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INFT6500 Accounng Informaon Systems

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Question:

What Raymond calls Stock Management are those systems (all manual) used to record the stock requested by the retail stores, pack and send the stock. Raymond calls this part Stock Distribuon. The other component of Stock Management Raymond refers to as Stock Ordering, this entails all of the placing of orders for aquarium supplies from the wholesale distributors. When stock is ordered a copy of the order is sent to The Main Office. When the stock is received from the supplier the warehouse staff sand a copy of the invoice to the main office aer they have stored it in the warehouse. It is the office manager’s job to pay the distributors based on these invoices.

Each fortnight the store manager checks the hours worked by staff at each store transfers the details onto “me-sheets” and sends these to the head office for processing. At head office the Office Manager enters the details into the computer system and produces the payroll. Raymond tells you that this process is very slow and error-prone - there is much “double entering” of informaon.

Each day, the Store Manager banks the day’s takings. Raymond picks up the bank receipts when he makes his roune visits. Raymond regularly does a reconciliaon of money banked with previous days’ takings as recorded on the Daily Sales Register.

Head Office operaons are split into three clear secons (so far as Raymond is concerned), these are Stock Management, Office and the Hatchery.

The Office systems are fairly standard for a business such as Maria’s, they include Accounts Payable, Payroll and the various Ledger systems.

Apart from addressing any issues you have idenfied above, Raymond would like to achieve the following:

- Ensuring repeat business from customers.

- Improved control over stock ordering and replenishment. The ability to order combined stock from the head office rather than from individual stores is seen as essenal.

- Ability to quickly determine if a required item is in stock at any branch. And if necessary transfer that item to another store.

- Ability to generate an invoice completely from data held within the system.

- Improved payroll processing. Raymond would prefer a system that recorded the working hours daily and also supported staff being paid directly through his bank system.

- Price Book Fixed.

- Technology to support these changes.

- AND of course the systems must be “scalable” so that Raymond can expand his business consistent with his plans outlined above.

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