Saint Louis University

SCHOOL OF ENGINEERING AND ARCHITECTURE

Otto Hahn Building, Main Campus, Bonifacio St.
2600. Baguio City, Philippines

ONSHOP
Inventory System

A Paper Presented to the

Faculty of Computer Applications Department
School of Accountancy, Management, Computing, and Information Studies
Saint Louis University

In Partial Fulfillment
of the Requirements in the Subject GIT
Living in the IT Era

Submitted by:

Jan Arvin R. Adao

Peter Dominic C. Calis
Lancejohn Brandon T. Palma
Aljon B. Palisoc
Stacey Aleli U. Acierda
Franhel Alexandria M. Garcia
Rixelle Zairah A. Kimpay

Submitted to:

MAEFLOR Q. TIPAYNO
GIT Adviser

May 15, 2019

 TABLE OF CONTENTS

CHAPTER I - COMPANY PROFILE ....................................................................................... 1

Company Profile ...................................................................................................................... 1

History ..................................................................................................................................... 1

Business Process Diagram ....................................................................................................... 3

Business Process ...................................................................................................................... 3

Services .................................................................................................................................... 4

Business Rules ......................................................................................................................... 5

CHAPTER II - SYSTEM ANALYSIS ...................................................................................... 12

Statement of the Problem ...................................................................................................... 12

Proposed Solution .................................................................................................................. 13

A. Functional Requirements ........................................................................................... 14

B. Non-functional Requirements.................................................................................... 14

Scope and Delimitation ......................................................................................................... 15

Feasibility Study .................................................................................................................... 16

A. Operational ................................................................................................................ 16

B. Technical ................................................................................................................... 18

C. Schedule..................................................................................................................... 20

D. Economic ................................................................................................................... 21

CHAPTER III - PROPOSED SOLUTION MODELING ...................................................... 24

Decomposition Diagram ........................................................................................................ 24

Context Diagram.................................................................................................................... 24

i
 Diagram 0 .............................................................................................................................. 25

Prototype ................................................................................................................................ 25

CHAPTER IV - CONCLUSION AND RECOMMENDATION ............................................ 30

Conclusion ............................................................................................................................. 30

Recommendation ................................................................................................................... 30

REFERENCES ............................................................................................................................ 32

APPENDIX A .............................................................................................................................. 33

APPENDIX B .............................................................................................................................. 35

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 LIST OF FIGURES AND TABLES

Figure 1. Business Process Diagram of Robinsons Supermarket Mall ................................ 3

Figure 2. Organizational Chart of Robinsons Mall ................................................................ 5

Table 1. Proposed System of the IS .................................................................................... 15

Table 2. Technical of the Feasibility Study ........................................................................ 17

Table 3. Schedule of Feasibility Study ............................................................................... 18

Table 4. Economic Current System of the Feasibility Study .............................................. 19

Table 5. Economic Proposed System of the Feasibility Study ........................................... 19

Figure 3. Decomposition Diagram of Inventory System .................................................... 22

Figure 4. Context Diagram of the Inventory System ............................................................ 22

Figure 5. Diagram 0 of the System ..................................................................................... 23

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 CHAPTER I: COMPANY PROFILE

Company Profile

Company: Robinsons Supermarket Baguio

Address: Porta Vaga Mall, Upper Session Rd.,, Baguio, 2600 Benguet

Phone Number: (074) 422 2917

History

Robinsons Retail Holdings, Inc. is one of the largest multi-format retailers in the

Philippines. We operate a diverse brand portfolio with the following major formats:

supermarket, department store, do-it-yourself, drugstore, convenience store, consumer

electronics and appliances, toys, one-price concept store, international fashion and beauty

specialty stores, and specialty coffee shops.

From the company’s beginnings with the first opening of Robinsons Department Store

in 1980 at Robinsons Place Manila, we have gained presence and have established consumer

trust in major cities and communities across the archipelago. In 2017, we reached a store

network of over 1,700 stores alongside more than 2,000 franchised branches of The Generics

Pharmacy, which we acquired in 2016.

To fulfill our part in nation-building, we strive to foster meaningful relationships with

various business partners and create career opportunities for our diverse workforce. As we

expand, we usher in the growth of modern retail in previously untapped markets. We engage

both global and local suppliers to deliver safe and high-quality merchandise to our customers,

while implementing a holistic business development strategy geared towards corporate

sustainability amidst a dynamic economic landscape.

