Developing an Application for Auto-Parts Warehouse Management System

This project proposal outlines the development of an application for an auto-parts warehouse management system. It begins with a project summary, purpose, and business context, emphasizing the need for automation in the face of increasing e-commerce demands. The proposal defines the project's working title, objectives (understanding benefits, implementation changes, and potential complexities), and the complexities involved, including technical errors, stakeholder involvement, and the impact of automation on IT operations. It highlights potential benefits such as reduced human errors, optimized throughput, increased productivity, and better inventory accuracy. The feasibility statement assesses the project's viability, considering budget, return on investment, and team preparedness. The recommendation strongly endorses the system, citing its customizability, cost-effectiveness, improved productivity, and better inventory management. The document also includes sections on scope definition, assumptions, constraints, scope of work, implementation strategy, project management outline, governance, and key risks and issues, providing a comprehensive overview of the project from inception to execution. The document is a project proposal for a capstone project, likely for a course in IT or business management, focusing on warehouse automation and its benefits.

<Project Name>
Project Proposal
The version number starts at one and increases by one for each release. It shows the release number and a
revision letter if in draft. The original draft is 0.A and subsequent drafts are 0.B, 0.C etc. The first accepted
and issued document is 1.0. Subsequent changes in draft form are 1.0A, 1.0B etc.. The accepted and issued
second version is 1.1 or 2.0, depending on the magnitude of the change.
Version No: 10-03-2020
Copy: uncontrolled
License URL: https://creativecommons.org/licenses/by/4.0/legalcodeattribution to: State of Tasmania (Department of
Premier and Cabinet) 2017

Document Acceptance and Release Notice
This document is authorised for release once all signatures have been obtained.
PREPARED: Date: 10 / 02 / 2020
(for acceptance) <Harry Gayle>
< IT head>, <IT department>
ACCEPTED: Date: 28 / 02 / 2020
(for release) <Chris Thomas>
<CEO>, <Management>

Table of Contents
Project Summary......................................................................................................................... 11
Purpose................................................................................................................................ 11
Business and Policy Context.................................................................................................11
Working Title for the Proposed Project..................................................................................11
Objective(s)........................................................................................................................... 11
Project Complexity................................................................................................................11
Potential Benefits..................................................................................................................12
Feasibility Statement.............................................................................................................12
Recommendation..................................................................................................................12
Business Assessment.................................................................................................................12
Situation Assessment and Problem Statement.....................................................................12
Options considered...............................................................................................................12
Consultation.......................................................................................................................... 12
Proposed Scope........................................................................................................................... 13
Scope Definition....................................................................................................................13
Assumptions......................................................................................................................... 13
Constraints............................................................................................................................ 13
Scope of Work...................................................................................................................... 13
Implementation Strategy.......................................................................................................14
Project Management Outline.......................................................................................................15
Governance.......................................................................................................................... 15
Key Risks and Issues............................................................................................................15

Project Summary
Purpose
The purpose of this document is to put forward the proposal on a specific topic and research on the
same. The research can be proceeded with, on getting the approval from the IT manager or the
members of the evaluation committee. The topic that has been selected for research purpose is
Auto-Parts Warehouse. The objectives and research questions will be aligned to this topic and
various aspects related to the same.
