Computer Information System
January 9, 2012
Jana L. Highwart, MBA
Computer Information System
Kudler Fine Foods is a specialty food store in the San Diego area (Apollo Group, Inc., 2010). Kathy Kudler opens three stores, first store is La Jolla, second store is Del Mar, and the third store is Encinitas. According to Apollo Group, Inc., (2010), Kudler Fine Foods has an assortment of local and international food and beverages including items such as seafood, produce, condiments, meat, dairy products, bakery, packaged foods, wine, and cheese. Kudler Fine Foods hires Seeley’s Firm to evaluate Kudler’s accounting and information technology systems. Seeley’s Firm ...view middle of the document...
, 2010). Smith Consulting installs the system in all three locations and supports the RMS on a yearly basis. Every store has its own network of four point of service (POS) for employees to finish consumer’s transactions. An Ethernet network with a 56K modem connects the three store’s computers, which their power supply is a standalone uninterruptible power supply. Kudler has one Novell server for each stores POS system (Apollo Group, Inc., 2010). La Jolla and Del Mar stores connect two other computers to the network, which allows one computer to connect a printer and external CD burner and the other computer has a built in modem and CDROM reader.
Strengths and Weaknesses of Current System
Kudler’s current RMS strengths are it is a scalable system with an assortment of components existing, which are currently in place. According to Merriam-Webster Dictionary (2012), the term scalable means, “capable of being easily expanded or upgraded on demand.” This allows Kudler to meet the needs of their growing and developing business. Currently when a consumer’s transaction occurs, the POS automatically posts the details of the transaction to the general ledger, to the electronic payment center, and the purchasing function. The detail of the transaction is crucial to the system because this calculates the cost of goods sold and the inventory total. The current system organizes day-to-day reports from the POS transactions for the locations as well as the business. The transaction documents that transfers to the electronic payment center initiates the automatic transmission of the credit card transaction to the applicable financial organization. The purchasing task collects the documents from the POS system to arrange invoices for retail. Last, the standalone uninterruptible power supply is essential because of the threat of power failure.
One weakness for Kudler’s current RMS is the few requirements regarding the manual data record to the general ledger segment. Another weakness is Kudler Fine Foods has no purchasing department. Each store is accountable for purchasing items for their store. Kudler Fine Foods encourages the stores to converse with each other to establish if by purchasing larger quantities together is cost benefit. Also cash purchases from local agriculturalists can cause problems with accounts payable segment of the RMS. The asset management and accounting segments have not been obtained. This segment will help Kudler improve and manage their assets and accounting needs. Kudler Fine Foods has problems predicting sales. There is no technique in place to help manage what and how much of an item each store should have in stock. Kudler Fine Foods has no official policy regarding security matters and audits, even though the RMS has safety procedures regarding user ids, passwords, limited access, and dollar amounts.
Opportunities and Recommendations
One area the current RMS does not meet the needs for Kudler Fine...