ABSTRACT

Automotive means of transportation has become the major and cheapest means of
transportation in Nigeria. This fact has put more pressure on manufacturers to
provide customers with high quality Automobiles with the aim of making
profits. Nowadays, manufacturers are faced with a major problem in the
management of information within a manufacturing plant and creation of
effective relationship with customers. As an approach to solving these
problems, a detailed analysis is carried out on the existing system to find out
the strength and weaknesses of the existing system. And based on the
requirements generated, the new system is designed. An Object Oriented
design approach is used to describe the various units (modules) that make up
the system in terms of classes and objects. The design and development of an
Automotive Plant Management system for a manufacturing company is a
project developed with PHP, MySQL, Ajax, HTML, JavaScript and Jquery
Plugins, it provided better and more efficient management of information
generated from Human Resource, Inventory, Company Finance and also
Customer Relationship Management

CHAPTER ONE
INTRODUCTION
1.1 Background of Study
An automotive plant is a factory which carries out activities involved in the manufacture of
motor vehicles, including most components, such as engines and bodies, but excluding tires,
batteries, and fuel. The industry's principal products are passenger automobiles and light trucks,
including pickups, vans, and sport utility vehicles. Commercial vehicles (i.e., delivery trucks and
large transport trucks, often called semis), though important to the industry, are secondary.
Automotive industry businesses struggle to meet the needs of a demanding market. Increasingly
complex requirements from customers make it difficult to concentrate on reducing inventory,
eliminating scrap and waste, and dealing with volatile commodity costs, all with a workforce thats
dramatically smaller than it was just a few years ago. [1]
An Automotive Plant Management System (APMS) is a software solution for automotive plants
which captures and accesses all production and quality data at the manufacturing moment to
gain the real-time intelligence required to make timely and effective manufacturing decisions

[1]

in

the areas of accounting and financial management, customer relationship management, human
capital (human resource) management, inventory management and maintenance management.
This software solution makes use of the concept of cloud computing in order to integrate data
making the same data available throughout the company.
The Automotive Industry in Nigeria dates back to early 1960s when private companies like UAC,
Leventis, SCOA, BEWAC and R.T. Briscoe pioneered the establishment of Auto Assembly Plants
using Completely Knocked Down (CKD) or Semi-Knocked Down (SKD) parts.

Government however, became involved in the industry between 1970-1980 when it concluded
agreements with a number of Automobile Plants in Europe to set up 2 cars and 4 truck/light
commercial vehicles assembly plants using Completely Knocked Down (CKD) Parts.

The 2 car plants are Peugeot Nigeria Ltd. (PAN), Kaduna, and Volkswagen of Nigeria Ltd.
(VWON) Lagos. The 4 truck plants are Anambra Motor Manufacturing Company (ANAMMCO),
Enugu, Styer Nigeria Ltd., Bauchi, National Truck Manufacturers (NTM), Kano, and Leyland
Nigeria Ltd., Ibadan. These car and truck/light commercial vehicle plants were all privatized by
the end of 2007.
In 1982, the Federal Government completed agreements with five manufacturers for the
establishment of the following five light commercial vehicle assembly plants: Mitsubishi in Ilorin,
Nissan in Minna, Peugeot in Gusau, Isuzu in Maiduguri and Mazda in Umuahia.
However, they were not established, though GM subsequently entered into partnership with UAC
to produce Isuzu by FMI of UAC, which later became GM Nigeria Ltd.
On October 15th 2012, Innoson Vehicle manufacturing (IVM) plant was opened, to produce
sundry commercial automobiles, utility vehicles and passenger cars, in collaboration with a
consortium of Chinese auto manufacturers. It produced the countrys first Nigerian produce
vehicle.
IVM introduces automotive products from china, Japan and Germany. Its product line includes
heavy duty vehicles, middle and high level buses, special environment friendly vehicles. The
company carries out optimization design and assembly according to West African road condition
so as to produce suitable products at affordable prices.
The company also provides goods and services for repairs and parts supply. All these actions are
engineered to meet the customers special requests, attain the highest possible performance and
safety standards and also make the vehicles suitable for the West African market.
The Nigerian automotive Industry has installed capacity to produce 108,000 cars, 56,000
commercial vehicles, 10,000 tractors, 1,000,000 motor cycles and 1,000,000 bicycles annually.
Capacity utilization in vehicle manufacture is below 10% and about 40% in motorcycle, bicycle
and components parts manufacturing. [2]
The current vehicle inflow into the economy is about 50,000 new and 150,000 used ones. This
translates into about 100,000 units of new vehicles annually and is set to rise as the economy
improves. The ECOWAS countries are current and potential customers for our auto products. [2]
The Nigerian automotive industry has performed poorly due to the following general reasons:
Low Patronage by government and the general public, very low capacity utilization, poor

perception of locally made goods, high cost operating environment, insufficient government
protection policy, absence of low cost long term funds, weak and deteriorating infrastructure,
lack of efficient management systems and inconsistency in tariff policy. In order to run a
manufacturing plant efficiently, the plant must keep assets and equipment in good working order.
If your equipment is down or operating inefficiently, it could slow down or halt production
completely. The plant cannot afford to have equipment out of service unexpectedly because it
could impact the companys profitability and hurt their reputation. Maintenance management has
also been one of the reasons for poor performance of automotive industries. [4]
Automotive Plant Management System (APMS) is a single unified platform that helps
automotive plants manage their manufacturing operations

[1]

by connecting the manufacturing

floor with the management floor for actionable information to understand costs, optimize
schedules, eliminate waste and keep up with the pace of the business. [1]

1.2 Statement of Problem

After taking an in-depth look at Innoson Vehicle Manufacturing, I noticed some areas of
weakness in the management of certain operations in the company, below listed are these
problems:
i.
ii.
iii.

Poor staff data management.

Ineffective customer relationship management.
Inefficient inventory management to maintain accurate real time data and reduce excess

iv.

inventory.
Inadequate documentation of finance and accounting information produced from
company activities.

Apart from the above challenges, automotive plants that base all operations on the manual
process of filling forms, carrying files from one table to another, storing files in cabinet etc., are
faced with problems like;
i.

Having inconsistent data.

ii.

Files and document not being secure enough.

iii.

The manual process is slow and cumbersome.

1.3 Objectives of the Study

The objective of this project is to develop a management information software that covers
modules which:
i.
ii.
iii.
iv.

Provides management of all employee information.

Provides customer relationship management.
Handles inventory of automotive production parts.
Provides management of financial information such as estimates, invoices, receivables,
sales receipts and supplier invoices.

1.4 Significance of Study

This project will go a very long way in improving management of automotive plants. Listed
below are the significances of this system if employed in an Automotive Plant:
i.

Increased customer satisfaction as services and products consistently deliver what they

ii.
iii.
iv.
v.

promise providing faster customer response time.

Easy access to staff information.
Improved risk management due to accurate inventory data.
Better data management and security of data.
A computerized way of organizing transaction details between manufacturers and
distributors.

1.5 Scope of the Study

The Automotive Plant Management System covers management of activities and operations
which take place in an automotive plant in the view of improving customer satisfaction, higher
profit and also making better management decisions. This system consist of five (4) modules
which are accounting and financial management, customer relationship management, human
capital (human resource) management, inventory management. This project covers user access to
various modules of the system based on user identity.

1.6 Limitation of the Study

a. An automotive plant having so much inventory processes involved in the activities which
are carried out daily will produce a lot data. These data will have to be stored securely
and is too large to be stored on local servers, therefore the introduction of cloud
computing services will be required to provide efficient storage space to complement

already existing local servers, a private cloud will have to be deployed in order to store
the large amount of data and also to ensure safety of information.

1.7 Definitions of Terms

i.

Assembly parts: These are individual parts which are used in an automotive assembly

ii.

plant to assembly an automobile machine

Assembled automobiles: These are already assembled automobiles which are ready for

iii.

sale.
Cloud computing: it is computing in which large groups of remote servers are networked

iv.

to allow centralized data storage and online access to computer services or resources
Private cloud: Private cloud is cloud infrastructure operated solely for a single
organization, whether managed internally or by a third-party, and hosted either internally

v.
vi.

or externally.
Servers: A computer that provides data to other computers.
Operation System: the software that supports a computers basic functions, such

vii.

scheduling tasks, executing applications, and controlling peripherals.

API(Application Programming Interface) : a specific method prescribed by a computer
operating system or application program by which a programmer writing an application

viii.

program can make requests of the operating system or another application.

IDE (Integrated Development Environment): An IDE is a programming environment that
has been packaged as an application program, typically consisting of a code editor. A

ix.

compiler, a debugger, and a graphical user Interface (GUI) builder.

GUI (Graphical User Interface): a visual way of interacting with a computer using items

x.

such as windows, icons and menus used by most modern operating systems.
Ajax (Asynchronous Javascript and XML): Ajax is a group of interrelated web

xi.

development techniques used on the client-side of to create interactive web applications.

