post business notes

12. Read business notes

3.1.2.2.1 Use - Case Diagram


Figure 1 Use-Case Diagram of Product/SKU Records System

3.1.2.2.2 Use - Case Description

Use - case: Log onto System

Primary Actor: Employee

Goal in context: To gain access to the subsystem

Preconditions: The employee has a valid username and password.

Trigger: An employee needs to access the product/SKU subsystem to perform


their tasks.

Scenario: 1. The Supermarket or Merchandising Information System

prompts the Employee for their username and password.

2. The Employee enters their username and password.

3. The system sends the username to the Database Server.

4. The Database Server sends back the password registered to the

username.

5. The system verifies the password and sets the users

authorization.

6. The Employee is given access to the System to perform their

tasks.

Exceptions: The username and password cannot be verified and/or unauthorized.

Use - case: Create New User

Primary Actor: Administrator

Goal in context: To create new user that can be utilized by the system for more

productive purposes.

Preconditions: The Admin must supply an apropriate and complete set of user

information to the system, such as Usernames, Passwords, First and

last Name of a user, Contact number, email, Position so forth and so

on.

Trigger: The system needs user to create various task and enable the system to

its productive mode.

Scenario: 1. A user will log on to the system and later be authenticated as an

administrator.

2. The Admin will choose the user maintenance tab; then began

inserting information into user fields.

3. All fields must be filled up, upon creating new records.

4. The system, then prompts a dialog information that the record

has been added successfully; else the system will prompt an

alert dialog saying that record adding is un successful.


Exceptions: All fields must required to be filled up. Email format is invalid either

not existing.

Use-case : Update record status

Primary Actor : Administrator

Goal in Context : To update an record statuses at present date without modifying the

records of the previous dates.

Pre Conditions : An SKU record has previously entered stored.

Trigger : Some SKU information required changes as time goes by.

Scenario : 1. The administrator logs onto the system.

2. The administrator selects SKU from the main menu.

3. The administrator locates the existing product through the

search engine.

4. The system request & retrieves SKU record from the database

server.

5. The administrator selects the product from the search results.

6. The administrator hits the edit button and updates the required

modifications.

7. The system prompts the administration to either save or cancel

changes.

8. If the administrator saves changes the system will not change

the previous records but rather updates a new record at current

date & time.

9. The administrator’s employee ID number , the date/time , and

nature of the change are logged.

10. The administrator receives confirmation that the information

was saved.

Exceptions:


Use-case : Enter business Notes

Primary Action : Employee

Goal in Context : To enter business notes that will serve as a reminder, comments,

questions or suggestion from each employee.

Pre conditions : Each note is not more than 100 characters.

Trigger : To convey significant messages from one employee to another.

Scenario : 1. The employee log onto the system.

2. The employee selects the SKU from the main menu.

3. The employee enters business notes from the textbox at the

lower part of the subsystem.

4. The system stores the message on the database server.

5. The employee’s username and date / time are logged.

6. The employee receives confirmation that the message was

saved.

Exceptions :

Use-case : View report

Primary Action : Administrator

Goal in context : To view a report

Preconditions : SKU records required for the report has previously been entered.

Trigger : An administrator decides to view a summary of SKU records per

day , week , month or year.

Scenario : 1. The administrator logs onto the system.

2. The administrator selects the SKU from the main menu.

3. The administrator has an option to view reports by either

searching or sorting by date and then hitting the view button.

4. The system displays the report on the screen.

5. The administrator has an option to close or print the report.

6. The report is closed or printed SKU.

Exceptions:


Use-case : View Product Details with SKU codes and Barcodes

Primary Actor : Employee

Goal in Context : To view each / all product information available.

Pre-Conditions : Information required for the SKU record has been entered.

Trigger : An employee monitors the accuracy of each product / SKU

information. To monitor and maintain accuracy for entered product.

Scenario : 1. The employee logs onto the system.

2. The employee selects SKU from the main menu.

3. The employee selects the desired product(s) to view.

4. The employee has an option to view SKU records by simply

hitting the view button or double clicking the selected product

from the table display.

5. The system requests the SKU record from the database server.

6. The SKU records are displayed on the screen.

7. The administrator has an option to print SKU records as a

product / shelves label display.

