DESIGN AND IMPLEMENTATION OF AN
AUTOMATED PAYROLL SYSTEM
A CASE STUDY OF THE NIGERIAN COMMUNICATIONS
COMMISSION- (NCC) CORPORATE HEADQUARTERS
MAITAMA, ABUJA
BY
UDO, IKECHUKWU
MOUAU/09/13183
BEING A PROJECT WORK SUBMITED TO THE
DEPARTMENT OF COMPUTER SCIENCE
COLLEGE OF NATURAL AND APPLIED SCIENCES
MICHAEL OKPARA UNIVERSITY OF
AGRICULTURE, UMUDIKE P.M.B. 7262
UMUAHIA – ABIA STATE
OCTOBER, 2012.
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DESIGN AND IMPLEMENTATION OF AN AUTOMATED
PAYROLL SYSTEM
A CASE STUDY OF THE NIGERIAN COMMUNICATIONS
COMMISSION- (NCC) CORPORATE HEADQUARTERS
MAITAMA, ABUJA
BY
UDO, IKECHUKWU
MOUAU/09/13183
BEING A PROJECT WORK SUBMITTED TO DEPARTMENT OF
COMPUTER SCIENCE, COLLEGE OF NATURAL AND APPLIED SCIENCES
MICHAEL OKPARA UNIVERSITY OF AGRICULTURE, UMUDIKE,
P.M.B. 7262 UMUAHIA , ABIA STATE
IN PARTIAL FULFILMENT OF THE REQUIREMENT FOR THE AWARD OF
BACHELOR OF SCIENCE DEGREES (BSC.HONS) IN COMPUTER SCIENCE
OCTOBER, 2012.
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DESIGN AND IMPLEMENTATION OF AN
AUTOMATED PAYROLL SYSTEM
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Certification
This project work is the original work approved and carried out by Udo, Ikechukwu with
registration number MOUAU/09/13183, in department of computer science, College of
Natural and Applied Sciences, Michael Okpara University of Agriculture, Umudike, in
partial fulfillment of the requirement for the award of Bachelor of Science (B.Sc., Hons.),
in computer science.
____________
UDO, IKECHUKWU
(Student)
________18/07/2012___
(Date)
__________________________
ENGR. MRS. IFEOMA NNOCHIRI
(Project Supervisor)
____________________
(Date)
__________________________
VERY REV. ENGR. (DR.) F. O. OKAFOR
(H.O.D)
____________________
(Date)
__________________________
____________________
(Date)
(EXTERNAL SUPERVISOR)
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Dedication
This Project Work is proudly dedicated to the glory of the Almighty God, the giver of
wisdom, knowledge and good understanding. He was faithful to me throughout my
academics in this great citadel of learning, Michael Okpara University of Agriculture,
Umudike.
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Acknowledgement
I am extremely glad to appreciate the untiring effort of my most cherished supervisor,
Engr. Mrs. Ifeoma Nnochiri for painstaking putting me through the rigorous processes of
the project work. Ma, I definitely cannot thank you enough, but I pray the almighty God
rewards you in hundred folds.
In the same vein, I owe millions of thanks to my daddy and role model, my able H.O.D:
Very Rev. Engr. Dr. F.O. Okafor for broadening my learning scope, not only during the
project work, but also from the onset of my program in the university. I also acknowledge
Mrs. J.N. Oruh, Mr. C. Edeh, Mr. Osodeke Charles and Mr. Ihejirika, for being there for
me all through and for obliging all my questions and requests made on several occasions.
I am grateful to all of you. You were all wonderful to me.
More so, I am indebted to giving you thanks: my beloved mum, Mrs. Patience Udo, my
sweet sister, Mrs. Grace S. Okah, and my lovely brother, Mr. Samuel Udo, for your
unflinching financial support throughout the tasking four-year program. And to the rest of
my family members who also assisted in one way or the other, I say to you a big thank
you, I love all of you. You are wonderful family.
Finally, I am grateful to my beloved Pastor and members of my chapter church:
Assemblies of God Church, Umuariaga for your prayers and timely encouragements
throughout my course of study here in the university. All your prayers assisted me to a
high extent, thank you all. I will surely miss every one of you.
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Abstract
The
proposed
“Autom ated
P a yr o l l
S ys t e m ”
is
aimed
at
c o m p u t e r i z a t i o n o f e a c h s t e p i n v o l v e d i n p a yr o l l s ys t e m for the payroll
operations going on in NCC, Abuja. In this project, all aspects from the user’s point
of view are considered so that authorized users can interact with this project very easily.
This system generates large amount of information, which would be very useful for the
user who works with it. This system incorporates an authorization system whereby a
user will be authorized to access information contained wit hin the
database Administrator with user ID and PASSWORD in place.
T h e n e w s ys t e m i s d e s i g n e d i n s u c h a w a y t h a t e v e r y u s e r c a n a d a p t
i n a v e r y e a s y a n d e f f o r t l e s s w a y . B y a d d i n g constraints in the
database, some rules are enforced for the user to enter valid or acceptable data. In this
way it prevents the authorized user from e n t e r i n g t h e w r o n g a n d i n v a l i d d a t . In
this new system, any type of information related to payroll can be obtained at
any time using ADD, user enters an employee`s details and the pay amount is computed
and the pay slip printed upon request. Similarly the information of an employee
contained in the database can be obtained by choosing employee ID or name only. A
“HELP” field is provided for new users to know their way around the system.
