LETTER OF APPROVAL
Following a successful presentation and evaluation by the research evaluation committee, this
report entitled Inventory Management System submitted by Mr. Bishnu Bohara has been
accepted and forwarded to the University for awarding Bachelor of Information Management
(BIM) degree.
Signature
Asst. Prof. Surya Devkota
Designation: Faculty Director
Date:
Signature
Internal Examiner
Signature
External Examiner
i
STUDENT DECLARATION
This is to certify that I, Bishnu Bohara have completed the Summer Project entitled Inventory
Management System under the guidance of Er. Manoj Giri in partial fulfillment of the
requirements for the degree of Bachelor of Information Management at Faculty of Management,
Tribhuvan University.
Date:
Signature:
Name: Bishnu Bohara
ii
CERTIFICATE FROM THE SUPERVISIOR
This is to certify that the summer project entitled Inventory Management System is an academic
work done by Bishnu Bohara submitted in partial fulfillment of the requirements for the degree of
Bachelor of Information Management at Faculty of Management, Tribhuvan University under my
guidance and supervision.
Signature of the Supervisor
Name: Er. Manoj Giri
Designation: Supervisor
Date:
iii
ACKNOWLEDGEMETS
I take this opportunity to express my profound gratitude and deep regards to my supervisor Er.
Manoj Giri for his exemplary guidance, monitoring and constant encouragements throughout the
course of this summer project. I am also thankful to my college Nepal Commerce Campus for the
assistance provided during the system development. I would like to acknowledge Asst. prof.
Surya Devkota BIM Program Director, Nepal Commerce Campus for his guidance and
suggestions. I am also thankful to Mr. Janak Prasad Timilsina, BIM Deputy Director for his
valuable support during preparation in this project. This blessings, help and guidance given by
them from time to time shall carry me a long way in the journey of life on which I am about to
embark.
I am thankful to all the college staff, who had cooperated me kindly while studying the scenario
of present college’s system. I am thankful to my colleagues Abishek Kumar Karn, Manoj
Basnet, Laxman Bahadur Khadka and all mates, for their valuable advice and constant
encouragement, without which this type project would not have been possible. And finally, my
deepest thanks go to Tribhuvan University (TU) for providing me this opportunity to develop
this system. I will strive to use gained knowledge and experience in the best possible way.
Thank You!
Bishnu Bohara
Nepal Commerce Campus
iv
EXECUTIVE SUMMARY
Inventory management software is a software system for tracking Inventory levels, orders, sales
and deliveries. It can be also used in the manufacturing industry to create a work order and other
production-related documents. Companies use inventory management system to avoid product
over inventory and outages. It is a tool for organizing inventory data that before was generally
stored in hard- copy form or in spreadsheets. Companies often use inventory management system
to reduce their carrying costs. The software is used to track products, retailers, purchase and sale
to the customer.
Manufacturers primarily use inventory management software to create orders. This facilitates the
manufacturing process by helping manufacturers efficiently assemble the tools and parts they need
to perform specific tasks. For more complex manufacturing jobs, manufacturers can create
multilevel work orders which have a timeline of processes that need to happen in the proper order
to build a final product. This report is the documentation of the project that has been developed for
Khatiwada Store. This report includes description of an organization and all the activities
performed on the project during the entire period of summer project. All the work done during the
summer project in the organization has been translated into the report in an understandable and
organized way.