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 We establish strong ties with leading mall developers in the country and serve as

anchor tenants for Robinsons Malls which operates 47 malls in the country as of end 2017. With

our 40% stake in Robinsons Bank, one of the fastest growing commercial banks in the

Philippines today, we are exploring ways to enrich synergies between the bank and retail.

We constantly aim to incorporate new and innovative technologies into our operations.

In December 2017, we acquired a minority stake in BeautyMNL. We have likewise strengthened

our presence in the e-commerce space with our partners, Lazada, Zalora and honestbee. We also

embraced cashless and mobile payment platforms through collaborations with Mynt and Smart

as we introduced GCash and PayMaya in a number of our stores.

Data analytics has likewise become part of our business strategy, which we

operationalize through our Loyalty and Financial Products Division. With over 1.2 million

Robinsons Rewards Card members, we have found ways to better understand our shoppers and

delighting them with products and services that are responsive to their needs and preferences.

Capitalizing on our positive growth trajectory, we at Robinsons Retail continuously

strive to tackle new horizons in the Philippine retail industry.

Vision

Our vision is to strengthen our foothold as a leading and trusted multi-format retailer in

the Philippines.

Mission

Our mission is to:

 Provide exceptional quality products at competitive prices and excellent service to our

customers;

 Offer meaningful business opportunities to our stakeholders;

2
 Establish strong nationwide presence; and

 Provide a professionally-managed work environment.

Business Process Diagram

Figure 1. Business Process Diagram of Robinsons Supermarket Mall

Business Process

Operations in Robinsons Mall start first with the customer entering the grocery. After

finding the desired product, Robinsons Mall determines if the products are available. But there

are two processes involved. First, if the product is not available the customer will leave the

establishment and that was the end of the process. The second process is, if the product is

3
available, the customer will buy the products and offers the customers to avail reward card to

earn points and have freebies while shopping. There are two processes involved again in getting

a reward card. The first one is no points will be added if the customer is not willing to get a card.

The second one is, if the customer will get a reward card, he or she will earn points in their

account. These two processes involved in getting a reward card will lead into a transaction

where they will pay for the products they buy. And it ends where the customer leaves the

establishment or Robinsons Mall in particular after buying their desired products.

Services

 promote health and wellness

 educate and empower its customers to make healthy choices

 4-color tag system (with the green shelf tagged products having been evaluated and

certified as healthy and nutritious by the Food Nutrition Research Institute (FNRI).

 food-to-go

 lifestyle shopping

 beauty box (Health and Beauty)

 gift and wrap

 petal and posies

4
Organizational Chart

Figure 2. Organizational Chart of Robinsons Mall

Business Rules

We may collect your personal information when:

1. You visit our malls, events, and project sites

2. You visit or use our websites, social media accounts, digital platforms and mobile apps;

3. When you interact with our contact center agents, sales or customer care representatives,

through mail, email, phone, chat services, messaging services or face-to-face meetings;

4. You purchase or avail of any of our products, services, promos and activities;

5
5. You apply for employment, training and consultancy service;

6. You provide personal information in relation to inquiries, requests, complaints and/or for

any other reason;

The personal information we may collect include but not limited to:

a. Your name, contact numbers, email address and other information necessary to complete

our business dealings and/or address your request

b. Information about your visit and use of our websites, digital platforms and mobile apps,

including but not limited to social media profile in0066ormation, IP Addresses, your

browsing behavior within and throughout our digital assets, and session lengths, that are

collected by our website analytics tools and cookies that we may place on your computer.

c. Your social media behavior when you tag, mention, or post photographs of any

development of Robinsons Malls publicly on any social media account (e.g. Facebook,

Twitter, Instagram, etc.);

Use and Disclosure of Personal Information

Robinsons Malls collects, uses and discloses your Personal Information for the

following purposes:

a. Provide you with product and services that you have availed,

b. Evaluate your applications for employment, training and accreditation as well as business

proposals

c. Implement property, facility, activity & event administration and security;

d. Improve our products, services and processes

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e. Communicate relevant services, advisories including responses to your queries, requests and

complaints

f. Provide information about our products and services which may be of interest to you

g. Comply with regulatory reporting and recordkeeping

h. Comply with the requirements of the law and legal proceedings such as court orders;

comply with legal obligation or to prevent harm to public health, security, safety and/or

order

i. Process information for statistical, analytical and research purposes

Data Transfers

Information that we collect may be stored and processed in and transferred between

any of the countries in which we make use of cloud services. Personal information that you

publish on our website or submit for publication on our website may be available, via the

internet, around the world. We cannot prevent the use or misuse of such information by others.