Programming Language: A programming language is an artificial language designed to
express computations that can be performed by a machine, particularly a computer.

CHAPTER TWO
LITERATURE REVIEW
2.1 Automotive Plant Management
This is the economic and technical administrative machinery of an industrial enterprise.
The plant management is headed by the director. The main task of plant management is

preparing, developing, and substantiating the decisions of the director through collection and
processing of information data. The structure of plant management depends basically on the size
and the specific production type of the enterprise. The work of plant management employees is
part of the general productive labor of the whole industrial and production staff.
The immediate task of the plant management is to assist the director in organizing the
entire work force of the enterprise to produce high-quality output for the national economy
within the production plans time limits, increase efficiency, create healthy and safe working
conditions, and improve the workers conditions of daily life, including social and cultural
services. The main subdivisions of plant management are the division of technological guidance,
headed by the chief engineer; the division of economic management, headed by the chief
economist; the division of production management, headed by the chief controller (production
chief); and the subdivisions of external economic relations, headed by the deputy director for
supply and marketing. The department in charge of training and extension courses, upgrading of
staff qualifications, hiring and dismissals, and service facilities is headed by the assistant director
in charge of personnel affairs and living conditions.
The complexity and size of contemporary enterprises increase the role of plant
management and lead to increases in the number of staff. Improving the quality of management
requires higher professional performance on the part of the staff, greater work effectiveness, and
a progressive and optimal approach to all decisions that have to be worked out. In order to make
the administrative work less labor-consuming, plant management is backed up by modern
organizational and computer technology. Training and regular extension courses raise the
qualifications of the staff employed by the plant management and lead to better organization of
their work. To be efficient in its work, plant management requires continuous improvement of its
structure and a fixed, standard limit on the number of employees.

2.2 Importance of Inventory Management in Automotive Industry

Automobile industry is a symbol of technical marvel by human kind. The
industry could have a strong multiplier effect on economic growth [13]
through

efficient

managements

of

its

inventory

systems.

Inventory

management simply means the methods used to organize, store and replace
inventory, to keep an adequate supply of goods while minimizing cost.
Assets held in inventory are generally required to ensure service delivery

continue as planned without interruption. Like any asset, decisions need to

be made whether they should be held, and how much to hold, and they need
to be efficiently managed. Efficient management of inventory concerns most
managers of marketing and supply businesses, whether they are retail,
wholesale, or service oriented. Successful, well-organized businesses rely
heavily on inventory management systems to make certain that adequate
inventory levels are available to satisfy their customer demand. The
inventory system has diverse decision variables that can be considered as
continuous like regular orders, demand on the stock, regular supply et
cetera. On the other hand, there are discrete variables like special orders
that come in at a particular time, theft or accidents that occur without any
warning. Based on these, decision makers need to plan properly for their
inventory; as these discrete and continuous variables always play an
important role in determining the results. Management is given some
discretion in the valuation of the firms inventory, as they decide on the
timing and quantity of inventory write-downs. Moreover, in addition to
purchases and sales of inventory, firms can make adjustments to their
inventory figures, and subsequent level of earnings. The extent to which
firms choose to utilize their discretion to adjust the level of inventory can
have a large impact on the financial standing of the firm. The management
of inventory and how it can provide insight into firm performance is a topic of
interest to shareholders, investors, business owners, and the general public.
Through examination of inventory practices and how they differ over time, it
becomes easier to judge the stability of a firm and the likelihood that it will
perform well in future periods.
While a great deal of attention have been focused on automobile industries;
comparatively little empirical research has been done to ascertain the
efficiency of a single automobile service company in managing inventory in
their distribution systems, both at the factory and dealer levels.

2.3 Use of Cloud Computing in Automotive Industry

A Cloud Computing system is intended to improve and automate the controlling of single
point operations. By using a single point of control, this goal is accomplished through the
elimination of duplicate entry and the contribution of data integrity, detailed drilldown, simple
training, manageable support, minimal IT maintenance, easy upgrades and reduced costs.
Overall, the advantages of cloud computing usage fulfill the original intentions of business as it
allows process manufacturers to manage their business as simply and efficiently as possible. [14]
Cloud computing is a model for providing and sourcing information technology services
on a pay per use basis. Cloud services are elastic, allowing them to be highly configurable,
adaptable and scalable, and generally require less upfront investment and on-going operating
expenditure than traditional IT models. Clouds generally take one or a combination of four
forms: private, public, hybrid and community. Private clouds are dedicated to a single company
for private use and can either be built within a companys premises or located off-site, owned and
provided by an external third party. Private clouds deliver virtualized application, infrastructure
and communications services for internal business users. Public clouds are accessible to the
public over a network and are fully owned and provided by external third parties. Hybrid clouds
blend the benefits of public and private clouds, by enabling a company to retain confidential
information in a private cloud, while providing access to the wider choice of cloud computing
services in public clouds. Community clouds are collaborative resources shared between a
limited number of organizations with common requirements and interestsoften in the same
industry or geographical region. Community clouds can be hosted internally or by external third
parties as a managed service.

[14]

All four forms of cloud computing can provide computing on

demand at one or more of four levels:

i.

At the infrastructure level, companies use infrastructure-as-a-service (IaaS) offerings to

source raw computing resources, processing power, network bandwidth and storage on
demand. IaaS is the most basic cloud service model.

ii.

At the application level, with software-as-a-service (SaaS), the end user receives a
complete software application encompassing apps and associated data centrally hosted on
the cloud and accessed via web browsers, supporting device independence and anywhere
access.

iii.

At the platform level, platform-as-a service (PaaS) is a software platform including

infrastructure elements such as database, middleware, messaging, security and
development tools, as well as a presentation layer, that are used to develop custom
applications. Where there is a need for continuous change, PaaS provides companies with
an environment that supports software development.

iv.

At the business process level, cloud computingbased solutions known as businessprocess-as-a-service (BPaaS) offer a web-enabled, externally provisioned service for
managing business processes. These solutions differ from application clouds in that they
provide robust process support, covering not just software but also people processes such
as contact centers. [14]
As the industry moves to a more global operation, cloud computing is looked at more and

more as a tool of collaboration and around-the-clock operations. According to research

conducted by KPMG

[11]

70 percent of IT professionals believe that cloud-based services are

delivering on efficiency and cost-saving measures. Traditional uses for cloud computing in the
automotive industry include supply chain management, parts and logistics, and dealer management systems.
More recently, cloud-based systems are being developed for product lifecycle management
(PLM) systems allowing vehicle manufacturers and suppliers to work collaboratively on designs
in real-time.

[12]

With vehicle complexity on the rise, engineering resources are limited in the

various options that are available. Increasingly, automakers are looking to leverage engineering
expertise worldwide to handle this complexity.
Manufacturing operation management (MOM) systems are also seeing benefits through the use
of cloud based systems. By leveraging the increased processing power of a cloud based system,
manufacturers can perform advanced analysis of plant scheduling and material logistics. Cloud
computing also enables operations to centralize plant data so that complex analysis may be
performed for root cause analysis and to test solutions.
While PLM and MOM vendors now offer cloud-based solutions, the industry has been reluctant
to adopt such solutions. The biggest concern with regard to PLM cloud computing is security.
While security is always a primary concern of cloud computing, this is particularly true of PLM
solutions where much of the core product intellectual property resides. Another challenge to

cloud-based PLM and MOM is the legacy systems that are already in place. These legacy
systems are typically very large, on-site IT systems that have taken considerable investment,
including time and talent spent learning and using these tools. Changing PLM and MOM
systems, much less to a cloud-based systems, is a challenge to justify in many cases.
The benefit of a cloud-based enterprise IT solution is the ability to access data and applications
from virtually anywhere. In addition, it provides a scalable, centrally located infrastructure which
can increase IT efficiency and reduces infrastructure costs. Challenges with legacy systems and
information security still limit the penetration of cloud systems for automotive applications. In
the future, it is expected that the industry will continue to move forward with cloud-based
systems incrementally.

