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Descriptions of System - Describe the system - (If any) Explain any problem(s) i

ID: 335159 • Letter: D

Question

Descriptions of System
- Describe the system
- (If any) Explain any problem(s) in the system (e.g. causes of the problem
and its (potential) effects?

Problem: Order fulfillment process Assume that if the product requested is not in stock, it needs to be manufactured before the order handling can continue. In this way, an order can never be rejected To manufacture a product, the required raw materials have to be ordered. Two preferred suppliers provide different types of raw material. Depending on the prod- uct to be manufactured, raw materials may be ordered from either Supplier 1 or Supplier 2, or from both. Once the raw materials are available, the product can be manufactured and the order can be confirmed. On the other hand, if the product is in stock, is retrieved from the warehouse before confirming the order. Then the process continues normally. After confirming the order, the shipment address is received and the requested product is shipped while the invoice is emitted and the payment is received. Afterwards, the order is archived and the process completes

Explanation / Answer

If we look at the system we can easily decipher that this is in control as the process are sequential and requires a trigger to get started for the next step. The orders that are completed are also maintained and recorded based on their occurrence in a chronological order. If we look at the whole process then we will observe that the process is implemented based on an objective that no order should be rejected and tat is reason manufacture starts after a product is out of stock and I feel that here lies the issue because if there is an inventory and proper way of maintaining data then it would be better to keep a threshold value and once the stock crosses the threshold value then it can be ordered because it takes time to manufacture a product. So in such a situation it may happen that due to this time that is required to manufacture, the order delivery may take time to get fulfilled.

As the competition level is very high organizations cannot afford to go out of stock for any product that has quite a fair bit of demand because that will give opportunity to other competitors in the market and they will capitalize on this opportunity to make their status better in the market.