Thesis to as of by Barry

Our Lady of Fatima University23 Km Sumulong Highway Brgy. Sta Cruz Antipolo City

College of Computer Studies

Chapter I

INTRODUCTION

Computer nowadays is a basic need for businesses or companies. It helps

a lot in such a way that it makes work more progressive and productive. It is an

important thing that a company or small business should have because it helps a

lot in many ways such as organizing, storing and manipulating data. Having

computer programs may help a company grow bigger and be competitive in the

flow of the business world. It helps a lot because almost all the companies

nowadays uses computer literate and very competitive in many aspects.

A. Background of the Study

Jose “Pitok” V. Blanco, his wife Loreta, and all seven children are all

accomplished painters versed in the “Folk Realism” style. What’s quite intriguing

is that most of them have had no professional art training, especially the children.

This celebrated art family is commemorated in the Blanco Family

Museum located in Angono, Rizal, billed as the art capital of the Philippines. The

museum houses a collection of paintings by the family members together with

other memorabilia and is open 9-11 a.m and 1-5 p.m. every day.

Just across the street from the museum is the Blanco Family Academy. It

is that big blue-roofed building and its started 2001. The Academy is a private

educational institution offering pre-school, elementary, and secondary education.

While a normal school in most respects, the Blanco Family Academy places

heavy emphasis in the fine and performing arts. The school vision is to give

quality education to all levels of society and to serve the community through

academic, moral, emotional, spiritual and social upliftment.

LAN-BASED Timekeeping and Payroll System Using Biometrics for Blanco Family Academy

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http://maps.google.com/?ll=14.525282,121.149443&spn=0.00134,0.004292&t=k&z=18

http://maps.google.com/?ll=14.525282,121.149443&spn=0.00134,0.004292&t=k&z=18

http://en.wikipedia.org/wiki/Angono%2C_Rizal



The Timekeeping and Payroll System of the Blanco Family Academy

is imprecise sometimes when it comes in computation of timekeeping and

payroll. Also, the Employees of the company are using Bundy Clock to

indicate in their Date Time Card their time of work in and out every day and

the Accountant administrator based the wages of each employee in that

time Card. It is hustle to use and long term creating the payroll slip, and the

time keeping which the Human Resources need to encode all the

attendance of employee using spreadsheets. Therefore the Blanco Family

Academy’s Time Keeping and Payroll system need improvement.

B. Rationale

The proposed system will run through computer for payroll record with an

integration of biometric fingerprint scanner for time keeping. It contains the

automation of time keeping for the assumptions of every employee to

generate payroll transaction. It can update employee information, individual

and groups reports, file leave, set a non-working or working Holiday, access

control and also calculation of 13th month pay and tax refund yearly report.

C. Statement of the Problem

General Problem

The Time keeping and Payroll System of Blanco Family Academy

are sometimes not accurate to use. Also, the employees of the School are

using Bundy Clock to indicate in their Date Time Card their time of work, in

and out every day. They use excel to compute their salary. All payroll

transactions and reports are all manual. Therefore, the employees

timekeeping and payroll system needs to improvement.


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Specific Problem

The information on time consumed by employees can easily be

cheated.

The time keeping are harder to monitor and more time consuming on

the part of Payroll Administrator when it comes to payroll computation.

The date time card has a huge tendency to be lost by employees.

It’s so hard to monitor the employees attending by security personnel.

D. Objectives of the Study

A. General Objective

This study was aimed to help the Blanco Family Academy to have

an efficient and effective way of Employees Time Keeping and Payroll

System to give a higher quality of service.

B. Specific Objectives

Specifically, this study was aimed to:

B.1. Provide a system that will improve the Blanco Family

Academy’s operation in the Time Keeping and Payroll System.

B.2. Provide a system that will monitor employee’s data that is

efficient to use.

B.3. Secure the records of employees and to have more

manageable files.

B.4. Use biometrics tool (Fingerprint scanner) that will provide an

easy log-in and log-out of the employees and staff.

B.5. Easy Calculation of Payroll Transaction.

B.6. Summarize all the Deducted Contribution of Employees.

B.7. Calculate the 13th month pay and tax refund yearly report.


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E. Theoretical Assumption of the Study

The proponents assume that will improve the Blanco Family Academy

operation in the Time Keeping and Payroll System to implement the needs of

the user of the system.

The proponents assume that if the system will crash, the proponents will

prepare a back-up system which it can be restore the system but before the

proponents restore the system, the user should have back-up all the files and

data in the system.

The proponents assume to secure the records of employees and to have more manageable files.

The proposed system will provide a (Local Area Network) LAN-Based feature

to easily share information accurately and it also transfer data faster.

Make a system that will monitor employees’ data that is efficient to use.

F. Scope and Limitation

ScopeThe proposed system Time Keeping and Payroll System for Blanco Family

Academy covers many aspects of time keeping and payroll process. This

includes the capture of information based on the employee’s work schedule, daily

time worked and daily time taken. The payroll process encompasses all activities

necessary to report employees’ time worked. The system will convert the current

company’s time keeping and payroll into Visual Basic Programming.

The system will have a File Management where it covers the records of

employee and system transaction log.

The system also covers the Payroll Processing and Reporting which includes

the pay calculation of salary slip and Time off tracking.

The employee will used a biometrics to time-in and time-out for recording of

timekeeping.


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The system will have a report summary of time sheet, summary of Payroll

Computation, Summary of Tax Refund and 13th Month Pay, Withholding Tax,

SSS, and Pag-IBIG Contributions.

Limitation

The employee’s salary will not be sent through ATMs or cheques, for the

reason that the company insisted that salaries must be on a cash basis. No other

currencies are computed in the system but Philippine Peso only. Withholding Tax

will be computed by the system, PAG-IBIG, SSS and PHILHEALTH have already

a default value. The proposed system cannot be accessed online and it focuses

only on the employees Time Keeping and Payroll System of the Blanco Family

Academy. The necessary required remittance form given by the SSS, PAG-IBIG,

PHILHEALTH should be remit manually. This proposed system is only applicable

and can only be used by the Management of Blanco Family Academy.