Business and Policy Context
Automation has been introduced in almost all sectors and this has been a growing need as
because this reduces human errors. Warehouse automation cannot be considered as a recent
development as studies suggest that first automated storage and retrieval system was introduced
back in the year 1960. But it has not been so popular though getting developed that early. At
present times, this research is important as with escalating growth of e-commerce there has been
increase in land and labour costs; there has been a rise in customer expectations and many more
such things. Customers want their products to be get delivered faster and thus it is high time that
the warehouses be automated as depending only on manual processes will be of no help to meet
the increasing demands of the customers. In this research, the concept behind the auto-parts
warehouse will be discussed along with the varied possibilities of warehouse automation. The
ways in which the system developed can help in the business will be focussed on mainly. The
business problem is that there are volumes of information that need to be handled in a warehouse
and which at time become difficult for the human resource available at the site. Thus the
application that will be developed will help in handling the volumes of information and maintaining
stocks related information. The processes that can be handled in the warehouse if automation is
introduced will be discussed as well [1]. Automation in the workplace is a hot topic these days but
this has to be analysed from different perspectives as there are both pros as well as cons in
bringing in automation in a certain sector. There has also been a discussion on the need of policy
that requires being there at the workplace for making it suitable to adopt automation in its
operations. All these needs to be researched on and the way in which the auto-parts warehouse
can help in making the work of the organizations easy is also to be found out. The advantages of
adopting such technologies in the workplace and comparisons in between the scenario before
adopting the automation technology and after adopting the technology will also be a part of this
research.
Working Title for the Proposed Project
The title of the project requires being specific and should be so given that once reading the title
provides the idea about the content of the project. This should be topic relevant and kept short but
strong so that it gives the reader a brief idea of what he should expect from the paper. The
working title of this project is “Developing an application for Auto-Parts Warehouse Management
System”. The project title “Developing an application for Auto-Parts Warehouse Management
System” conveys the message to the reader that he should expect facts related to auto-parts
warehouse management system that can be how this system is going to work, how it solves
traditional warehouse problems and what are the various attributes of this system.
Objective(s)
The objectives of the project are as follows:
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1. To understand the benefits of the auto-parts warehouse management system to be developed.
2. To find out what changes need to be adopted so that the new system can be implemented.
3. To understand what complexities the business can face while implementing the project.
Project Complexity
The project includes automating warehouse operations thus there are many aspects that needs to
be analysed such as the policies that need to be there in place to handle the various operations in
the warehouse. Auto-parts warehouse is included in the large auto-servicing business that is there
to provide scheduled services as well as maintenance to al the makes and associated models of
different vehicles wherever it is practicable. A computer system is required for storing the records
related to all parts that have been kept for various makes and models of different versions of cars.
The supply levels needs to be maintained automatically and there stands a possible complexity.
The complexity involved in this can be that suppose technical error crops up then there will be
errors in the data stored and this can create problems in the operations of the warehouse. The
automation of the warehouse thus involves various complexities and thus it needs to be discussed
with the stakeholders [2]. The project involves a project team, project managers, executives,
sponsors, different customers and various users. The project complexity needs to be discussed
with the stakeholders so that they can provide their viewpoint on the same and work can be
proceeded accordingly. Automations means relying on machines or software that is programmed
for carrying out a specific task thus it involves various disadvantages as well. Automation involves
digital transformation and thus is associated with IT operations mess. Innovation brings about both
complexity as well as risk. New strategies are in general implemented without increasing the
budget or deploying IT personnel who has adequate knowledge about the same. Thus, this can be
grouped under the various complexities in a project as this has a serious or significant effect on the
operations of a project. The IT skills of the existing employees’ needs to be analysed and their
perspective understood so that project team can carry on with the tasks.
Potential Benefits
The potential benefits of the project are as follows:
1. The business can avoid disruptions in its operations caused by human errors. In this case the
traditional warehouse management system will be replaced by a software application that will help
in automating storage of the history of stocks present and each part will be provided with a trigger
value that will send a message to the supplier whenever there is less stock so that the supplier can
send the same [3]. Human errors in warehouse management have significant effects on the
system and on the business as a whole.
2. The automation of warehouse will help in optimizing throughput which can be beneficial for the
business. Customer retention is one of the vital aspects of a business and this can be achieved by
adopting innovations such as auto parts warehouse system as this system will help the business in
delivering the products in less time. The system to be developed intends to store retail prices along
with the internal orders [4]. There are many things that are to be considered while developing the
application and thus it can be said that adopting this technology will contribute to the smooth
functioning of the business.
