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                          A Report on
Sales System of
PSO Multan

 


 

Acknowledgments

 

 

 

 


Many individuals have contributed in completion of this report .We are especially thankful to Sales Executive Pakistan State Oil Mr. Abdul Rahman for his precious time and help. He provided us with the knowledge of existing sales system of PSO.

                                                                                               

                                                                                                    We are also thankful to our reviewers: Mansoor Ur Rehman, and Farooq Ahmad for their review & guideline regarding sales systems of different organizations. We also recognize the constructive feedback from Kamran javaid. Naval university Islamabad and M.Tariq .Preston university Multan.

 

                                                                                                                                                                              This report would not have been possible without our parents’ encouragement. Very Special thanks to our parents for their love, affection, encouragement, and help.

 

 

 

                                                                        Authors

 

                                                                            

               PREFACE             

  

 

 

 

Study of System Analysis and Design course has two aspects: Theoretical and practical. All that we have studied in class room is theoretical; as we have read text on different phases and techniques used for system analysis and design.

                                                                                                          For the practical implementation of our knowledge we have analyzed the sales system of Pakistan State Oil Multan division-for sales of petrol, diesel, Kerosene, furnace oil and other lubricants. We have visited DM office PSO Multan. DM office is covering the sales of a large area i.e. southern Punjab and some more adjacent area. System there is not computerized.

                                                                                                        We have implemented techniques that we have read during course study. Sales system in PSO is conventional, however they are not facing problems but in near feature they might need a computerized system, as computerization of any organization comes with several advantages like cost saving etc.

 

 

                                                                                      Authors

                                                         

 

 

                                Contents

                                    

                                                        Introduction

 

1. Introduction to

oil marketing companies in Pakistan……………..

2. Introduction to

    PSO company LTD………………………………

3. Company overview……………………………...

4. Objectives…………………………………………

5. Financial performance…………………………...

6. Market share of Company………………………

7. Infrastructure……………………………………..

8. Products of PSO………………………………….

9. Information about

    Sales office Multan………………………………

 

                                                   Existing System

 

1. Product requisition and

    Sales invoice slip………………………………..

2. Context level diagram………………………….

3. Sales categories of PSO…………………………

4. Problem Definition……………………………...

5. Detailed analysis of

    existing system………………………………….

6. Alternatives……………………………………...

7. feasibility study………………………………....

8. Cost/Benefit Analysis………………………….

 

 

                                                Proposed System

 

1.     Conventional file system .vs.

 Computerized database system……………

2.     Data flow diagram of

 Proposed system……………………………..

3.     Definition of DFD……………………………

4.     Master files……………………………………

5.     Customer Master file………………………...

6.     Product Master file…………………………..

7.     Cartage contractor Master file…………………………………….

8.     Advantages of our proposed

 System………………………………………...

9.     Users’ work with computer………………...

10. Menus…………………………………………

11. Conclusion……………………………………

 

 

                         References are at the end.

 

 

 

 

 

 

 

 

 

   Introduction

 

 

 

There are four major petroleum and lubricants marketing companies operating in

Pakistan.

 These companies are:

 

1. Pakistan Sate Oil Company Limited.

2. Shell Pakistan Limited.

3. Caltex Pakistan Limited.

4. Total Atlas Lubricants.

                       (Total Parco Pakistan).

 

A brief introduction of these four companies in account of Pakistan is as follows:

 

Pakistan State oil Company Limited

 

The Company has the largest retail network in the country and the most extensive terminal and depot network. The Company is focused on efficiently meeting the energy requirements of Pakistan. Through its commitment to customer satisfaction it is consistently seeking to improve product quality.

PSO is committed to being the pre-eminent marketer of petroleum products and services to its customers, and achieving this goal while maintaining high levels of efficiency and profitability. As such, it has contributed greatly over the years towards the development of the petroleum products infrastructure in
Pakistan.

 

Company divisions are as follows:

v    Retail

v    Industrial Consumer

v    Aviation & Marine

v    Lubricants & Agency trade

 

SHELL Pakistan Limited

It all began in 1899 when the company initiated its operations with the import of kerosene from Azerbaijan. Over the years, new more refined products were introduced to encompass a rapidly expanding product line.