(Keywords: PHP, XAMPP, SQL,)
v
TABLE OF CONTENTS
LETTER OF APPROVAL .............................................................................................................. i
STUDENT DECLARATION ......................................................................................................... ii
CERTIFICATE FROM THE SUPERVISIOR .............................................................................. iii
ACKNOWLEDGEMETS .............................................................................................................. iv
EXECUTIVE SUMMARY ............................................................................................................ v
TABLE OF CONTENTS ............................................................................................................... vi
LIST OF TABLES ....................................................................................................................... viii
LIST OF FIGURES ....................................................................................................................... ix
ABBREVIATIONS ........................................................................................................................ x
CHAPTER I: INTRODUCTION .................................................................................................... 1
1.1
Background ...................................................................................................................... 1
1.2
Introduction of the Organization ...................................................................................... 1
1.2.1 Organizational Structure ................................................................................................ 1
1.2.2 Mission........................................................................................................................... 2
1.2.3 Vision ............................................................................................................................. 2
1.3
Current situation of the organization ................................................................................ 2
1.4
Statement of Problems ..................................................................................................... 3
1.5
Objectives ......................................................................................................................... 3
1.6
Scope of Proposed Statements ......................................................................................... 3
1.6.1
Information about products ....................................................................................... 3
1.7
Limitations ....................................................................................................................... 3
1.8
Methodology .................................................................................................................... 3
1.8.1
Data and information ................................................................................................ 4
1.8.2
Project Framework .................................................................................................... 4
1.8.3
Tools and Technologies used .................................................................................... 4
1.8.4
Technique of the proper project ................................................................................ 4
CHAPTER II: TASK AND ACTIVITIES PERFORMED ............................................................ 6
2.1
Analysis of tasks, activities, problem, issues ................................................................... 6
2.1.1
2.2
Analysis of tasks ....................................................................................................... 6
Analysis of Possible Solution ........................................................................................... 6
2.2.1
Requirement Analysis ............................................................................................... 6
2.2.2
Functional Requirements .......................................................................................... 6
2.2.3
Non-Functional Requirements .................................................................................. 8
vi
2.2.4
Software Requirements ............................................................................................. 8
2.2.5
Solution Design ......................................................................................................... 8
2.2.6
Activity Diagram ...................................................................................................... 8
2.2.7
Design Diagram Sequence Diagram ......................................................................... 9
2.2.8
Testing..................................................................................................................... 10
2.3
Findings .......................................................................................................................... 12
CHAPTER III: DISCUSSION AND CONCLUSION ................................................................. 13
3.1
Discussion ...................................................................................................................... 13
3.2
Conclusion...................................................................................................................... 13
REFERENCES ............................................................................................................................. 14
vii
LIST OF TABLES
Table 1: Use-case Description (Login into the system) .................................................................. 7
Table 2: Use-case Description (View Dashboard).......................................................................... 7
Table 3: Software Requirements ..................................................................................................... 8
Table 4: Testing Table .................................................................................................................. 11
viii
LIST OF FIGURES
Figure 1 Organization Structure of Khatiwada Store ..................................................................... 2
Figure 2 Incremental Model............................................................................................................ 4
Figure 3 Use Case of Inventory Management System.................................................................... 7
Figure 4 Activity Diagram for Adding Items ................................................................................. 9
Figure 5 Activity Diagram for Adding Vendor .............................................................................. 9
Figure 6 Sequence diagram for Adding Items .............................................................................. 10
ix
ABBREVIATIONS
BIM: Bachelor of Information
PHP: Hypertext Preprocessor
XAMPP: Cross platform, Apache, MySQL, PHP and Perl
SQL: Structured Query Language
TU: Tribhuvan University
UC: Use Case
IMS: Inventory Management System
HTML: Hypertext Markup Language
CSS: Cascading Style Sheets
JS: Java Script
GUI: Graphical User Interface
UML: Unified Modeling Language
TC: Test Case
x
CHAPTER I: INTRODUCTION
1.1 Background
The dependencies on Information Technology have no any boundary to stop all things are
being revolutionized in the world by Information Technology. In the light of rapid changes
with use of Information Technology, there are many tools, technological and systems that have
been produced and invested. Inventory management system is web-based application. With
the distinction of different stocks in inventory of the shop, a provision of Inventory
Management System (IMS) has been implemented to ensure the proper incoming and outgoing
of number of stocks about the different products. As an owner the number of stocks which has
been received for selling and sold one are kept into record. These data will be inserted in the
database of the shop to manage and keep record systematically and scientifically.
Inventory Management System is the process by which you track your goods throughout your
entire supply chain, from purchasing to end sales. It governs how you approach Inventory
management for your business. Inventory management saves you money and allows you to
fulfill your customers need. In other words, it enables successful cost control of operations.
Knowing what you have, what is in your warehouse, and how to manage the supply chain
properly is the backbone of business.
Manufacturers primarily use Inventory management software to create work orders. This
facilitates the manufacturing process by helping manufactures efficiently assemble the tools
and parts they need to perform specific tasks. For more complex manufacturing jobs,
manufacturers can create multi-level work orders which have a timeline of process that need
to happen in the proper order to build a final product. With supply and demand changing
throughout the year and your stock levels continuously fluctuating, inventory management
software helps to avoid the risk of human error accurately track and control it. Without one,
you will be working on an entirely ad-hoc basis – and systems tell you the number of
components or ingredients you need to create or assemble your final product. Without this
information you may end up with access stock, eroding your bottom line, or with insufficient
stuff to meet customer demand.