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3. The application will help the business to increase its productivity and ensure that materials are
brought in and sold out efficiently [5]. Involvement of less number of people will ensure that safer
operations are carried out and there are reductions in the inventory and various costs related to
inventory.
Feasibility Statement
Incorporating automation system in warehouse is costly and the business needs to analyse its
budget for the purpose for implementing this system. The system is feasible for companies such as
Amazon, Walmart and other such companies but difficult for small industries. The business has to
keep a budget plan ready and check whether implementation of this is feasible as per their budget
and if found feasible they should carry on with the same [6]. Next important part that the business
needs to consider is the return on investment and the flexibility associated with the same. The
business requires hiring an analyst who will help them to understand how much return they should
expect from this system. The preparedness of teams to handle the project can be another major
concern in making use of the developed application. Thus it can be said that before going for
automation of the warehouse the business should consider all these aspects. The business needs
to invest a lot on the project and thus every aspect should be well evaluated to ensure that it does
not fail in the venture. In this context it can be said that this is feasible as it is mentioned that the
business is large. Thus the business can afford for implementing such an automation system. The
return on investment in this case is also good as this system will indirectly help the business to
retain customers [7]. This will help the business to deliver their products in less time thus
contributing to the brand name of the business.
Recommendation
The system is highly recommended for the business as this will help it to become technology
savvy. The various advantages of the new developed application will contribute in the growth of the
business. The system is highly recommended as for the following benefits that it will provide:
1. Customizable- Warehouses can be transformed into a facility that can be used whenever the
users requires it. This is not possible in the traditional system as it depends extensively on
humans. The business can achieve flexibility as well as customization by implementing automated
storage system [8]. This system will include provisions such as storing of retail prices and
accepting internal orders which in the long run will help in organizing the work properly. The
ordering system will be integrated in this and the public will also get a provision to access the
catalogue containing details of different parts.
2. Cost effective- It is a fact that this system requires heavy investment but it cannot be denied that
it has high return on investment. The sources that will effectively contribute to cost savings are as
follows:
a) Reductions in the costs related to labour and equipments.
b) Reduction in wastage
c) Costs related to maintenance will also be reduced.
d) Reductions in the various requirements related to land use.
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3. Improves productivity- It is a obvious fact that as compared to the manual system, auto parts
warehouse system will yield faster and more accurate results as manual labour will not be involved
in this case. The system thus will become more efficient and handle the volumes of data related to
different car parts in a proper and organized way.
4. Provides better inventory accuracy- The application will help in keeping a record of the orders
and also have an ordering system [9]. Thus employees can focus on other critical areas such as
fulfilling orders.
5. Optimizes order fulfilment- This will help the business to establish efficient picking processes,
routes along with sequences for enabling better performance of the warehouse.
Business Assessment
Situation Assessment and Problem Statement
The business still depends on the traditional warehouse system which functions in a non-
automated way and extensively depends on human labour. At present the traditional system of
warehouse is followed in which the operators are involved in moving the goods and it includes
going to a collection point to pick parts or transport the same to somewhere in-house. The
business makes use of manual handling system thus it can be said that it can go for automation.
The system that is made used of is outdated and it does not support the dynamic growth of the
business. In order to make the business adapt to the changing technology it is required that the it
comes up with a plan that supports the objective of the project.
The traditional warehouse is used for the car servicing and the parts of the car are kept so that
when the customers ask for some parts for the servicing of the car then they can get the parts from
the warehouse. The traditional warehouse is created in a non-automated way and the operations
of the warehouse are done by the workers of the company. The current situation is a traditional
warehouse that needs to be automated so that work is fast and they can provide excellent services
to the customers. A traditional warehouse utilises manual handling system. No machines or
technologies are used in order to perform the operations in the warehouse. The workers in the
warehouse will do the activities in the warehouse [10]. Sometimes, the traditional warehouse can
some sort of automation in the handling of the parts of the car those are too heavy for the humans
to carry. They can use forklift trucks or conveyors that can upgrade the operations of the
warehouse. Pallet tracks those are industrial, forklifts and pallet trucks can be used in order to run
a standard warehouse. The warehouse is used for keeping the parts of the car that is used for
developing a car. When the car requires servicing, the company can bring parts of the car those
are used for the servicing.