G. Information Technology Innovation

Visual Basic 2008

Visual Basic is a programming language developed by Microsoft. It has a

strong following, although it has been largely replaced by

Microsoft’s Visual Basic .NET, which ships as a part of the Microsoft Visual Studio

.NET.

Biometrics

(1) General: Biometrics is the science of measuring physical properties of living

beings.

(2) ISO/IEC: Biometrics is the automated recognition of individuals based on their

behavioral and biological characteristics.

Local Area Network

Local Area Network in technology system is the connecting of two or more

computers to common peripheral resources.


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Database

Database is a system intended to organize, store, and retrieve large

amounts of data easily. It consists of an organized collection of data for one or

more uses, typically in digital form.

H. Significance of the Study

Company

The Blanco Family Academy will greatly benefit with the proponent’s study

because they don’t need to hire any programmers to do the work in their system.

The proponents will develop their system. So the proponents ask for the support

of the company. This will lead in lessening the expenses of the company which

can be used in their other expenses. They will also find it easier to do task with

the system like the biometrics wherein they can assure that their time keeping

system is secure.

Proponents

The researchers will gain knowledge about the business system existing

inside a Finance office, with this; skills in system analysis will be improved.

Theories learned inside the classroom such as DFD, Normalization and

Networking will be applied in real setting/situation.

Employees

The Employees will benefit in the system. They will find it easier to

transact about their records since searching in the system is faster than tracking

in the record book or log book. The biometrics will give them an easier time with

their time log and they don’t have to worry about losing their time cards because

it is not necessary.

HR Personnel

Managing the time keeping will not be the same again as they will

experience relieve. It would be fast and easy for them to handle transactions

such as report making and monitoring time entries. Further determining or LAN-BASED Timekeeping and Payroll System Using Biometrics for Blanco Family Academy

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computing the payroll manually will be eliminated that will lead to faster

transaction.

Accountant / Finance

It used for tracking the employee’s attendance data. The organization is

also able to manage employee services, hours, pay rates. An automated time

and attendance employee system also helps in implementing and enforcing fair

pay policies. By using the Security, Time Keeping and Payroll System employee

software, online accrual balances, and flexible labor distribution for projects and

work orders can be maintained. Other benefits of the time and attendance

employee software include the elimination of time cards and unauthorized

overtimes

Future researchers

The study will help the future researcher to have an idea about

payroll system and develop their own system. They can learn about the

proponent’s system and at the same time develop a greater system with the help

of the proponent’s study.

CHAPTER II


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Review of Related Literature and Studies

This chapter includes a discussion of the related literature, theoretical Framework

and conceptual framework as components of a faculty evaluation.

A. Theoretical / Conceptual Framework

In this research, the researchers aims to provide a better way of monitoring the

attendance of Pag-IBIG fund Antipolo-Branch, where the staff and the manager can

handle a faster and easy way of recording and monitoring their daily Attendances. Only

the Admin, HR and Accounting department has the authority to use the system that can

manipulate the records in the system. The system will provide a reliable and efficient

way of Timekeeping activity. The study aims to produce a result of Time keeping and

Payroll System that can cope up with the needs of the company.

Figure 1

This section includes a table/diagram of the every input-process-output

that the study requires.

B. Related Literature


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1. Local Literature

John Aquilan made a comparable thesis entitles “Automation of time

attendance System” in 2004, it stated that the automation of the time attendance

records, time in and time out of every employee using barcode system. It tends

to eliminate the manual recording system of time and attendance

and also include salary computation of each employee based on the time and

attendance reports.

Ramon Floran wrote on his article “The Computer Edge of the New

Employment and Opportunities “in the Philippine Daily Inquirer, page 14 October

2005 Edition. He stated that computer gives you a different feeling about what is

happening in the company. Business will be highly competitive and innovative

because the computer provides instant information.

According to Andrea Cantoma, March 2004 in her thesis entitled

“Computer Library System for St. James Academy” stated that, in manual system

in retrieving, maintaining security and piling records take place because of the

years gone by. Furthermore, these files were only kept in envelopes and folders

in wooden rocks. There are also instances when the right information is given to

a wrong person, which affect quality of service.

Inquirer: “Biometrics Technology to be Implemented in PNP”, 2009 The

Philippine National Police (PNP) also made by the international crime detection

technologies in the market, the said Philippine agency decided to adopt NEC’s

(mentioned above) Automated Fingerprint Identification System. Via the

technology, PNP staff and experts are able to authenticate unique body

demographics, such as fingerprints in the particular case. The technology also

allows an almost instantaneous identification. The technology was used however

by first building an initial database of 210,000 fingerprints. PNP actually used the

said technology in order to identify two “chop-chop” victims who’s mutilated

bodies were found dumped in several areas in Quezon City and Muntinlupa.


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According to the mentioned above with the use biometrics technology the PNP

was able to identify a suspect because of the fingerprints.

According to Mayor Jun Bernabe on the article Planet Biometrics, August

2011 Parañaque city in the Philippines has replaced its existing biometric

machines with a new fingerprint biometric attendance registry system, which it

says is more user-friendly and efficient.

The city’s mayor, Jun Bernabe, says the new attendance machines will

enable it to resolve the issues of long queues as well as employee complaints. A

total of 40 Model 628 Double Engine ZK Finger Print Stand Alone Time

Recorders were purchased. City hall took 15 units while the rest were installed in

other local government facilities.

The upgrade was jointly run by the city government’s Human Resource

Management Office and the Electronic Data Processing (EDP) Office. “Aside

from cutting manpower downtime, it makes timekeeping and payroll preparation

simpler, systematic and more accurate. It also provides an additional way to

identify, discipline and fire habitual later-comers, absentees and ghost

employees,” says Mayor Bernabe. According to the article mentioned above, with

the use of biometric fingerprint scanner in the attendance system of the

organization which is also connected to the payroll system. Saves time in lining

up in the Bundy clock.