1.2 Introduction of the Organization
Khatiwada Store is located in Sankhamul,31, Kathamndu, Nepal. The organization was
established in 2004 A.D. which deals with the business of groceries, daily usage items and
supply it to their customers. It is providing services in the locality as the owner has some
fluency in his talk which attracts the customers from the locality.
1.2.1 Organizational Structure
An organizational structure is a system that outlines how certain activities are directed in
order to achieve the goals of an organization. These activities can include rules, roles, and
responsibilities. The organizational structure also determines how information flows
between levels within the company. This structuring provides a company with a visual
1
representation of how it is shaped and how it can best move forward in achieving its goals.
Organizational structures are normally illustrated in some sort of chart or diagram like a
pyramid, where the most powerful members of the organization sit at the top, while those
with the least amount of power are at the bottom. Not having a formal structure in place
may prove difficult for certain organizations. For instance, employees may have difficulty
knowing to whom they should report. That can lead to uncertainty as to who is responsible
for what in the organization.
Figure 1 Organization Structure of Khatiwada Store
1.2.2 Mission
 Effective sales and management of the available products of different brands.
 To provide cost effective product and quality product to the society.
 To perform all activities online i.e. adding a managing the stocks.
1.2.3 Vision
 To provide qualitative product in a reliable cost
1.3 Current situation of the organization
Even after long run of this organization, organization is totally dependent on keeping the
records of several products of several brands, orders. Keeping manual record has more risk as
there is no better provision for backup. No software has been used till date to store the details
about them, they are recorded in paper or dairy, registers. This brings problem for an
organization’s workers when they need to search, update or delete the information of particular
product items. So, to overcome all the problems that this organization was facing since
decades, development of Inventory Management System was required which will than digitize
record storing and maintain its backup in server as well as in hardware and helps workers in
efficient management of data by providing easy user interface of system.
2
1.4 Statement of Problems
Khatiwada Store works on a traditional style of working i.e., manually keeping the record of the
inventories. As mentioned, they deal with the number of orders for different items in the store. In
such case, manually keeping such records can be risky as well as inefficient and slow. Using
manual system to manage the products which records all the information and, in the book, or paper
was causing the job of the employee becomes more and troublesome. The record may have a
possibility of missing or getting destroyed in any causes but now as they have the Inventory
management system to keep their record in their computer as well as the internet it is easier to
view the level of inventories and manage the inventories and their records online.
1.5 Objectives
The main objective for developing the current project entitled Inventory Management System for
organization is to build effective system which is fast, accurate, consistency, reliable and flexible
enough so that it can incorporate any future enhancements. The proposed system has introduced
with certain objectives such as to create Inventory Management System with a login interface to
keep data secured and to provide easy access of data at the time of need through the centralized
and systematic storage of data in the database. The main goals of this project are:


To maintain time consumption for data management
To ensure data security
1.6 Scope of Proposed Statements
The scopes of the proposed system are:
1.6.1 Information about products
This system IMS will help in maintaining complete information about different products of
different brands, such as its availability, remaining of inventory’s etc. Admin will register
products, brands update if require and remove information when the inventory is cleared.
1.7 Limitations
While there are a series of advantages pertaining to computerized inventory management software,
there are also a series of drawbacks within the system as well. These two drawbacks include
potential system crashes and reduced physical audits. System crashes are by far the biggest
disadvantage pertaining to computerized inventory management. A corrupt hard drive, power
outage, or technical issue can all lead to a loss of needed data and could potentially shut the entire
operation down. At the least, businesses are interrupted when they are unable to access data that
is needed. The main limitation of my project is:

There is no option for online payment for the purchase of the product.
1.8 Methodology
For gathering required information to make Inventory Management System (IMS), different
methods have been used. Direct interview with owner of organization with questionnaire and
observation of day-to-day activities of organization different departments, for finding out
organization requirements for proper system.
3
1.8.1 Data and information
We used the primary method of data collection, i.e., Questionnaire. A particular set of questions
were designed for problem identification and data requirements, and the questions were asked to
the parlor owner. We also visited some store websites for problem identification and data
requirements.
1.8.2 Project Framework
Figure 2 Incremental Model
The reason behind considering this methodology are as follows:


Frequent feedback and faster delivery.
Lower cost of changes.