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List Of Tables
Table 3.1:
Percentage Distribution of Respondent on Staff Awareness of the Payroll
System…………………………………………………………………..19
Table 3.2:
Percentage Distribution of Respondents who want the Payroll system to
be computerized……………………………………………………..19 - 20
Table 4.1:
Login Table………….…………………………………………………..29
Table 4.2:
Employee Record ………………………………………………………..29
Table 4.3:
Pay Slip …………………………………………………………………30
Table 4.4:
Report …………………………………………….…………………..…30
Table 4.5:
Hardware Requirement Cost…………………………………………..…39
Table 4.6:
Software Requirement Cost…………………………..…………..…39 - 40
Table 4.7:
Personnel And Training Requirement Cost…………….……………..…40
Table 4.8:
Operation And Maintenance Requirement Cost………….……………...41
Table 4.9:
Total System Cost………………………………………….………….…41
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List Of Figures
Figure 1.1:
The organizational Structure………………………………………………7
Figure 3.1:
Entity Relationship Diagram………………………………………..……23
Figure 3.2:
Process Modules of The Proposed System………………………………25
Figure 4.1:
Waterfall Software Development Methodology…………………………27
Figure 4.2:
Outlines Of Topologies…………………………………………………..36
Figure 4.3:
The Bus Topology………………………………………………………..36
Figure 4.4:
Client-Server Model……………………………………………………...38
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Table Of Contents
Title Page: …………….………..………………………………………………………….i
Certification : ……………………...……………………………………………………ii
Dedication: …………………………………………….…………………………………iii
Acknowledgement: ………………………………………………………………………iv
Abstract: …………………………………………………………………………………..v
List Of Tables And Figure: ………………………………………………………………vi
Table Of Content: ……………………………..………………………………….…vii-viii
CHAPTER ONE
1.0
INTRODUCTION……………………………………………………………….1
1.1
Statement Of The Problem………………………………………………...………2
1.2 Objective Of The Study………………………………………………………...……..3
1.3 Significance Of The Problem…………………………………………………………3
1.4 Scope And Limitations………………………………………………………...…..3 - 4
1.5
A Brief Description Of The Case Study…………………………………………..4
1.5.1
Services……………………………………………………………...…4 - 5
1.5.2
The Organization Structure……………………………………………5 - 6
1.6
The Justification Of The Study……………………………………………………8
1.7
Definitions Of Terms…………………………………………………………8 - 10
CHAPTER TWO
2.O
LITERATURE REVIEW………………………………………………....11 - 12
2.1
Maintenance Of Records……………………..………………..........12 - 13
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2.2
Operating Cost Accounting…………….………………………...…13 - 14
2.3
Computational Techniques And Labour Division……………………….15
CHAPTER THREE
3.0
RESEARCH METHODOLOGY AND SYSTEM ANALYSIS.........................16
3.1 Research Methodology………………………………………………………16
3.1.1
Interviews………………………………………………………...16
3.1.2
Observation Of The Staff At Work…………………………16 - 17
3.1.3
Examination Of The Existing Documents……………………….17
3.1.4
Site Visitation…………………………………………….....17 - 18
3.1.5
Questionnaires……………………………………………………18
3.2 System Analysis……………………………………………………………..18
3.2.1Preliminary Investigation On The Existing System & The New System.18-19
3.2.1.1 Questionnaire Response And Interpretation…………………………19- 20
3.2.1.2 System Proposal………………………………………………………….20
3.2.1.3 Feasibility Report On The Proposed System………………………..20 - 21
3.2.1.3.1 Operational Feasibility………………………………………………....21
3.2.1.3.2 Technical Feasibility…………………………………………………..21
3.2.1.3.3 Economical Feasibility…………………………………………...21 – 22
3.3.1 Data Modeling And Analysis……………………………………………...22
3.3.2 The conceptual Data Modeling And Data Normalization……………22 - 23
3.3.3 Entity Relationship Diagram………………………………………………23
3.4
Data From Existing Records/Document…………………………………23
3.4.1 Individual Pay Period……………………………………………………...24
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3.4.2
Overtime Sheet…………………………………………………………...24
3.5 Promotion And Demotion Notification……………………………………..24
3.6 System Block Diagram……………………………………………………...24
CHAPTER FOUR
4.0 SYSTEM DESIGN AND IMPLEMENTATION………………………………..26
4.1 Software System Development Methodology……………………………….26
4.1.1
Types Of Software System Development Methodology……..26-27
4.1.2
The Reasons For Adopting Waterfall Methodology For The
Project……………………………………………………….27 - 28
4.2 Scope Of Design……………………………………………………………..28
4.2.1
Database Design And Database File Structure……...............28 - 30
4.2.2
Structural Query Language And Open Database Connectivity.....30
4.2.3
Input And Output Design Form …………………………………31
4.2.4
Security Specification……………………………………………32
4.2.5
System Development…………………………………………….33
4.2.6
Software Design………………………………………………….34
4.2.7
System Development Platform: Visual Basic 6.0…………..33 - 34
4.2.8
User Interface Design……………………………………………34
4.2.9
Application Architecture………………………………………...34
4.2.9.1
Network Topology…………………………………...35
4.2.9.2
Bus Topology………………………………………...35
4.2.9.3
Types Of Network……………………………………35
4.2.9.4
A Client/Server Architecture………………………...36
4.3 Implementation………………………………………………………………37
4.3.1
System Development Packages………………………………….37
4.3.2
Site Preparation…………………………………………..............38
4.3.3
System Requirement Cost………………………………………..38
4.3.3.1
Hardware Requirements……………………..….38 - 39
4.3.3.2
Software Requirements………………………………39
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4.3.3.3
Personnel And Training Requirements………………39
4.3.3.4
Operation And Maintenance………………………....39
4.3.3.5
Total Cost Of The System Requirement……………..40
4.3.4
System Testing…………………………………………………...42
4.3.5
Conversion Plan………………………………………………….42
4.3.6
Deployment And Maintenance…………………………………..42
CHAPTER FIVE
5.0 SUMMARY, CONCLUSION, AND RECOMMENDATION………………….43
5.1 Summary……………………………………………………………………..43
5.2
Recommendations…………………………………………………………...43
5.3
Conclusion…………………………………………………………………...44
REFERENCES…………………………………………………………………….45 - 46
APPENDIX 1: Research Questionnaire………………………………………………A - B
APPENDIX II: Program Flowchart…………………………………………………...C - J
APPENDIX III: Program Forms………………………………………………………….K
APPENDIX IV: Program Report Output……………………………………………..L - N
APPENDIX V: Program Codes………………………………………………………..a - i
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CHAPTER ONE
1.0
INTRODUCTION
Nowadays all establishments are becoming modernized, modern technologies
now make business transactions fast, easy, and accurate in order to avoid waste of
time and for the sake of safety and security. It also helps human to solve and
understand complex problem and analysis such as the computational need of
humans. Especially to business establishment or corporation processing enormous
data and complex transactions.
Payroll is an example of such complex transaction because it is a critical business
operation dealing with numerous accounts and processing confidential financial
report about each staff of the establishment. A payroll contains a list of the
employee and the amount each has earned for a specific period of productive
time. An automated payroll system is not only faster and more accurate than a
manual system, but once it has been installed into the computer, the user can
automatically print a variety of reports such as employee pay, checks, including
stubs with earning information. All payroll systems whether automated or manual,
must calculate net pay, which consists of gross pay, deductions for taxes and any
other optional deductions.
This automated payroll system involves the design and implementation of
computer-based payroll package procedure with an electronic data processing
machine that brings about efficiency, high speed in computation, and self-storage
system, easy retrieval of document/record. The automated payroll system is
capable of maintaining all the records relating to payroll as well as producing the
individual employee`s pay slip or pay advice.
It entails the computation of the employee`s wages/salaries based on their
condition of service: weekly or monthly as hours worked and the number of
overtime spent over regular time hours. The motivation of an employee to work
hard is the attractiveness of the salary, and so an organization can be competitive
because of its high wages they pay to their employees.
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1.1
Statement Of The Problem
Problem Definition is the prepared information document, which defines in
details, all aspects of the system and their basic inadequacies. It contains in effect,
the analysis of the old system and based on this, the following findings and
recommendations were made. The overtime required for the pay roll preparation
is felt to be unnecessary and its elimination is required in the new system.
1) The majority of the overtime is spent in handling union deductions
correction in payroll time sheets.
2) They are unwanted duplication in some of the system output such as
deduction register, payroll listing.
3) In any payroll system handling errors no matter how small is not
tolerated and this was clearly stated in this work for management.
Payroll system, the determination of wages and salaries of workers is a very
sensitive issue in which business organizations should handle with care because
the problems that emanate from it are endemic. In relationship to the case study of
this project, some of the under listed problems were encountered while computing
the payroll manually. These include:
1) Inability of organization to establish a good calculation system on which
salary is determined.
2) The lack of uniform pay-rate among workers on the same level in different
organization.
3) Lack of proper machinery for adjusting salaries periodically.
4) The job sometimes becomes cumbersome and monotonous to process.
5) Delay in payment of workers` salaries because the manual method wastes a lot
of time.
6) Over payment and under payment which results from errors in the payroll
salary computation, and this may give way to inaccuracy and fraud. To
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eradicate these problems above, the use of computer is therefore needed in the
payroll unit in order to automate the pay rolling operations.
1.2
Objective Of The Study
The fundamental aim of this project work is to design an electronic payroll
structure by writing a program that can compute the NET PAY of each employee
of the Nigerian communications commission, Abuja, using the basic salary,
allowances, benefits and other deductions as input and to review the effectiveness
and advantages of an automated payroll system over its manual counterpart.