2.4 History of Automobile Manufacturing and its Processes.

In 1908 Henry Ford began production of the Model T automobile. Based on his original Model
A design first manufactured in 1903, the Model T took five years to develop. Its creation
inaugurated what we know today as the mass production assembly line. This revolutionary idea
was based on the concept of simply assembling interchangeable component parts. Prior to this
time, coaches and buggies had been hand-built in small numbers by specialized craftspeople who
rarely duplicated any particular unit. Ford's innovative design reduced the number of parts needed
as well as the number of skilled fitters who had always formed the bulk of the assembly
operation, giving Ford a tremendous advantage over his competition. [5]
Ford's first venture into automobile assembly with the Model A involved setting up assembly
stands on which the whole vehicle was built, usually by a single assembler who fit an entire
section of the car together in one place. This person performed the same activity over and over at
his stationary assembly stand. To provide for more efficiency, Ford had parts delivered as needed
to each work station. In this way each assembly fitter took about 8.5 hours to complete his
assembly task. By the time the Model T was being developed Ford had decided to use multiple
assembly stands with assemblers moving from stand to stand, each performing a specific function.
This process reduced the assembly time for each fitter from 8.5 hours to a mere 2.5 minutes by
rendering each worker completely familiar with a specific task. [5]

Ford soon recognized that walking from stand to stand wasted time and created jam-ups in the
production process as faster workers overtook slower ones. In Detroit in 1913, he solved this
problem by introducing the first moving assembly line, a conveyor that moved the vehicle past a
stationary assembler. By eliminating the need for workers to move between stations, Ford cut the
assembly task for each worker from 2.5 minutes to just under 2 minutes; the moving assembly
conveyor could now pace the stationary worker. The first conveyor line consisted of metal strips
to which the vehicle's wheels were attached. The metal strips were attached to a belt that rolled
the length of the factory and then, beneath the floor, returned to the beginning area. This reduction
in the amount of human effort required to assemble an automobile caught the attention of
automobile assemblers throughout the world. Ford's mass production drove the automobile
industry for nearly five decades and was eventually adopted by almost every other industrial
manufacturer. Although technological advancements have enabled many improvements to modern
day automobile assembly operations, the basic concept of stationary workers installing parts on a
vehicle as it passes their work stations has not changed drastically over the years. [5]
2.4.1

Raw Materials

Although the bulk of an automobile is virgin steel, petroleum-based products (plastics and vinyls)
have come to represent an increasingly large percentage of automotive components. The lightweight materials derived from petroleum have helped to lighten some models by as much as thirty
percent. As the price of fossil fuels continues to rise, the preference for lighter, more fuel efficient
vehicles will become more pronounced. [5]
2.4.2

Design

Introducing a new model of automobile generally takes three to five years from inception to
assembly. Ideas for new models are developed to respond to unmet pubic needs and preferences.
Trying to predict what the public will want to drive in five years is no small feat, yet automobile
companies have successfully designed automobiles that fit public tastes. With the help of
computer-aided design equipment, designers develop basic concept drawings that help them
visualize the proposed vehicle's appearance. Based on this simulation, they then construct clay
models that can be studied by styling experts familiar with what the public is likely to accept.
Aerodynamic engineers also review the models, studying air-flow parameters and doing
feasibility studies on crash tests. Only after all models have been reviewed and accepted are tool
designers permitted to begin building the tools that will manufacture the component parts of the
new model. [5]

2.4.3 The Manufacturing Process

2.4.3.1

Components

A. The automobile assembly plant represents only the final phase in the process of manufacturing
an automobile, for it is here that the components supplied by more than 4,000 outside suppliers,
including company-owned parts suppliers, are brought together for assembly, usually by truck or
railroad. Those parts that will be used in the chassis are delivered to one area, while those that will
comprise the body are unloaded at another. [5]
2.4.3.2

Chassis

B. The typical car or truck is constructed from the ground up (and out). The frame forms the base
on which the body rests and from which all subsequent assembly components follow. The frame
is placed on the assembly line and clamped to the conveyer to prevent shifting as it moves down
the line. From here the automobile frame moves to component assembly areas where complete
front and rear suspensions, gas tanks, rear axles and drive shafts, gear boxes, steering box
components, wheel drums, and braking systems are sequentially installed.

Source: http://www.madehow.com

Figure 1.1 Workers install engines on Model Ts at a Ford Motor Company plant. The photo is
from about 1917.
The automobile, for decades the quintessential American industrial product, did not have its
origins in the United States. In 1860, Etienne Lenoir, a Belgian mechanic, introduced an internal
combustion engine that proved useful as a source of stationary power. In 1878, Nicholas Otto, a
German manufacturer, developed his four-stroke "explosion" engine. By 1885, one of his
engineers, Gottlieb Daimler, was building the first of four experimental vehicles powered by a
modified Otto internal combustion engine. Also in 1885, another German manufacturer, Carl

Benz, introduced a three-wheeled, self-propelled vehicle. In 1887, the Benz became the first
automobile offered for sale to the public. By 1895, automotive technology was dominated by the
French, led by Emile Lavassor. Lavassor developed the basic mechanical arrangement of the car,
placing the engine in the front of the chassis, with the crankshaft perpendicular to the axles.
In 1896, the Duryea Motor Wagon became the first production motor vehicle in the United States.
In that same year, Henry Ford demonstrated his first experimental vehicle, the Quadricycle. By
1908, when the Ford Motor Company introduced the Model T, the United States had dozens of
automobile manufacturers. The Model T quickly became the standard by which other cars were
measured; ten years later, half of all cars on the road were Model Ts. It had a simple fourcylinder, twenty-horsepower engine and a planetary transmission giving two gears forward and
one backward. It was sturdy, had high road clearance to negotiate the rutted roads of the day, and
was easy to operate and maintain. [5]

C. An off-line operation at this stage of production mates the vehicle's engine with its
transmission. Workers use robotic arms to install these heavy components inside the engine
compartment of the frame. After the engine and transmission are installed, a

Source: http://www.madehow.com

Figure 1.2 Robot placing components of an automobile together.

On automobile assembly lines, much of the work is now done by robots rather than humans. In
the first stages of automobile manufacture, robots weld the floor pan pieces together and assist
workers in placing components such as the suspension onto the chassis.
Worker attaches the radiator, and another bolts it into place. Because of the nature of these heavy
component parts, articulating robots perform all of the lift and carry operations while assemblers
using pneumatic wrenches bolt component pieces in place. Careful ergonomic studies of every
assembly task have provided assembly workers with the safest and most efficient tools available.
[5]

2.4.3.3

Body

D. Generally, the floor pan is the largest body component to which a multitude of panels and
braces will subsequently be either welded or bolted. As it moves down the assembly line, held in
place by clamping fixtures, the shell of the vehicle is built. First, the left and right quarter panels
are robotically disengaged from pre-staged shipping containers and placed onto the floor pan,
where they are stabilized with positioning fixtures and welded.
E. The front and rear door pillars, roof, and body side panels are assembled in the same fashion.
The shell of the automobile assembled in this section of the process lends itself to the use of
robots because articulating arms can easily introduce various component braces and panels to the
floor pan and perform a high number of weld operations in a time frame and with a degree of
accuracy no human workers could ever approach. Robots can pick and load 200-pound (90.8
kilograms) roof panels and place them precisely in the proper weld position with tolerance
variations held to within .001 of an inch.

Source: http://www.madehow.com

Figure 1.3 Painting of automobiles.

The body is built up on a separate assembly line from the chassis. Robots once again perform
most of the welding on the various panels, but human workers are necessary to bolt the parts
together. During welding, component pieces are held securely in a jig while welding operations
are performed. Once the body shell is complete, it is attached to an overhead conveyor for the
painting process. The multi-step painting process entails inspection, cleaning, undercoat
(electrostatically applied) dipping, drying, topcoat spraying, and baking. Smoke, weld flashes, and
gases created during this phase of production.
F. As the body moves from the isolated weld area of the assembly line, subsequent body
components including fully assembled doors, deck lids, hood panel, fenders, trunk lid, and
bumper reinforcements are installed. Although robots help workers place these components onto
the body shell, the workers provide the proper fit for most of the bolt-on functional parts using
pneumatically assisted tools.
2.4.3.4

Paint

G. Prior to painting, the body must pass through a rigorous inspection process, the body in white
operation. The shell of the vehicle passes through a brightly lit white room where it is fully wiped
down by visual inspectors using cloths soaked in hi-light oil. Under the lights, this oil allows
inspectors to see any defects in the sheet metal body panels. Dings, dents, and any other defects
are repaired right on the line by skilled body repairmen. After the shell has been fully inspected
and repaired, the assembly conveyor carries it through a cleaning station where it is immersed and
cleaned of all residual oil, dirt, and contaminants.
H. As the shell exits the cleaning station it goes through a drying booth and then through an
undercoat dipan electrostatically charged bath of undercoat paint (called the E-coat) that covers
every nook and cranny of the body shell, both inside and out, with primer. This coat acts as a
substrate surface to which the top coat of colored paint adheres.
I. After the E-coat bath, the shell is again dried in a booth as it proceeds on to the final paint
operation. In most automobile assembly plants today, vehicle bodies are spray-painted by robots
that have been programmed to apply the exact amounts of paint to just the right areas for just the
right length of time. Considerable research and programming has gone into the dynamics of
robotic painting in order to ensure the fine "wet" finishes we have come to expect. Our robotic

painters have come a long way since Ford's first Model Ts, which were painted by hand with a
brush.
J. Once the shell has been fully covered 1 V with a base coat of color paint and a clear top coat,
the conveyor transfers the bodies through baking ovens where the paint is cured at temperatures
exceeding 275 degrees Fahrenheit (135 degrees Celsius).

Source: http://www.madehow.com

Figure 1.4 Total assembling of chassis frame and body shell.

