DESIGN AND IMPLEMENTATION OF A SALES FORECASTING SYSTEM USING LINEAR REGRESSION MODEL


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DESIGN AND IMPLEMENTATION OF A SALES FORECASTING SYSTEM USING LINEAR REGRESSION MODEL

ABSTRACT

The research work “Sales -Forecasting System”  is a sales system using ‘point of sales ( POS ) technology to achieve its sales, accounting and linear regression model for sales forecast included in the system is the supplier registration and management, product registration and management, user management, customer management sales report, receipt printing and sales forecasting. This work was done as a result to solve the problems usually encountered in most companies. The Employee Management System was achieved using two programming environment: PHP and MYSQL, with php as front-end and mysql as the backend database. The system can be entered using a username and password. It is accessible either by an administrator or staffs. The interface is very user-friendly. protected for personal use and the data processing is very fast.

CHAPTER ONE: INTRODUCTION

1.1.0   GENERAL INTRODUCTION 

Forecasting is the process of making predictions of the future based on past and present data and analysis of trends. Sales forecasting is the ability to forecast future sales base on past months sales.Sales forecasting system uses several proven models such as qualitative versus quantitative model, average approach model, casual /econometrics forecasting model, linear regression model etc., these model are proven models use over the years by different financial institutes.

1.2.0                INTRODUCTION

Chapter one introduces the research work and the problem definition of the research, and to know the aim of this research work, research justification tells us why it is important to research on this topic; it also covers areas like scope and limitation of study which entails the boundary of this work. Definition of terms gives summarize what each chapter entails.

1.3.0   PROBLEM DEFINITION

This research work was undertaken to uncover some of the problems with conventional sales forecasting management systems. Where accountant has to calculate using a specific sales model formula in forecasting on a regular basis. Using these conventional method pose lots of constraint on sales forecasting as it takes lots of time forecasting using which ever model is adopted by the sales manager or accountant or financial adviser.

1.4.0                  OBLECTIVE OF STUDY

               In view of the problems mentioned above, this project is aimed at implementing a sales forecasting system using linear regression model and with an added POS system

⦁ Manage and forecast sales 

⦁ Automate customer, product, supplier management on the system

⦁ Manage system access and roles on the system 

⦁ Manage every users of the system

1.5.0             RESEARCH JUSTIFICATION       

This research work will provide a reliable way of handling sales and sales forecasting using linear regression model to forecast sales in and financial institution. Furthermore, it will aids structural document representation and eliminates the tedium of performing monotonous transaction. This research will also contribute to existing literature in this area and will serve as a guild or blueprint for an undergraduate student.

1.6.0         RESEARCH METHODOLOGY

This research work “design and implementation of a “Sales Forecasting System” will be a web-based application and will be implemented on a relational database system (MySQL). Html (hypertext markup language), css (cascading style sheet) and Jquery will be used to design the web-user interface, php (hypertext preprocessor) will be used as the serve- side script language to link the interface and the database.

1.7.0                SCOPE AND LIMITATION OF STUDY   

This research work is to develop a system capable of managing sales on a daily basis using a “Point of Sales (POS)” method and also, being able to forecast sales using linear regression model.

The system will not incorporate in its development all the models use for sales forecasting but will focus only on the aforementioned models and functionalities. The system will not be responsible for any loss of data if its environment (network/system installed on) is corrupt.

1.8.0        CHAPTER LAYOUT

This section  was  put in place to explain what each chapter does, chapter one introduces the project to the reader by explaining the problems the project is supposed to solve, objective of the study and research justification is to describe to the reader the purpose and the  importance of  researching on this topic, research methodology is all about the method used in implementing the research work, scope and limitation describes  the boundary of the research work and where the project work can be put into use.

Chapter two deals with the literature review and state-of-the-art. This chapter discusses literature review, what people have published related to this research work and their shortcoming, how this present research can improve their shortcomings.

             Chapter three deals with the system design methodology i.e. collection of tools methods and practices for achieving a task; the requirement specification states the expectation of the system analysis, and design which is the blueprint of what the system would carry out.

                  Chapter four has to do with the implementation, system testing strategies, target computer system requirement, software maintenance etc.

                  Chapter five discusses the recommendations and conclusion part of the research work and how this work can be applied to the problem domain.

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