8. The employee has an option to close the view SKU records.

Exception:

3.1.2.3 Special Usage Considerations

Printing date cannot be modified


SKU code, Barcodes and ID’s are automatically generated by the system, nullified

value in contrast of such ID’s or other automatically generated codes may negate a

validity of a record.

Date and time during SKU/product information retrieval or creation shall cannot be

changed nor modified.

Dates such as input/output timestamps are disabled for user intervention for added

integrity purposes and used for trailing history, audits and other documentations that

the system will generate, thus system date and time settings and system’s local time

zone shall set accordingly in order to utilize date features accurately in just and

reliable way.

3.1.2.4 Activity Diagrams


[incorrect]

[correct]

Verify password

Access granted

Enter username and password

Prompt for username and password

Access denied

The following activity diagrams illustrate the actions that occur during a particular

use-case.

Figure 2 shows the steps taken as the employee logs on to the supermarket or

merchandising information system. Access is only granted if the entered username and

password are correct. Otherwise, access is denied and needs to retype for another prompt

of username and password. Upon the access granted, there will only be two levels of

authorized: Administrator – full access; User – limited access of system features and

functionalities.

Figure 2 Activity Diagram for Logging onto the System

Figure 3 shows how the administrator adds a specific category onto the system.

Employees can only view the category table but the administrator has the ability to add

and modify the category table.


Figure 3 Activity Diagram for Adding Category onto the System

Figure 4 shows how the administrator adds a specific classification onto the

system. Employees can only view the classification table but the administrator has the

ability to add and modify classification table.


Figure 4 Activity Diagram for Adding Classification onto the System

Figure 5 shows how the users view, search and generate print outs of product

details. All authenticated user has a grant privilege to view, search and print all product

information required that all their actions in this class may be recorded by their session

and can be viewed by the system’s administrator for auditing tasks.


Figure 5 Activity Diagram for Viewing, Searching and Printing of Product Details

3.1.3 Data Model Description

3.1.3.1 Data Objects

Group Data Object


GroupID. A unique identifier for product’s group designation.

GroupDescription. The product’s group description: (1) Food 1 – Dried Foods, (2) Food

2 – Snacks and Beverages, (3) Food 3 – Health and Beauty, etc.

Classification Data Object

ClassificationNo. A unique number for identifying product’s classification.

GroupID. The product’s unique group identification number.

ClassificationName. The product’s classification name: (1) Personal Care Product, (2)

Baby Product, (3) Cleaning Product, (4) Snack, (5) Beverages, (6) Condiments, (7)

Sauces, (8) Herbs and Spices, (9) Canned Goods, (10) Dairy, (11) Noodles, (12) Bundles,

etc.

ClassificationDescription. The product’s classification further description.

ClassificationStatus. The product’s classification status, either active or inactive.

Category Data Object

CategoryNo. A unique number for identifying product’s category.


ClassificationNo. The product’s unique classification number.

CategoryName. The product’s category name: (1) for the personal care product

classification, categories are as follows – cleansing bar soap, conditioner, deodorant,

shampoo, toothpaste, mouthwash, feminine wash, lotion, alcohol, sanitary napkin,

powder, facial wash, facial cleanser (2) baby product – diapers (3) cleaning product – dish

soap, insecticides, bleach, fabric conditioner, household use, laundry detergents (4) snack

– biscuits and cookies, chips and crackers, chocolates, candies, dried fruits (5) beverages –


coffee, chocolate drinks, tea, soda, tetra packs, juices (6) condiments – mayonnaise,

catsup, dips, cooking oils (7) sauces – spaghetti sauce, hot sauce, soy sauce, vinegar (8)

herbs and spices – broth, seasonings (9) canned goods – fish, corned beef, vegetables,

fruits, meat (10) dairy – cheese, spreads, milk (11) noodles – spaghetti noodles, cup

noodles, instant noodles; and many other categories for other various classifications.

CategoryDescription. The product’s category further description.

CategoryStatus. The product’s category status, either active or inactive.

Product Data Object

ProductID. A unique identifier for a specific product.


ClassificationNo. The product’s unique classification number.

CategoryNo. The product’s unique category number.

ManufacturerID. The manufacturer’s assigned identification number.