The body and chassis assemblies are mated near the end of the production process. Robotic arms
lift the body shell onto the chassis frame, where human workers then bolt the two together. After
final components are installed, the vehicle is driven off the assembly line to a quality checkpoint.
After the shell leaves the paint area it is ready for interior assembly.
2.4.3.5

Interior assembly

K. The painted shell proceeds through the interior assembly area where workers assemble all of
the instrumentation and wiring systems, dash panels, interior lights, seats, door and trim panels,
headliners, radios, speakers, all glass except the automobile windshield, steering column and
wheel, body weather-strips, vinyl tops, brake and gas pedals, carpeting, and front and rear bumper
fascias.
L. Next, robots equipped with suction cups remove the windshield from a shipping container,
apply a bead of urethane sealer to the perimeter of the glass, and then place it into the body

windshield frame. Robots also pick seats and trim panels and transport them to the vehicle for the
ease and efficiency of the assembly operator. After passing through this section the shell is given a
water test to ensure the proper fit of door panels, glass, and weather-stripping. It is now ready to
mate with the chassis.
2.4.3.6

Mate

M. The chassis assembly conveyor and the body shell conveyor meet at this stage of production.
As the chassis passes the body conveyor the shell is robotically lifted from its conveyor fixtures
and placed onto the car frame. Assembly workers, some at ground level and some in work pits
beneath the conveyor, bolt the car body to the frame. Once the mating takes place the automobile
proceeds down the line to receive final trim components, battery, tires, anti-freeze, and gasoline.
N. The vehicle can now be started. From here it is driven to a checkpoint off the line, where its
engine is audited, its lights and horn checked, its tires balanced, and its charging system
examined. Any defects discovered at this stage require that the car be taken to a central repair
area, usually located near the end of the line. A crew of skilled trouble-shooters at this stage
analyze and repair all problems. When the vehicle passes final audit it is given a price label and
driven to a staging lot where it will await shipment to its destination. [5]
2.4.4

Quality Control

All of the components that go into the automobile are produced at other sites. This means the
thousands of component pieces that comprise the car must be manufactured, tested, packaged, and
shipped to the assembly plants, often on the same day they will be used. This requires no small
amount of planning. To accomplish it, most automobile manufacturers require outside parts
vendors to subject their component parts to rigorous testing and inspection audits similar to those
used by the assembly plants. In this way the assembly plants can anticipate that the products
arriving at their receiving docks are Statistical Process Control (SPC) approved and free from
defects.
Once the component parts of the automobile begin to be assembled at the automotive factory,
production control specialists can follow the progress of each embryonic automobile by means of
its Vehicle Identification Number (VIN), assigned at the start of the production line. In many of the
more advanced assembly plants a small radio frequency transponder is attached to the chassis and
floor pan. This sending unit carries the VIN information and monitors its progress along the
assembly process. Knowing what operations the vehicle has been through, where it is going, and
when it should arrive at the next assembly station gives production management personnel the

ability to electronically control the manufacturing sequence. Throughout the assembly process
quality audit stations keep track of vital information concerning the integrity of various functional
components of the vehicle. [5]
This idea comes from a change in quality control ideology over the years. Formerly, quality
control was seen as a final inspection process that sought to discover defects only after the vehicle
was built. In contrast, today quality is seen as a process built right into the design of the vehicle as
well as the assembly process. In this way assembly operators can stop the conveyor if workers
find a defect. Corrections can then be made, or supplies checked to determine whether an entire
batch of components is bad. Vehicle recalls are costly and manufacturers do everything possible
to ensure the integrity of their product before it is shipped to the customer. After the vehicle is
assembled a validation process is conducted at the end of the assembly line to verify quality audits
from the various inspection points throughout the assembly process. This final audit tests for
properly fitting panels; dynamics; squeaks and rattles; functioning electrical components; and
engine, chassis, and wheel alignment. In many assembly plants vehicles are periodically pulled
from the audit line and given full functional tests. All efforts today are put forth to ensure that
quality and reliability are built into the assembled product. [5]
2.4.5 The Future
The development of the electric automobile will owe more to innovative solar and aeronautical
engineering and advanced satellite and radar technology than to traditional automotive design and
construction. The electric car has no engine, exhaust system, transmission, muffler, radiator, or
spark plugs. It will require neither tune-ups nortruly revolutionarygasoline. Instead, its power
will come from alternating current (AC) electric motors with a brushless design capable of
spinning up to 20,000 revolutions/minute. Batteries to power these motors will come from high
performance cells capable of generating more than 100 kilowatts of power. And, unlike the leadacid batteries of the past and present, future batteries will be environmentally safe and recyclable.
Integral to the braking system of the vehicle will be a power inverter that converts direct current
electricity back into the battery pack system once the accelerator is let off, thus acting as a
generator to the battery system even as the car is driven long into the future.
The growth of automobile use and the increasing resistance to road building have made our
highway systems both congested and obsolete. But new electronic vehicle technologies that
permit cars to navigate around the congestion and even drive themselves may soon become
possible. Turning over the operation of our automobiles to computers would mean they would

gather information from the roadway about congestion and find the fastest route to their instructed
destination, thus making better use of limited highway space. The advent of the electric car will
come because of a rare convergence of circumstance and ability. Growing intolerance for
pollution combined with extraordinary technological advancements will change the global
transportation paradigm that will carry us into the twenty-first century. [5]

2.5 ERP Systems and the Challenges of Automotive Industry

Being competitive in the automotive industry requires adopting new management methodologies,
such as just-in-time, electronic data communications, and work order-less scheduling and billing.
Packaged ERP systems are now incorporating functionality to support these new methodologies.
The minimum daily core requirements for business systems used to be financial management,
inventory control, order management, and production scheduling. Competitive pressures over the
past decade have forced the automotive OEMs and suppliers to become lean and mean. Now more
than ever, the industry is run by mandates covering methodologies such as just-in-time (JIT)
manufacturing, electronic data interchange (EDI), order release management, and quality ratings
(QS-9000).
These mandates are more than decrees agreed upon by the participants within the automotive
supply chain. They are really business processes that require unique automotive functionalitya
new minimum set of core requirementsthat have not typically been included in enterprise
resource planning (ERP) systems. Here are some of those new requirements being found in the
latest versions of ERP systems. [6]
2.5.1

Working in a JIT (Just In Time) environment

ERP systems have roots in the inventory management and work order processing found in
conventional discrete manufacturing environments. However, today's automotive manufacturing
is more a repetitive environment. This means there's minimal inventory and none of the
conventional order management trappings such as order entry, purchase orders, and work orders.
The latest packaged ERP systems for automotive users would ideally operate without work
orders, while providing all the transactional and planning functionality to support lean production
and flow manufacturing, including planning and shipping schedules releases, kanban (whether
manual or electronic), cumulative reconciliation, and advance ship notice (ASN) transactions.

However, work order-less ERP is unconventional, to say the least. But such systems do exist, in
some fashion. Some ERP systems have been written from scratch with the work order-less,
repetitive manufacturing philosophy in mind. For example, TRANS4M from CMI-Competitive
Solutions, Inc. (Grand Rapids, MI) is a part-number based ERP system that helps provide
complete control and visibility of work-in-process inventory as well as support for pay-point
operations, process work centers, and multiple backflush methods. This ERP system competes
with other ERP systems that have "hidden work orders," says David Schaap, product marketing
manager for CMI-Competitive Solutions, Inc. (Grand Rapids, MI). The hidden work orders help
start and monitor production, but they also require a lot of manual intervention when schedules
are changed after the work orders are released to production. A third group of ERP systems offer
repetitive scheduling functionality, but still require work orders for some functions such as
serial/lot traceability. [6]
2.5.2

Reaching Out and Touching Suppliers

EDI is one of those technologies people refer to as an "enabling technology." Yes, it eliminates
paperwork: purchase orders, release documents, shipping manifests, and other business
documents. Equally important, it creates a real-time communications frame-work throughout the
automotive supplier community that integrates OEMs to suppliers; links OEM and supplier
production, scheduling, and distribution systems together; and establishes an electronic process to
communicate material releases (830), production sequences (866), advanced ship notices (ASN;
856), shipping schedules (862), receiving notifications (861), payment order/remittance advice
(820), and other transaction sets.
Ironically, too much paper is still involved in the EDI communications between automotive
supply chain participants. And where there's paper, there's multiple and manual data entryand
data entry errors. Moreover, EDI communications have mostly been between the OEMs and the
Tier 1 suppliers. That's about to change. Chrysler Corp., for instance, has had several mandates
requiring that its Tier 1 suppliers communicate via EDI. Chrysler Tier 1 suppliers already should
have EDI functionality integrated with their ERP-generated schedules. By July 1998, Chrysler
Tier 1 suppliers were to use EDI to transmit 830s to Tier 2 suppliers. Likewise, Chrysler Tier 2s
are to transmit 830s via EDI to Tier 3s by January 1999.
For this to be possible, EDI and release management instruction sets must be seamlessly
integrated to the financial, production, resource scheduling, and distribution modules within ERP
systems. To date, this hasn't been fully realized because EDI requirements have evolved over