The objective is to build an application in order to automate the warehouse. An automated
warehouse is a warehouse that has some technologies implemented in order to make the
warehouse automated. The warehouses are designed with systems of retrieval and automated
storage that include AS/RS for the boxes, conveyors and many more. Automation is a very high
level set up and is scalable. It adapts to the systems of operations and every warehouse
implement automation in order to make the operations better. Warehouse automation enables the
operations of the warehouse in order to accomplish greater results with very less effort by the
utilisation of more than one technology. The best solutions of warehouse automation are scalable
and they offer a return of investment [11]. The warehouse can have two types of automation that is
the process of the warehouse can be automated with the help of enterprise resource planning and
the physical automation where various types of robotics such as robots are used in order to
automate the warehouse and the procedures of the warehouse. These two automations will help to
improve the automation of the traditional warehouse and provide excellent services to the
customers.
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Options considered
The business can go for various options in order to control the present scenario:
1. Upgrading to right machinery- This includes introducing advanced tools that can help the
employees in their work. Project management tools like Zoho and Odoo can help in managing the
tasks at hand and can to some extent organize the orders and stock related details.
2. Implementing the software application- This application will help in bringing in automation it eh
warehouse which is the preferred option and can be beneficial to the business. This can be said to
be as the best way to deal with volumes of information and restructure the ordering process.
Consultation
.
Stakeholders of the project Summary of their views regarding the project
Executive Leadership They are up for the project and want the business to bring
in this innovation as there are various benefits of this
system.
IT leaders The IT heads are little reluctant to shift to the new system
as they feel that why put effort in this when manually it is
being handled properly.
Warehouse managers Warehouse managers are of the opinion that this is a
good idea to automate the warehouse as this will lessen
their work pressure.
Sales managers Sales managers consider this as a huge project and are in
support of the same as this will help organize sales [12].
Having the record of the parts not in stock will help them.
Customers The valuable or the oldest customers of the business are
in for the project as they feel that by adopting this
technology the firm will be able to deliver products in less
time.
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Proposed Scope
An application is to be developed in order to automate the warehouse system. The automation of
the warehouse can upgrade the operations of the warehouse. It will reduce the expense of
operation, protects the asset of the company and the reputation of the company, increase the
efficiency and the productivity and maximizes the space utilization of the warehouse. The
application will help to automate the warehouse. The warehouse management system comes with
large number of functionalities that are meant in order to provide certain assistance to the workflow
in the warehouse. The application will help the warehouse to do the operations in the warehouse
without manual handling. The application can only be handled by the admin that is present in the
warehouse. The admin can handle the application and the application can help the manager of the
warehouse to see the stocks so that they can supply the parts when they are required. The
application will alert the manager when the stock is going to finish. The system will help to
generate reports based on the parts those are available at the warehouse. When new stock will
arrive at the warehouse, the manager with the help of the application can upgrade the stock and
when a specific parts in finished, the manager can remove the parts of the car form the application
which means that the stick of that particular item is finished and it need to be filled.
The basic procedures of the application include:
 Handling of the items inside the warehouse
 Receiving the items at the warehouse and ensuring that they are available
 Picking and shipping the items to the company who require the car parts for servicing.
The application can also track the items that have been shipped to the company for servicing. The
application will also help to automate the warehouse such as the technologies those are
implemented in the warehouse that are the robots that help to do the activities in the warehouse.