 

Primarily involved in upstream- oil and gas exploration and production; and downstream activities - refining, transportation and marketing of petroleum products; the Shell Group of Companies has interests that include petrochemicals, coals and metals as well.

The Royal Dutch Company and Shell Transport & Trading Company merged their interests in 1907 and together they formed one of the world’s largest enterprises. Operating in over a 100 countries and employing more than 100,000 people, Shell is also the largest retailer of automotive fuels and lubricants in the world.

The businesses of shell in Pakistan are:

 

          1. Commercial road transport.

          2. Industries.

          3. Lubricants.

 

CALTEX Pakistan Limited

 

                                               Caltex Petroleum Corporation, of which Caltex Oil (Pakistan) Limited is a part, is a major International Oil Company, created in 1936 as a joint venture between two major US oil companies, Chevron Corporation and Texaco Inc. It has been called the most successful joint venture in corporate history.

 

Caltex has operated in the sub-continent since 1938 and established its subsidiary Caltex Oil (Pakistan) Limited (COPL) in 1947. Apart from the main oil storage facility at Karachi, COPL has 13 Depots throughout the country.

 

 

Caltex is a diverse organization operating Refineries, Refined Oil Terminals, Lube Blending Plants, LPG / storage / marketing facilities and retail outlets. Caltex companies refine, manufacture and market a wide range of petroleum products in Asia, Africa and Australia. Throughout its history, Caltex has been recognized for its commitment to quality products, leading edge technology and engineering having 17,500 retail outlets in 64 countries of the world. Its Corporate Headquarters is located in Dallas, Texas.

 

Refining and Manufacturing in Pakistan

 

·       Pakistan Refinery Ltd., Karachi (12% equity interest)

·       Lube oil blending plant, Karachi

Caltex Oil (Pakistan) Limited manufactures and markets high quality lubricants for both Automotive and Industrial applications conforming to the highest International Standards.

 

 

 

 

 

 

 

 

 

 

 

 

PSO company Limited

 

Company overview: Established in 1976, PSO was formed through the amalgamation of three state controlled oil marketing and storage companies, Pakistan National Oil ("PNO"), Premier Oil Company Limited ("POCL") and State Oil Company Limited ("SOCL"), formerly ESSO Undertakings. PSO is currently the largest OMC in Pakistan, and is engaged in the storage, distribution and marketing of petroleum products, petrochemicals, LPG and CNG. The Company has the largest retail network in the country and the most extensive terminal and depot network.

 

Objectives:

                   The Company is focused on efficiently meeting the energy requirements of Pakistan. Through its commitment to customer satisfaction it is consistently seeking to improve product quality.

PSO is committed to being the pre-eminent marketer of petroleum products and services to its customers, and achieving this goal while maintaining high levels of efficiency and profitability. As such, it has contributed greatly over the years towards the development of the petroleum products infrastructure in
Pakistan.

The Company recently embarked upon an extensive program of restructuring, rationalizing its network of retail outlets, improving its marketing image through a nation-wide initiative to refurbish and re-brand key retail stations, and further improving efficiencies by streamlining its organizational structure.

 

 

 

 

 

 

Strong financial performance:

                                                 

                                                     PSO has an impressive record of profitable financial performance. Revenues have grown at a CAGR of 13.8% since 1996 and earnings before interest, depreciation and amortization ("EBITDA") has grown at a CAGR of 10.6% over the same period. For the fiscal year ended June 2001, PSO generated sales volume of 12.6 million tons with sales revenue in excess of Rs. 169 billion (US$ 2.8 billion) and after tax profits of Rs. 2.25 billion (US$ 37.5 million). PSO is the third largest publicly listed company in Pakistan by equity market capitalization, and a recipient of the Karachi Stock Exchange Top 25 Companies Award for 17 consecutive years. Further Financial information on PSO is available on the following website: www.psocl.com


Market share: A brief description of each of the Company's Division’s follows:

Retail: PSO is the market leader in the Retail sector in Pakistan with approximately 40% market share in motor gasoline and over 60% in diesel oil. PSO owes this competitive position in part to its extensive dealer financed retail network of more than 3,750 outlets, which is by far the largest in the country. In the last two years the Company has embarked on a scheme of rationalization, closing down unprofitable stations, and upgrading and re-branding others.