time, and the EDI communications were often managed by service vendors acting as third-parties
to both the ERP vendors and the ERP users. Consequently, current EDI/ERP connections are
mostly customized implementations, requiring additional software development to integrate EDI
data and data fields with the business rules encapsulated in the ERP system.
Newly available, fully integrated, EDI-enabled ERP systems can tie ERP-based data directly to
the EDI transaction sets that require those data. For example, kanban pull signals and the material
requirements planning module within ERP can drive the creation and transmission of JIT shipping
schedules (862s). This ensures that Tier 2 suppliers get JIT schedules and shipping information in
a more detailed and timely manner. Likewise, an ERP system that supports 866 production
sequencing operations, including releasing shipment authorization numbers and number ranges,
helps suppliers respond to OEM delivery requirements. Other examples can show how EDIenabled ERP systems can help shorten production cycles, reduce costs, and ensure QS-9000
compliance.
Keep in mind, though, that EDI standards are still in flux. General Motors is in the process of
converting from the North American ANSI ASC X12 EDI standard to the European Edifact
standard in the U.S., so packaged ERP systems will need to handle both EDI standards, plus
minor standards such as Odette and VDA.
Also realize that EDI requirements in general are not monolithic; not all automotive suppliers
need all the EDI functionality that's possible. For example, AlliedSignal, a SAP R/3 user, needs
EDI communications to respond to the requirements of the automakers. But unlike many
automotive suppliers, it also needs EDI functionality to handle a variety of aftermarket
requirements. [6]
2.5.3

Release Management

An outgrowth of JIT, and unique to the automotive industry, is that OEMs and at least the Tier 1
suppliers work according to ERP-generated schedules delivered through EDI and payments based
on ASNs. Again, no work orders, purchase orders, or invoices required.
In doing that, explains Charles Eggerding, vice president, Automotive, for QAD (Grand Rapids,
MI), suppliers don't want to deal with a "three-way match." What he means is that the OEMs or
suppliers don't want to issue purchase orders, receive inventory, and then sit around matching
shipping documents to orders before cutting checks.

Rather, it would be better for the ERP system to track production schedules and generate the
appropriate transaction sets when required. For example, the ERP system matches ASN to
inbound shipments, confirms that the shipment is good, and then remits monies based on an
acknowledgement of the shipment against the contract.

Frankly, some of the flow manufacturing methodologies occurring in the automotive industry just
can't be done manuallyor at least not efficiently manually. Release management is a good
example of why computerization, specifically ERP systems, is crucial. For instance, when
working off a blanket agreement based on a schedule rather than on a work order, the OEM will
send a ship-through number to its supplier, such as ship through 15 on Monday, through 30 on
Tuesday, and through 20 on Wednesday. The ERP system must then dynamically calculate how
much product to ship on a certain date based on what was shipped in the past. Any purchasing
agent can do these calculations manually.

Now add to this two other uniquely automotive ordering techniques. First, retro-billing gives
suppliers the ability to go back in time and retroactively change the price of products after they
have been shipped. Second, pay-as-consumed lets the purchaser delay payment for a product until
it is used, versus when it was shipped. While such ordering techniques are normal, few ERP
systems can create credit debit memos to retroactively bill at a new price for what product was
shipped, let alone used. [6]

According to Brian Finan, Detroit branch manager for J.D. Edwards World Solutions Company
(Southfield, MI), the minimum release management requirements for automotive ERP systems
include cumulative reconciliation, requirement net change reporting, high fabrication and material
tracking, and controlled model year changeover at the part or destination level. Plus, ERP systems
must be capable of managing the variations that all automotive supply chain participants typically
put on the transactions themselves.

2.5.4

Other Requirements

Bar code labeling and data collection are now ubiquitous throughout the automotive industry. The
Automotive Industry Action Group (AIAG) and the OEMs have labeling standards for kanbans,

inventory (palletized materials, individual piece parts, subassemblies, and finished products),
release documents, and even labor time and attendance. Some OEMs require bar coded shipping
documents as backup and verification of the shipping manifests and ASNs that are generated with
outbound shipments and sent by EDI. In most situations, standard label templates are provided,
such as the AIAG shipping label.

Many of these mandatesboth from AIAG and the automakersare replacing pre-printed
labeling with the need for both on-demand printing and custom labeling. Because of this,
packaged ERP systems must be able to extract the relevant data for the label directly from the
ERP database. Moreover, because OEM labeling requirements are ever-changing, the bar code
labeling capabilities in the ERP system must be easy to use; that is, the standard label should only
need to be described once in the ERP system.

QS-9000 is another automotive mandate directly affecting ERP systems. Specific QS-9000 tools
are now being included in packaged ERP systems, such as process mapping tools, compliance
tools, supplier analysis, supplier score card, and other types of supplier rating systems. These
tools, driven by the supplier and inventory data already within the ERP system, will help users
perform qualitative and quantitative checks on inbound and outbound shipments to certify
suppliers for compliance. SAP's R/3 ERP system, for instance has a quality management system
integrated into the purchasing and the shipping portions of the system. This makes supplier rating
an inherent part of doing business.

Of course, this all begs the question: Is specific automotive ERP functionality worth it in the first
place? Absent hard numbers and rigorous research, most ERP user companies feel in their "virtual
gut" that they gain benefits in terms of time, money, and competitiveness. A more quantifiable
response comes from the AIAG. Its Manufacturing Assembly Pilot (MAP) study last year showed
that EDI use at the Tier-2 level would slash lead times and generate savings estimated at $1.1
billion per year, overall. [6]

2.5.5

Automotive Users and ERP Vendors

Vendors Are Helping Automotive Users Jump Start Their ERP Implementations. ERP
implementations are a substantial investment in time and money. They always have been. Lately,
though, these implementations have become more business reengineering initiatives than software
installation efforts. While the former can offer several benefits to the latter, many users would
rather focus on quickly solving core critical business needs with software, such as instituting
effective EDI communications or solving Year 2000 issues. Once they have their ERP systems up
and running, they can then take their ERP implementation to the next step by changing original
software settings or rewriting code to accommodate business growth.

Many ERP vendors offer ways to "kick start" both the initial ERP implementation effort and the
eventual modification steps. Some have created "industry templates" to tailor the ERP system for
a specific automotive participant, whether OEM, supplier, or aftermarket supplier. These
templates are based on the best business practices, that is, the automotive supplier business
standards and requirements instituted by organizations such as the AIAG and mandated by the
OEMs.

SAP, which calls its templates "preconfigured systems," has Solution Maps that identify what its
R/3 ERP system can do for specific areas in an automotive enterprise. "Solution Maps are what
companies used to hire consultants for, to help the companies understand where they are and what
they want to do to accomplish their goals," says Gregory Mekjian, director of Automotive
Strategic Business Unit for SAP America (Southfield, MI).
Modifying these templates or preconfigured system is expected as the user's understanding of the
ERP system grows and the user company's business practices change. Some ERP vendors offer
tools to help in making those modifications. For example, Baan's dynamic enterprise modeling
(DEM) tool lets companies dynamically generate software that supports the business processes
they have modeled. This way, rather than asking its automotive customers to conform their
business practices to how the Baan software works, says David Fowler, senior industry consultant
for The Baan Company (Troy, MI), DEM can "bend" the ERP software to support the customer's
business practiceswithout the customer necessarily having to change or do major business
processes reengineering up front. [6]

CHAPTER THREE
SYSTEM ANALYSIS AND METHODOLOGY
This project is being developed to manage and computerize certain processes involved in the
everyday running of an automotive industry like Innoson Vehicle Manufacturing Ltd., in the
areas of manufacturing, human resource management, financial management and supply
processes.

3.1 System Analysis

Analysis involves a detailed study of the current system, leading to specifications of a new
system. Analysis is a detailed study of various operations performed by a system and their
relationships within and outside the system. During analysis, data are collected on the available
files, decision points and transactions handled by the present system.

3.1.1 Facts Gathering

In carrying out this research work, two major forms of data finding techniques were used and
they include:
i. Primary source
ii. Secondary source
I. Primary source: This is a form of collecting original data directly from the user of the
existing system, in which the researcher made use of empirical approach such as a personal
interview and the use of questionnaires.
II. Secondary source: A secondary source refers to sources of collecting data in which the
collected information are not as exact as the original sources. The secondary sources must have
modified or summarized the original information. The need for secondary sources in this project
cannot be over emphasized. The secondary data were obtained from Journals, Library sources,
and Websites.
3.1.2

Methods of Data Collection

Below is an outline that gives an overall idea about the search methods/fact gathering techniques
I used while gathering the information:
a) Interview

b) Study of records/manuals
c) Evaluation of forms
A. Interview
A face-to-face interview was carried between the researcher (me), head of the Department
(HOD) of the Spare Parts Department (SPD), and the Human resource manager (HRM). This
enabled the researcher establish good rapport with the participants and therefore gained their
cooperation.
B. Study of Records/manuals
An existing system can best be understood by studying the existing documents, such as;
i.
ii.
iii.

