Full Project – STORE MANAGEMENT AND CONTROL IN A MANUFACTURING INDUSTRY

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CHAPTER ONE

1.0     INTRODUCTION

The store function is a vital part of industrial concern, public and private undertakings. It is designed to snit the particular moods of the organization itself. The expression store in most organization is an area in which all kinds of materials intended to be used in correction with production, distribution, maintenance, packaging, operating activities etc. are stored, received and issued. In other words “store” is a general terms describing goods which are kept in soreness and stock lard, all needed for production. It also covers finished products awaiting disport to consumers, scraps and other arising and packagers hold pending return to suppliers.

However, the range value and complexity of terms held by any particular stores will depends upon the size and complexity of the operations involved. Different types of organization have different types of items in stock. For example, production operation will have raw materials component parts, work-in-progress packaging and associated materials. A distribution operation will have finished stock, component parts and part completed work. An engineering and maintenance operation will have spare parts tool, equipment, clearing and servicing materials.

It is the duty of the stores department to receive materials or goods from all sources, consignment must be checked in detail to ensure that proper quality and quantity have mean supplied suitable document must be prepared for pocking of stock records and stock account as well as to provide evidence of receipt with which supplier will no cleared for payments. It also ensures interrupted flow of physical material into introduction as well as guide against unauthorized usage damages or determination of materials.

1.1     PURPOSE OF THE STUDY

The purpose of this is to contribute to the increasing tendency toward the establishment of integrated stores department, this providing for users. Also, this study will show between store control and management can be improved upon to increase effectiveness and consequently contributing to the profitability of the organization. It (store department) therefore contributes positively towards the achievement of the organizational goals.

1.2     STATEMENT OF THE PROBLEM

Many organizations are not deeply interested in the importance of store management and control in an organization. The problem arises as a result of the evolution of store management in many times of nowadays. In effective store management, operation are traceable to the inability of a company to find possible solutions to the problems of under stocking and overstocking which could bring about a total stoppage of production in a manufacturing organization and which could liquidate or folding the specific organization. Moreover, failure to implement the Economic order quantity (EOQ) would definitely involve determination of materials, obsolete, items and discrepancies in the record number an physical number of materials.

1.3     OBJECTIVES OF THE STUDY

The aims and objectives of this study are to:

i.  Bee the problems facing an organization in stock control process.

ii. Expose people to the area of profitability in store management.

iii. Reach people how to tackle the problems of overstocking an understocking, which usually occur in manufacturing companies

iv. Examine the effort of good store management and control in an organization.

v. Identify the methods of issuing and receiving material.

vi. Suggest ways by which the problems of store management and control    can be solved.

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