Industrial Consumer:

                                   The industrial consumer division enjoys high volumes and generates steady profitability and cash flows. The division has long-term contracts in place with independent power producers ("IPPs") in Pakistan. Other major customers include state-owned utilities and various commercial consumers. The division's primary product is fuel oil in which PSO has an approximate 85% market share.

Aviation & Marine:

                                PSO is the market leader in aviation fuels in Pakistan with an approximate 60% market share. The Company supplies fuel to domestic and international airlines, as well as the air force. PSO also has a dominant market share in bunker fuel.

Lubricants & Agency trade:

                                              There are approximately 600 agents around the country with whom PSO has agreements for the sale of petroleum products including furnace oil, light-diesel oil, kerosene and lubricants. PSO sells its own brand of lubricants and is also the exclusive distributor for Castrol lubricants in Pakistan.


 

Structural reforms underway:

                                                  In recent years, the GOP has appointed senior management personnel from the private sector to run PSO. The new management team initiated a structural reform program for the Company, upgrading its retail outlets and concentrating increasingly on high margin products. In FY2000 PSO incurred Rs 967 million (US$18.6 million) of capital expenditure, primarily on the Company's New Vision retail development program. PSO is now moving towards a marketing strategy which is similar to that employed by the multinational OMCs present in Pakistan.

The new management team also completed a staff rationalization program through the implementation of a voluntary redundancy scheme to reduce staff numbers, improve competitiveness and bring it more in line with the other OMCs in
Pakistan.


Infrastructure:

                          PSO owns key import terminals and has an overwhelming advantage in terms of the storage capacity and geographical coverage of its depot network.

Terminals & depots:

                                  PSO has significantly greater terminal capacity than its competitors, particularly at the strategic import points. The Company's nationwide storage capacity is about 758 thousand metric tons. Of this, about 501 thousand metric tons is located at the major import points which include Keamari, Zulfiqarabad oil terminal and Pipri Marshalling Yard.

 

 

 

Financial Highlights

 

FY 96

FY 97

FY 98

FY 99

FY 00

FY 01

Sale Revenue

80,563

109,508

121,345

115,636

135,040

169,726

Marketing & Administrative Expenses

1,000

1,143

1,155

1,153

1,452

1,671

Profit before Tax

2,563

3,746

2,826

3,356

3,581

3,451

Profit after Tax

1,498

2,046

1,846

2,671

2,231

2,251

Capital Expenditure

921

821

408

397

967

1,245

Shareholder's Equity

4,149

5,533

6,586

8,184

8,986

9,808

No. of Shares outstanding

64

83

99

119

143

143

Break-up Value (Rest / share)

65

67

66

69

63

69

Cash Dividend

382

662

794

1,072

1,429

1,429

Dividend Per Share (Rest.)

6

8

8

9

10

10

Bonus Share (%)

30

20

20

20

--

--

Sale volume (Million tons)

11.6

11.9

12.7

12.1

12.7

12.60

 

 

 

 

Products of PSO

PSO AUTOMOTIVE OILS

        Engine Oils

             PSO CNG Oil

             Premier Motor Oil

             Premier Motor Oil

             Turbo Engine Lube X

             Turbo Engine Lube (SAE 15W/40)

             Turbo Engine Lube LD

             Turbo Engine Lube (SAE 10W-30 & 20W-50)

             Diesel UBE LD/MLD

             Diesel Lube D-3

             Diesel lube HD

             Tractor Oil

             Engine Lube

             Gas Engine Oil

             Two-Stroke / Flushing Oil

        Gear / Transmission Fluids

           Gear Oil EP(GL-5)

           Gear Oil EP

           ATF

        Brake Fluids

           Hydraulic Break Fluid HD

       Automotive Greases

           MP Grease

     

   

 