Written policy manuals

Rules and regulation
Standard operating procedures.

C. Evaluation of Forms
I was able to gain access to some forms (paper documents) that are used by the company which
are useful; these forms include Bill of materials, candidate form for applicants, invoice
documents, sales receipts and purchase order documents, A bill of materials is a list of the raw
materials, sub-assemblies, intermediate assemblies, sub-components, parts and the quantities of
each needed to manufacture an end product. A BOM may be used for communication between
manufacturing partners, or confined to a single manufacturing plant.

3.2 Analysis of the Existing System

3.2.1

Current Customer Relationship Management and Inventory Process

Innoson Vehicle Manufacturing (IVM) current inventory process is an outdated, manual

process that is time consuming and not financially responsible. The process relies on manual
entry at the end of each business day by the warehouse department. Each of the locations within
the company operates independently of each other with no inner company communications.
Each warehouse department has its own inventory which could result in over purchasing of
materials that another location could have overstocked. The receiving of materials process is
slow and time consuming. A receiving department employee has to visually inspect the paper
work and verify that all materials arriving are on the manifest. These processes are paper based
that could result in lost time and money if papers are misplaced or lost.

3.2.2

Current Human Capital Management Process

The current Human Resource management process is based on storing employee information in
Microsoft Access databases. This process does not provide easy identification of particular staff,
for instance staff with the same surname and initials but in different department, management
officials cannot easily identify the particular staff data needed because the image of the staff is
not present thereby making the searching of employee data time wasting and inefficient. Also it
does not provide sorting of employee information, for example, based on salary, position,
qualifications etc.
3.2.3 Current Financial and Accounting Management Process
The current system in Innoson Vehicle Manufacturing is based on entry of financial data into
Microsoft Excel spreadsheets. This process does not provide currency changing capacities, which
indicate ineffectiveness looking at the fact that transactions are sometimes carried out in foreign
currencies and also it cannot create reports and invoices automatically for transaction.

3.2.4

Feasibility Study

Feasibility studies aim to objectively and rationally uncover the strengths and weaknesses of the
existing business or proposed venture, opportunities and threats as presented by the environment,
the resources required to carry through, and ultimately the prospects for success.
a) Economic Feasibility: Economic analysis is the most frequently used method for evaluating
the effectiveness of a new system. More commonly known as cost/benefit analysis, the procedure
is to determine the benefits and savings that are expected from a candidate system and compare
them with costs. As such the implementation of the new system will save a lot of money (money
used in running the manual process and elimination of loss form overstocking).
b) Operational Feasibility: Operational feasibility is a measure of how well a proposed system
solves the problems. To an extent the proposed system is going to solve the problem of high
dependency on forms, files, and cabinet in carrying out the basic processes of the company. It
eliminates double of entry of data, cuts down on excess personnel staff and helps in decision
making of the management.

3.2.5

Problems and Weaknesses of the Existing System

The major problems the present system face are associated with the fact that it is not automated,
these problems are outlined:
i.

Creation and storage of Invoices: Invoices cannot be automatically generated and stored

ii.

using the existing system.

The shipping process: Products to be shipped or received are also registered using forms,
this process faces the problem of sorting time, but also when products are distributed to
various depots, it takes lots of time to confirm if the products arrived the depots safe and

iii.

complete.
Stocking process: The process of taking stock is tedious because it involved manual
counting the amount of goods left in the stock, as a result of the process the results are

iv.

error prone and not secured.

Searching of Employee Data: The process of searching for employee information is
tedious because double entry error of particular employee may occur due to human error
and also due to the fact that employee images or visual verification are not able to saved,

v.

identification of employees with the same names is very hard.

Stock Replenishment: Due to the manual process of taking inventory of stocks it is hard
to know when a stock is low, and when to replenish stock, no stock alert is set in place.

vi.

Also the right amount of stock needed cannot be identified and can lead to overstocking.
Data Integration: Due to the different processes of taking data in different departments,
there is no integration or availability of the same up-to-date data throughout all the

vii.

departments.
Difficulty in tracking and retrieving data from the related inventory.

viii.

Constraints couldnt be applied to the existing system.

3.4 Analysis of the Proposed System

Just as the problems and weaknesses of the present system have been rightly outlined, the
proposed system is being developed particularly to automate all manual processes, to save time,
increase production efficiency and make profit which is the ultimate goal of all automotive
industries.

3.4.1 Functional And non-functional Requirement

A. Functional Requirement: These are statement of services that the system provides, how the
system should react to particular inputs and how the system behave in particular situation. The
functional requirements are:
i.

It requires 3(three) privileged users; the Plant Manager, administration officer (admin),

ii.

and the user (staff).

Each user must have unique passwords and username which are there auto-generated

iii.

staff ids, which determines their interfaces and operations as well.

The Admin officer should have privileges to create other admin users and manage
application access of any employee.
It also provides the following functionalities below:
a. Creation of customer invoices including consolidated billing in real time
b. Creation and management of journal entries such as a Receivables, Sales Receipts,
invoice, Estimates, Supplier Invoices.
c. Creation and maintenance of detailed customer records and related data such as financial,
address, contacts and communication information
d. Entering, tracking and fulfilling of customer orders.
e. Storing of all customer order and release information, including order number, item
f.
g.
h.
i.
j.
k.

numbers, due dates and quantities, for detailed analysis and reporting.
Creation and maintenance of a master-list of departments within the company.
Creation of a master employee list.
Creation and maintenance of employee records.
Creation and maintenance of a master list of inventory of production parts.
Selection of inventory and stage it for shipment
Saving and emailing of invoices to customers.

B. Non-functional Requirement: these are the constraints encountered in the development of

the system. Some of these constrains includes:
a. The cost of setting up a local or cloud network to host the application.
b. Sufficient network bandwidth is required for the system to run effectively.

3.4.2

Benefits of the Proposed System

Due to the issues arising from the manual process of delivery of goods of the existing system,
this research work is being carried out to automate the manual processes involved in the
inventory of stock, the registration of incoming and outgoing shipments and every other process

carried out manually. And also the lack of a proper financial and HR management system; below
are some of the benefits that would be derived from the new system:
i.

Better management decisions are made based on financial reports.

ii.

Provides the manufacturer with up-to-date information about current stock level,
customers, employees and maintenance schedules.

iii.

Provides better security of information from unauthorized users and hackers.

iv.

Provides the manufacturer with up-to-date information about previous shipments made,
and confirms the amount of goods sent or received from the manufacturer through the
invoices generated.

v.

Saves the time in searching for stock or employee data.

vi.

Alerts the admin officer when a particular stock is low in the warehouse of the plant.

vii.

Eliminates double entry of data, under-stocking and also overstocking.

viii.

All the transactions made should results either success or failure to provide consistency.

3.5 System (Software) Development Methodology

A Software development Methodology also known as Software Development Life Cycle Model
is a set of activities together with an ordering relationship between activities which if performed
in a manner that satisfies the ordering relationship that will produce desired product. Software
Development Life Cycle Model is an abstract representation of a development process.
In a software development effort the goal is to produce high quality software. The development
process is, therefore, the sequence of activities that will produce such software. A software
development life cycle model is broken down into distinct activities. A software development life
cycle model specifies how these activities are organized in the entire software development
effort. We discuss each software development life cycle model in detail.
There are various types of software development methodologies such as
i.
ii.
iii.
iv.
v.
vi.

Waterfall Model
V-Shaped Model
Evolutionary Prototyping Model
Spiral Development Methodology (SDM)
Iterative and Incremental Method
Agile development(Extreme Programming)

In this project the software development methodology used is Agile Development

Methodology.
3.5.1 Agile Development Methodology.
Agility is both a development philosophy and a collection of concepts embedded into
development methodologies. An agile approach to development is essentially a results-focused
method that iteratively manages changes and risks. It also actively engages customers in
providing feedback on successive implementations, in effect making them part of the
development team. Unlike process-driven documentation, it promotes outcome-driven
documentation. The emphasis of agile practices is on traveling lightweight, producing only
those artifacts (documentation) that are absolutely necessary. [15]
Agile Development Methodology combines a philosophy and a set of development guidelines.
The philosophy encourages customer satisfaction and early incremental delivery of software;
small, highly motivated project teams; informal methods; minimal software engineering work
products; and overall development simplicity. The development guidelines stress delivery over
analysis and design, and active and continuous communication between developers and
customers.

3.5.1.1

Advantages of Agile model:

i.

Customer satisfaction by rapid, continuous delivery of useful software.

ii.

People and interactions are emphasized rather than process and tools. Customers,
developers and testers constantly interact with each other.

iii.

Working software is delivered frequently (weeks rather than months).

iv.

Face-to-face conversation is the best form of communication.

v.

Close daily cooperation between business people and developers.

vi.

Continuous attention to technical excellence and good design.

vii.

Regular adaptation to changing circumstances.

viii.

Even late changes in requirements are welcomed

3.5.1.2
i.