Retention and Disposal of Your Personal Information

We will only retain your Personal Data for as long as necessary to fulfil the purpose(s)

for which it was collected or to comply with legal, regulatory and internal requirements.

Thereafter your personal information shall be disposed or discarded in a secure manner that

would prevent further processing, unauthorized access, or disclosure to any other party or the

public.

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Accessing and Updating Your Personal Information

Accessing Your Personal Information

You may instruct us to provide you with any personal information we hold about you.

Provision of such information will be subject to the supply of appropriate evidence of your

identity.

a. We may withhold personal information that you request to the extent permitted by law

b. You may instruct us at any time not to process your personal information for marketing

purposes

c. In practice, you will either expressly agree in advance to our use of your personal

information for marketing purposes, or we will provide you with an opportunity to opt out

of the use of your personal information for marketing purposes

Updating Your Personal Information

If the personal information that we hold about your needs to be corrected or updated,

Robinsons Malls shall make all reasonable efforts to ensure that data collected is current,

complete and accurate. If you want to access and update your personal data, you may send the

request to dpo@robinsonsland.com or get in touch with our respective customer support of the

product or services that you have engaged with.

As part of our security measures, we will contact you and conduct the necessary

verification measures to process your request. Once we have implemented the necessary

correction, we shall then notify you that your request has been processed.

Withdrawal of Consent

If you wish to withdraw your consent given for any or all purposes set out in this

Statement, you may send your detailed request to dpo@robinsonsland.com. Depending on the

8
nature of your consent withdrawal, Robinsons Malls may not be able to continue to provide our

products and services to you.

Protecting your Information

We take precautions to protect your information. When you submit information via any of our

official website(s), social media accounts, digital platforms & mobile applications, information

is protected both online and offline. While reasonable & appropriate physical, technical &

organizational measures are in place to safeguard your personal information, we cannot

guarantee that information we collect, or store will be protected from all unauthorized access

and thereby used in a manner that is inconsistent with this Privacy Statement.

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 CHAPTER II – SYSTEM ANALYSIS

Statement of the Problem

Robinsons Malls have the daunting task of watching out for unique inventory

management challenges within their supply chain that are caused by poor inventory

management. There is more to inventory management than just keeping track of what enters and

exits your business. These inventory management challenges can easily be prevented and

transformed into opportunities. The right software will allow for improvements in efficiency,

revenue growth and help your business achieve its objectives.

1. Low Product Turnover

Failure to track demand can lead to a lower than expected product turnover due to

low demand. Low turnover results in excess inventory that ends up wasting space in your

warehouse and tying up capital, which is costly for business.

2. Excess Inventory

Excess inventory occurs when a business inaccurately orders inventory and is left

with more than needed. This leads to storage problems and prevents you from offering better

products that could lead to higher revenue.

3. Failure to Keep Track of Stock

Infrequent inventory checks and using manual processes to track inventory is not

enough to manage your supply chain. Failing to keep close track of stock movement in and out

of your business causes accounting errors, resulting in added costs for your business.

4. Poor Service Levels

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 Safety Stock Warehouse System. A company’s number one goal should be

supporting the highest possible service levels for customers. Improved service levels lead to

higher profits; customer satisfaction is the most important asset a business can have, and poor

service levels will negatively impact customer perception of your brand. However, delivery and

lead times will vary depending on the product which makes management complicated for

businesses without inventory optimization software.

5. Difficulty identifying demand patterns

Changing demand can be one of the biggest challenges for Robinsons Malls,

especially with ever-increasing and changing product portfolios. For example, within the

electronic industry, there are shorter product life cycles and high demand which increases

uncertainty. Tracking and analyzing demand changes and trends help companies accurately

forecast for future orders.

6. Lack of Visibility

The complexity of the supply chain network has increased with globalization;

accurate inventory has become a critical factor for success. Having complete viability and

insight into your inventory from supplier to customer is essential to effectively managing a

global supply chain network.