1.3
Significance Of The Project
This software offers good benefits for more economical, realistic, faster and more
efficient implementation of staff payment procedures. The software will help to
check fraud, eliminate inaccuracy, and bring about efficiency and better
documentation of staff records. It will point out the need for payroll
computerization, assists students and researchers to know the concept of payroll
and will act as a guide for a computerized payroll system.
1.4
Project Scope
This study is designed to develop a Computerized Payroll System for the Nigerian
Communications Commission, Abuja. It covers the process of preparing the Pay
slip of each employee, the regular and job order employee, keeping of records
safety and computing the exact wages of each employee. Including the stored
report list of employee such as Monthly Salary, Basic salary, overtime, Gross
payment, Net pay, and Deduction such as withholding tax, and Medicare, loan,
Advances, Cash Advance, etc.
The proposed Payroll System for NCC, Abuja is expected to generate Pay Slip of
Employees, Report list of employees, Remittances for respective agencies, Payroll
register of regular and job-order employees, and Payroll form for every pay
period.
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The basic limitation of the work is that the proposed Computerized Payroll
System for the Nigerian communications commission does not support network
topology implementation and online program or online transaction easily.
1.5.
Background Of The Case Study
The Nigerian Communications Commission (NCC), Abuja is the independent
National Regulatory Authority for the telecommunications industry in Nigeria.
The Commission is responsible for creating an enabling environment for
competition among operators in the industry as well as ensuring the provision of
qualitative and efficient telecommunications services throughout the country.
NCC was created on 24th of November, 1992 to regulate the whole
telecommunications sectors in Nigeria. The commission was established to
deregulate the telecommunications industry in Nigeria and is charged with
regulating private telecommunications services, promoting fair competition as
well as facilitating entry into the telecommunications market. The NCC is
responsible for licensing and registering of private telecommunications activity in
Nigeria. NCC undertakings include ensuring private sector provision and
operation of Value added Network Services such as the Internet and other
services. In the nearly two decades that the Nigerian communications commission
was founded, it has moved from being a government body merely created to
satisfy the yearnings of consumers to becoming the continent`s beacon in
telecommunications regulation. It was charged with the responsibility of
regulating the supply of telecommunications services and facilities, promoting
competition, and setting performance standards for telephone services in Nigeria.
1.5.1 Services
The Nigerian Communications Commission (NCC), Abuja is versed with the sole
responsibility of regulating the activities of telecommunications services and
activities of public and private telecommunications establishments. NCC, Abuja
also does spectrum assignment, monitoring and bandwidth management in and
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around the country. Licensing also is one of the primary instruments for the
actualizatio of the Co
issio ’s twi
a date of regulati g a d pro oti g
private sector participation in the deregulated aspects of the Nigerian
telecommunications industry and the licensing of existing as well as intending
private operators of telecommunications services.
All telecommunications service operators are required to obtain the relevant
licenses from the Nigerian Communications Commission (NCC) via the license
application process and compliance with the stipulated requirements.
This section contains information on licensing, license requirements, license
application forms, the list of current licensees and other necessary information for
interested parties intending to participate in the provision of telecommunications
services in Nigeria.
1.5.2
The Organizational Structure
The Nigerian Communications Commission's organizational structure is
comprised of Fifteen (15) departments, including the Four (4) departments under
the Human Capital & Infrastructure Group. The Executive Vice Chairman (EVC)
is the Chief Executive Officer of the Commission and directly oversees nine (9)
departments, including the Human Capital & Infrastructure Group, and the
independent Internal Audit Unit. The Executive Commissioner - Technical
Services (ECTS) directly supervise the departments charged with the oversight of
technical standards, spectrum and engineering issues governing the Nigerian
telecommunications industry. The Executive Commissioner - Stakeholder
Management (ECSM) directly supervises the departments charged with
addressing the needs of telecommunications industry stakeholders including
vendors, service providers and consumers. The Board of Commissioners, of
which the EVC and the two Executive Commissioners are members, is charged
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with the governance of the Nigerian Communications Commission and has
oversight functions over all of the Commission's activities. The Leadership of the
Nigerian Communications Commission consists of nine Commissioners made up
of six Non-executive members, including the Chairman - representing each of the
six Geopolitical Zones of Nigeria - and three Executive members, including the
Executive Vice Chairman/Chief Executive and two Executive Commissioners.
Mr. Peter Egbe Igoh is the Chairman of the Board of Commissioners of the
Nigerian Communications Commission. A native of Otukpo Local Government
Area, Benue State, Dr. Eugene Juwah is the Executive Vice Chairman (Chief
Executive Officer). Dr. Bashir Gwandu is the Executive Commissioner
(Technical Services) while Mr. Okechukwu Itanyi is the Executive Commissioner
(Stakeholder Management).
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Executive
Governors
The Board
Internal Audit
Executive Vice
Chairman (EVC)
USPF
Executive Commissioner
(Technical Services)
Executive Commissioner
(Stakeholder management)
Media
Internal
Audit
Account
Payment
Training
Human
Capital
Consumer
Affairs
Admin
Maintenance
Finance
Infrastructure
Group
CPDM
Technical
Standard
Vendors
Services
providers
Support
Engineering
Services
Services
Information
Technology
Technical
Standard
IT
IR
Bandwidth
Management
CP
Network
Monitoring
AAA
Spectrum
Mgt
Control &
Monitoring
A Project Work Written and Presented by UDO IKECHUKWU
Telecom
Monitoring
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Consumer
1.6
Project Justification
The fact that the world has gone computerized has made most establishments to
computerize their activities to reduce their work load and erroneous tendencies. It
is obtained notice that 100% efficiency is the password of such an establishment
and that can only be realized if worker/employee relationship is very cordial.
Better still, if workers` wages and benefits are adequately implemented at shortest
possible time. Prompt payment includes the monthly salary, allowances and
overtime, etc.
Based on this, workers are ready to do their best assigned job in order to achieve
the maximum efficiency. To be precise, this automated system is designed to
enable the accounting department of Nigerian Communications Commission,
Abuja get a payroll package that can facilitate the payment of workers`
entitlement on schedule. In this automated payroll system, any valuable
information about workers can easily be retrieved and wages are computed at
shortest time. Here, there is no issue of fear of destruction since safety is ensured
by the storage device which is simple to handle. Unlike the manual system that is
prepared with pen and payroll sheet, and bulky physical files, errors like nonpayment, over-payment, under-payment, and over deductions, etc are eliminated.
The processes of payroll are electronically computerized. The ALU, memory and
the register of the computer are for calculation. This checks the issue of workers
queuing indefinitely at the pay –office thereby making the job to suffer. The new
system requires few workers to operate thereby saving the establishment from
employing above their means.
1.7 Definitions Of Terms And Concepts
PAYROLL: Is a list of the employees and the amount each has earned for a specific
pay period.
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PAY PERIOD: Is the amount of time for which an employee is paid such as hourly,
weekly or monthly.
SALARY: Is a fixed annual sum, paid at regular interval, usually a monthly, to an
employee, especially for a professional and clerical worker.
GROSS EARNING: Is the total amount an employee earns during a pay period.
NETPAY: Is the gross earning minus deductions for taxes and other optional
deductions.
EMPLOYEE RECORD: Information about employee such as name and address,
level, year of employment, type of pay, social security number earning and deduction
and the accumulated earnings and deductions.
PAYROLL REGISTER: This consists of payment and deductions from each
employee current period. It shows the employee gross earnings amount withheld,
deductions from gross pay, net pay, and gross salaries changes to specific amounts
wages. Compensation compiled hourly at a given rate for each of the employee`s
payroll records. This consists of all the data needed in payroll system processing of
personal record list. This contains the personal information of each worker in all
departments, including their names, address, department, sex and marital status of
employee, etc.