2. Foreign Literature

According to Thomas Primer on his article “Automated Computerize

Process”, in Readers Digest Magazine, May 2005, Page 45, for many

businesses automating the collecting of employee attendance data when

employees begin their shifts is still a

manual process. Even business that has automated or computerized

processes such as scheduling, inventory, purchasing, general ledger and payroll

processing still use manual method such as time cards sheets to collect time and

attendance data.


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NOVA time a group system developer, on last May 2007, the system that

will give management the power to not only utilize the tools we have available to

us today, but will continue to grow and evolve, giving it the capability to

incorporate and utilize the tools the new millennium promises to bring us. NOVA

time has brought a system designed for growth while maintaining the maximum

in flexibility. Where the sophistication lies within the programmed mechanism of

the system, allowing for a quick and simple implementation and employee

training cycle, after all the true test of a system is not only in the production and

wealth of reporting, but in the simplicity and ease of its operation in conjunction

with a simple and accommodating implementation program.

According to Betterhumans (2003) it stated there that A wireless

fingerprint scanner could soon be helping law enforcement agencies;

government and the military instantly identity the scanner, called sweet

fingerprint, today. It is being demonstrated at the government convention one

merging technologies, which addresses issues of homeland security. Scanned

fingerprint can also be used to query a database for someone’s profile, using

automated fingerprint identification system, and the profile can then be sent to a

mobile device such as a personal digital assistant.

According to the related article mentioned above, fingerprint scanning

technology has been used in many fields as a means of security to confidential

government records. Technology helps law enforcers in the identifications of

employees.

C. Related Study

1. Local Study

Andrew Mendrez a programmer, March 2007 made a similar study for

Vision Designer Inc. It has an identification machine aimed at verifying a person

entering through the swiping of identification cards. After entering their given

code number, the identification cards are swiped in the machines card reader to


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trigger the verification. If access granted, the micro switch will then automatically

unlock to allow enter. This will help a lot in monitoring attendances accurately

and more precise.

A group of computer engineers in Rebisco Biscuits Corporation, August

2007 proposed a thesis report entitled “Computerized Daily Time Record

System” for what is the same Innodata Corps is implementing right now a

computerized daily time record as an alternative for Bundy clock. The means

of getting inside the company premises is by swiping cards into a machine that

reads every record of each employee then monitor and displays the time a

particular employee logs in and out.

In the 2005 annual report of the Forest Products AdResearch and

Development Institute under the Department of Science and Technology, it is

said that “The computerized database and attendance on Forest Production

Research and Development Institute was designed to facilitate the Institutes was

designed to facilitate the Institute’s data entry, Progressing computation

maintenance of employee time and attendance transactions. The system allows

employees to log in/out as the swipe their ID’s through a barcode reader

attached to a computer terminal. The processing forms include those for legal

holidays, travel order, tardiness, under time, vacation and sick leave. Pertinent

Report forms have been designed for easier access to all these data.”

According to Olivar (2010), “Payroll System is heart of Human Resource

System of an Organization”. The solution has to take care of calculation of the

salary as per rules of the Company, Income-Tax calculation and various

deductions to be done from salary based on the daily time record using the

“Biometric Attendance Record System” including statutory deductions like

Income Tax and Provident Fund deductions. Another study, the main focus of

the system should handle employee’s records such as Employee List, Add New

Employee, Edit New Employee, Attendance, Bonus and Pay slip for the

administrator.


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2. Foreign Study

Colombia State Community College (2006) uses computer identification

account (Log In Name and Password) for access to the institutions computer

usage logs occurs electrically through the individual users log in/out process.

Users are also informed that they are responsible for any computer file’s,

database and/or internet sites that are accessed through their computer

identification account, not withstanding their failure to adhere to the log in/out

process, on their voluntary publication of their account information to others.

My Time Force (2006), It is a software-based time and attendance system

that allows the user to collect and organize employee time data simply and

accurately. You can use Time Force to:

Easily and efficiently track your employee time.

Manage your time & attendance data and employee profiles.

Eliminate buddy punching.

Make employee scheduling a breeze.

Reduce the headaches and time associated with payroll.

Best of all, Time Force can quickly pay for itself in time savings, reduction of

time theft and elimination of payroll errors. Time Force is the manifestation of

10years of experience, customer feedback, and research and development in the

time and attendance market. Over 35,000 businesses use Time Force.

Johnson (October 1994) said, since modern computer accelerates work

and keeps track of information accurately and promptly, it’s only natural that

industry needs the services of computer and the modern technology devices for

great help and improvement.

Based on the study, Watson, et al (March 2011) offers a more accessible,

fast and efficient way to enhance Log-in Log-out Using Biometrics Finger Prints

Reader. By using ESVES biometric system for security and database

management the employee can Log-in And Log-out by Pointing Thumb finger

and Index finger.


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D. Operational Definition of terms

Barcode

A code consisting of a group of printed and variously patterned bars and spaces

and sometimes numerals that is designed to be scanned and read into computer

memory and that contains information (as identification) about the object it labels.

Basic Pay

Monthly rate divided by the number of working days multiplied by the number

of days worked.

Biometrics

The measurement of physical characteristics such as fingerprints and DNA,

or retinal patterns for use in verifying the identity of individuals.

Bundy Clock

A clock card machine or punch clock or time recorder is a mechanical (or

electronic) timepiece used to assist in tracking the hours an employee of a company

worked.

Daily Time Record

A record of how a person’s time has been spent. It is used to calculate pay,

asses the efficient use of time, or charge for work done.

Database

Is an organized collection of data for one or more purposes, it is usually in

digital form.

Days Worked

The actual days worked by an employee, often well in excess of those stated in

the contract of employment and sometimes without the payment of overtime.