PSO Industrial OILS

        Circulating Oils

           Texol/Texol-K

        Spindle Oils

           Spincot

        Hydraulic Oils

           Hygrol

           Hygrolaw

      Turbine Oils

           Turbine Oil

        Gear Oils

           Gear Oil MEP

           Gearled EP

        Refrigeration Oils

           Low Pour Oil

        Cylinder Oils

           Cylinder Oil M

        Asphaltic Oils

           Sugar Mill Oil

           Bearing Compound

           Gear & Wire Rope Compound

        Heat Transfer Oils

           Heat Transfer Oil

        Metal Working Fluids

           Solcut Oil

           Super Solcut Oil

           Neat Metal Cutting Oil

           Quenching Oil No:10

   

     Slide Way Oils

           Slide Way Oil

       Process Oils

           Process Oil-R

           Jbo/Rpo/Wbo

        Transformer Oils

           Transformer Oil

       Industrial Greases

           Alpha & Alpha EP Greases

           Moly Grease EP

     

   

Castrol Automotive OILS

        Engine Oils

           GTX Magnatec

           GTX Plus

           GTX

           XL

           GTX-XL

           RX Super Max

           Turbo Max

           CR40 Plus

           RX Super

           CRD

           DD 40

           CRI

           CR

           CR Ultra

           CR Plus

           CR 40

           Agri Castrol MP

           TLX

           MXD 400

           MXD

           Marine MLC

        Gear/Transmition Fluids

           Hypoy B

           Hypoy EP

           Dexron III Mercon

           TFP

           TQ

        Brake Fluids

           Brake Fluid HD

        Automotive Greases

           LM Grease

     

   

Castrol Industrial Oils

       Circulating Oils

           Magna

       Hydraulic Oils

           Hyspin

           Hyspin AWS

           Hyspin AWH-M

        Turbine Oils

           Turpak

           Perfecto_T

   

    Gears Oils

           Alpha ZN

           Alpha SP

        Refrigeration Oils

           Ice Matic

        Compressor Oils

           Aircol PD & SN

        Cylinder Oils

           Cresta V

       Asphaltic Oils

           Grippa

        Heat Transfer Oils

           Perfecto HT

        Metal Working Fluids

           Cool Edge BI

           Ilocut

           Iloquenc 9

        Slide Way Oils

           Magna GC/BD/CF

        Industrial Greases

           Spheerol AP & EPL Greases

     

   

 

 

 

 

 

 

 

Industrial Chemicals

        Industrial Chemicals

           Solvent Oil

           Mineral Turpentine (MTT)

           Hexane

           Toluene (Nitration Grade)

           Mixed Xylene (Nitration Grade)

           Isopropyl Alcohol

           Methyl Ethyl Ketone (MEK)

           Vinyl Acetate Monomer (VAM)

           Normal Butyl Acetate

     

   

Fuel Oils

        Fuel Oils

           High Octane Blending Component

           Premium Plus (SGP)

           High Speed Diesel

           Kerosene

           Light Diesel Oil

           Furnace Oil

     



 

 

 

 

 

 

 

General information about DM office PSO MULTAN

 

Being the largest oil marketing company of Pakistan PSO has a large no. of products that they are selling throughout the country. But we will discuss the sales of Diesel, motor -gasoline (petrol), LSFO (low sulphur furnace oil), HSFO (high sulphur furnace oil), and Lubricants.

                                                                   Talking about sales procedures PSO has categorized the above mentioned products into three major categories:

 

o       Consumer

o       Retail

o       Lubricants

 

 We will consider the sales through DM office Multan.

DM office covers a large area that includes Khanewal, Vehari, D.G.Khan, Layyah, Multan, Muazaffargarh, and suburbs. Any private, govt. or other institution want any sort of automotive energy that also includes CNG or any sort of lubricants that also includes kerosene oil and other industrial chemicals within that region first contact DM office request for the product and after approval they can collect the consignment from the nearby depot. PSO has also got storage facility at major locations in this area that enables the in time   and quick delivery of products. Major storage locations in this area are Shershah, and Lalpir. LSFO and HSFO are sold in bulk quantities whereas gasoline, diesel and lubricants are also sold in retail. IPP’s   are major users of HSFO and LSFO as well as some industrial lubricants. Diesel, gasoline, and motor lubricants are sold at retail outlets.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Existing System

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

EXISTING SALES SYSTEM

 

As system is defined as a set of interrelated components that work together to perform a particular task or to fulfill a specific purpose within the time frame an allotted budget. Existing sales system in PSO is conventional, means no computer involved all work is done manually by clerical staff. Any organization or individual want to purchase any of the products first come to DM office and fill a requisition form, after filling the requisition form customers have to pay the price of product through bank draft. The bank draft is then attached with product requisition form and supplied to storage depot and from there product is collected along with sales invoice.