Disadvantages of Agile model:

In case of some software deliverables, especially the large ones, it is difficult to assess the
effort required at the beginning of the software development life cycle.

ii.

There is lack of emphasis on necessary designing and documentation.

iii.

The project can easily get taken off track if the customer representative is not clear what
final outcome that they want.

iv.

Only senior programmers are capable of taking the kind of decisions required during the
development process. Hence it has no place for newbie programmers, unless combined
with experienced resources.

3.5.1.3 When to use Agile model:

i.

When new changes are needed to be implemented. The freedom agile gives to change is
very important. New changes can be implemented at very little cost because of the
frequency of new increments that are produced.

ii.

To implement a new feature the developers need to lose only the work of a few days, or
even only hours, to roll back and implement it.

iii.

Unlike the waterfall model in agile model very limited planning is required to get started
with the project. Agile assumes that the end users needs are ever changing in a dynamic
business and IT world. Changes can be discussed and features can be newly effected or
removed based on feedback. This effectively gives the customer the finished system they
want or need.

iv.

Both system developers and stakeholders alike, find they also get more freedom of time
and options than if the software was developed in a more rigid sequential way. Having
options gives them the ability to leave important decisions until more or better data or
even entire hosting programs are available; meaning the project can continue to move
forward without fear of reaching a sudden standstill.

3.5.1.4 Reason for employing Agile model:

Unclear Requirements from the user of the system has led to the use of Agile development
methodology in this project.

Under Agile Methodology, Extreme Programming is employed in this project.

3.5.2

Extreme Programming (XP)

XP uses an object-oriented approach as its preferred development paradigm. XP encompasses

asset of rules and practices that occur within the context of four framework activities: planning,
design, coding and testing. Figure 3.1 illustrates the XP process and notes some of the key ideas
and tasks that are associated with each framework activity. [7]

Fig 3.1 XP programming model

a.

Planning

The planning activity begins with the creation of a set of stories that describe required features
and functionality for software to be built. Each story is written by the customer and is placed on
an index card. The customer assigns a value (i.e. a priority) to the story based on the overall
business value of the feature or function. As development work proceeds, the customer can add

stories, change the value of an existing story, split stories, or eliminate them. The XP team then
reconsiders all remaining releases and modifies its plans accordingly. [7]
b. Design
XP design rigorously follows the KIS (Keep It Simple) principle. A simple design always
preferred over a more complex representation. In addition, the design provides implementation
guidance for a story as it is written nothing less, nothing more. The design of extra
functionality (because the developer assumes it will be required later) is discouraged. [7]
c. Coding
XP recommends that after stories are developed and preliminary design work is done, the team
should not move to code, but rather develop a series of unit tests that will exercise each of the
stories that is to be included in the current release (software increment). Once the unit test has
been created, the developer is better able to focus on what must be implemented to pass the unit
test. Nothing extraneous is added (KIS). Once the code is complete it can be unit tested therefore
providing instantaneous feedback to the developer. [7]
d. Testing
We have already noted that the creation of a unit test before coding commences is a key element
of the XP approach. The unit tests that are created should be implemented using a framework
that enables them to be automated. This encourages regression testing strategy whenever code is
modified. XP acceptance tests also called customer tests are specified by the customer and focus
on overall system features and functionality that are visible and reviewable by the customer.
Acceptance tests are derived from user stories that have been implemented as part of a software
release. [7]

CHAPTER FOUR
SYSTEM DESIGN AND IMPLEMENTATION
4.1 System Design
During the Design Phase, the system is designed to satisfy the requirements identified in the
previous phases. The requirements identified in the Requirements Analysis Phase are
transformed into a System Design Document that accurately describes the design of the system
and that can be used as an input to system development in the next phase. In this project the
design methodology employed is Object-Oriented Design Methodology.

4.1.1 Object-Oriented Design Methodology.

Object-oriented design is a design strategy where system designers think in terms of things
instead of operations or functions. Rather than a program being designed as a set of functions
that interchange data through their parameters and through a shared memory (global variables),
an object-oriented program is made up of interacting objects. Objects maintain their own local
state and define operations on that state information. They hide information about the
representation of the state and hence limit access to it.
Login

Admin

Create User

Fig 4.1

Staff

Register Staff

Financial

Inventory

Management

Management

A hierarchical model of the proposed system

CRM

HR
Management

4.2.

Data Flow Diagram of the Proposed System.

Fig 4.2

A Data Flow Diagram of the proposed System

4.2.1 A Data Flow Diagram of the Order Processing of the proposed System.

Fig 4.2.1

A Data Flow Diagram of the Order Processing of the proposed System

4.2.2

Description of System Modules

The system has 4 (four) modules namely: Financial Management, Customer Relationship
Management, Inventory Management and Human Resource Management.
1. Financial Management: This is composed of creation, viewing, deleting, updating
and saving of Estimates, Invoices Receivables, Supplier Receipts and Supplier
Invoices. Estimates and Invoices can be saved or emailed to the customer in a pdf
format.
2. Customer Relationship Management: This is composed of creation, viewing,
deleting, updating and saving of Leads, Opportunities, Customers and Contacts.
Leads can be converted to opportunities, opportunities to customers, and
customers to contacts.
3. Inventory Management: This is composed of creation, viewing, deleting, updating

and saving of Items, Shipments, Move transactions, Purchase orders, receipts and
orders.
4. Human Resource Management: This is composed of creation, viewing, deleting,
updating and saving of Candidates and Employees. Here application access can
be managed by the admin or HR manager.

4.3

Database Design

Database design is the process of producing a detailed data model of a database. A properly
designed database provides you with access to up-to-date, accurate information.

4.3.1

Enhanced Entity Relationship Diagram

This shows the entities of the database and their relationships.

Fig 4.3 An EER diagram of the Database and its Tables

4.3.2

Program Flow Chart of the proposed system.

Fig 4.4 A flow Chart of the proposed System

4.3.3

Customer Relationship Management Flow Chart of the proposed system.

Fig 4.5 A program Flow Chart of the Customer Relationship Module

4.3.4 Use Case Diagram

UML Use Case Diagrams (UCDs) can be used to describe the functionality of a system in a
horizontal way. That is, rather than merely representing the details of individual features of your
system, UCDs can be used to show all of its available functionality. UCDs have only 4 major
elements: The actors that the system you are describing interacts with, the system itself, the use
cases, or services, that the system knows how to perform, and the lines that represent
relationships between these elements.

Fig 4.6 UML showing Admin functionalities

Fig 4.7 UML showing HR Staff functionalities

Fig 4.8 UML showing Financial Management Staff functionalities

Fig 4.9 UML showing Inventory Management staff functionalities

Fig 4.10 UML showing Customer and Sales Staff functionalities

4.4 System Implementation

This phase constitute one of the final steps to the full development of the software. The system
implementation phase covers all the activities that take placed in converting from an old (already
existing) system to a new system. The proposed system is implemented using PHP as the
scripting language, Javascript, Ajax and MySQL.
4.4.1 Development Environment
The suitable development environment has to be established to ensure that the implementation
process runs smoothly. The following describes the software and the hardware requirement for
the development process.

4.4.1.1

Hardware Requirements.

Table 4.1 describes the hardware requirements for the Automotive Plant Management
system.
Hardware

Description

Processor

Intel Celeron/Centrino 1.6 Ghz Processor or

higher or other equivalent processors

Memory

At least 1GB. Recommended: 2GB or more

Hard disk space

At least 1024MB

Others

Internet access

4.4.1.2 Software Requirements

Table 4.2 describes the software requirements for the Automotive Plant Management
System
Software

Description

Operating System

Microsoft Windows Vista or higher

Web Server

Apache 2.2.12 or higher

Relational database management

MySQL 5.1.37 or higher

system

Internet Browser

Google chrome, internet explorer, Mozilla

Firefox.

Programming(Scripting) Languages

PHP 5.5.2 , JavaScript, HTML, Ajax

Web design and Development tool

NetBeans 8.0.2, MySQL Workbench 6.2 or any

other tool.