Deduction

Business expenses or losses which are legally permitted to be subtracted

from the gross revenue of a firm in computing its taxable income.


14

http://en.wikipedia.org/wiki/Data

http://en.wikipedia.org/wiki/Hourly_worker

http://en.wikipedia.org/wiki/Timepiece



Employee

A person who is hired to provide services to a company on a regular basis in

exchange for compensation.

Gross Pay

Total of an employee’s regular remuneration including allowances, overtime

pay, commissions and bonuses, etc. before any deductions are made.

Loan

Funds transferred from one party to another as payment for purchased goods or

services.

Net Pay

The remaining amount of an employee’s gross pay, after deductions, such as

taxes and retirement contributions, are made.

Payroll

Is the sum of all financial records of salaries for an employee, wages, bonuses

and deductions. In accounting, payroll refers to the amount paid to employees for

services they provided during a certain period of time.

Pay slip

A detailed breakdown on how much an employee is paid during a Specific

period.

Report

To give an official account or statement of as a treasurer reports the receipts and

expenditures.

Salary

Wages received on a regular basis, usually weekly, bi-weekly or monthly.

Chapter IIILAN-BASED Timekeeping and Payroll System Using Biometrics for Blanco Family Academy

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http://en.wikipedia.org/wiki/Tax_deduction

http://en.wikipedia.org/wiki/Wage

http://en.wikipedia.org/wiki/Salary

http://en.wikipedia.org/wiki/Financial



METHODS OF RESEARCH AND SYSTEM DESIGN

A. Methods of Research Used

The Proponents used Descriptive method of researched; the

"Descriptive" method of research is where the person doing the research

presents it in a descriptive manner." The descriptive research designs enable

researchers to describe or present the picture of a phenomenon or phenomena

under investigation”. It is the opposite of another form of research

methodology called "Analytical".

1. The Descriptive Method

The researchers conduct a personal interview with our client. The

project team talked to the security personnel, HR, accountant for gathering

of data about the system specification, needed for creating our proposed

system that can help them for their security, timekeeping and payroll system

in an efficient manner.

1.1 Interview

During requirements gathering stage, the proponents conduct

interview with security personnel, HR, accountant of Blanco Family

Academy, who gave the resources about the flow of the current

system and the process of computing the salaries, monitoring and

timekeeping of the employees.

1.2 Observation

The proponents had some inspection regarding the current

system to gather more ideas on how to design our proposed system.

From this observation, we noted some problems being encountered.

1.3 Internet Research


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The proponents also conduct an internet research to gather

more data and topics that are related to our study.

1.4 Library Research

The proponents also used library materials like thesis

documentation and books that are related to our study in gathering

significant information and validation of our study.

B. Data Gathering Instruments

1. Observation. The proponents had some inspection regarding the current system

to gather more ideas on how to design our proposed system. From this

observation, we noted some problems being encountered.

1.1 Naturalistic observation

The Time Keeping and Payroll System of the Blanco Family

Academy are sometimes not accurate to use. Also, the Employees

of the company are using Bundy Clock to indicate in their Date

Time Card their time of work in and out every day and the

Accountant administrator based the wages of each employee in

that time Card. It is hustle to use and long term creating the payroll

slip, and the time keeping which the Human Resources need to

encode all the attendance of employee using spreadsheets.

Therefore the School’s Time Keeping and Payroll system need

improvement

1.2 Participant observation

The Proponents Indicate the Specific Problem of the Time

Keeping and Payroll for Blanco Family Academy.

The information on time consumed by employees can easily

be cheated.


17



The data are harder to monitor and more time consuming on

the part of HR, Accountant and Administrator when it comes to

payroll computation.

The date time card has a huge tendency to be lost by

employees.

It’s so hard to monitor the employees attending by security

personnel.

2. Interview

Name: Company:Position: Date:

1. How do you handle your payroll system in your company?

2. In your current timekeeping system, what are the procedures involved to

record the clock-in time of employee?

3. What are the problems you encountered of having a manual payroll system?

4. What is the hardest procedure in creating your payroll?

5. Does your current system is accurate in computing the hours worked and

deduction of wages for every employee? Why?

6. How do you handle if the employee loss his/her time record?

7. How do you keep the previous record of your payroll?

8. How many days/weeks will it take in creating your payroll?

9. Do you use computer in encoding and computing the timekeeping and

payroll?

10. Do you think having an automated time keeping and payroll will have an

efficient and effective way of Employees Time Keeping and Payroll? Why?

______________________ Name and Signature


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C. Statistical Tool

Computation for Percentage

The calculation of percentage will be used to compare the proportion of

frequencies of the responses to the total number of respondents. This will also

illustrate the profile of the respondents.

Percentage Formula:

n= f x 100

N

Where: n= percentage

f= frequency of respondents

N= total population

Descriptive statistics is a method of organizing, summarizing data to

describe its important features. Inferential statistics is a method of analyzing and

interpreting data to generalize a hypothesis about the population based on the

sample.

Another method was used by the researchers to make data analysis more

comprehensive, is with the used of statistical representation of data. Tabulated

values were taken form the answered questionnaires of respondents. The

researchers make uses of the percentage method where;

n = total no. of respondents

f = frequency

100 = constant value

% = percentage

Formula:

%= f/n * 100


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2527



D. Analytical Tools

1) Hierarchical Input Process Output

Figure 2

Hierarchical Input Process Output

2) Entity Relationship Diagram


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Figure 3Entity Relationship Diagram

3) Visual Table of Contents (VTOC)LAN-BASED Timekeeping and Payroll System Using Biometrics for Blanco Family Academy

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Figure 4

Visual Table of Contents


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Figure 4.1

Figure 4.2


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Figure 4.3

Figure 4.4

Figure 4.5


24



Figure 4.6

Figure 4.7


25



Figure 4.8

Figure 4.9


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1) Existing System Flowchart

Figure 5

Existing System Flowchart


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2) Proposed System Flowchart

Figure 6

Proposed System Flowchart


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E. Processes Used in Developing the Software

1. Agile Unified Process

Agile Unified Process is a simplified version of the Rational Unified

Process (RUP). It describes a simple, easy to understand approach to

developing business application software using agile techniques and

concepts yet still remaining true to the RUP. I've tried to keep the Agile

UP as simple as possible, both in its approach and in its description. The

descriptions are simple and to the point, with links to details (on the web) if

you want them. The approach applies agile techniques include test driven

development (TDD), Agile Model Driven Development (AMDD), agile

change management, and database refactoring to improve your

productivity.