There are four copies of each of the:

 

o       Product requisition form

 

o       Sales invoice slip.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

A sample Consumer Product Requisition Form

 

 

 

 

Sales invoice/Customer Order Slip

 

 

 

 

 

 

 

 

 

 

 

Context level diagram of existing system 

 

Five entities are involved in this system:

o       Head office Karachi

o       DM office Multan

o       Customer

o       Storage Depot

o       Bank

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CONTEXT Level Diagram of Existing sales

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Processes numbered in context level diagrams are:

 

 

1.     Customer request for product.

 

2.     Customer gets a requisition form DM office.

 

3.     Customer status is checked.

 

4.     Approval of sale and discount allowances etc.

 

5.     Request after approval from head office.

 

6.      Requisition form is given to customer.

 

7.     Customer pays money in the bank.

 

8.     Bank generates a draft and gives it to customer.

 

9.     requisition form along with bank draft is checked at depot

 

10.             Product is delivered to customer.

 

These numbered arrows are only for demonstration purposes some other steps also involves in this process, however these arrows do not represent the sequence of steps.

 

 

 

 

 

 

 

                             As we have to discuss the sales system with respect of consumer, retail, and lubricants. Existing system is almost similar for these three, except of the requisition forms and sales slips these are little different from each other. Let us briefly discuss these three from sales point of view.

 

Consumers

                   Consumers mostly buy HSFO, LSFO and other industrial lubricants. Major consumers in this region are IPPs (international power projects)like AES(American electric Supplies),ROUSH Power plant, KAPCO etc and all other industries like sugar mills and textiles etc are also purchasing from PSO. Consumers buy in bulk quantity.

 

Retail

          Outlets with the name of Vision and other petrol pumps selling PSO petrochemicals deals through retail department. Some other customers who buy a little quantity also deal through the retail department.

 

Lubricants

                PSO is Marketing British manufactured CASTROL along with PSO’s own lubricants, there is a separate department for lubricants, the divisional sales department of lubricants is situated in Lahore, so the DM office Multan has to contact with Lahore office for the sale of lubricants. Names of different lubricants are given in first part of our report.

 

 

 

 

Problem Definition

 

As we already have discussed that the sales system of PSO is conventional and in most of cases manual work is costly as there is a series of duplicate tasks and many other problems like data security, integrity may also occur. There is no information system available and PSO is a centralized organization and local offices have to consult with the head office for every transaction if transaction is slightly different from company policy. Sales offices are located at a reasonable distance from storage locations communication is also required as sales office should have the current knowledge about volume and quantity of product available at storage location. In existing system sales officer has to go to storage location and physically measure the product. Another problem is direct communication with the customer; customers have to come to office for the product requisition.

 

Scope of Problem

 

Major problem is of communication among different entities and due to this communication problem many other problems can also occur. For example if sales office fills a requisition form and quantity specified over this form is not available at storage depot, this means that customer order will not be fulfill and that will be affect the company reputation. Another problem is that customer asks for discount and the decision is to be taken in head office by top management, manual communication i.e. dispatching of documents through courier services might waste time and can also lose the customer as well. Occurrence of one transaction effects almost all departments of organization, and records of all departments are needed to be update, in case of conventional file processing  this is a time consuming processing whereas in computerized database processing all related documents can be updated at once with a single click.

 

Detailed Analysis of Existing System With

Problem point of view

 

We already have briefly discussed the existing system let us now check the system from problem point of view mentioned above.