1.8.3 Tools and Technologies used
The tools used in this system development includes:
Front-end: HTML, CSS, JS, Bootstrap Framework,
Back-end: PHP, MYSQL for Database
Sublime Text: Coding Purpose
Draw.io: Use case & diagrams
1.8.4 Technique of the proper project
Problem analysis: The main problem of the organization is that it didn’t have a computerized
system to maintain records digitally.
4
Feasibility analysis: The analysis of the project has led to the conclusion that the project is feasible
with time and cost. In addition, the tools used for the development are almost Open Source
involved less cost and maintenance.
Economic feasibility: This analysis involves the Cost-benefit analysis. It helps determine the
positive or negative effect created by the software on the organization, making a positive impact.
Technical feasibility: This analysis helps to forecast the future movement. I am using Sublime
Text to develop the project.
Operational feasibility: In this analysis, the system is analyzed on how well the proposed system
solves the problem and works in the real environment, and satisfies the system development's
requirement analysis phase.
5
CHAPTER II: TASK AND ACTIVITIES PERFORMED
2.1
Analysis of tasks, activities, problem, issues
2.1.1 Analysis of tasks
Task analysis is the process of learning about ordinary users by observing them in action to
understand in detail how they perform their tasks and achieve their intended goals. Tasks analysis
helps identify the tasks that your website and applications must support and can also help you
refine or re-define your site’s navigation or search by determining the appropriate content scope.
I visited the shop for the requirement collection. After the requirement was collected, the primary
task was to break down the proper procedure and build the working framework. The visit helped
to analyze various aspects of the shops and determine the problems that the software build can
solve.
Various purpose of Task Analysis:





What your users’ goals are; what they are trying to achieve
What users actually do to achieve those goals
What experiences (personal, social, and cultural) users bring to the tasks
How users are influenced by their physical environment
How users’ previous knowledge and experience influence
It’s important to perform a task analysis early in your process, in particular prior to design
work. Task analysis helps support several other aspects of the user-centered design process,
including:




Website requirements gathering
Developing your content strategy and site structure
Wire framing and Prototyping
Performing usability testing
2.2 Analysis of Possible Solution
2.2.1 Requirement Analysis
The main objectives of requirement analysis are to identify and evaluate the requirement of the
proposed system. It helps to know user requirements, system requirements, functional
requirements, and non-functional requirements for ‘Inventory Management System’ for
Khatiwada Store.
2.2.2 Functional Requirements
These are the statement of the service the system provides, how the system should interact with
the particular inputs, and how the system should behave in a specific situation which is as follows:



Only the admin has the right to access and edit the database
The system should record the purchase, sale, customer and vendor details
The system should be able to provide information when needed.
6
Figure 3 Use Case of Inventory Management System
Table 1: Use-case Description (Login into the system)
Use-case Identifier
Primary Actor
Secondary Actor
Description
Pre-condition
Post-condition
Success Scenario
Failure Scenario
UC1: Login into the system
Admin
None
The admin can log in to the system through a login form for security.
The admin has to know the required username and password.
The admin can perform the required action in the system.
A login success message should be displayed.
Login failed message should be displayed.
Table 2: Use-case Description (View Dashboard)
Use-case Identifier
Primary Actor
Secondary Actor
Description
Pre-condition
Post-condition
Success Scenario
Failure Scenario
UC2: View Dashboard
Admin
None
The administrator views Dashboard
The admin has to be logged in to view dashboard.
The admin can view purchase, sale, customer, and sales.
The latest information is displayed.
The database is not connected or misconfigured.
7
2.2.3




Non-Functional Requirements
The system shall be easier to use with better GUI.
The system shall be secured enough to operate.
The system should be affordable.
The system shall be fast enough to process the data
2.2.4 Software Requirements
Table 3: Software Requirements
Software
Sublime Text:
MYSQL:
Microsoft Word:
Draw.io:
Purpose
In order to design layouts and to write code.
In order to establish communication between data and database.
To write documentation of whole summer project.
In order to draw the diagram Use-case, Sequence diagram, Classdiagram and so on.
2.2.5 Solution Design
Solution design is initial phase of physical deployment of any solution, which shows the process
of system functioning.