Figure 7 depicts the lifecycle of the AUP. The first thing that you'll

notice is that the disciplines have changed. First, the Model discipline

encompasses the RUP's Business Modeling, Requirements, and Analysis

& Design disciplines. Model is an important part of the AUP, as you can

see, but it doesn't dominate the process -- you want to stay agile by

creating models and documents which are just barely good enough.

Second, the Configuration and Change Management discipline is now the

Configuration Management discipline. In agile development your change

management activities are typically part of your requirements

management efforts, which is part of the Model discipline.


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http://www.agilemodeling.com/essays/barelyGoodEnough.html

http://www.agiledata.org/essays/databaseRefactoring.html

http://www.agilemodeling.com/essays/changeManagement.htm

http://www.agilemodeling.com/essays/changeManagement.htm

http://www.agilemodeling.com/essays/amdd.htm

http://www.agiledata.org/essays/tdd.html

http://www.agiledata.org/essays/tdd.html

http://www-306.ibm.com/software/awdtools/rup/

http://www-306.ibm.com/software/awdtools/rup/



Figure7. The Agile Unified Process (AUP) lifecycle.

Serial in the Large

The serial nature of Agile UP is captured in its four phases

1. Inception. The goal is to identify the initial scope of the project, a potential

architecture for your system, and to obtain initial project funding and stakeholder

acceptance.

2. Elaboration. The goal is to prove the architecture of the system.

3. Construction. The goal is to build working software on a regular,

incremental basis which meets the highest-priority needs of your project

stakeholders.

4. Transition. The goal is to validate and deploy your system into your

production environment.

Iterative in the SmallLAN-BASED Timekeeping and Payroll System Using Biometrics for Blanco Family Academy

30



Disciplines are performed in an iterative manner, defining the activities which

development team members perform to build, validate, and deliver working

software which meets the needs of their stakeholders. The disciplines are:

Model. The goal of this discipline is to understand the business of the

organization, the problem domain being addressed by the project, and to identify

a viable solution to address the problem domain.

Implementation. The goal of this discipline is to transform your model(s) into

executable code and to perform a basic level of testing, in particular unit testing.

Test. The goal of this discipline is to perform an objective evaluation to ensure

quality. This includes finding defects, validating that the system works as

designed, and verifying that the requirements are met.

Deployment. The goal of this discipline is to plan for the delivery of the system

and to execute the plan to make the system available to end users.

Configuration Management. The goal of this discipline is to manage access to

your project artifacts. This includes not only tracking artifact versions over time

but also controlling and managing changes to them.

Project Management. The goal of this discipline is to direct the activities that

takes place on the project. This includes managing risks, directing people

(assigning tasks, tracking progress, etc.), and coordinating with people and

systems outside the scope of the project to be sure that it is delivered on time

and within budget.

Environment. The goal of this discipline is to support the rest of the effort by

ensuring that the proper process, guidance (standards and guidelines), and tools

(hardware, software, etc.) are available for the team as needed.

2. Proposed Network Design


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Figure 8: Basic Network Diagram

Basic Network Diagram is bus networks use a common backbone to connect

all devices. A single cable, the backbone functions as a shared communication

medium that devices attach or tap into with an interface connector. A device

wanting to communicate with another device on the network sends a broadcast

message onto the wire that all other devices see, but only the intended recipient

actually accepts and processes the message.

Ethernet bus topologies are relatively easy to install and don't require much

cabling compared to the alternatives. 10Base-2 ("ThinNet") and 10Base-5

("ThickNet") both were popular Ethernet cabling options many years ago for bus

topologies. However, bus networks work best with a limited number of devices. If

more than a few dozen computers are added to a network bus, performance

problems will likely result. In addition, if the backbone cable fails, the entire

network effectively becomes unusable.

Prescribe Topology


32



The physical topology of a network refers to the configuration of

cables, computers, and other peripherals. Physical topology should not be

confused with logical topology which is the method used to pass

information between workstations.

Considerations When Choosing a Topology Money. A linear bus network may be the least expensive way to

install a network; you do not have to purchase concentrators.

Length of cable needed. The linear bus network uses shorter

lengths of cable.

Future growth. With a star topology, expanding a network is easily

done by adding another concentrator.

Cable type. The most common cable in schools is unshielded

twisted pair, which is most often used with star topologies.

F. Analysis Used for Product Evaluation

The Feasibility Study is a critical document which defines the initial

system concepts, objectives, requirements, and alternatives. The study also

forms the framework for the system development project and establishes a

baseline for further studies.

1. Technical Feasibility

Blanco Family Academy has agreed to implement this proposed

system if it will succeed; they provide adequate hardware and software

for the completion of this project.

1.1 Hardware Requirements


33



Hardware Minimum

Recommended

Requirements

Maximum

Recommended

Requirements

Internal Memory

(RAM)

128MB 256MB or Higher

Hard Disk Capacity

(CPU)

2GB 4GB

Processor Intel Pentium 3 1.0 GHZ Intel Pentium 4

1.0 GHZ or

Higher

Monitor 17” Colored 32bit 18 ” Colored or

Higher 32bit

Video Card 128MB AGP 256 MB AGP or

Higher

Biometrics Digital Persona uRu Digital Persona

uRu Latest

Version

1.2Software Requirements


34



Software Minimum

Recommended

Requirements

Maximum

Recommended

Requirements

Operating System Windows XP Vista, Win7 or

Newer version

Database MS Access 2007 MS Access 2010

Programming

Language

Microsoft Visual

Studio 2008

Microsoft Visual

Studio 2010

2. Operational Feasibility

This feasibility study measures how well a proposed system solves

the problems, and takes advantage of the opportunities identified during

scope definition and how it can organization adopt identified in the

requirements analysis phase of system development.

