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NEED FOR EFFECTIVE STOCK CONTROL IN AN ORGANIZATION

Format: MS WORD  |  Chapter: 1-5  |  Pages: 63  |  380 Users found this project useful  |  Price NGN3,000

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NEED FOR EFFECTIVE STOCK CONTROL IN AN ORGANIZATION

 

ABSTRACT

This study focuses on the need for effective stock control in an organization particular references to Coca-cola Nigeria Plc. Effective and efficient stock control involves accessing these items to be held in stock, deciding what and when to stock, regulating the issues of stock from the store house. From the data colleted, it has been observed that there is a great need for an effective and efficient stock control in order to give rise to the organization productivity and at the same time reduce or completely eliminate redundancy and obsolescence of materials, knowing very well that these stock represents money and has a direct relationship with the profitability and liability of our organizations.

 

CHAPTER ONE

INTRODUCTION

1.1  BACKGROUND OF THE STUDY

It an exaggeration to say that stock control is an important exercise in which every organization that wants to be successful must embark on. This issue stock control is not restricted only to business sectors and is no longer a new exercise for it has been as old as mankind. As life is important to mankind, so also stock is important to every organization.

More so, materials or item are life-blood of any organization. With regards to this Obuseh (2007), noted that the manage materials is to manager the life of an organization. There is no adequate management of stock to have this, there must be a need for proper stock control in every orga niztaion. Due to the fact that a wide ranger of materials are held in the storehouse, the store keeper must be conversant with and have a good working knowledge of a great member materials kept under his  control.

The process of stock control involves a careful study of the materials that could  be held in stock and the establishment of adequate stock levels for the materials. It also involves monitoring the inflow and outflow of materials into and out from the storehouse, setting the re-order quantities with due regard to lead time, the consumption rate, the acquisition and holding cost so that minimum investment in inventory is  ensured. Therefore, it is important for every organization to establish a good stock control system if success is their target.

1.2  STATEMENT OF THE PROBLEM

The need for effective stock control in an organization is so vital in booth large and small firm, upon the need for effective stock control, the researcher in carrying out this research work, where It can be to identify some problems that hinders the progress or smooth control of stock in an organization. Some of these problems are identify below:

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