DATA: This is a collection of facts, figures, symbols, etc representing an idea that
needs to be processed to yield information.
Data Store: File or table of contents used in the database called data repository
Server: A multi-user computer that provides interface services and appropriate
database and processing service and connectivity
Client: User computer that uses the services of server computer in a network.
Analysis: Close examination of a task in details to draw a better understanding
File: A collection of related records
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System: An organized method consisting of simple units, using procedures which are
collectively integrated together for accomplishing a task.
Record: A collection of related fields that is used to process a file/document.
Process: A series of actions directed toward a specific aim.
Database: It is an organized collection of related information or data arranged to
meet the various needs of an organization. Its contents are managed by powerful
software known as database management software (DBMS).
Query: A request for a set of desired information from a database containing files.
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CHAPTER TWO
2.0
LITERATURE REVIEW
Payroll system is the assembly of methods, procedures or techniques required in
wages preparation for employees in an organization. According to Richard W.
Briglatman (1988),Using Computer in an Information Age, payroll system
performs a number of tasks, it maintains information as well as payroll histories,
it produces payroll checks and check register. The account for all of the voluntary
and involuntary withholding from employee`s pay and produces report to be
submitted. A payroll system is designed to handle and provide all the information
relating to the processing of an employee payroll. This must incorporate all the
paper work necessary to pay each employee and record personal taxes and
deductions, maintains files on all past individual earnings, provides up-to-date
total amount point outputs detailing payroll information and conforms to all tax
regulations. In addition, the system must incorporate checks and controls that
prohibit fraudulent use of payroll funds.
The payroll system in many organizations is by task the highest operating cost
and therefore deserves the highest attention. In the past when the employees are
being paid in cash on the pay day, payroll was so easier and the problems for
payroll were relatively simple, currently, the payroll system has become
extremely complex and the clerical expenses for payroll system have served
accordingly. In many organization therefore, whether private or public
organization, their payroll system should be handled with strict adherence because
without it no organization can function optimally.
Orilla Laiorences (1983), in his work: “Introduction to Business Data
Processing”, stated clearly that the production of payroll is certainly one of the
most critical accounting tasks that a firm must undertake. The deadlines are
relentless, “payroll check must be delivered to employee every week or two.
Report of task withholding must be submitted to taxing agencies with time, and
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summary reports must be submitted to the government and to the employees.
Accuracy is very essential, there are few errors as embarrassing or errors insistent
on immediate correction miscalculating an employee`s pay.
In the united state, every organization with one or more employees is required to
deduct federal income tax withholding social security tax from employee`s pay
and to submit this amount periodically to the internal revenue service. In addition,
the employee is levied payroll taxes and above the amounts deducted from the
employee`s pay for state and federal unemployment program. Two third of the
state also requires state income tax withholding. Besides tax deductions, voluntary
employee deduction for retirement and insurance plans, saving union dues,
payroll to banks and credit unions must be taken and accounted for.
Geofrey Knot and Nick Wiats (1990), in “Computer Studies for BTEC”, said that
payroll systems are concerned with the production of pay slips for employees and
the maintenance of records required for taxation and other deductions. In a
manual system, the preparation of payroll figures and the maintenance of payroll
records in labor intensive task. Although tedious and repetitive, it is a vitally
important task. Most employees naturally require pay as being the main reason for
work and which is true as the main reason for work recent in payment or incorrect
payment, unless of course it is in their favor. The weekly or monthly payroll run
affects almost all employee records in the payroll master file; hence, batch
processing is normally used. This processing method provides numerous
opportunities to maintain the accuracy of the information. The repetitive nature of
the tasks inherent in payroll makes it a popular candidate for computerization
especially, with organization which employs large number of people.
The automatic productions also provide valuable benefits. Smaller organizations
with just few employees probably might not regard as a high priority application
for computerization. The benefits are not as great as one or two employees who
also carry out a number of other jobs can carry out the payroll task. In large firms,
much of the work on wages and salaries is done by a computer system. This work
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involves the calculation of salaries, the printing of wages slip and the production
of payment. Data relating to the time and employee works are picked up by
computer from magnetic tape, enabling the continuous recording of ways
computer is to handle a lot of work quickly and accurately. This computerized
payroll system, however, has capability of maintaining all records relating to
payroll as well as turning out the required pay checks. Payroll processing is
usually one of the first accounting operations to be placed on the computer. The
payroll procedure consists of determining for each employee the gross earning,
making deductions, computing net pay, preparing the pay check, and maintaining
a record of each individual earning. The organization also needs a payroll
summary for each pay roll period and usually, distributions of payroll cost by
department by products, or classified by the various productive processes. Each
employee must receive not only a payroll check at a statement showing the gross
earning deductions and net pay. The organization`s records must be defined to
facilitate the filling of regular pay roll reports to the state and federal government
showing the amount withheld or taxes. The time and expenses required to prepare
payrolls has risen in production to the need for information.
The demand by government, labor unions, credit unions, and other agencies have
added to the problem. A computerized payroll system will not only maintain the
necessary records but also with the additional facility for calculating gross pay
from the original data, print the checks and report. It will also keep the
management informed about the cost of various functions with the business. In
other words, much current information can be developed without significant extra
expenses that will provide the management with a detail broken down of labor
costs.
In the same vein, Koliler (1970), defined payroll as a record showing the wages or
salary earned by an employee for a specified period of time and the various
deductions for withholding tax, health benefits and so forth or simply put as the
total wages or salary accuses or praised for a given period.
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Lande (1950), defined payroll as that branch of accounting or cost accounting
department work concerned with the preparation of the periodic payrolls and their
recording on the books of account. This involves the entire procedure connected
with translating production into the payroll note. It also includes procedures in
connection with the many adjustments to an individual pay made necessary under
modern conditions.
Sheffied (1964) puts it as the main record in the wages accounting system, which
shows the warnings and tax record of each employee, which is update at each
period to show the cumulative earning and tax up-to-date.
Whereas Long (1950) defined payroll as that branch of accounting or cost
accounting department work concerned with the preparation of the periodic
payrolls and their recording in the books of accounts. This involves the entire
procedure connected with translating production into payroll note. It also includes
procedures in connection with many adjustments to an individual pay made
necessary under modern conditions.
According to David Fimberg (1973), not that One payroll is like another payroll
but that the data processing functions already listed are to be found in various
conditions on all systems, be they payroll, inventory management sales ledger or
any other activity concerned with data processing. It is important to differentiate
between these data management and processing facilities, and what is known as
“software application packages”. The application packages look at a business
process, payroll perhaps, and the programmer tries to write a payroll program that
can be used for all payrolls.
Jack L. Smith, Robert M. Keith, William I. Stephens (1986), stated “you will
observe from the figure that many different people are involved”. This is key to
achieving strong internal control over payrolls; of course, small organizations
where the owners prepare the payroll would have no need for such a system. The
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owners should know all the employees and who had or had not worked during the
pay period. But for larger organizations, separation of duties is essential.
In addition, Ibrahim B. B. (1987), coined: “in the course of the years, effort will
also be made to improve the fringe benefits, including transport allowances of
workers through the process of collective bargaining in the organized private
sector but always subject to the approval of the minister of employment, labor and
productivity”.
Henson E. (1973), “the term PAYROLL has several different meanings:” the
distribution of paychecks (physical or electronic) to employees each payday.
The financial records for employee wages/salaries, withholding, deductions,
bonuses, pay for time not worked (holidays, vacations, sick time, etc.) and other
items on employee paychecks.
2.1.