2.1 Implementing a payroll system

Employers are responsible for paying their workers correctly

and on time. To simplify the payroll process, the employer needs a

payroll system. A payroll system streamlines the payroll aspect of

the business. Without one, it is difficult to track and pay employees'

time and to adhere to the changing payroll and tax laws set by the

government. When implementing a payroll system, the employer

must perform several steps.


35



2.1.1. Determine the type of payroll system you want to

establish. The payroll system you choose should be based on

the size of your business and how much payroll responsibility

you would like to maintain.

2.1.2 Purchase payroll software and hire a payroll staff,

Depending on the size of your company. A

computerized payroll system saves on time and gives

you access to an onsite payroll staff.

2.1.3. Establish a pay date. Pay frequencies are up to you;

however, weekly and biweekly are most common for

hourly workers, and biweekly and semi-monthly are

most common for salaried workers.

2.1.4 Decide on a time-keeping method, such as a time

clock. According to the Department of Labor, an

employer can use whichever time-keeping strategy he

chooses as long as it correct and complete.

2.1.5. Train the payroll staff on the payroll system, if

necessary. As Ultimate Software, consider hiring

specialists to train the payroll staff. Have the payroll

department do a mock payroll before running the first

payroll. A test run will pinpoint any system glitches.

Address issues before the time for doing the actual payroll

arrives.

2.1.6. Ensure your payroll department and your finance

department is working together, if applicable. Some


36



payroll personnel are responsible for wage reporting and tax

matters. However, some companies have a finance

department that handles tax issues and payroll accounting. If

so, ensure the two departments are properly streamlined.

2.2 Proposed System Component

The in LAN-Based Payroll System Using Biometrics for Blanco

Family Academy can be completely parametized to suit corporate salary /

wages in entire employees of Blanco Family Academy and is an ideal

payroll management solution for this company.

The following are the components provided in LAN-Based

Payroll System for Blanco Family Academy.

2.2.1. Employee Management

Once an employee management is selected, a detailed

employee profile is updated which contains complete details.

This information would then be used for creating payroll.

Create, update and delete employee accounts using this

section.

2.2.2. Finger print Scanner

The Finger print Scanner is use to register the employees

finger print to allow them to scan their finger for their

daily time record.

2.2.3. Payroll Transaction

Payroll Transaction will generate monthly payroll of each

employee, approve overtime and print payroll slip.

2.2.4. Loan


37



This will be to acquire loan by selecting the loan type and

amortization date. In this section it can also cash advance.

2.2.5. Leave

This will be the employee who wants to request vacation or

sick leave.

2.2.6. Holiday

This would enable to set the Holidays (National Holiday or

Non- working Holiday.

2.2.7. Reports

This section would enable you to view and print the payroll,

Witholding Tax, SSS, PhilHealth, HDMF, 13th month, tax

refund reports of all the employees, individually or groups.

2.2.8. Control Access

It gives you the ability to access user to a specific section.

2.3 PAYROLL POLICY

The purpose of this Payroll Policy is to ensure that Blanco Family

Academy employees are paid correctly and timely. Accounting Clerks/Finance

Officers must work as a team to establish a good relationship with our employees

to provide assistance with payroll inquiries and produce accurate pay checks.

Accounting Clerks/Finance Officers must be familiar with the provisions of the

various collective bargaining agreements and need to keep informed of all

changes. Payroll entries must be done in accordance

with generally accepted accounting principles.

2.3.1 INTERNAL POLICY PROCEDURES

2.3.1.1. Employee Responsibility

2.3.1.1.1. Time In / Time out Procedure


38



Employees must scan their finger print to biometrics

finger print scanner before they go in and out of w

2.3.2 Finance Responsibility

2.3.2.1. Accounting Clerk/Finance Officer

2.3.2.1.1 The Accounting Clerk/Finance Officer is responsible for

generate payroll.

2.3.2.1.2 The Accounting Clerk/Finance Officer must then compute

the appropriate hours and date under the appropriate pay type

code in the payroll system so as to track the actual time

worked/used for each employee.

2.3.2.1.3 Once all payroll generate, the Accounting Clerk/Finance

Officer must run a GrossPay /Deduction Proof report.

2.3.2.1.4 Once the Earnings/Deduction Proof has been reviewed

and approved, the Accounting Clerk/Finance Officer can run the

payroll checks and the corresponding vendor payroll checks.

2.3.3. Printing and Distribution of Payroll Checks & Transfers

Once the check run is completed and all vendor processes are completed,

the payroll checks are given to the Treasurer for distribution. The Treasurer will

receive a report from the Accounting Clerk on the total amount to transfer, by

fund, into the Payroll checking account to cover the checks issued.

2.3.4. Records

All records shall be kept in the Finance Section in compliance with the

retention schedule. Destruction of any financial record will be done in compliance

with the procedures set forth in the Blanco Family Academy Records

Managements Manual. Payroll


39



2.3.5 SL/VL of Absence Procedures

2.3.5.1 Sick Leave/Vacation Leave

2.3.5.1.1 Sick leaves are filled by the employee 7 days before the

date of leave and with the approval of their heads.

2.3.5.1.2 The Accounting Clerk/Finance Officer must then collate

the leave form for Earnings/Deduction as of 2.1.3 payroll

policy.

2.3.5.1.3 Every employee has number of SL/VL per year based on

the approval of their heads when their hired.

2.3.6. Compensation and Benefits

2.3.6.1 13th Month Pay

The company give the 13 month pay for compensation and

benefits to the entire employee. The 70% of the total basic

income given every 2nd payroll of December and the other

30% of the total basic income will be given on the 2nd payroll of

March the other year.

