This on-line meaner of communication enables correlation Ana collaboration Detente ten Deterrent sat Sneakers Walton ten supply chain, that is suppliers, third party providers, and customers. Through research we found out that most applications developed for use in retail business have focused on Point of Sale software, which mainly monitors sales, customers and inventory. However, the needs for hypermarkets go beyond sales, customers and inventory management since these establishments deal with different suppliers hence a large chain of suppliers.
Planning, coordination, collaboration, distribution are among the moon problems these establishments face, needing a new system to put these into consideration. We focus on implementing a web based system to improve on the daily operations of Hypermarkets in order to satisfy customer requirements through establishing user and system requirements for developing such applications. In addition, we designed a model that enables hypermarkets to keep track of their large and diverse stock as well as obtaining supply and demand forecasts.
We present a methodology that follows already tested and commonly used approach for software engineering projects. This approach was chosen because of the nature of the study and the objectives we aimed to achieve. We focus on establishing user requirements through literature review, direct gathering of information and direct technology testing using currently installed POS systems. After a review of our findings, we developed a prototype that could be used by big retail establishments to do their day to day business and manage supply chains.
Notable in this research is the need to exploit new client/server architecture like service oriented architectures which allow different applications to exchange data and participate in business processes. Standardized data exchange formats like Extensible Markup Language(XML) could also be considered since these facilitate sharing of structured data across different information systems particularly via the Internet unlike the popular DEED’. Chapter 1 INTRODUCTION 1. 1 Background Hypermarkets are superstores which combine supermarkets and departmental stores resulting into establishments with a large and diverse range of products.
These products include groceries and general merchandise. These stores tend to sell different brands of a variety of products which calls for a large chain of suppliers. Since these suppliers are different and distributed, issues of planning, coordination and collaboration arise. Supply chain management is the process which encompasses sourcing and procurement, scheduling, order processing, inventory management, transportation, customer service and the information systems used to monitor these activities .
It ensures coordination and collaboration with suppliers, third-party service providers, intermediaries and customers. Web technology has become a meaner of communication, information and data exchange and its current level of maturity as an application development platform provides an efficient and effective opportunity for large establishments like hypermarkets to exploit it to solve some of their logistical problems like supply chain management. This study aims at developing a system wanly Is oases on tons technology Tanat WI to control their operations to satisfy customer requirements. . 2 Problem Statement II end eel embarrassments Most applications developed for use in retail business have focused on Point of Sale software, which mainly monitors sales, customers and inventory . However, the needs for 1 hypermarkets go beyond sales, customers and inventory management since these tortes deal in different brands of a variety of products on a large scale hence a large chain of suppliers. Issues of planning, coordination, collaboration, distribution and supply arise leading to the need for a system to put these into consideration.
In this study, we seek to develop a system that can improve the performance of sales monitoring and supply monitoring to effectively ensure accurate stock controls. The monitoring and stock inventory management functions ought to be done at two nodes, the supplier’s node and the customer, in this case the hypermarkets node. How to make this possible is the work that we attempt in this study. 1. 3 1. 3. 1 General Objective To develop an interactive web based system with a user friendly interface, that will enable hypermarkets to control their operations and satisfy customer requirements. . 3. 2 Specific Objectives 1. To review literature on hypermarket supply chain management systems minored to identify existing gaps. 2. To establish user and system requirements for developing a web based hypermarket SCM system based on findings in (1) above. 3. To design a model that enables hypermarkets to keep track of their large and diverse stock as ell as obtain supply and demand forecasts from records of sales and customer history. 4. To implement a web based hypermarket SCM system. 5.
To test and validate the implemented web based hypermarket SCM system. 1. 4 Pilot AT sale(POS) wanly manly millions sales, customers Ana Inventory Is ten most used information system application in hypermarkets. Hypermarkets do deal in a variety of 2 products supplied by different suppliers. Enabling the suppliers monitor the products that they do supply to the hypermarket minored to ease order processing which is the aim of this study will improve on the daily operations of the hypermarkets.