The Problems Of The Paper-Based Payroll System
The existing system is characterized with a lot of problems that have made the
system difficult, rigorous, and obsolete.
2.1.1. Time Consuming Process Of Payroll Preparation
The NCC, Abuja still using the manual method of payroll process, a lot of jobs is
assigned to the payroll maker and accounting clerk, with cause’s inconvenience
to their services. In this method, it will need more time and manpower to
complete the payroll of each employee.
2.1.2
Laborious Payroll Process
Nobody could admit the inescapable fact that what makes the manual procedure
take a long time to finish the task is due to the many steps and processes to
undergo. There is the collection of data such as DTR, REMITTANCES, and
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individual manual calculation of payroll. Individual data is transferred through
sheets, encoding and double checking after calculating. All this process requires
labor and effort to complete the task.
2.1.3
Miss-posting And Understating Of Employee’s Data
The logical process of manual procedure results to too much time consumption.
It often times result in miss-posting and understating of each employees data of
plenty of files that is hard to accommodate. To create a well-arranged database
and to implement strong security of the system for data security poses a
challenge.
2.2
The Usefulness Of Computer-Based Payroll System
To accounting department and payroll maker of the NCC, Abuja, and the
proposed system will help the accounting section, especially the Payroll
maker/bookkeeper and the Finance Officer. It will help to lessen the time and
effort of the payroll maker/bookkeeper preparing payments of employees. The
System development accommodates changing figures and produces a paperless
environment through well design database.
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CHAPTER THREE
3.0.
RESEARCH
METHODOLOGY,
SYSTEM
INVESTIGATION,
AND
ANALYSIS
3.1.
Research Methodology
This is the method used by the researcher to gather information about the existing
system so that a proposed system can be effectively designed and implemented.
The researcher of this project work used the following data gathering techniques:
3.1.1
Interviews:
This is a process of gathering information by means of conversation between the
interviewed and the interviewer(s). The users of the existing system were
interviewed orally and information regarding the procedure/processing used to
carry out the daily routines was obtained. The following people were interviewed:
1) The Administrator of the commission
2) The head of payment department
3) The head of finance department
4) Some workers in the payment departments
The interview was thoroughly done and an understanding of the existing system
became crystal clear to the researcher. This assisted in the design and
implementation.
3.1.2
Observation Of The Staff At Work
Observation is fact-finding techniques whereby the system analyst either
participates in or watches a person perform activities in order to learn more about
the system. In the process of observing the staff at work, a lot of facts were
collected. These facts are enumerated thus:
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1) The staff always have a lot of job to process most of the time
2) The staff are always busy writing, calculating, compiling information and
carrying of several duplicate files
3) Their job in payroll unit wastes a lot of time in computing staff salary
4) There is always reoccurrence of errors which at times lead to the replacement
of individual pay record and pay summary list form
5) In payroll computation, the pay slip, individual pay record and the pay
summary list forms are carbonized.
6) Additionally, the payroll unit is also faced with the problem of safe storage
and insecurity of information, files and individual records.
3.1.3
Examination Of The Existing Documents
Due to the fact that the existing system needs to be properly understood for easy
design and implementation of an automated new system, the documents used in
the commission were obtained, examined and analyzed. Such documents are:
1) Pay slip
2) Employee record
3) Account receivable form
3.1.4
Site Visitation
Since this project work requires a review of other related literatures, many sites
were visited in the internet in order to get cognate information pertaining to the
comments of the authors of the various literatures. Past projects on this area were
visited in the internet so that proper due and user interface would be designed.
Links like:
http//:www.payrollsystem.com/researchwork,
http//:www.automatedpayrollsystem.com/review, and GOOGLE were visited.
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3.1.5
Questionnaires
This method was used to obtain information from the staff members of the
system. Concise and unambiguous questions were constructed with clear
instructions on how responses were to be made. The questionnaire was designed
in other to get the views of the staff members towards the automation of the
payroll system. This needs to be done because some set of people may be
pessimistic about the view. The questionnaire was divided into two sections,
section A was designed to extract some relevant background information about
the respondent and section B targeted the respondent`s familiarity with the current
reservation system. See the sample of the questionnaire in Appendix1.
3.2.
System Analysis
This is a problem-solving technique that decomposes a system into its component
pieces for the purpose of studying how well the component parts work and
interact to accomplish their purpose. System analysis deals with business problem
but not technical problem.
3.2.1. Preliminary Investigation On The Existing System
This is the first phase of the classic system development process. This can also be
called initial study phase, survey phase or planning phase. This phase was carried
out in order to actualize the following:
1) List problems, opportunities, and directives
2) Negotiate project worth
3) Plan the project
4) Present the project
Initial baselines problems, opportunities and/or directives were assessed with
respect to urgency, visibility, tangible benefits, and priority. Scope defines the
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boundary of the project, those aspects of the business that will and will not be
included. The project was initially studied in order to know what scope of the
work will be taken so that it will be finished as at when needed and required.
Initial aspect of project worth was done in order to ascertain how feasible it will
be to actualize the project. That is, how much it will cost, how operational will the
project be after implementation, what technological knowledge is required to
bring the project to completion?
3.2.1.1 Questionnaire Response And Interpretation
A total of 180 questionnaires were administered, 20 per a day throughout a week
long survey. The researcher successfully collected a total of 177 questionnaires
after completion by the staff members. The findings were:
Question 1:
Are you aware of the problems of the Payroll System?
Option
Response No.
% Response
Degree(0)
Yes
121
68.36
246.1
No
56
31.64
113.9
Total
177
100
360
Table 3.1:
Percentage Distribution Despondence on Staff
support of the payroll system. The figure shows that a substantial
number of staff is aware of the payroll system.
Question 2:
Would you want the payroll system to be automated?
Option
Response No
% Response
Degree(0)
Yes
68
56.20
202.31
No
53
43.80
157.69
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Total
Table 3.2
121
100
360
Percentage Distribution of Respondents who want
the payroll system to be automated. This figure reveals that
majority of staff will desire that the paper-based payroll system be
changed to a computer-based system.
3.2.1.2 System Proposal
The problems of the existing system were highlighted in the previous section.
These problems prompted the researcher to seek for a way to reduce or eradicate
them. A computer-based system was proposed. The proposed system will be able
to :
1) Reduce the amount of data redundancy associated with the current system
2) Reduce drastically, the difficulty associated with the recording of the
voluminous data
3) Transfer and integrate data successfully
4) To secure the system from unauthorized users, and to allow access to
authorized users of the system so that sensitive data will be properly used
5) Delays normally associated with the current system will be reduced
through automation
6) Reduce the fatigue experienced by users of the existing system
7) Ensures that every employee is treated equally and optimally.
3.2.1.3 Feasibility Report On The Proposed System
Due to the cost incurred in the process of developing major information, the
system investigation stage frequently requires a preliminary study called
feasibility study. A feasibility study is a preliminary study to investigate the
information needs of the prospective users and determines the resource
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requirements, cost, benefits, and feasibility of a proposed project. The feasibility
of the proposed system is summarized in the immediate subsections.
3.2.1.3.1
Operational Feasibility
This measures the urgency of the problem (survey and study phrase) or the
acceptability of a solution (definition, selection, acquisition and design phase).
Through a thorough analysis on the proposed system, the following were found:
1) The system will adequately provide throughput and response time
2) The system will provide end-users and management with timely, pertinent,
accurate and useful information
3) The system will offer adequate controls against fraud and to guarantee the
accuracy and security of data/information
4) It will provide desirable and reliable service to those who need it.
