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DESIGN AND IMPLEMENTATION OF COMPUTERISED POINT OF SALES SYSTEM

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CHAPTER ONE

INTRODUCTION 

1.1      BACKGROUND OF THE STUDY

One of the great recent advances in the world of information technology is the rapid development of communication which has brought world into a global village, we can send mails electronically (e-mail), search for information (WWW), buy goods online (e-commerce), withdraw transfer money (e-banking), schooling online (e-learning), this has effected the society positive to a great extent, as result computerization of sales should not be exempted. Application of technology in Sales has been adopted in developed countries for over two decades now, and this has been attributed to the desire of the governments of these countries to improve the efficiency of their goods and services, processes, accountability.

Switching from a traditional cash register to a computerized POS system can be difficult – there are many factors to consider and some pitfalls to avoid. However the return on investment and benefits to your business can really make it worth your time and effort.In the most basic sense, a POS system is a glorified cash register. The most basic POS system consists of a computer, a cash drawer, receipt printer, a monitor, and an input device such as a keyboard or scanner. However, in addition to being more efficient than cash registers, POS systems can create detailed reports that can help you make more informed business decisions. POS systems saves money, provide productivity gains, and can cut down the amount of time you spend away from the primary focus of your business. This POS System Buyer’s Guide will walk you through the process of evaluating multiple POS vendors and choosing the right system.

1.2 STATEMENT OF THE PROBLEM

Sales is the fundamental tools in any business organization the profit and loose of any business depends detailed information on sales made to aid decision making and implementations, if accountability is not checked, then the business is sure to collapse, as a result in any retail or hospitality business there is need for a system that gives feedback to the management to aid decision making, this is where point of sales systems comes in handy

1.3 OBJECTIVES OF THE STUDY

The aims and objective of this project to design and implement a computerized point of sale software with the aim of enhancing accountability within points of sales.

The purpose of this study is to aid Golden Toast Enugu in enhancing their business by creating detailed reports that can help make more informed business decisions.

1.4 SIGNIFICANCE OF THE STUDY

Moving from a cash register machine to a Point of Sales system is very significant to any retail sales of business activities because the return on investment and benefits to your business in the area of stocks processing, accountability and accurate data collation for effective management of the business.

1.5 SCOPE OF THE STUDY

This project covers Golden Toast Enugu Office, the design will only cover the point of sales section of the company.

1.6 LIMITATIONS OF THE STUDY

Most constraints experienced during the course of writing this project is that of detailed information about their major operations, the personal manager was a little diplomatic in answering my questions in order to reveal information that may indent the company’s image, though that did not stop me from writing and researching for detailed information

1.7 ASSUMPTIONS OF THE STUDY

It is assumed that Golden Toast Enugu, uses cash register as their point of sales and they are networked and connection to the internet for effective information dissemination.

1.8 DEFINITION OF TERMS

Bar Code: information encoded into a rectangular bar shape, this information can be read by special device.

Cash Drawer: a box attached to point of sales system that opens when directed by the software

Daisy Chained: used when one device is connected through another device

Data Collection Terminal: a stationary or hand held battery powered terminal with application software use to collect and process data from bar code

LCD (Liquid Crystal Display) : technology used for display.

VAR(Value Added Reseller): a classification of business that resells items and add some value to the sale either in training or supports

SKU(Stock Keep Unit): used in inventory control and POS where each product is assigned a number. Warranty A written guarantee of a manufacturer’s or retailer’s responsibility. A limited warranty provides specific conditions under which a manufacturer or retailer will repair or replace an item. Drawer fund The amount of money left in a drawer after the drawer has been closed. The drawer fund is typically used to provide startup money (change) for the next business day.

Drop-ship Refers to an item that will be shipped directly from your supplier to your customer. DUKPT (Derived Unique Key Per Transaction) A method of PIN pad encryption. Dun A demand for payment of a bill or account. EBT (Electronic Benefit Transfer) An electronic system that allows recipients to receive government benefits (e.g., food stamps) by means of a debit card. Retailers can only accept EBT cards for food items that have been authorized by the USDA’s Food Stamp program

EDC (Electronic Draft Capture) : An automatic method of authorizing, balancing, and settling credit card transactions entered in your retail software package.

EDI (Electronic Data Interchange): Ability to electronically exchange purchasing information between your retail software and the vendor’s system.

Employee discount :A reduction in selling price on merchandise sold to an employee. Accounts receivable Amounts owed to a business (an asset), usually by customers who purchased goods or services on credit. Adjustment An increase or decrease to the quantity indicated in the retail software package. The adjustment ensures that the records in the retail software match the actual physical quantity in inventory.

Additional markdown :An increase of a previous markdown to further lower the selling price.

Address Verification Service (AVS) A service that reduces credit card fraud by verifying the cardholder’s address information when the physical card isn’t available to swipe through an MSR device (e.g., as with telephone orders). AVS processing doesn’t affect whether the charge is approved. Instead, AVS indicates whether or not the address provided by the customer matches the address on file with the credit card company so that the merchant can decide whether or not to process the charge.

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