Sales / Inventory Management Systems [Swahili Version (DUKANI)]

Wajasi Pro Labs Limited in association with Umugulugu Financial Consultancy and Supplies introduces to you Sales / Inventory Management System [Swahili version (DUKANI)] with the following features:

1. Inventory management.
2. Sales management.
3. Shopkeepers management.
4. Report generation.
5. Receipt printing.
6. Low stock alert.

Check out the screen shots:

• Wajasi Pro Labs

Project Feasibility Study

The term “feasibility study” is used as a convenient description for the output for the work done; users of this tool kit should not apply preconceived notions of what a feasibility study consists of. Stated as simply as possible, the work done here must show that the project:

i. Is in accordance with predetermined needs.

ii. Is the most suitable technical solution to the needs.

iii. Can be implemented within any capacity constraints of the Institution which operates.

iv. Has been subject to a due diligence that shows it is legally, physically and socially compliant.

v. Is fully coasted over the whole life of the project.

vi. Has taken due cognisance of the risks associated with its whole life cycle, and

vii. Is affordable to the institution responsible for the project in the context of the available budget.

The feasibility study guideline set out below is for a comprehensive document that, in many instances simply uses information already collected and set out as part of the steps carried out by the Institution. That said it is necessary to create a study that creates a holistic justification for the project and serves as a living document against which project deliverables are measured during procurement and even after implementation of the project.

A feasibility study needs to be authentic and thorough. It is the basis for government making an important investment decision, not just a bureaucratic requirement. Regardless of the term and scale of a project, there is a great deal at stake when the procurement choice is made, and long-term implications.

1. It provides information about costs (explicit and hidden), and gives an indication of whether costs can be met from within institutional budgets without disruptions to other activities.
2. It allows for the identification, quantification, mitigation and allocation of risks.
3. It prompts institutions to consider how the project will be structured.
4. It identifies constraints, which may cause the project to be halted.
5. It ensures that the project is developed around a proper business plan.

A feasibility study is an evolving, dynamic process. While it is used to justify what is developed and at what cost (the investment decision) it is also used throughout the procurement phase to check that the project is being developed in accordance with the original assumptions and, where change is necessary, it is also used to manage the change.

Importance of Keeping Accounting Records

Generally, there are various advantages which arises out of keeping accounting records, some of the advantages are of the following. These are;

It helps in measuring performance;

Accounting record keeping aids a business owner to determine how far the business has gone since its commencement. That is, it helps the owner to know whether the business is growing or not. The performance of a business is usually determined through the calculation of the profit. For example a business with an increase in its annual profit will be deemed to be growing and vice-versa.

It aids business planning;

It is a truism that knowing where you are is a prerequisite to knowing where you want to be. If a business present position is not known, then to plan for the business will be a fairy tale. Therefore, keeping of the financial activities of the business in place helps in planning for the future growth of the business.

It helps business owners to have control over their businesses;

Control is the ability or the authority to manage things. But having control over a business means having control mostly over the financial affairs of the business. But if accounting records are not kept and maintained by a business owner, how can he/she confidently have full and adequate control over the financial affairs of the business which can spell doom for the business.

It aids decision-making;

This mean, it helps a business owner to make quality decision that will bring about improvement in his / her business. The major aim of keeping accounting records is to ensure that accurate information are available to facilitate informed judgements in respect of the activities of the business.

Advantages of Ratios Analysis

Ratio analysis is an important and age-old technique of financial analysis. The following are some of the advantages / Benefits of ratio analysis;

i.     Simplifies financial statements: It simplifies the comprehension of financial statements. Ratios tell the whole story of changes in the financial condition of the business.

ii.       Facilitates inter-firm comparison: It provides data for inter-firm comparison. Ratios highlight the factors associated with successful and unsuccessful firm. They also reveal strong firms and weak firms, overvalued and undervalued firms.

iii.     Helps in planning: It helps in planning and forecasting. Ratios can assist management, in its basic functions of forecasting. Planning, co-ordination, control and communications.

iv.      Makes inter-firm comparison possible: Ratios analysis also makes possible comparison of the performance of different divisions of the firm. The ratios are helpful in deciding about their efficiency or otherwise in the past and likely performance in the future.

v.       Help in investment decisions: It helps in investment decisions in the case of investors and lending decisions in the case of bankers.

Limitations of Ratios Analysis,
The ratios analysis is one of the most powerful tools of financial management. Though ratios are simple to calculate and easy to understand, they suffer from serious limitations.

Limitations of financial statements;

Ratios are based only on the information which has been recorded in the financial statements. Financial statements themselves are subject to several limitations. Thus ratios derived are also subject to those limitations. Example, non-financial changes are not relevant by the financial statements. Financial statements are affected to a very great extent by accounting conventions and concepts. Personal judgement plays a great part in determining the figures for financial statements.

Comparative study required;

Ratios are useful in judging the efficiency of the business only when they are compared with past results of the business. However, such a comparison only provide glimpse of the past performance and forecasts for future may not prove correct since several other factors like market conditions, management policies. All these can affect the future operations.

Ratios alone are not adequate;

Ratios are only indicators; they cannot be taken as final regarding good or bad financial position of the business. Other things have also to be seen.

Problems of price level changes;

A change in price level can affect the validity of ratios calculated for different time periods. In such a case the ratio analysis may not clearly indicate the trend in solvency and profitability of the company. The financial statements, therefore, be adjusted keeping in view the price level changes if a meaningful comparison is to be made through accounting ratios.

Lack of adequate standard;

No fixed standard can be laid down for ideal ratios. There are no well accepted standards or rule of thumb for all ratios which can be accepted as norm. It renders interpretation of the ratios difficult.

Limited use of single ratios;

A single ratio, usually, does not convey much of a sense. To make a better interpretation, a number of ratios have to be calculated which is likely to confuse the analyst than help him in making any good decision.

Personal bias;

Ratios are only means of financial analysis and not an end in itself. Ratios have to interpret and different people may interpret the same ratio in different way.

Incomparable;

Not only industries differ in their nature, but also the firms of the similar business widely differ in their size and accounting procedures. It makes comparison of ratios difficult and misleading.

The Advantages of Using a Project Plan

Every company spends time trying to improve their operations in order to make them more efficient and profitable. This typically involves implementing new projects to create new products or bringing a new process or procedure on line. If a company enters into these projects without an idea or plan as to how they will actually work, the projects are often doomed to fail. Creating and following a project plan helps the project succeed. 

Goal setting;
The biggest advantages of having and following a project plan are documenting the project on paper and specifying an end goal. If the project is documented, everyone involved knows exactly what the project will consist of and exactly what new process or product they should have at the end of it. After the major goal has been set, the project manager can set smaller goals which will all feed into the larger goal. This creates a master timeline for the project completion and helps various departments who are working on it stay on the same page.

Costs;
Once the project has been documented with a goal and timeline in mind, it is important to keep track of the costs associated with the project itself. A budget is usually determined at the start of any project, because without a plan the project manager has no idea if the project is coming in over or under budget. By following the project plan, management can set costs for each section of the project, track what those expenditures are, and hold employees accountable for any overage. Also, employees who are working on the project will know how much they are allowed to spend on developing their area.

Productivity;
Another good reason to follow a project plan is so that management can accurately determine which employees are needed to work on any given section. It can act to free up company resources to get the most productivity out of the workers. For example, if there is a financial component to the project, the accounting department may need to get involved. Without a plan, the accounting department may end up constantly giving out the requested information throughout the entire process, taking up time of the entire department. With a project plan, management can see exactly when those figures will be needed and how many people will be needed to gather that information. It makes the company more efficient while conserving productivity.