3.2.1.3.2
Technical Feasibility
This looks at what is practicable and reasonable as regards the technological
requirements. With in-depth analysis, the following were observed:
1) The hardware and software requirements are ready for the design
2) There is technical expertise that will help to ensure that proposed system is
implemented
3) There is possession of necessary technology
3.2.1.3.3
Economic Feasibility
The focus here is on finance to fund the project. The elements of costs which are
considered are:
1) The cost of developing an application software
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2) The cost of recruiting and training computer staff members
3) The cost of operating the computer system
4) The cost of purchasing computer(s) and its peripheral equipment
5) The cost of retraining staff members
The Benefits: The possible benefits are numerous, they include:
1) Proper organization of records and files
2) Enhanced service delivery to members of staff
3) Enhances job efficiency/ease of payroll
4) Proffers expansion capabilities in terms of organizational growth and services
diversity
5) Spurs a new medium for advertisement
6) Guaranteed increase in transaction volume and revenue acquisition
3.3.1
Data Modeling And Analysis
Data modeling is a technique for organizing and documenting a system`s data. It
is often called database modeling because a data model is eventually implemented
as a database. Data modeling is also called information modeling. Data modeling
is a process that prepares a data model for implementation as a simple, nonredundant, flexible, and adaptable database. The specific technique is called
normalization. So the data collected during interview during interviews,
observation of staff at work and examination of existing document were modeled
and analyzed.
3.3.2
The Conceptual Data Modeling And Data Normalization
Data collected from the existing system were organized and necessary actions on
documentation were done. Moreover, data were prepared to be in a non-
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redundant, flexible, adaptable and simple form through the process of data
normalization.
3.3.3 Entity Relationship Diagram
Entity relationship diagrams (ERD) depicts data in terms of the entities and
relationship described by the data. Entity is the data with which record of
employee or pay slip can be made. The relationship talks about the common entity
that relates two or more records together. Each of the entities will have attribute(s)
which is/are descriptive properties or characteristics of the data. The entity may
also be referred to as a field. Thus the entity relationship diagram of this project
work is shown in figure 3.1.
Figure 3.1: Entity Relationship Diagram
3.4
Data From Existing Records Or Document
In the payroll unit of NCC, Abuja, three main documents are used in workers`
salary preparation. These documents which are examined in the analysis of the
work are hereby listed below:
1) The individual pay record
2) The pay summary list, and 3) The pay slip
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3.4.1
Individual Pay Period
This is a sheet that contains the individual salary format, allowances, deductions
made, level of employee, category and all the payable records made by the pay
structure of the commission are herein analyzed. It is carbonized with the pay
summary list and the pay slip to eliminate any possible error.
3.4.2
Overtime Sheet
This shows the number of overtime hours worked. It is normally used for
recording official closing hours and the time worked after the normal closing
hours. It is the duty of the departmental supervisor to ensure that whatever that is
recorded on the sheet is correct and monitored. Hourly employees are entitled to
extra compensation for working overtime or being on duty on a holiday.
3.5
Promotion And Demotion Notification
A promotion or a demotion letter can be issued to an employee based on his/her
performance at work place. Though the demotion letter is rarely issued,
promotion letter which is more pronounced, notifies the employee an increment to
his current status, both in his grade level and salary earnings. The demotion letter
is the reverse of the promotion letter, which is based on depreciation in service
delivery of the employee. If the need arises for the issuance of any of the afore
mentioned letters, the personnel department will officially issue a notification
letter to the payroll unit to effect the changes for the employee`s pay computation.
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3.6
Process Modules Of The Proposed system
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CHAPTER FOUR
4.0.
SYSTEM DESIGN AND IMPLEMENTATION
4.1
Software System Development Methodology
Every effective software system passes through a standardized series of logical
developmental phases called System Development Life Cycle (SDLC) to meet
certain requirements. The method through which the software development life
cycle is carried out is called software system development methodology (SSDM).
It covers many activities; starting from understanding why the system should be
built, studying the project feasibility, analyzing problems, choosing the system
design and architecture, implementing and testing it, and the deployment and
maintenance of the system.
System development life cycle is aimed at achieving a high quality system that
meets the user requirements. Many methodologies have been developed and
introduced in order to implement system development life cycle. Although each
method follows certain different techniques and steps, they all maintain the same
development phases described above.
4.1.1
Types Of Software System Development Methodology
There are several system development methods in existence today, namely:
Scrum, Extreme Programming, Lean Software Development, Unified Software
Development Process, Agile, Waterfall, Feature Driven Development, Microsoft
Solutions Framework, Capability Maturity Model Integration, Prototyping,
Throw-Away Prototyping, Use-Case Drive, Architecture Centric, Iterative And
Incremental, Dynamic View, Functional View, Enterprise Unified Process, Evo,
Phased Development, to mention but a few.
Basically, these vast methods have been categorized further into three main
methodologies which are Structured Design, RAD (Rapid Application
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Development), and Object-oriented Analysis and Design. Each of the available
methodologies is best suited to specific kinds of projects, based on various
technical, organizational, project and team considerations. For the purpose of the
proposed automated payroll software system, the WATERFALL method is
adopted as the payroll software development methodology.
There are two approaches in developing system using Waterfall methodology,
process-centered and data-centered approaches. Process-centered approach
attempts to get the works done mainly from the perspective of the processes that
exist in the operation of the system, which will likely result in system that
constructed by process-oriented components. On the other hand, the data-centered
approach concentrates on the data used by and involved in the system. The
Waterfall development methodology is categorized under Structured Design
Methodology.
Figure 4.1: Waterfall Software Design Methodology
4.1.2
The Reasons For Adopting Waterfall Methodology For the Project
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The researcher considered Waterfall software development methodology suitable
for the automated payroll design and implementation due to the under listed
advantages.
1) Waterfall supports less experienced project teams and project managers, or
project teams
whose composition fluctuates.
2) The orderly sequence of development steps and strict controls for ensuring the
adequacy of documentation and design reviews helps ensure the quality,
reliability, and maintainability of the developed software.
3) Progress of system development is measurable.
4) Waterfall methodology Conserves payroll resources.
5) It divides the Project is into sequential phases, with some overlap and splash
back acceptable between phases.
6) Emphasis is on planning, time schedules, target dates, budgets and
implementation of an entire system at one time.
7) Tight control is maintained over the life of the project through the use of
extensive written documentation, as well as through formal reviews and
approval/signoff by the user and information technology management occurring
at the end of most phases before beginning the next phase.
4.2
System Design
System design is defined as those tasks that focus on the specification of a
detailed computer-based solution. Whereas, system analysis is emphasized by
business problems, system design focuses on the technical concerns of the system.
This chapter deals with the technical details of modeling the system, designing its
database, inputs, reports, user interface, the application architecture and security
specification, and producing other specifications which enables the application to
be completed and accurately implemented.
4.2.1 Database Structure And The Data
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File structure: The data modeled in figure 3.6 must be logically organized into a
physical database so that relevant data and information will be stored. The entities
in figure 3.6 are represented as files while the tables make up the database
structure. The Database file structure for the various files is: login, employee
record, pay slip, and report.
Table 4.1: Login Table
S/no.
Description
Field Name
Type
Width
Decimal
1
User Name
User-ID
Character
30
Nil
2
User Password
Password
Character
10
Nil
3
User Access Level
Access Level
Character
1
Nil
Table 4.2: Employee Record Table
S/no.