And since there is economic development all over the world, there has been a shift from single stall shops to hypermarkets, which provide a huge retail facility satisfying all of counterterrorism weekly shopping needs. 1. 5 Scope Supply chain management(SCM) encompasses various activities such as sourcing and procurement, scheduling, order processing, inventory management, transportation, customer service and the information systems used to monitor these activities .
This study focused on order processing, inventory management, customer service and the information systems used to monitor them. Order processing involves order placement, order confirmation, order fulfillment and order inquiry. The web based hypermarket SCM system developed shall enable the execution of order processing through on-line meaner of communication between the suppliers and the hypermarket by an instant messaging system. The POS system which is a component of the whole system used in the hypermarket shall manage sales, inventory and customers.
The supply chain consisted of three entities; the organization(hypermarket), the supplier(s) and the end consumer(customer of the hypermarket). 3 Chapter 2 LITERATURE REVIEW . 1 State of the Art Research has been conducted on SCM regarding the objectives, the different ways on how it can be implemented, as well as the issues associated with it. SCM was looked at as the coordination of products and information flows among suppliers, manufacturers, distributors, retailers and customer(Fig. 2. 1) .
With appropriate exchange of information among these, costs can be reduced as well as improved customer service attained. The forecast was considered as the most crucial factor that could influence the supply chain. Forecasts are needed to enable firms in the apply chain to make planning and inventory decisions which mainly base on demand forecasts. When forecasts are inaccurate, this leads to back ordering in which the quantity that is ordered does not reflect the demand for the period it is supposed to cover.
International snarling Ana continuous core reduction for both the supplier and retailer . Figure 2. 1: Basic supply chain 4 Initial results In cost Modern SCM is regarded as the use of new information technologies in order to speed up information flow among different firms in the supply chain by use of linked information systems. This aims at improving the coordination of operation processes, products and services which were required by customers. This in turn reduces costs in the supply chain and improves the quality of service offered to customers .
Various methods are implemented to support supply chain management. Information management system applications by far have been the most used. These systems were designed depending on the specific objectives to be obtained and also on the areas where they were to be used. Most systems that were built aimed at enhancing customer relationships, monitoring product levels and sales . Different applications were developed for both planning and execution of SCM. Collaborative Planning, Forecasting and Replenishment (CPRM) was designed for planning in inter- organizations.
Electronic Data Interchange (DEED’) and Vendor Managed Inventory (VIM) were designed for execution in inter-organizations. EDI involved the exchange of information from one computer to another through electronic meaner and VIM approach involved making contracts with suppliers by agreeing on stock levels and deciding how frequently to replenish and the quantities to deliver . Warehouse Management System (WHAMS) which is concerned with the managing of warehouse resources such as space, labor, equipment and materials flow, and Yard Management System(YAMS) were designed for execution in intra-organizations.
Systems such as Customer Relationship Management (CRM) which focused on firms managing and maintaining customer relationships by storing their information were developed separately from systems which focused on fulfillment . The latest development in product identification is using Radio Frequency Identification (RIFF) technology which is being introduced into the retail industry to enable the integration of their supply chains .
The RIFF technology constitutes of two parts; the tag and the tag reader also referred to as the scanner responsible for sensing an item and cross examining information about each item. The radio frequency tag consists of an antenna and a chip containing electronic product code. The tag broadcasts radio frequency when exposed to a scanner within a yard and is able to tell what product it is, when and where it was manufactured, where its components came from and when it will expire.
The most commonly used in the retail business is the barded reader. RIFF enables stores to know their in-stock almost in real time since the distribution centers and warehouses can access 5 the current store inventory as well as the information regarding the trend of mean tongue ten Electronic Data Interchange l) capableness The daily advancements in information technology has led to business partners adopting the Internet and Web technology in their supply chain.