Proposed Solution

The goal of the inventory system is to speeds up the process of record keeping and

generating reports. This system will help the owners and managers to check, monitor, record,

keep and update inventories suited for the business. With its centralized way of keeping data,

11
historical data is easily managed. Vulnerability to human errors can be prevented since the

proposed system is automated which required less human manipulation.

A. Functional Requirements

The main function of the proposed system is to provide operations with an

on-going supply of materials. To achieve this function effectively, the business should strive to

find a sweet spot between too much and too little, without ever running out of stock. This will

allow the company or business to hasten up their inventory counting.

B. Non-functional Requirements

Availability

The system must be available at hours prone to customers, at 06:00 to 21:00 hours

Monday to Sunday. The system will be available for system maintenance purposes from 22:00

to 6:00 hours every day. The system must update information for it to be available in tracking

available inventories. Data in the IS should be available offline, but update in the inventory shall

be done once the system is online.

Compatibility

The software must be compatible in all type of operating systems (e.g. IOS,

Android) and in any browsers. The processor speed needed to run the system must have at least

1.6 GHz, 512 KB L2 cache, and 533 MHz FSB (e.g. Intel Atom 230) with a memory storage of

2 GB of DDR2 Synch DRAM.

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Accuracy and Precision

The system must notify the administrator if the input data source is corrupted and

invalid. Also, information provided for the carbon footprint and availability of the product must

be accurate and precise. The system must show real-time reports of the company sale to

determine the top-grossing items.

Legal

The system must have legal requirement to protect the privacy of information of

the consumers and to protect the system from any form of plagiarism. The system must encrypt

all private information of the customer such as their registration codes and personal contact

numbers.

Scope and Delimitation

This study covered three subjects to improve smart buying namely; patronizing

seasonal products, giving alternative produce option and computing the carbon footprint of the

produce bought. The researchers will integrate these subjects into a POS system creating a new

informative Inventory Information System. Hence, from the Information System will be tested

and can be integrated to the operations of local groceries. The information system can help the

consumers of smart buying and knowing more of what they shop.

As new researchers, limitations such as data access, money sources, and the

deadline for paper research submissions were taken into account. Access to data with multiple

relevant pieces of literature was limited due to the date, prices and since it is not with-in our

13
expertise BS mining, there was also limited monetary support since researchers are still in

colleges students and do not have enough budget to support the whole research. Finally, research

paper submission was also considered because it is only researched for a semester. The

researchers decide to take a very detailed process-based approach because it allows

quantification of the carbon footprint of processes at a very high level of precision.

This study covers a real time monitoring of stocks, checking, updating, keeping

and alerting the inventory records of Robinsons Supermarket Baguio.

• It contains real time monitoring of stock. Transfer alert information when stocks

fall below threshold and can be set up to automatically generate purchase order.

• Gather contact information and check the emailed receipts. The Information

System can also gather customer feedback or other service they received.

• Real time report of production and sales. The information system shows how

many sales you make by the hour, week and month of your top selling production

and the lowest production.

Feasibility study

A. Operational

For the business operation of Robinson Super Market, manual checking of stocks

of in inventory is a time-consuming effort, since the venture has a wide variety of products. The

automated system used by Robinsons’ is very much prone to human error that causes delay in

the cash flow and sales inventory. With the proposed system, changes on the business process

14
occurs. Rather than manually deducting a product from inventory, the proposed system will

automatically deduct the item directly from inventory when the transaction is completed.

Additionally, when an unexpected scenario happens that a certain product is out if stock, the

system will provide similar products and given different price points. The system is also sought

to be able to give a daily information on the trend of customers. Lastly, a reward system will

also be induced.

The generated information system will contain login that the manager can access.

It provides efficiency and accuracy in the distribution of products, computation of sales and the

inventory management for the organization to optimize time.