Description
Field Name
Type
Width
Decimal
1
Employee Surname
Surname
Character
30
Nil
2
Other Names
Other-names
Character
30
Nil
3
Staff Number
Staff-ID
Character
10
Nil
4
Address
Address
Character
30
Nil
5
Sex
Sex
Character
6
Nil
6
Department
Dept
Character
30
Nil
7
Marital Status
Marital-status
Character
7
Nil
8
Date of Birth
D-Birth
Date
8
Nil
9
Date Employed
D-Employed
Date
8
Nil
10
Passport
Passport
OLE
1
Nil
11
Signature
Signature
OLE
1
Nil
Table 4.3: Pay Slip Table.
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S/no.
Description
Field Name
Type
Width
Decimal
1
Account Number
Bank-acct
Character
10
Nil
2
Staff Number
Staff-ID
Character
10
Nil
3
Basic Salary
Basic-pay
Character
0
2
4
Housing Allow
Housing-allow
Number
0
2
5
Medical Allow
Medical-allow
Number
0
2
6
Utility Allow
Utility
Number
0
2
7
Transport Allow
Transport-allo
Number
0
2
8
Training Allow
Training-allo
Number
0
2
9
Gross Pay
Gross-pay
Number
0
2
10
Tax
Tax
Number
0
2
Table 4.4: Report Table
S/no.
Description
Field Name
Type
Width
Decimal
1
Report Number
Report-ID
Character
10
Nil
2
Staff Number
Staff-ID
Character
10
Nil
3
Account Number
Bank-acct
Character
10
Nil
4
Gross Pay
Gross-pay
Number
0
2
5
Deductions
Deductions
Number
0
2
6
Net Pay
Net-pay
Number
0
2
The above tables were implemented in project using Microsoft access 2003.
4.2.2
Structured Query Language And Open Database Connectivity
A) Structural Language (SQL): When data are normalized, related
information is placed in multiple tables. When the data are to be
accessed, record sets that consolidate the related information from the
multiple tables need to be created. This is done by using the SQL
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(structured query language) that specifies the desired fields, the
location of the field, and the relation between the tables.
B) Open Database Connectivity
One method used to communicate with client/server Database is called
open database connectivity or O.D.B.C is a component of Microsoft`s
windows open system architecture (WOSA). ODBC provides a set of
application program interface (API) functions which makes it easier
for a developer to connect to a wide range of database formats. In this
work, ODBC was used to connect the application program to the
database so that data can be easily accessed from the database to the
application program, and vice versa.
4.2.3
Input And Output Design Form
The input, processing and output of the automated payroll design is sub-divided
into the following menus, and each menu performs the function as its name
implies
1) Add New Employee Information
2) Update Employee Information
3) Calculate Employee Monthly Pay
4) Print Employee`s Monthly Pay Slip/Advice
5) Search the Payroll System
6) Exit Payroll System
7) Help
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4.2.4
Security Specification
To ensure an effective and secured access, three basic elements must be in place:
authenticity, authorization, and accountability, collectively known as AAA
security. AAA security ensures that only people who gain access to employee
payroll information are the authorized people. Authentication makes sure that
only the proper people can gain access to a system. This is performed with a user
name and a matching password.
Authorization makes certain that once users are inside the system, they can access
only the information and resources that are appropriate for them, whereas,
accountability ensures that the people/users are held responsible for their actions
by keeping detailed records, or audit logs. Unauthorized users` particulars will be
recorded in a file which only the system administrator will have access to, and
which will alert the system administrator that someone is trying to steal
information.
These three basic elements are provided in this project work. The system
administrator sees to the information and access level management of the system.
4.2.5
System Development
In the design phase of the automated payroll system, system development
involves the process of applying various techniques, algorithms and principles for
defining the system in a sufficient detail to ensure its physical realization. In other
to achieve this, a variety of tools such as program flowchart and function
interactive diagrams are used to implement the system design optimally. All these
are shown in appendix. The application was developed with an HP 550 laptop
computer with the following configuration: a Pentium ® DUAL CPU T2370
@1.73 GHZ, with 1GHZ speed RAM, 112 GB Hard Disk, 32 bit system with
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windows system operating system and the application was developed on
Microsoft visual basic compiler (VB) version 6.0.
Visual basic programming language was selected based on the fact that it directly
supports database files in several formats in addition to other rich qualities like
accessing files created with Dbase, Excel, etc with the professional edition, Active
X data object (ADO) and open Database connectivity (ODBC).
4.2.6
Software Design
After the system has been analyzed, the focus is now to design a new system that
will take over the deficient exiting manually operated payroll system. A good
software design is the beginning of an effective software engineering exercise. A
well designed software system is easier to implement and maintain. It is easily
understood and reliable. The difference between the proposed system and the
existing system is that the existing system uses manual method while the
proposed system is a computerized counterpart. Software being a creative process
cannot be formulated as a set of rules. Nevertheless, the use of systematic
methodology simplifies the design process and results in software system which is
comprehensive, reliable and also verifiable.
4.2.7
System Development Platform: Visual Basic 6.0
This application software, automated payroll system, is developed in a visual
basic version 6.0 programming language. Microsoft visual basic is a programming
language which is used to write windows-based computer program. It is used to
create a customized productivity tools with which one can design programs also
known as application to accomplish any task one can imagine. Visual basic is a
descendant of BASIC (Beginner`s All-purpose Symbolic Instruction Code) which
was one of the earliest programming languages ever in existence.
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BASIC was originally developed as a practicing language to give its users the
opportunity to become familiar with other programming languages which are
seemingly more complex and difficult. With the advent of windows, Microsoft
developed visual basic which is a visual graphical version of BASIC. Since its
introduction, visual basic has advanced into an extremely powerful application
development tool, leaving behind its reputation as a beginner`s language. One
very interesting feature of visual basic is the fact that one can explore it to create a
suite of applications very quickly. Visual basic has versions, starting from the first
to the recent version 6.0 and is used in this program development, “ automated
payroll system”. This project in visual basic version 6.0 follows a three step
procedure for planning the project, namely: setting-up the user interface, defining
the properties, and creating the code.
1) Design the user interface: Here, I drew a sketch of the monitor screen
the user will see when running the project. This contains and shows
the forms and all the controls that I plan to use in the project
concernment.
2) Planning the properties for each object, I got ready the properties that I
planned to set or change during the form design
3) Plan the basic code: This is where I plan the procedures that execute
when the program runs.
4.2.8
User Interface Design
The user interface defines how the system user directly interacts with the system
to provide inputs and queries and receiving output and helps. Thus the user
interface is the specification of conservation between the system user and the
computer. It therefore, establishes the dialogue between users and computer. The
dialogue makes for very accommodating and friendly user interfaces. In this
concernment, user interfaces were designed using a GRAPHICAL USER
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INTERFACE (GUI) programming language called Visual Basic 6.0. This
language comes with various controls which help in the interactivity of the
system. The controls that are used in this project are:
1) Textbox: Used to enter data/values into the system
2) Command button: These are used enter the data to be processed, or to cancel a
transaction or option
3) Drop-down list box/combs box: To specify particular choice amongst s list of
alternatives
4) Check box: This provides the user with the flexibility selecting a value via a
keyboard or mouse
5) Message box: These offer information/guide to the user about the system.
4.2.9
Application Architecture
Application Architecture specifies the technology to be used to implement
possibly all information system in terms of payroll data, process, and how these
components interact and communication across a computer network. Application
Architecture makes possible the distribution of the proposed system over a
combination of more than one computer and other hardware devices like printer,
scanner to be interconnected for resources and files sharing in a computer
network. This is for an extended payroll service.
4.2.9.1 Network Topology
The topology defines how the devices (computers, printers, scanners, etc) are
connected and how the data flows from one device to another. There are two
conventions while representing the topologies. The physical topology defines how
the devices are physically wired. The logical topology defines how the data flows
from one device to another. Broadly categorized into Bus, Ring, Star, Mesh
topologies.