2.3.7. Holidays

Pursuant to the provisions of the Labor Code, as amended in

relation to the observance of declared holidays and in response to

the queries received every time a Presidential Proclamation or a

law is enacted by Congress which declares certain days either as a

regular holiday, a special day or a special working holiday, the

following guidelines shall be observed by all employers in the

private sector


40



2.3.8 Computation

2.3.8.1 Formulation of computing lates and overtime

Lates

Monthly Salary 480min of 1day - Minutes of Lates

20 days

Overtime

Monthly Salary 480min of 1day * Minutes ofOvertime

20days

2.3.8.2 Formulation computing 13month Pay

Step 1. Monthly Salary / 12 = 13month pay Monthly

Step 2. 13month Pay Monthly * Months of work = 13month pay

yearly

Step 3. 13month pay yearly * .70 =13month pay given by

December

Step 4. 13month pay yearly * .30 =13month pay given by March

2.3.8.3 Formulation computing Tax Refund

Yearly Tax Computation - Yearly Tax Contribution = TaxRefund

2.3.9. Cash Advance

Cash advance will be limited to 1thousan a month only.


41



2.3.10 External Policy

2.3.10.1 Contribution and loan Remittances

Remittance will only be done after the accomplishing the necessary

required form given by the SSS, PAG-IBIG, PHILHEALTH and other

remittance offices.

2.2.10.2 Bank Transaction

The Treasurer will receive a report from the Accounting Clerk on

the total amount to transfer, by fund, into the Payroll checking account to

cover the checks issued and the bank will responsible to divide the

deposited check to distribute to the list account on the report given by the

accountant.

2.4 Disaster Recovery Plan

Disaster recovery is the process, policies and procedures related to

preparing for recovery or continuation of technology infrastructure critical

to an organization after a natural or human-induced disaster. Disaster

recovery is a subset of business continuity. While business

continuity involves planning for keeping all aspects of a business

functioning in the midst of disruptive events, disaster recovery focuses on

the IT or technology systems that support business functions.

2.4.1 Plan A:

Main database will be located on a area that is water proof, fire

proof to have maximum security for the system and database that can

only be access solely by an administrator this is to prevent any forms of

loss, leakage, corruption and tampering of the data’s due to other

uncontrollable and unforeseen circumstancesLAN-BASED Timekeeping and Payroll System Using Biometrics for Blanco Family Academy

42

http://en.wikipedia.org/wiki/Business_continuity



http://en.wikipedia.org/wiki/Disaster

http://en.wikipedia.org/wiki/Man-made_hazards

http://en.wikipedia.org/wiki/Natural_disaster



2.4.2 Plan B

System

The LAN- Based Time Keeping and Payroll using

Biometrics for Blanco Family Academy system will be uploaded

to www.mediafire.com, a hosting web site where you can upload

unlimited storage up to of 200 MB per file (4GB for Pro users and

10GB for Business users) MediaFire does not enforce waiting times

for downloads, limit simultaneous downloading or

set bandwidth limits. The admin of the system will solely assign this

for the backup.

Database

The Database of this system is uploaded also to

MediaFire every end of the day to back-up the record file of this

system. The admin of this system assign to update back-up.

2.5. Data Manipulating Language

The system can be update with the latest Visual Basic

programming language by the programmer when it’s necessary.

3. Economic Feasibility

This is where the feasibility could be established by conducting a Market

Analysis or Cost Benefit Analysis. The researcher could choose the

appropriate tool. If the proposed software is customized for a particular

company and there will a basis for the computation of the operating cost,

benefits, Return on Investment (ROI), Payback Period. The researcher

should present under this subsection, the formula he/she will use in

establishing the economic feasibility of his/her studies.


43

http://en.wikipedia.org/wiki/Bandwidth_(computing)

http://www.mediafire.com/



3.1 Operating costs:

Operating costs stated the annual of personnel expense, supplies and

equipment cost required for the existing and proposed system, the use of

this is to compare both of them to analyze which save more. The total

annual cost for existing is Php.183769.20 and in the total annual cost for

proposed is Php.97896.33 (See Appendix K. Economic Feasibility

Study)

3.2 Development costs:

Development cost is incurred during the development of the system

are one time investment, its Include the Adequate Software, Hardware

requirements, labor cost, supplies cost, electric consumption, food and

transportation cost. And total development cost is Php.55137.26 (See

Appendix K. Economic Feasibility Study)

3.3 Cost and Benefits Analysis

Cost benefit analysis (CBA) it is important to identify cost and

benefit factors. It’s a technique designed to determine the feasibility of

a project or plan by quantifying its cost and benefits. Through this analysis

you will be able to compute the total cost saving, payback period and net

saving by use of this formulation:

Annual Cost

Annual Cost = Existing Cost – Proposed Cost

Payback Period

Payback Period = Annual Cost / Present Value

Net Saving

Net Saving = End Cumulative Present Value –

Total Development Cost


44

http://www.investorwords.com/3893/project.html

http://www.investorwords.com/9440/determine.html



(See Appendix K. Economic Feasibility Study)

3.4 Return of Investment (ROI)

A performance measure used to evaluate the efficiency of

an investment or to compare the efficiency of a number of different

investments. To calculate ROI, the benefit (return) of an investment

is divided by the cost of the investment; the result is expressed as a

percentage or a ratio.

The return on investment formula:

Return of Investment (ROI) (5 years) = ((End Cumulative

Present Value – Total Development Cost / End Cumulative

Present Value) * 100

In the above formula "end cumulative present value", refers to

the proceeds obtained from selling the investment of interest. Return on

investment is a very popular metric because of its versatility and simplicity.