The warehouse can automate the procedures inside the warehouse with the help of the enterprise
resource planning software that is the back office and the report generation will be handled and
also the front end such as the customer services and many such things will also be handled [13].
This will help to provide excellent services to the customers and the warehouse will have good
revenues and profits and they retain their customers
Scope Definition
Table <n>: <Project> Proposed Scope
Element Detail
Objective The main objective is to develop the system as per the requirement and
this should be aligned to the objectives that have been stated above.
Outcome Efficient inventory count, faster product delivery, quick processing of
returns, reduction in mispicks and providing proper options to the
customers.
Output Data collected on the existing system, engaging the workers for brining
proper changes, staying connected with the IT department, seeking clarity
and taking regular updates on the work.
QualityCriteria The relevance of the outputs with the project will ensure that this will fit the
purpose of the project.
Customer(s) The warehouse managers, the suppliers and the customers.
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Assumptions
The main assumptions are:
 Resources- Resource are important in any project thus the business needs to find out the
resources that are available to the for the purpose of development of the application and what
they need to buy [14].
 Schedule- The schedule of the work is another major assumption as this will decide on the
success of the project.
 Scope- The scope of the project needs to be properly understood so that the work is carried
out in a smooth manner [15].
 Time- The project should be initiated after determining the time required to complete the
project and it should be ensured that it gets completed on time [16].
Constraints
The main constraints are:
 Deadlines- The various tasks related to the project should be completed on time so that the
budget and the time finalized to complete the task do not get stretched.
 Aligning to project scope- Every step should be aligned to the scope defined as disgracing
from the same will result in excessive cost and the project will not get completed in time.
 Time- This is seen as the main project constraint as failure or success of projects depend
highly on the time taken to complete the same.
 Budget- The budget decided for the project should not gets stretched as this will be affect the
project proceedings [17].
Scope of Work
1. Figuring out whether the business is ready for the automated system.
2. Understanding how this system supports the logistic of the company.
3. Putting someone in charge of the whole project from the time of its initiation.
4. Checking whether the automated system meets the performance specifications.
5. Get the supporting infrastructure in place.
7. Overlooking the various complexities of data migration.
Implementation Strategy
Table <n>: <Project Title> Project Implementation Strategy
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Element Detail Issues
Project
Schedule
The project is expected to
commence on <16/03/2020> and be
completed by <16/05/2020>
The issues can be estimating duration
of various tasks, assigning relevant
resources, managing the unknown
parameters and setting the date of
implementation.
Budget
Estimate
The estimated budget will be $3.7
million.
The budget is a major constraint in
business and as it is estimated budget
there can be changes in the decided
budget and the final budget.
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Project Management Outline
Governance
As a minimum you will need in your governance structure a:
 Project Sponsor- The project sponsor takes the ownership of the project on behalf of the
client company. He plays a vital part as he is one supporting the business with the required
finance for developing the budget.
 Business Owner- The head of the company is the owner.
 Project Manager- The IT head is the project manager in this case as he is involved in
forming the team, developing the artefacts and checking on the proceedings of the project.
As the project evolves, assuming it is approved, you may add one or more of the following parties
in your governance structure:
 Project Team- The team involves IT head, business analyst, engineers, software
developers those who can lead this project in a direction that it is meant to be.
 Quality Manager- A quality manager needs to be assigned so that he can keep a check on
the quality of the work being done in order to complete the project [18]. As this project is
related to developing an application, the quality manager needs to be sound knowledge
about software development and the work that is to be accomplished by this project.
Key Risks and Issues
These major risks or issues will be investigated further should the project proceed:
 Budget- This is one of the major constraints as there are many instances that projects have
failed due to increasing budget [19]. This is generally the result of disgracing from the scope of
the project. Time- The time which is decided while doing the first paper work of a project should be kept in
mind as this is another major factor responsible for failure of the projects. Resources- The resources should be properly used and maintained so that no loss is incurred
for the same [20].
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