assignment 1

Acct 361: Assignment 1

50 points

Business Process Data Modeling

This assignment requires a solid understanding of the data modeling theory covered in class

and Chapter 17. I recommend reviewing that material before beginning this assignment.

Feed My Starving Children

Feed My Starving Children (FMSC) is a non-profit organization committed to feeding hungry

children around the world. Their approach includes the development of a food mixture that

is easy and safe to transport, simple to make with only boiling water, and culturally

acceptable worldwide. The basic dry food mixture includes rice, high protein soy nuggets,

vegetables, vitamins and flavoring. The following describes the company’s expenditure

cycle.

Description of the Expenditure Cycle

The FMSC expenditure cycle begins when a food production manager reviews inventory

records. When it is determined that inventory is needed for production of the food mixture,

the manager manually prepares a purchase requisition. A carbon copy of the requisition is

filed in the production department numerically. The original purchase requisition is

forwarded to the purchasing department.

After receiving the requisition, a purchase order clerk prepares the purchase order using

the ERP system. The purchase order clerk may negotiate price as well as combine

requisitions and/or orders to achieve the lowest cost with the highest-rated vendor. Note

that vendors permit back-orders. The ERP process accesses the vendor and inventory

master files and updates the purchase order transaction file. Three copies of the purchase

order are subsequently printed. One copy is sent to the vendor. One copy is filed in the

purchasing department numerically along with the purchase requisition. The last copy is

forwarded to the accounts payable department and filed in the Accounts Payable Pending

temporary file numerically.

An important part of FMSC operations are the warehouse captains who monitor incoming

goods. Warehouse captains are located at the receiving dock. Captains are responsible for

receiving, inspecting and recording each delivery for correct items, quantity and quality.

When a delivery comes in, a captain reviews the goods and manually creates a receiving

report. The captain prints a copy of the related purchase order from the ERP system and

compares the receiving report to the purchase order for quantity or item differences. If

there is a difference, the captain works with the department manager to resolve the

discrepancy. When no differences exist, the captain stamps the original receiving report

approved and keys the data into the ERP system to update the receiving transaction file.

The general ledger is automatically updated when changes are made to these records. The

approved receiving report and the purchase order print out are sent to the accounts payable

department.

The approved receiving report and purchase order are received in the accounts payable

department where a cash disbursement clerk manually creates a check on carbon copy

based on the supporting documentation. Vendors allow FMSC to make partial payments by

the 20th of each month for all deliveries made during the preceding months. The original

check is mailed to the vendor and the carbon copy is sent to the accounting department and

filed by check number along with the supporting documentation. The accounting

department scans all carbon copy checks into the ERP system to update the disbursement

transaction file.

Some vendors allow inventory items to be returned and will work with the warehouse

captain to coordinate that process.

Required:

Conceptual model: Prepare a data model with cardinalities for the operating events, agents,

and resources in the expenditure cycle process described above. Use crows feet notation for

cardinalities. The data model can be hand-drawn – but neatness is required. (If you use

Lucid Chart – use the Flowchart Process symbol for events.)

What to Submit:

1. PAPER: Bring the paper copy of the data model to class. The paper copy will be

used for grading.

2. UPLOAD TO BLACKBOARD: Upload the electronic file of the data model to

Blackboard. If hand drawn, upload a photo. The electronic file is required for your

assignment to be graded.