Proposed System

Specification Source Amount

Hardware requirement- act-pos.com NON-TOUCH BUNDLE
Computer set W/MS-POS
Processor speed: 3.4 Ghz
PHP 117,198.00
Memory and storage: 8 gb
RAM TOUCH SCREEN BUNDLE
Storage type: HDD (3TB) W/MS-POS
Software: OS Windows 7
PHP 132,498.00
OS version: Windows &
Home

Installation cost Ritcher Teofilo Php 75, 000.00

Developer’s Fee
Installation fee

Repair and Maintenance Carmelo Vicuña Php 6, 000

Quarterly Repairs

Total Amount Php 330, 696.00

Table 1. Proposed System of the IS

15
Missing Documents

Same with other businesses, the venture also has their printed copies of

inventories when they ordered from their supplier. These are documents can be altered and can

be misplaced by the owner. This is where the error occurs because they sometime update the

pricing of their product basing on the price indicated from the inventory copy given by the

supplier. It may double or may not take down all the purchased inventory,

Time Consuming

It is time consuming as the business owner must keep track on sales daily, while

updating it manually at the end of the day. Sometimes, due to manually recording of the sale,

other transactions are not properly updated.

Proposed Solution

The goal of the new system is to give an accurate inventory information, speeds

up the process and generate sales reports in a daily basis. The system will also be a user

friendly, easy to use, in a such way that when a product is scanned by the customer on a price

checking area, the system will show the rewards that can be earned when the product is bought

and also, it will give some other choices of the same product at different price points. The

system will accurately track the number of products being sold therefore it can generate a report

on the trends of products bought by customers with different frequencies.

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B. Technical

Software Requirements
Hardware Requirements
Build Option Buy Option
Developer’s Fee Online Inventory System Processor Speed:
Specifications:  Intel Atom 230 (1.6
Installation Fee Inventory management GHz, 512KB L2
 sends low-stock alerts cache, 533 MHz FSB)
when items fall below Memory Storage:
the threshold you set  2 GB of DDR2 Synch
and can be set up to DRAM
automatically generate Chipset:
purchase orders.  Intel 945GC with
Customer management ICH7
 collect contact Operating System:
information at  Microsoft Windows
checkout and email XP Professional
receipts. On the  Windows Vista
receipts you email, you Business 32 edition
can ask your  Windows Embedded
customers for feedback for Point of Service
on the service they Source:
received https://support.hp.com/ph-en/d
Reporting tools ocument/c01570350
 Real-time reports for
sales
 see how many sales
you make by the hour,
day, week or month,
your top-selling and
highest-grossing items
source: EPOS NOW

Table 2. Technical of the Feasibility Study

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 C. Schedule

WEEK 1 WEEK 2 WEEK 3 WEEK 4 WEEK 5 WEEK 6

APRIL APRIL APRIL APRIL MAY MAY
8- 12 15- 19 22- 26 29- MAY 6-10 13-15
3
Research for possible
Information Systems
Selection of the
Information System
Selection of a potential
company /
establishment where
the IS will be
introduced
Read company profiles /
reports
Conduct interviews
Formulation of the
Information System
Analyze data flows
Introduce the prototype
Perform cost or benefit
Prepare Proposal
Present Proposal

Table 3. Schedule of Feasibility Study

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 D. Economic

Current System

Specifications Source Unit price Total price in

php
I. Point of sale (POS) JDA software group Php 75,
000.00
II. Ballpen (pilot) Robinsons Php Php 240.00/
department store 33.00/piece box
III. Logbook Robinsons Php 70 Php 210/ 3
department store pieces
IV. Computer Set ( Microsoft Lazada Philippines Php 5,695 Php 5,695
Excel Compatible)
V. Total Cost of Current System Php 81, 145
Table 4. Economic Current System of the Feasibility Study
Proposed System
Specifications Source Unit price (in php)
I. Hardware Requirement Computer Amp.tompsguide.com Php 43,359.99
Set
 PROCESSOR
Intel Core i5-8400
 RAM
8GB
 GRAPHICS CARD
Radeon RX 560X
 STORAGE
1TB hard drive
II. Installation Cost Php 75, 000.00
Developer’s Fee (building of software)
III. Repairs and Maintenance Php 6, 000.00
Yearly repairs and maintenance according to
IT consultant
IV. Total Cost of Proposed System Php 854, 401.08
Table 5. Economic Proposed System of the Feasibility Study

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Benefits:

a) Tangible Benefits

• Inventory Control

The proposed system records and tracks its goods and supplies as customers punches

their orders, thus consuming less time for manually checking the goods and products

• Increased Sales

In addition, online delivery system/ online shopping increase sales as it works 24

hours for order input, and customers could shopper any time they wanted, which results to a

continuous income.

b) Intangible Benefits

• Expanded Market Reach

Due to the evolution of technology, advertisements are a lot influential specially om

the internet. As a result, this company reaches number of people, thus increases its influence

and popularity. Online promotions become easier.