4.4.2

Development Tools

a. PHP
PHP (acronym for Hypertext Preprocessor).PHP is a simple, fast, portable scripting language
well suited for development of database-enabled Web sites. It was developed in 1995 and is
currently powering tens of millions of Web sites worldwide. The predecessor to PHP was

PHP/FI, Personal Home page/Forms Interpreter, developed by Rasmus Lerdorf in 1995 to help
him track the number of visitors accessing his online rsum. It was basically a set of Perl/CGI
scripts later rewritten by Lerdorf in the C language and opensourced; that is, made freely
available. PHP was very Perl-like in sytnax, but whereas Perl is an all-purpose, jack-of-all-trades
scripting language, PHP was designed specifically to master the Web. PHP instructions can be
embedded with HTML right in the Web page so that whenever the page is loaded, PHP can
execute its code. PHP made processing forms easier by providing automatic interpretation of
form variables. It allowed for interaction with databases. It enabled users to create simple
dynamic Web sites. The toolset Rasmus Lerdorf developed was so popular that in 1997, PHP/FI
2.0 was released. [9] Due to the popularity of this new release, Lerdorf was soon joined by a core
group of developers, who continued to provide improvements and enhancements to the new
language. By this time, there where thousands of users and approximately 50,000 Web sites
running PHP/FI pages; Zeev Suraski and Andi Gutmans, two students attending Technion-Israel
Institute of Technology, needed a language for their university e-commerce project. They chose
PHP/FI for their project. Dissatisfied with its limitations and bugs, they put their project aside,
and rewrote PHP almost from scratch. PHP 3.0 was a significant departure from the previous
code base. The new language supported add-on modules and had a much more consistent syntax.
At this time, the meaning of the acronym changed as well. PHP now stands for PHP: Hypertext
Preprocessor. PHP 3.0 was released in 1998 and is the closest version to PHP today. By May
2000, PHP 4 was released. The core of PHP 4 was entirely rewritten to improve the performance
of complex Web applications and improve modularity of the platform. Zeev Suraski and Andi
Gutmans, the authors of PHP 3, introduced a new parsing engine, called the Zend engine, which
is the scripting language that powers PHP today. Because of their internationally recognized
authority, Suraski and Gutmans founded Zend Technologies, the PHP Company, and their
contributions to PHP have been a major reason for its explosive worldwide growth. The term
Zend is a portmanteau, a word created by combining the letters in their first names: Zeev and
Andrew Version 4 offered an open Application Programming Interface (API), allowing other
programmers to write modules for PHP, modules that would extend its functionality, modules
that allowed PHP 4 to support most of the available databases and Web servers available. With
this release, PHP became a serious programming language and platform for developing and
deploying complex Web applications. The latest incarnation of PHP was released in July 2004.
PHP 5 added a whole new object-oriented model to the language. The new model is based on

Zend Engine 2 and greatly improves PHP performance and capabilities. Most of the functionality
is backward compatible, allowing programs written in older versions to continue working. [9]
b. JavaScript
JavaScript is Netscape's built-in, cross-platform scripting language. Like HTML, it will work on
all platforms. JavaScript allows you to enhance the functionality of your Web pages by
embedding applications directly into your HTML. You can use JavaScript to build applications
that range from adding interactivity to your pages to applications that interact with databases.
Although Netscape created JavaScript, it will work on most modern browsers, including
Microsoft's Internet Explorer (IE). However, IE doesn't directly support JavaScript. IE has its
own scripting languageJScriptthat supports most of the features found in JavaScript. In the
few instances in which the languages differ, those differences are pointed out and a workaround
is presented. As these are the two main browsers on the market, the scripts we will be writing
will focus on them. It was introduced to increase the speed of web applications by working
behind the scene with the database, retrieving and storing data without reloading the whole page.
JavaScript is not used to pass sensitive data such as passwords in view that the codes are
executed at the client side where the system can be vulnerable to malicious attacks. [8]
c. Html
HTML, acronym for HyperText Markup Language, is a markup language used to describe the
formatting of text in a document. It is useful in the sense that it allows text to be structured
according to its purpose, namely as a heading, paragraph and so on. This is accomplished by
writing the HTML in tags that describes to the web browser how the text is to be displayed. A
scripting language such as PHP and JavaScript can be easily embedded in HTML to enhance the
functionality of HTML.
d. Netbeans 8.0.2 IDE
Netbeans 8.0.2 IDE was selected for this project because of its ability to automatically indents
lines, matches words and brackets, and highlights source code syntactically and semantically. It
lets you easily refactor code, with a range of handy and powerful tools, while it also provides
code templates, coding tips, and code generators. Keeping a clear overview of large applications,
with thousands of folders and files, and millions of lines of code, is a daunting task. NetBeans
IDE provides different views of your data, from multiple project windows to helpful tools for
setting up your applications and managing them efficiently, letting you drill down into your data

quickly and easily. Finally it was chosen because its ability to recognize Javascipt, Ajax, CSS,
and PHP codes with code hinting and bug detection.

4.4.3 Operation Platform

The Windows 7 operating system was selected as the platform for the development of this
system. The fact that the potential users are already using and are familiar with the Windows 7
environment played an important role in the selection. Since the inception of the operating
system, the developers of Windows7 have continually improved its stability while providing a
user-friendly environment.

4.5 Database Implementation

MySQL is a database system used on the web. Basically, a MySQL database allows you to create
a relational database structure on a web-server somewhere in order to store data or automate
procedures. If you think of it in comparison to Microsoft Access, MySQL is what holds all of
your tables, PHP acts as your queries (among other things), and your forms are basically web
pages with fields in them. With all of this combined, you can create truly spectacular projects on
the web. MySQL uses the client/server model; that is, a database server (MySQL) that serves
(communicates) with multiple clients (application programs), where the clients may or may not
be on the same computer. It also supports SQL, the structured query language, a standardized
language used by most modern databases for working with data and administering the database.
[10]

4.5.1 Advantages of MySQL and PHP

Certain technologies play together better than others. PHP, a simple and powerful scripting
language, and MySQL, a solid and reliable database server, make a perfect marriage between
two modern technologies for building database driven, dynamic Web sites. Some of the
advantages of both PHP and MySQL are:
a. High performance
b. Built-in libraries
c. Extensibility
d. Relatively low cost
e. Portability

f. Developer community
g. Ease of learning

4.6 Software Testing

This defines the test requirement which the software should meet and then it is progressively
integrated into a complete package. The process of test plan is concerned with ensuring that a
package produces correct and expected result for all possible input data.
For this software testing, we have four basic testing that should be adopted.
These include:
1. Unit Testing
2. Integration Testing
3. System Testing
4. User acceptance Testing

4.6.1 Unit Testing

The unit testing involves testing of each module in the software to verify that they meet their
respective objectives. Unit testing is carried out to ensure that information flows properly in and
out of the program module under test. The unit testing is also done to ensure the functionality of
each unit such as the Inventory Management module, Financial Management module, Customer
Relationship Management Module and the Human Resource module are functioning properly.

4.6.2 Integration Testing

Integration testing has shown that, though sometimes, the modules can perform their respective
functions but when put together they fail to function and produce the expected results.
Integration testing is a logical extension of unit testing. Hence, integration testing was done to
the entire program structure to uncover errors associated with interfacing. These errors were
debugged to produce desired results. The essence of integration testing is to ascertain that these
modules do not lose their efficiency and reliability.

4.6.3 System Testing

The system testing is testing conducted on a complete, integrated system to evaluate the systems
compliance with its specified requirement. In the Automotive Plant Management System, each

routine must have been written according to specification and tested to complete satisfaction.
Also bugs must have been removed completely and the software produces exactly what is
required when data is being given to it.

4.6.4 User Acceptance Testing (UAT)

This is also called beta testing, application testing, and end user testing. This is a phase of
software development in which the software is tested in the real world by the intended
audience. The UAT done on this system is the in house testing in which volunteers use the
software. The experience of these test users are then put into consideration.

CHAPTER FIVE
SUMMARY, CONCLUSIONS AND RECOMMENDATIONS
5.1 Summary
Automotive Plant Management System has been developed to eliminate the challenges
faced at an Automotive Plant (Innoson Vehicle Manufacturing Ltd.) in carrying out its daily
activities. The system was developed to provide integration of data throughout the company, by
managing financial data, providing inventory of assembly parts, providing a customer
relationship management (CRM) system and by managing staff information.
5.1.1 Achievements
The achievements in this system can be summarized below:
1. Provides a computerized way of storing files such as invoices, orders, receipts
replacing the manual method.
2. Provides easy and flexible access to employee and department information.
3. Provides an easy way of sending invoices to customers.
4. Provides a CRM system to manage customers.
5.1.2 Difficulties Experienced
The difficulties encountered during the development of this project are highlighted below:
1. Limited time to develop a system that covers all operations of the company.
2. Limited access to the internet.
3. Power supply problems
4. Insufficient access to companys information.

5.2 Conclusion
The implementation of this system will bring about speed in processing information and carrying
out the normal manual processes. Also it will bring about better customer relationship, less
overstocking of inventory, data consistency and easy employee management.

5.3 Recommendations
This application is recommended for Automotive Plants i.e. plants that deal will automotive parts
and manufacture of automobiles having dealers as customers.

5.3.1 Further Areas of Research Work

Below are some improvements that can be added to an improved version of this program:
1. A payroll system integrated into the financial Module.
2. A logging System to keep track of User logs.
3. A barcoding system to scan barcodes and serials of automotive parts.

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2. www.nac.org.ng/industries-genesis.php
3. www.nac.org.ng/industries-problems.php
4. www.dspi.com/home/manufacturing.php
5. www.madehow.com/voulme-1/Automobile.html
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7. Roger S. Pressman, Ph.D. (2010) Software Engineering, A Practitioners Approach,

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8. Dan Barrett (1999), Essential Javascript for web professionals, Prentice Hall, New York.
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