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Fig 4.5 Outlines Of Various Types Of Topologies
For the purpose of this software implementation, I recommend the bus topology
to the case study NCC, Abuja due to its simplicity and ease of installation and
application.
4.2.9.2 Bus topology
In a bus topology, all devices are connected to the transmission medium (cable) as
backbone. There must be a terminator at each end of the bus to avoid signal
reflections, which may distort the original signal. Signal is sent in both directions,
but some buses are unidirectional. It is good for small networks. Can be used for
10BASE5 (thick net), 10BASE2 (thin net) or 10BROAD36 (broad band) co-axial
bus standards.
Fig 4.6 The bus topology.
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4.2.9.3 Types of Network
There are basically two types of computer network, namely, peer-to-peer
configuration which lacks security, and the client-server model with full control
over security and protection. I, as a matter of fact recommend the client-server
network for the automated payroll system implementation because of its security
and versatility in network.
4.2.9.4 Client/server
This describes the relationship between two computer programs in which one
program, the client, makes a service request from another program, the server,
which fulfills the request. Although the client/server idea can be used by
programs within a single computer, it is a more important idea in a network. In a
network, the client/server model provides a convenient way to interconnect
programs that are distributed efficiently across different locations. Computer
transactions using the client/server model are very common. The client/server
model has become one of the central ideas of network computing. Most business
applications being written today use the client/server model.
Typically, multiple client programs share the services of a common server
program. Both client programs and server programs are often part of a larger
program or application. In this project work, the administrative department of the
payroll unit is where the server will be installed and at least one computer system
needs to be installed in any other payroll sections.
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Fig 4.7 Client server model
4.3
System Implementation
4.3.1 System Development Package
The system development software is as follows:
Microsoft visual studio 6.0: This is a suite of application packages for the
development of the system. It contains a collection of all Microsoft oriented
programming languages, any of which could be readily utilized by developer.
Visual Basic 6.0 is used to program the proposed system.
Microsoft Access XP Windows 7 Ultimate: This database delivers powerful tools
for managing and analyzing data. It offers excellent capabilities for miniature data
storage and with its compatibility with object oriented programming language. It
was employed as the relational database where all the system data and
information are kept. It also permits instant export of data stored to Microsoft
SQL server and Microsoft applications. These two packages were used as
developmental tools during the project design.
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4.3.2
Site Preparation
Site preparation handles all the needed conducive environment and conditions
under which the system can optimally deliver the expected output. The computer
system(s) should be sited away from generating plants. The installation needs to
be protected from unauthorized physical access, the area has to be adequately
ventilated with fans and air condition to maintain cool temperature. Also needed
is an uninterrupted power supply system to manage power outages. This is to
prevent the system from malfunction. Power interrupt causes fatal error to both
hardware and software. Stabilizers should also be supplied to avert fluctuation of
power supply.
4.3.3
System Requirement Cost
The basic requirements for the implementation of this system in the commission
are shown in the table:
4.3.3.1 Hardware Requirements
QTY.
1
2
3
DETAILS
Server system at the payroll unit
HP Pentium iv
Microcomputer 60+GB HDD, 512- 1GB RAMS, 1.4- 1.6 GHZ. 1
Laser Jet Printer.
At least two other client systems:
XP, Pentium 111 or above, microprocessor 40+GB HDD,
128+MB RAM, 1.4GHZ.
Bin atone inbuilt stabilizer and UPS
Two printers
Network Accessories
Total
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AMOUNT
#88,000
#130,000
#75,000
#55,000
#348,000
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4.3.3.2 Software Requirements
DETAILS
AMOUNT
Windows 7 Operating System
#20,000
Payroll Record Software, (HRS 1.0)
#90,000
Total
#110,000
4.3.3.3 Personnel And Training Requirements
Computer savvy personnel, knowledgeable in database management with
the ability to use a structured query language, a general system maintenance with
extensive knowledge in network related issues will be required. Members of staff
will be required to undergo both a computer appreciation course and training on
HRS 1.0 application.
DETAILS
AMOUNT
Personnel
System & Database Administrator
#20,000
Training
Computer Appreciation Course
#80,000
Total
#100,000
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4.3.3.4 Operation And Maintenance Requirements
DETAILS: 6 months basis
AMOUNT
Source Document:
Payroll Documents
#20,000
Pay slip Documents
#25,000
System Maintenance
#200,000
Total
#245,000
4.3.3.5 Total Cost Of System Requirements
4.3.4
DETAILS
AMOUNT
Software Cost
#110,000
Hardware Cost
#348,000
Personnel & Training Cost
#100,000
Operational & Maintenance Cost
#245,000
Total
#803,000
System Testing
After the design of the system, program was written and installed. Then the
program was tested with sample data to ascertain its correctness. During these
processing, logic errors, syntax errors and other possible errors were detected and
debugged. During this period, the need for the improvement of the programming
codes and from interface was observed and necessary actions were taken to
actualize and validate the processes.
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4.3.5
Conversion Plan
The conversion plan to be used is parallel conversion. This plan supports the
simultaneous operation of both the old and new system for a time frame
depending on when the new system is well adapted. Though this plan is costly but
it avoids the calamity that may befall the payroll unit and the organization at large
if the users of the system should loose or misuse payroll details as a result of lack
of familiarization with the new system.
4.3.6
Deployment And Maintenance
The fully designed and implemented automated system is ready for deployment.
Tight plans should be provided for the maintenance and upgrading of the system
at regular intervals depending on management decision. This maintenance plan is
aimed at updating/upgrading the functionalities of the system to meet up with
future demands and technology.
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CHAPTER FIVE
5.0.
SUMMARY, RECOMMENDATIONS AND CONCLUSION
5.1
Summary
In summary, Payroll which contains the wages/salaries of workers in any
organization is very important because it deals with the production of pay slips for
the employees and the maintenance of employee record required for taxation and
other deductions. A computerized payroll system involves the design and
implementation of a computer-based pay roll package procedure with an
electronic data processing machine which brings about, efficiency, speed,
accuracy, easy storage and prompts retrieval of individual employee record, and a
secured security backup of files. After the analysis of the manual pay rolling
method, investigation and data collection, then the new system is designed and
implemented with Visual Basic 6.0 for the payroll unit of the Nigerian
Communications Commission, Abuja. The software was tested and implemented
with the help of system flowchart, program flowchart, block diagrams and the
system software.
5.2.
Recommendations
Payroll system determines the wages/salaries of workers; hence any business
establishment should handle with care. The computerized counterpart of the
payroll system was recommended by the researcher due to the numerous benefits
the user stands to gain as earlier stated in this project work. The need for the
proposed system outweighs that of the manual payroll system which is now
almost obsolete. Nevertheless, some establishments find it difficult to
computerize their payroll system because of the high cost involved in the system
design and implementation. I strongly urge every organization to adopt the
computerized payroll system, irrespective of the cost because of its security,
efficiency, speed and accuracy in payroll management.
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5.3
Conclusion
The automation of a payroll system is profit-oriented to organizations and
industries. It should be adopted in all the accounting department of every
establishment since it is error-free and ensures data security. Computerized
payroll system is an effective accounting tool necessary in order to reduce fraud
and corruption that is inherent in the manual counterpart. At the same time it is
needed both by private and government establishments due to its numerous
advantages. An automated payroll system to a large extent enhances the economic
growth of any firm since prompt and accurate payment of workers` wages/salary
motivates the workers to put in their best service.
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Web Links
http//:www.payrollsystem.com/researchwork
http//:www.automatedpayrollsystem.com/review
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