APPRAISAL OF PURCHASING PROCEDURE PROBLEMS AND SOLUTIONS IN SERVICE INDUSTRIES
ABSTRACT
This research work is on an “Appraisal of Purchasing Procedure, Problems and solutions in service industries”. A case study of Links Hotel Owerri. The researcher in carrying out his research work listed the procurement procedures which he also analyzed views from different literatures of similar topics.
In carrying out the research work, the researcher used questionnaire and oral interview in his data collection which chi-square was used in testing the hypothesis to decide its acceptability.
After which recommendation was made for the Hotel based on information gathered from the findings.
CHAPTER ONE
1.0 INTRODUCTION
1.1 BACKGROUND OF THE STUDY
Purchasing as a management function has last long before the large organizations appeared with its functionally specialized department, people has been buying and selling, and that is buying goods and services in return for a price. Every organization that purchases goods or services has standard procurement procedures, the methods they use to acquire those things. These procedures cover all aspect of the procurement cycle including the following:
1. Selection of supplier
2. Contract negotiation
3. Order placement
4. Processing the order
5. Receipt
6. Inspection
7. Documentation and payment.
Above all these, one imperative thing is that there must be a requisition for the raw materials of component part by the user depart before the order can be processed but this only in some cases where organizational needs are not specified and certain need may arise which the purchasing officer must meet up with its procurement to ensure continuity and the achievement of organizational goals and objectives. The primary driving force for the department of procurement procedures is to control spending. The actual procedures used can vary slightly but will be similar. In the art of procurement, the purchaser encounters certain problem, those problems may not be pernicious but they can go a long way to interfere with the procedure. In this research work, the researcher will x-ray the problem and proffer solution in the service industry using Links Hotel Owerri as a case study.
LINKS HOTEL OWERRI: Links hotel is a popular hotel known especially in the eastern state of the country (Nigeria). It is a hospitality and service industry that provides desirable services to those who require those services.
Links Hotel was established and opened on the 18th day of January 2008. The hotel is located at plot 5043 new Owerri commercial area behind Imo state house of Assembly Owerri Imo State Nigeria. The hotel has approximately one hundred and fifteen employees (115) ninety eight junior staff (98) and seventeen senior staff (17).
The hotel has the following facilities:
1. A standard swimming pool
2. Cyber café
3. Gymnasium
4. A befitting restaurants
5. A kitchen
6. Laundry
7. A large parking space for cars
8. Bush bar
9. Executive bar
10. Snacks bar
11. Pool bar
12. A very big reception hall and other categories of halls.
