COLLEGE OF INFORMATION TECHNOLOGY

DIVINE WORD COLLEGE OF VIGAN

VIGAN CITY

CHAPTER I
INTRODUCTION
Project Context
Today, man is living in an age where computers rule and this
domination has led to mans easier way of living. This basic fact
made the present environment where the essential resource
among business institutions is the computer. Computers have
affected every aspect of mans day-to-day life, in terms of
education, office work, accounting, business, communication,
shopping, and data storage among others. The present global age
is the consequence of the computer age.
One of the biggest benefits of computers in the workplace is
the enhanced communication they provide, convenient way of
storing and retrieving information fast, can print out stuff
repeatedly unlike a typewriter, can connect and synchronize data
with another computer. Man can do backup of his data in one click,
increases mental processes rather than physical, coordinate work
easily through the Internet, sends mail more expeditious and
safer; share stuff to other people, can make document that only
the user can read and access, and keep the documents
confidential.
Computers have invaded peoples lives, be it on social or
business scale. From the time they were invented to now,
computers have given the world a great boost in advancements of
technologies and businesses. Imagine if man did not have
computers, he wouldnt even be reading this article now. Along
with computers, Internet has aided to the developments in
technology. One probably cannot think of a day when he did not
make use of some form of computer technology.

COLLEGE OF INFORMATION TECHNOLOGY

DIVINE WORD COLLEGE OF VIGAN
VIGAN CITY

Most of the things that people have are the products of

2

technology. All the gadgets that people are using today were
created through the aid of it.
They

have

tremendously

reduced

manpower

because

with

technology, activities are carried out faster; there is efficiency and

the number of manpower that needs to be employed is reduced
and, thus, making the companies benefit more in terms of profits.
Thinking about life without computers seems simply impossible
now.
The advantages of information systems in business today
include the fact that information systems have significantly
transformed the way business is conducted. In today's society, it
would be pretty difficult to find an organization that does not use
some form of technology, automation or information system to
help run its operational and daily transactional processes. Most
common

types

of

information

systems

used

in

business

organizations are electronic and mobile commerce systems,

transaction processing systems, management information systems
and decision support systems. Information systems are so
important for business today because of its operational excellence,
new products, services, and business models, customer and
supplier

intimacy,

improved

decision

making,

competitive

advantage and survival. Here are the top advantages of using

information systems in business: increased productivity, less
redundancy

and

better

data

integrity,

increased

efficiency

streamlining of processes, and better profitability levels. On the

other hand, the key is to think of the organization's mission,
objectives and overall business plan and ensure the implemented
information system meets these goals. With proper planning a

COLLEGE OF INFORMATION TECHNOLOGY

DIVINE WORD COLLEGE OF VIGAN
VIGAN CITY
3
company can simultaneously maximize profit while decreasing

overhead costs.
Meanwhile, Ireenes

Cake Shop is a sole proprietorship

business which is owned by Mrs. Ireene Arde. Torres. The business

started nearly 2001. From that moment of time the business
blossomed inside the home of Mrs. Torres. She actually made the
products inside their home, located in Cabalangegan, Vigan City,
Ilocos Sur. This business created cakes like birthday cakes,
wedding cakes, christening cakes and other products like cream
pop, pineapple delight, krema de fruta, etc.
The problems encountered in the Ireenes Cake Shop are the
following:
Customers names are hard to find.
Lack of brochures which are expensive on the part of the
business handler.
Unpaid orders and balances arent easily determined.
Business site is not located in the city proper.
Conflict of information given by the customer.
Different orders are listed in a notebook which gives burden
to the part of the owner to check them. Expensive brochures
which cover different cake types and designs should be provided
for different customers to help them in deciding what products
they are looking, but due the expensiveness of the said material,
the owner only has few of it. Unpaid orders and balances are
sometimes not determined correctly. Business location is not
thoroughly visible in the map which also means that it is not inside
the city proper that sometimes leads to customer loss. Some
orders are from people abroad who want to give a birthday cake to
their nieces/nephews or even their children that sometimes lead to

COLLEGE OF INFORMATION TECHNOLOGY

DIVINE WORD COLLEGE OF VIGAN
VIGAN CITY

a conflict of information because their relatives in the vicinity want

other cake designs.
The developed system supplement benefits which help the
business retrieve different orders and precise records like order
dates, customers name, paid and unpaid balances, and the
courier address. A secured account would be provided to the user
4

and the customer separately. The system would counter the loss of
information, thus gives accurate and reliable records for the
transactions and that conflict of information given by the customer
is avoided and it would be faster than the manual process.
Figure 1
Data Flow Diagram of the Manual Ordering System
of Ireenes Cake Shop

1. The customers order product to Ireenes Cake shop. They

select different cake designs from the brochure provided by the
said shop. 2. The customers need to provide some information like
name and age of the celebrator and they get the worth of the
product ordered. 3. Different payment options are provided to the

COLLEGE OF INFORMATION TECHNOLOGY

DIVINE WORD COLLEGE OF VIGAN
VIGAN CITY

customer like Pay as you order, or Cash on Delivery. 4.

Delivery details should be acquired if the ordered cake is for
delivery or for pick up. 5. The receipt would be provided to the
customers after the transaction is completely done.

Figure 2
Project Locale of Ireenes Cake Shop
Online Ordering System

The Ireenes Cake Shop is located in Brgy. Cabalangegan,

Vigan

City,

Ilocos

Sur

near

Cabalangegan Day Care Center.

Merlys

Sari-Sari

store,

and

COLLEGE OF INFORMATION TECHNOLOGY

DIVINE WORD COLLEGE OF VIGAN
VIGAN CITY

Figure 3
The Organizational Structure of
Ireenes Cake Shop

Owner
Ireene Arde.
Torres

CoOwner

Custome
rs
The owner of Ireenes Cake Shop who handles ordered
cakes, is also the one who makes the cakes. Ordered cake details
are

provided

by

the

Co-owner

who

would

serve

as

the

administrator of the developed system and who would monitor

COLLEGE OF INFORMATION TECHNOLOGY

DIVINE WORD COLLEGE OF VIGAN
VIGAN CITY

orders from the customers coming from different areas of the

world and is liable for any information needed to accomplish the
ordered product. Lastly, the customers are the one who order
cakes and each customer is provided with an account in the
system for ordering.