STOCK CONTROL AS A MANAGEMENT TOOLS FOR EFFICIENT AND EFFECTIVE STORES OPERATION
ABSTRACT
Stock control had been a neglected function in an organization due to the fact that most organization both public and private sectors lacks the professionals in the field who are capable of carrying out a good stock system. This work titled ‘’stock control as a management tools for effective and efficient store operation’’ shows that ineffective stock control system has a lot of on the profitability of the organization.
The major aim here is to ensure a continuous and uninterrupted flow of materials in an organization. In order to achieve this, this work was divided into five chapters. The first chapter has the introduction part of the work follow by the statement of problem, objective of the study, the scope,
and significance, limitation of the study and terms of definition. The chapter two talks about the review from contemporary literatures which encompasses the need for stock control, reasons for holding stock, factors affecting the level of stock held, cost associated with stock control etc.chapter three, talk on the research methodology and design. chapter four talk on Data presentation and analysis. Chapter five comprises of the summary, conclusion and recommendation as well as the bibliography.
CHAPTER ONE
1.0 GENERAL OVERVIEW OF THE STUDY
Effective and efficient store operation is very closely linked with production and distribution and is a much neglected area of business study. Yet the store function is a vital part of all industrial organization public and private utility organization Federal, state and local Government organization, Armed services, and it must be designed to suit the particular needs of the organization it service.
1.1 INTRODUCTION
Having defined a store as any space reserved and equipped for holding materials which are awaiting dispatch to customers for further processing of final consumption in most organization, stores is a place where all types of equipment materials components and supplies needed for production,distribution,maintenance, packaging etc are received. Stored and issued to users. A stock control system needs to be adopted in order to ensure effective and efficient store operation.
In today’s business with competitive market, unstable economic condition, controlling of cost means the difference between profit and loss. The overall business objectives is to maximize profit margin and minimize cost of production, has led many executive to taking steps in all aspect of their business to reduce cost of materials or stocks from a major part of the total investments of an organization. This is mainly due to the fact that no matter the type of business an organization engages in, whether merchandizing or manufacturing, there must be clearly stock of materials to keep the enterprise going. A manufacturing business for instance, cannot exist without raw materials, purchased parts, intermediate parts, sub-assemblies and finished goods ready for shipment and sale.
Stock control concerns not only the individual business but effect the economy of the nation holding stock waiting for a time when they would be used in production. A said earlier it does not immobilize the capital resources, but could generate inventory. Inventory arising from reduction in stock due to a reduction in sale could stir-up a long chain of reaction affecting the whole system. Effective stock control therefore does not only help the enterprise per say, but even influence the whole profitability of the nations economic development.
I have made some attempt in delivery into books and research work done by others to get information on areas the stock controller or manager as the case may be, should be vigilant for him to effectively use stock control as a management tool for effective and efficient store operation.
The first chapter starts with the introduction after which a brief statement of problem, objective of the study, the scope of the study, it significance and also the limitation encountered by the research will be given. Chapter two delivers into the work of other researchers in the same issue known as literature review. chapter three discussed the research methodology, presentation and discussion of findings chapter four gives a data presentation and analysis of data. chapter five gives a summary of the work and conclusions. Then finally the recommendation and appendix, bioliogy and questionnaires. All these are intended to be carryout by the researcher in this work.