ProductName. The product’s complete commercial product name.

QPU. The product’s package quantity per unit (i.e., 50 grams x 25 pieces per package)

ExpirationDate. The product’s expiration date.

Intime. The product’s date and time entry inside the supermarket or merchandising

company.

Manufacturer Data Object

ManufacturerID. A unique identifier for product’s manufacturer.

Manufacturer. The manufacturer’s complete company name.


ManuTele. The manufacturer’s telephone number.

ManuAddress. The manufacturer’s current address.

ManuLName. The last name or surname of the manufacturer’s contact person.

ManuFName. The first name or given name of the manufacturer’s contact person.

ManuContact. The contact person’s current cellphone or telephone number.

Email. The contact person’s current email address.

ManuPosition. The contact person’s position inside the firm.

Status. The contact person’s current status, either active or inactive.

User Data Object

UserID. A unique identifier for each system user.

Username. The username given by each system user.

LastName. The user’s last name or surname.

FirstName. The user’s first name or given name.

MiddleName. The user’s middle name.

Position. The user’s current position inside the firm.

ContactNo. The user’s current contact number.

Email. The user’s current email address.

Password. The user’s authentic and unique password.

UserLevel. The user’s access level upon the usage of the system.

Status. The user’s current status, either active or inactive.


Note. The user’s left business note.

3.1.3.2 Relationships

The product description table is the most significant entity for the whole SKU

system. It drives and connects various tables of codes necessary to define stock-keeping

unit records.

Let us start with what table it all first start, each product will be connected with a

unique SKU code, Barcode, Category code and package number and this will create a one

is to one relationship. For an instance, a unique personal care product of Brand X alcohol

10ml will be assigned with a unique SKU code. SKU code will not accumulate unless it

denotes similar product description on the other hand, SKU code is created by the

integration of seven tables unique ID (classification, department, manufacturer, style,

model, color, & size) Wherein each product will also create a one is to one relationship for

each of the seven aforementioned tables, However their it is possible to have many

products related with one and only one kind of category and the rest will represent a one-

to-one relationship. Because as the definition goes “SKU is a unique identifier assigned

with each kind of product or merchandise” Thus, it also emphasizes that it can only be

manipulated by an employee one at a time per SKU records, business note and/or

reference; Again one-to-one relationship exists.

3.1.3.3 Complete Data Model

The relationships between the data objects or described in section 3.2 are

illustrated below.


Figure 3.1.3.3a Relationship Diagram for the Stock-Keeping Unit System

3.1.4 Functional Model Description


3.1.4.1 Class Diagrams

Figure 3.1.4.1a Class Diagram for the Stock-Keeping Unit System

3.1.4.2 Software Interface Description

3.1.4.2.1 External Machine Interfaces

Retrieving product information and printing reports will require two external

machine interfaces in order to maximize efficient utilization of the SKU system. First, the

software will be capable to retrieve product barcodes and descriptions via barcode scanner

or reader. Second, printing reports will be enough through a local or network printer.

3.1.4.2.2 External System Interfaces

The SKU system will be integrated with the other nine significant subsystems

(warehouse inventory, purchase order management, store inventory control,


replenishment, and allocation, point of sale, price management, & good receipt). Upon the

integration, it will then be considered and called as a generic version of a

supermarket/merchandising information system. Abovementioned systems including the

stock-keeping unit records will communicate with each other via online database server

wherein relevant information between these systems can always be available and

accessible.

3.1.4.2.3 Human Interface

The Java-based user interface shall be ready to respond at its complete navigation

through the aid of both keyboard and mouse.

3.1.4.3 Reports

3.1.4.3.1 Inventory of Reports

Complete Product list with SKU codes and Barcodes

Product reports according to product category, product classification, product

group and product prize.

Report documentation of user trail activated histories.