The Internet has led to a net work flow of information and with integration of the Web, this has lead to a variety of business partners in the supply chain participating in the supply chain recesses. The Internet is a fast transmission of information over a net work which leads to a seamless real time communication between business partners. Information on the Internet can be exchanged through Web pages. A variety of products and services can be accessed on the Web sites of suppliers.
Web technology provides real time flow of data between the different links of the supply chain leading to collaboration among business partners . 2. 2 2. 2. 1 Electronic Data Interchange(Del) DEED’, a data format used for inter-business messaging was partially responsible for educing costs and increasing productivity in the manufacturing and service industries. DEED’S intended purpose was to provide a common messaging standard for businesses to communicate with other businesses.
Rather than having to deal with a different data format for each trading partner, all businesses could convert their proprietary data format to EDI to send or receive messages and then convert EDI to their respective proprietary formats. Over the years, EDI has evolved into a mechanism for integrating back office systems and communication with business partners that has served its users well. However, it has inflexible, inherent, and practical problems that put a ceiling on its usefulness. EDI was an unlikely choice for a use other than inter-business messaging .
DEED’S Problems Integration of EDI with an organization’s internal computer systems and with those of trading partners was considerably a difficult task. This was mainly due to the incompatibilities between EDI software and in-house applications, and the existence of several standards for information exchange of protocols, procedures, and data forms. There were also system 6 stability issues such as disaster recovery, data backup and error recovery which ere major concerns of most business organizations.
Security issues such as the disclosure of messages, modification of message contents, modification of message sequence, sender masquerade and repudiation of message origin or receipt were a serious concern for EDI users. The failure to detect such security risks could damage the communication and partnerships between trading partners . 2. 2. 2 Rural Frequency Intercalation(RED RIFF is a method of identifying items using radio waves and this technology allowed automatic collection of product data quickly and easily without human intervention .
It consists of the RIFF tag or transponder, which is located on the object to be identified and was the data carrier in the RIFF system;the RIFF reader or transceiver, which is able to both read data from and write data to a transponder and the back- end database which associates records with data collected by readers . The tag is made up of a microchip with a coiled antenna and a reader with an antenna which sends out electromagnetic waves that form a magnetic field when they couple with the antenna on the tag.
The tag obtains power from the magnetic field which it uses to power the microchip circuits. The waves that the tag sends back to the reader are modulated by the chip and the reader converts the new waves into digital data . Problems with RIFF Since RIFF systems make use of the electromagnetic spectrum, they are relatively easy to Jam using energy at the right frequency. This provides an inconvenience for consumers in stores in form of longer waits at the checkout.
Also, active RIFF tags that use a battery to increase the range of the system can be repeatedly interrogated to wear the battery down, disrupting the system. It should also be noted that radio waves cannot be read through metal. Simply wrapping several layers of aluminum foil around an item can defeat the security system in super stores . One of the primary issues to be concerned with a RIFF implementation is the immaturity of the industry. Standards are only Just being developed.
Tags and readers are being modified and improved at a rapid rate. Competing technologies and non-circumscription systems 7 still exist. This ongoing development could make equipment and tags obsolete, rendering investments in older equipment useless, and requiring expensive conversions and upgrades . A number of standards have been developed within he RIFF market such as the International Standards Organization (SO) and Electronic Product Code (EPIC) Global.
Additionally, there are also a number of special interest groups including industry specific such as the American Trucking Association in the transport industry, mobile devices and computer industry or the Automotive Industry Action Group in the automotive industry that seek to influence RIFF standards development which has led the non-uniformity in the technology standardization therefore creating problems for consumers . There is lack of privacy that is the transactional data that is being held on the tag after the point of ale can easily be accessed by third parties .
A variety of individual RIFF products and services are on the market that is tags, readers, hardware, software which makes the total cost of implementation of RIFF technology not transparent. The exact price calculation as part of a cost-benefit analysis is difficult because of the number of unknown variables. A RIFF implementation cost analysis has to take into consideration not only the investment in the transponders and readers, but also other cost drivers, such as peripheral systems, software and integration efforts .