• Customer Convenience

This system lessens the time and effort needed to exert by a customer, thus

increasing their time for a more important aspect like woks and studies.

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 • Decreased Order Error

A customer cam accurately punch their orders and easily for they could choose their

product, thus allowing workers and staff of the company to accommodate every order much

more efficient and accurate.

• Fast and quick order processing

With this in mind, in just one search and click, a person could find its desired

product, thus buying them more time to find other products to buy which allows workers

and staff of the company to punch each orders fast and effective.

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 CHAPTER III - PROPOSED SOLUTION MODELING

Decomposition Diagram

Inventory
System

Verify login Process Check Compute Provide Receive Generate

info order availability payment help feedback report

Figure 3. Decomposition Diagram of Inventory System

Context Diagram

Figure 4. Context Diagram of the Inventory System

22
Diagram 0

Figure 5. Diagram 0 of the System

Prototype

Figure 6.

23
Figure 7.

Figure 8.

24
Figure 9.

25
Figure 10.

Figure 11.

26
Figure 12.

Figure 13.

27
Figure 14.

Figure 15.

28
Figure 16.

Figure 17.

29
Figure 18.

30
 CHAPTER IV - CONCLUSION AND RECOMMENDATION

Conclusion

As you can see the importance of inventory management is very serious, it is one of the

most important aspects of any business. Inventory management is a vital function that helps and

ensures the success of manufacturing companies. Successful implementation of inventory will

improve the entire business significantly. Modern inventory management processes utilize new

and more refined techniques that provide for dynamic optimization of inventories to maximize

customer service with decreased inventory and lower cost. The goal of good inventory

management is not perfection but improvement. These improvements should not be viewed as a

short term effort but should continue on a permanent basis. The ROI of inventory management

will be seen in the forms of increased revenue and profits, positive employee atmosphere and an

overall increase of customer satisfaction. A truly effective inventory management system will

minimize the complexities involved in planning, executing and controlling a supply chain

network which is critical to business success.

Recommendation

Inventory management is essential to every company, having inventories. Companies

need to have stock, but in such amount to avoid out-of-stock and overstock situations.

Inventory management can improve company’s inventory control existing situation and

decrease costs of the company by allowing them to manipulate and oversee products that are on

demand and thus entertain the demand of the customers. In addition, the new inventory system

allows the company to have efficient and faster working staffs while trying to employ a lesser

31
number of workers. Furthermore, online shopping are needed to be implemented since many

chooses to buy in an easier way—through the internet. This system allows customers to buy

flexibly with their own time and management, anywhere they want, with faster transaction and

effortless buying. This sums up the sense of smart-buying—multitasking by lessening the

amount of work needed and provide more time to work, studies and etc.

1. For business establishments: We highly recommend this information system as it helps

business establishments to monitor portability, manage inventories and products and

respond to customer demands. Also, computer- based information systems catalog and file

documents in a set logic way, making data access very efficient and fast.

2. For entrepreneurs: We high recommend this information system the inventory system

because it help the entrepreneurial venture our inventory system can find the anomaly in

inventory and it efficient because does not need a human labor.

3. For future researches: We highly recommend this information system made as it will be a

great help to the efficiency of data access which is a crucial advantage to networked

information systems over more traditional one. We highly suggest and recommend our

information system for further and future researches as the prototype made in this IS was

fully functional but not fully developed.

4. For environmentalists/agriculturists - We highly recommend our inventory system

because of it program that can measure the content of carbon print in a agricultural product.

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 REFERENCES

Jonathan, E. (2018). Development of a Sales and Inventory Management of Supermarket.

Retrieved from

https://www.projecttopics.org/development-sales-inventory-management-supermarket.h

tml/amp

Rajeswari, M., Parvathi, M., Savitha, G., & Shirley, S. (2016). The Survey on Inventory

Management System for Supermarket Using Android Application. International Journal

of Innovative Research in Computer and Communication Engineering, 4 (2),

2320-9798.