                             In current sales system the documents of vital importance are product requisition forms and sales invoices. From sales office product requisition form is issued to customer there are four copies of this form with different colors;

White copy is issued to customer, he will hand it over to depot in-charge. Duplicate pink color for CPM. Triplicate blue color is for credit control section and quadruplicate yellow is for sales office. Same in case of sales invoices although their copies are not colored but a number of copies generated is greater than that of product requisition form as other parties are also involved.

                                                Different records are maintained for existing system like customer, product, storage depot, cartage contractor, payment particulars etc. Due to conventional file processing system that required a lot of labor and time as all these records are maintained at different places and ultimately these records are stored in head office. Performance reports cannot generate quickly to measure the product, sales force performance, daily sales or customer status therefore management can not review the performances. Due to conventional system the sales office cannot have the current information about the storage depot and also cannot communicate with management affectively. This might result in huge loss as this is age of competition,

many multinational companies like shell, caltex are now in market.

 

 What are the Alternatives?

 

One short and precise answer of this question is that the system should be computerized and different offices at different locations and storage depots are connected with each other as well as with the head office by mean of some wide area network (WAN). That is only possible when all offices and systems are computerized. This computerization is solution of many problems like integrity and security. As database maintained by computers is centralized and all other offices access the data according to their privilege authority assigned by the database administrator means no one access the data more then he or she is authorized of. Whole database can be updated with a simple database application due to the integrity. With a change in any particular of any of entities whole database will be updated automatically. Although existing sales system of PSO Multan region is not creating problems but it is inefficient. We have said that system should be computerized but before computerizing we should measure the feasibility if it is worth enough to computerize the system. You have to spend a handsome amount of money while converting a conventional system to a computerized system that includes the cost of hardware and software and also the cost of expertise of system analysts, designer, builder, developer and consultant therefore a careful feasibility study is required.

 

Why Feasibility study?

 

Why you are needed to measure the feasibility of proposal because you have to work within a limited budget, if the best solution is not affordable than the next best solution may be affordable. For example if analyst purpose that give a laptop computer to each member of sales force –we are talking about Multan division, so that they remain in contact with their offices. The only reason of contact to office during the tour is tell the office about customers’ terms and conditions about delivery and discounts etc. the cost of a laptop is approximately one lac. (RS 100,000/-) that is quite an amount, whereas the discount and delivery charges are not of major costs. Cellular phones can best fulfill that purpose remaining in the reasonable cost. That proves the importance of feasibility study; organization may have given the laptop to each sales force member, and after incurring that much cost the organization might find these investments as loss as desired result may not obtained. This procedure is also termed as cost/benefit analysis.

                                                  Cost/benefit analysis as name shows is the analysis of productivity of cost that is incurred on purchase of some services or products means the product or service is worth the money that has spent on its purchase. As we have studied that giving each sales force member a laptop is not feasible with respect to benefits that can be obtained from it. As we have a series of alternatives and next best alternative is that each sales force member is provided with a cellular phone that is more economical and best serve the organization purpose.

 

Advantages of Cost/Benefit Analysis

                                                         

o       Cost/benefit analysis enables us to work effectively within our budget more effectively.

 

o       With the help of cost/benefit analysis we are able to select those alternatives which also meet the future needs of organization.

 

 

 

o       Cost/benefit analysis enables us to select the best alternative of maximum efficiency at minimum possible cost.

 

o       Cost/benefit analysis left organization with reasonable savings that can be used for some other productive purposes.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Proposed System

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Conventional file system .Vs. Computerized Database System

 

Many advantages of computerized system over conventional file system are already discussed in the previous part of report. Let us now discuss the database system. As in conventional file system data is scattered at various places and needed information cannot accessed quickly when needed this problem is overcome by database of system.

                                                                                      A database is a collection of interrelated files (tables) and a file is a collection of homogeneous records.

 

New System Will Work Like That

 

 

 

 

 

 

 

 

 

 

 

From these diagrams we can easily understand the built of database different files are connected to an information system locally and these information systems are then connected to a consolidated, integrated, and centralized database.