Class Diagram:
The class diagram is a UML diagram that represents a static view of a system. It is a composition
of different classes which are linked to each other through association. Solution Design can be
described with the help of shown Class Diagram:
2.2.6 Activity Diagram
An activity diagram represents a series of actions or flow of control in a system like a flowchart
or a data flow diagram. They also describe the steps in a use case diagram. For example, the given
diagram demonstrates one of the activities in this system:
8
Figure 4 Activity Diagram for Adding Items
Figure 5 Activity Diagram for Adding Vendor
2.2.7 Design Diagram Sequence Diagram
Sequence diagrams are dynamic modeling approaches used in object-oriented based projects. The
sequence diagram shows the communication between the system objects or classes. The sequence
diagram is shown below:
9
Figure 6 Sequence Diagram for Adding Items
2.2.8 Testing
In testing, the different inputs were tested as input to GUI forms, which can be shown below with
the help of the table below:
10
Test Case of Summer Project “Inventory Management System” for ‘Adding items.’
Table 4: Testing Table
Project Name: Inventory Management System
Test Case
Test Case ID: TC-01
Test Designed By: Bishnu Bohara
Test Priority (Low, Medium, High): Medium
Test Designed Date: 8th June, 2022
Module Name: Add Items Module
Test Executed By: Bishnu Bohara
Test Title: Adding items in the database
Test Execution Date: 8th June, 2022
Description: Test IMS and Add items into the database
Pre – Conditions: Data is not on database
Dependencies:
S.N.
Test Steps
Test Data
Expected
Result
Actual
Result
1
Admin
Login
Username:
bishnubhr
Password:
bishnu
2
Navigate to
items
The admin
is
redirected
to the
homepage.
As
expected
3
Fill the
form with
valid
information
The admin
should be
redirected to
the
homepage
Add items
form should
be displayed
Information
should be
inserted
As
expected
True
Items should
not duplicate
4
Insertion of
image of
the item
Click on the
add button
Image
should be
inserted
Information
should be
added
As
expected
True
As
expected
True
Image file
should be in the
specified format
The message of
addition of item
should be
shown
5
Item
number:1
Item name:
Sugar
Stock:500kgs
Unit cost: 90
Image file
11
Status
(True/Fa
lse)
True
Notes
True
Post Conditions: Items should be updated and be available for the operations.
2.3 Findings
After analyzing the problems of the organization, it was found that using the old techniques may
increase overall cost of organization as well as may be difficult to handle. If organization use this
software for recording and managing, it will help them to maintain record effectively and
efficiently with reduction in cost.
12
CHAPTER III: DISCUSSION AND CONCLUSION
3.1
Discussion
The project covers the problem that was identified during the organization visit and the solution to
the problem was solved by developing software. The system can provide the information like sales
records, purchase records and the inventory level, etc. The system is assumed very helpful to the
shop.
3.2
Conclusion
The system was successfully completed in time as per the objectives. After the evaluation of
system within the shop, the system is expected to fulfill all the requirements and prove out to be
beneficial for the owner.
The evaluation from users of this system in shop proved that the system will turn out very effective
and convenient to use. The incremental model used in this system is helpful to check in every
phase after each coding.
This summer project helped to acquire the practical knowledge about the working procedure in the
shop at a real time. In conclusion this project helped to enhance skill and learning as well as helped
to gain abilities to work in real environment
13
REFERENCES
G. (n.d.-a). Inventory management system project report - PDFCOFFEE.COM. Pdfcoffee.Com.
https://pdfcoffee.com/inventory-management-system-project-report-3-pdf-free.html
Inventory Management System in PHP with Source Code | Free Source Code Projects and
Tutorials.
(n.d.).
IMS.
https://www.sourcecodester.com/php/14375/inventorymanagement-system-phpmysql.html
Jackson, M. (2014, September 24). A PROJECT REPORT on INVENTORY MANAGEMENT
SYSTEM
SUBMITTED
BY:
ACKNOWLEDGEMENT.
IMS.
https://www.academia.edu/8486312/A_PROJECT_REPORT_On_INVENTORY_MAN
AGEMENT_SYSTEM_SUBMITTED_BY_ACKNOWLEDGEMENT
N. (2022, March 31). Inventory Management System Project Report. Itsourcecode.Com.
https://itsourcecode.com/fyp/inventory-management-system-project-reportdocumentation-pdf/
P. (n.d.-b). Computerized Inventory Management Software: Advantages and Disadvantages. IMS.
https://www.planettogether.com/blog/computerized-inventory-management-softwareadvantages-anddisadvantages#:%7E:text=Disadvantages%20of%20Computerized%20Inventory%20Ma
nagement%20Software&text=System%20crashes%20are%20by%20far,shut%20the%20e
ntire%20operation%20down.
14