3.1.5 Behavioral Model Description

3.1.5.1 Description for Software Behavior


3.1.5.1.1 Events

ProductDetail Class Events

Printing of Product Details

Updating of Product Details

Retrieving of Product Details

Sorting of Product Details by Category

Sorting of Product Details by Classification

Sorting of Products Details by Price

Sorting of Products Details by Group

Searching of Products Details by Category

Search Products Details by Classification

Searching of Products by Price

Searching of Products by Group

Category Class Events

Adding new category

Modifying existing category

Updating category status

Classification Class Events

Adding new Classification

Modifying existing classification

Updating classification status

Product Class Events

Adding New Products

Modifying Products

Generation of Product lists

Sorting of Products by Category

Sorting of Products by Classification

Sorting of Products by Price

Sorting of Products by Group

Searching of Products by Category

Searching of Products by Classification

Searching of Products by Price

Searching of Products by Group

Retrieving Products information

Supplier Class Events

Adding new Supplier

Updating Supplier’s status

Modifying existing Supplier’s info’s.

User Class Events

Adding new User

Updating User’s status

Modifying existing User’s information

3.1.5.1.2 States

Product details state


Retrieving Products with SKU codes and barcodes has been retrieved successfully

Updating Newly added product has been updated with sinificant code headers.

Printing States that Product details are ready for printing.

Product States

Retrieving Product information, updates, description and price has been retrieved

from store inventory’s database while price updates has been retrieved

from price management’s database.

Adding New products has been added by the user.

Updating The product has been modified by an administrator and updated

succesfully.

Category States

Adding New product category has been added succesfully.

Updating The category has been modified and updated succesfully.

Classification States

Adding New Product Classification has been added successfully.

Updating This classification has been modified and stated that it has been updated

successfully.

Users States

Adding New Users has been added successfully.

Updating Users status has been modified and stated that it has been updated

successfully.

3.1.5.2Statechart Diagram


Note Cleared

[Print=yes]

[Print=yes]

Printing Complete

Printing Complete

Idle

Verifying

Updating Business Note

Displaying Business Note

Displaying Stock

Updating Stock

Checking Date

Updating

Adding

Labeling

Refreshing

Viewing

Reporting

Sorting

Searching

A statechart diagram for the entire SKU system is shown in Figure 3.1.5.2.a. As

the administrator or user logs and selects the SKU, the system will then display the main

window. The main window will then offer its several functionalities necessary to perform

various stock-keeping tasks.

Figure 3.1.5.2a Overall Stock-Keeping Unit System Statechart Diagram

3.1.6 Restrictions, Limitations and Constraints


[incorrect] Password Entered

[password=correct]

[date=expiration][date<>expiration]

Note Entered

Waiting

[JButton=add]

[JButton=update]

[JButton=refresh]

[JButton=label]

[JButton=report]

[JButton=history]

[JButton=search]

[JButton=sort]

Printing

Printing

JAVA is the only or preferred language in developing the SKU system.

The system prefers a stand-alone based computer for production purposes.

The system will utilize MySQL in managing database.

3.1.7 Validation Criteria

Validation upon system wide may ensure that the users will be guided up on an

appropriate action for such system functions, thus it may lessen human error; still, user

intervention would bring back the normal running state of the system, if only the user will

submit either comply its actions and decisions upon the system’s requirements.

3.1.7.1 Classes of tests

Unit testing will be conducted on the following software features and/or functionalities:

1. Logging onto the system

2. Creating New User

3. Modifying Users

4. Adding or Retrieving Product Information.

5. Creating and Modifying Product Classification or Categories

6. Updating Price

7. Viewing Product Details

8. Printing Product Details

9. Creating Reports

10. Viewing Report

11. Posting Business Notes

12. Read Business Notes

3.1.7.2 Expected Software Response

The system should prompt an appropriate error messages whenever violation on

validation criteria and when a value outside the accepted limit is entered was

committed with an equivalent confirmation dialog with options whether to

terminate current activity, continue with corrections or cancel to go back on a

previous state before the violation is omitted.


The system will prompt a notification or warning modals whenever successful

event has occurred and will continue its activity depending on what the user

desired to do in the future.

The system will prompt a message dialog box or a business note written by the

previous shift or user of the system in every login

3.1.7.3 Performance Bounds

The system application can establish a session at a time per computer system that’s

why the system is stand-alone based software that shall be installed and operates

once at a computer.

But is it possible to run this system simultaneously with different users?

The answer is yes, only if the system is running on different computer having

different IP-addresses and Mac-addresses; regarding that these computers has

configured to connect on the database having enough privilege to do such system

functionalities.


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