Henry Dobles Logo Banner

Stock Control System

1. Why do we use stock control systems?
a. What is a Stock Control System?
A stock control system is a computer system that monitors the amount of stock  a store has.
b. Managing stock
This is when the system manages the amount of stock in store, where it is and what I coming in and out. It means you always know how much stock there is.
c. Purchases
The stock control system manages the stores purchases and so it can keep the stock amount up to date and know what has come into the store.
d. Sales
Also the system knows what the customers have purchased and so it knows what has gone out of the stores stock. This means the store knows what to reorder.
e. Re-ordering
Using its management of the store’s sales and purchases the stock control system can then order the specific amount needed to refill the stock.

2. Examples
a. LEO - historical developments & importance
LEO was the first computer used for commercial business in 1951. It was developed by Lyons to be used in their tea rooms. Lyons formed LEO computers Ltd in1954 to market the LEO I and its successors the LEO II and Leo III.

J. Lyons and Co., one of the UK's leading catering and food manufacturing companies in the first half of the 20th century, sent two of its senior managers, Oliver Standingford and Raymond Thompson, to the USA in 1947 to look at new business methods developed during the Second World War. During their visit they met Herman Goldstine, one of the original developers of ENIAC, the first general-purpose electronic computer. While there Standingford and Thompson realised the potential of computers to help solve the problem of administering a major business enterprise. They also learned from Goldstine that, back in the UK, Douglas Hartree and Maurice Wilkes were actually building another such machine, the pioneering EDSAC computer, at the University of Cambridge.
When they returned to the UK they were impressed by the work at Cambridge and decide to fund them to enable them to finish their computer quicker. By 1949 EDSAC was completed and functioning properly. After seeing the success of this Lyons decided to create their own computer based on EDSAC and on 29th November 1951 LEO took over the stock management of Lyons bakeries.
In 1954 LEO computer Ltd was born and developed the LEO II and III.
LEO II computers were installed in many British offices, including Ford Motor Company, British Oxygen Company and the 'clerical factory' of the Ministry of Pensions at Newcastle and LEO lll computers were installed in Customs & Excise, Inland Revenue, and The Post Office and in Australia, South Africa and Czechoslovakia.
LEO Computers eventually became part of English Electric Company (EELM) and then International Computers Limited (ICL) and ultimately Fujitsu.
b. Decathlon Sports Shops
This is one of the biggest sports retailers in Europe and as such their stores ar so big that they have no room for a stockroom. So any stock they have is placed on their shelves as soon as it comes in. To get over this problem they have a large warehouse in France which whenever a store runs out of stock the computer system tells the warehouse and they send the stock needed to the store.


Computer Model 4


Supermarket stock control diagram


1.            Decathlon worksheet - pdf