That is, if an investment does not have a positive ROI, or if there are other

opportunities with a higher ROI, then the investment should not be under

taken. (See Appendix K. Economic Feasibility Study)


45



Chapter IV

ANALYSIS, PRESENTATION OF DATA, AND INTERPRETATION OF FINDINGS

This chapter presents the data gathered through the research instrument. These

data are analyzed and statistically treated in order to derive interpretations and

inferences. The data are presented in accordance with the statement of the specific

problem.

The Employees of Family Blanco Academy respondents’ in terms of gender and

age to answer the survey form to express the situation in their time keeping and payroll.

Table 2

Distribution of Respondents in Terms of Gender

Gender Employees % Rank

Male 9 45% 2

Female 11 55% 1

Total 20 100%

Figure 9

Distribution of Respondents in Terms of Gender


46



In Table 1 and Figure 8 shows the distribution of Blanco Family Academy

employees respondents in terms of gender. It can be seen from this figure that 55% of

the respondents are female with a frequency of 11. On the other hand, 45% of the

respondents are male with a frequency of 9. It appears therefore that there are more

female respondents than the male respondents.

Table 3

Distribution of Respondents in Terms of Age

Age Employees % Rank

20-25 4 20% 2

26-30 8 40% 1

31-35 3 15% 3(1)

36-40 2 10% 4

41 and above 3 15% 3(2)

Total 20 100%

Figure 10

Distribution of Respondents in Terms of Age

Table 2 and Figure 9 present the frequency of the respondents’ profile in terms of

age. The figure shows that 20% of the respondents are aged 20-25 years old with a


47



frequency of _. Next age reveals that majority is with a percentage of 40% were

respondents whose ages were 26-30 years old. Student’s ages 31-35 years and 41

ages and above both have a percentage of 15%. Lastly with the lowest percentage of

10% is with ages 36-40 years old.

Question no. 1: Are you satisfied in your current Time keeping system using Bundy

clock?

Table 4

Distribution of the Respondents in Terms of

Satisfaction of using Bundy clock in their time keeping

Yes 12 60%

No 8 40%

Total 20 100%

Figure 11

Distribution of the Respondents in Terms of

Satisfaction of Employees using Bundy clock in their time keeping

Table 3 and Figure 10 shows the distribution of the respondents’ in terms of

satisfaction of Employees in using Bundy clock in their time keeping. It can be seen

from the data that 60% of the employees’ respondents says yes, that they satisfied of


48



using Bundy clock in their time keeping, on the other hand 40% says no, that they are

not satisfied of using Bundy clock in their time keeping.

Question no. 2: Do you want to change your current time keeping and payroll system in

computer time keeping and payroll system using biometrics?

Table 5

Distribution of the Respondents in Terms of Upgrading in Computerize time keeping and Payroll

Yes 16 80%

No 4 20%

Total 20 100%

Figure 12

Distribution of the Respondents in Terms of Upgrading in Computerize time

keeping and Payroll


Upgrading in Computerize time keeping and Payroll. It can be seen from the data that

80% of the employees’ respondents says yes, they want to upgrade their current time

keeping and payroll system into computerize time keeping and Payroll, on the other


49



hand 20% says no, they don’t want to upgrade their current time keeping and payroll

system into computerize time keeping and Payroll

Question no. 3: Do you think using biometrics is more accurate than using usual time

card?

Table 6

Distribution of the Respondents in Terms of biometrics is more accurate than

using the usual time card.

Yes 19 95%

No 1 5%

Total 20 100%

Figure 13

Distribution of the Respondents in Terms of biometrics is more accurate than

using the usual time card.


Biometrics is more accurate than using usual time card. It can be seen from the data

that 95% of the employees’ respondents says yes, Biometrics is more accurate than

using usual time card, on the other hand 5% says no, using usual time card is more

accurate than Biometrics.


50



Question no. 4: Do you agree that implementing the proposed system to your company

would lessen the fraud committed by some of the employees?

Table 7

Distribution of the Respondents in Terms of proposed system would lessen the

fraud committed by some of the employees.

Yes 19 95%

No 5 5%

Total 20 100%

Figure 14

Distribution of the Respondents in Terms of proposed system would lessen the

fraud committed by some of the employees.


proposed system would lessen the fraud committed by some of the employees. It can

be seen from the data that 95% of the employees’ respondents says yes, proposed

system would lessen the fraud committed by some of the employees, on the other hand


51



5% says no, proposed system would not lessen the fraud committed by some of the

employees.

Question no. 5: Do you think that the proposed system will optimized the process of the

company in computing wages and time keeping?

Table 8

Distribution of the Respondents in Terms of proposed system will optimized the process in

computing wages and time keeping.

Yes 20 100%

No 0 0%

Total 20 100%

Figure 15

Distribution of the Respondents in Terms of proposed system will optimized the

process in computing wages and time keeping.


proposed system will optimize the process of the company in computing wages and

time keeping. It can be seen from the data that 100% of all employees’ respondents


52



says yes, proposed system will optimized the process of the company in computing

wages and time keeping.

Chapter V

SUMMARY, CONLCUSION AND RECOMMENDATION

Summary:WALA PA..

Conclusion:

The system proposal entitled “LAN-Based Time Keeping and

Payroll System using Biometrics for Blanco Family Academy” will be

beneficial to the company for maximizing its profits; and minimizing

manpower and additional equipments necessary for “LAN-Based Time

keeping and Payroll System.

With the use of this new system, computations and gathering are all

accurate, Data manipulating and processing are expedited, report

generations ate faster and security for the held are better, and consumes

less office space, a powerful business tool that would greatly aid updating

of new time keeping and payroll system, this “LAN-Based Time Keeping

and Payroll System using Biometrics thus increasing effectiveness by a

very considerable amount.

.Recommendation:

Based on the performance of the computerized attendance

monitoring system, the researchers highly recommend that this study be

implemented to the Blanco Family Academy and other companies. Also

with its dependable performance and easy to use procedures, this study


53



can be a great help for companies and organizations concerning their

Time Keeping and Payroll system using Biometrics.


54

Documents

Thesis to as of by Barry