Camacho, E. F. and Bordons, C., 2002, Model Predictive Control. Springer-Verlag London

Limited

Hennet, J.-C., 2003. A bimodal scheme for multi-stage production and inventory control. In

Automatica, Vol 39, pp. 793–805.

Koivisto, H., Kimpimäki, P., Koivo, H., 1991. Neural predictive control - a case study. In 1991

IEEE International Symposium on Intelligent Control.IEEE Press.

Lambert, E. P., 1987. Process Control Applications of Long-Range Prediction. PhD Thesis,

University of Oxford. Trinity.

Maciejowski, J. M., 2002, Predictive Control with Constraints. Pearson Education Limited

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Rivera, D. E., Braun, M. W., Flores, M. E., Carlyle, W. M., Kempf, K. G., 2003. A Model

predictive control framework for robust management of multi-product, multi-echelon

demand networks. In Annual Reviews in Control, Vol. 27, pp. 229–245.

Towill, D. R., 1996. Industrial dynamics modeling of supply chains. In International Journal of

Physical Distribution & Logistics Management, Vol. 26, No. 2, pp.23–42.

Tzafestas, S., Kapsiotis, G., Kyriannakis, E., 1997. Modelbased predictive control for

generalized production problems. In Computers in Industry, Vol. 34, pp. 201–210.

Ydstie, B. E., Grossmann, I. E., Perea-López, E., 2003, A Model predictive control strategy for

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1218.

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 APPENDIX A
REQUEST LETTER

Saint Louis University

SCHOOL OF ENGINEERING AND ARCHITECTURE
Department of Mining Engineering

BS Mining Engineering 1
Saint Louis University
Upper Bonifacio St., Baguio City
March 22, 2019

ROBINSON PORTAVAGA

Dear Ma’am/Sir:
We are students from Saint Louis University who are currently conducting a research regarding
the implementation of information system for different industries. We believe that your expertise
will help us answer our research questions.
This research focuses on inventory. We would really appreciate it if we could meet and interview
you regarding this research. We are especially interested on your company profile, business
processes, the existing system you are operating and your financial statements.
Hopefully, you can accommodate us at your most convenient time. Kindly contact us at any of the
numbers indicated below. If granted, we would like to use gadgets such as cameras and recorders
to record this interview but rest assured that the tape or the recordings will remain confidential and
will only be used for this research.
Thank you for your time and consideration.

Sincerely,
BS Mining Engineering Students

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RESEARCHERS:

CALIS, Peter Dominic C. ADAO, Jan Arvin R.

09398431045
ACIERDA, Stacey Aleli U.
PALMA, Lancejohn Brandon T.
09398940144 GARCIA, Franhel Alexandria M.

PALISOC, Aljon B. KIMPAY, Rixelle Zairah A.

09507522249

Approved by:

MS. MAEFLOR Q. TIPAYNO

G.I.T. Instructor

ENGR. CYNTHIA POSADAS

School of Engineering and Architecture Dean

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 APPENDIX B
INTERVIEW QUESTIONS

Saint Louis University

SCHOOL OF ENGINEERING AND ARCHITECTURE
Department of Mining Engineering

BS Mining Engineering 1
Saint Louis University
Upper Bonifacio St., Baguio City
March 22, 2019

ROBINSON PORTAVAGA QUESTIONS

1. How do you measure success?

_____________________________________________________________________________
_____________________________________________________________________________
_____________________________________________________________________________
____________________________________________________________________________
2. Who is ultimately accountable for effective inventory management?
_____________________________________________________________________________
_____________________________________________________________________________
_____________________________________________________________________________
_____________________________________________________________________________
3. How do you determine ordering frequency?
_____________________________________________________________________________
_____________________________________________________________________________
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_____________________________________________________________________________
4. What is your forecasting model and could it be improved?
_____________________________________________________________________________
_____________________________________________________________________________

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_____________________________________________________________________________
_____________________________________________________________________________
5. Are your current storage facilities adequate?
_____________________________________________________________________________
_____________________________________________________________________________
_____________________________________________________________________________
_____________________________________________________________________________
6. How much excess or obsolete inventory do you have?
_____________________________________________________________________________
_____________________________________________________________________________
_____________________________________________________________________________
_____________________________________________________________________________
7. Is your current warehouse layout effective?
_____________________________________________________________________________
_____________________________________________________________________________
_____________________________________________________________________________
_____________________________________________________________________________

36