                             Above drawn model is best for sales system of PSO locally as well as nationally. Regional offices are computerized perform their specified tasks and where needed can also connect to the centralized database of Head office PSO. All regional offices can connected to database by means of WAN when these offices are connected to centralized database they can keep in contact with each other.

 

 

DATA FLOW DIAGRAM of Proposed System:

 

 

 

 

 

A Little Definition of Diagram drawn above

 

                                                                   Customer enters in office first contact to front desk officer ,front desk officer then refers customer to respective sales executive, sales executive  send information to computer section, computer section checks the order and check customer and product status  and also update the company main office acc. Computer section then provides sales executive with approval or rejection of order. sales executive then fill a requisition form and give it to customer. The payment mode is through bank draft customer made payment and gets draft from bank main office database can automatically updated through any simple database application. Customer then goes to storage locations and provides depot in charge with purchase requisition and bank draft, depot in charge send this information to computer section; computer section checks the information from main office. And in the end product is delivered through cartage contractor.

                                                         

                                                          Different files are needed to produce and maintain. Many temporary files are needed for storage of temporary data in above discussed sales system but permanent and main files are given below:

 

o       Customer master file

 

o       Product master file

 

o       Cartage contractor master file

 

 

 

 

 

 

 

Brief Discussion of Master Files

 

Let us discuss the structure and organization of these files one by one

 

Customer Master file

 

 

 

 

 

 

 

customer master file should be designed and constructed such that it provides best results with minimum storage space. Related fields should be defined as well but master files are constructed in such manner that you don’t need to modify the structure of file frequently means key information should stored in master file and information of temporary usage should be stored in some temporary files.

 

Product Master File

 

 

 

 

 

As we already have discussed the sales system and distribution channel for all products in the multan region is almost similar infect for the organization as whole. So the product information of all products should kept in same file may be under in separate category.

 

Cartage Contractor Master File

 

 

 

 

Information about cartage contractor is needed to stored because these contractors are company appointed and are bounded in a contract for the transportation of products. Once order is given the cartage contractor of nearest storage location will be informed or the shipment of product.

 

 

Advantages of proposed system

 

There are many advantages of our purposed system over existing system major advantages are:

 

o       Data Security.

 

o       Data accuracy.

 

o       Data integrity and consistency.

 

o       Communication.

 

o       Increased speed of processing.

 

o       More efficient performance.

 

o       Current financial position of company can easily assessed.

 

o       Quick report generation.

 

o       Economical in future

 

o       Due to interactive menu the database application is user friendly hence easy to use.

 

 

 

 

 

 

 

 

 

 

Users’ work with Computers

                                     

                                       Normally it has seen that people resist change of system and usually don’t like computerized systems as they considered it as much difficult, therefore steps should be taken to make system more user friendly. For this purpose different sort of programs are generated but the thing of vital importance is menu. Two types of menus are created.

 

1. Interactive menus

                        interactive menus enables user to interact with database programs these menu programs are use full for entering and display various types of information regarding customer, product cartage contractor and financial records of the company

 

A Sample interactive menu

 

                        

PSO Sales Office Multan Region

 

                      

                      

                      

                      

 

                                                                                                          

                     

                                                                                                

 

 

 

 

A sample Batch Menu

 

PSO Sales Office Multan Region

 

                      

                      

                      

                      

 

                                                                                                                  

 

As you have seen that there are different buttons in this menu a particular form will appear when you click on first button of interactive menu and by clicking on other button of interactive menu you will have an output screen whereas the batch menu print the different information.

 

Conclusion of Report:

 

 we have investigated the system, information is gathered by interviewing sales executive, surveying the retail outlets and through internet found the problem, analyze the problem, perform a cost and benefit analysis and proposed that the sales system should be computerized as computerized approach is best in current situation and also very use full for future

 

 

 

 

 

 

 

 

 

 

 

 

References

 

 

 

 

 

We have interviewed:                               Mr. Abdul Rahman

                                                                     Sales Executive

                                                            Pakistan State Oil Co. LTD.

                                                                      DM Office Multan.

 

 

News letter:                                                                   Vision

 

Websites:                                                    www.psocl.com

 

                                                                www.Caltex.com

 

                                                                www.shellinpakistan.com