Purchasing And Supply As An Essential Functions Of A Manufacturing Organization In Nigeria

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Purchasing is not just a service activity; it is a profit oriented function. The function direction directs the profitability of a company through the intelligent management of materials and other purchasing resources.

In this sense, the overall function of purchasing is to provide good and service to the user department in the company and also help company (Dangote Flour Mill Manufacturing Company Limited) to maximize profit through economic buying of materials.

Cover page

Certification

Dedication

Acknowledgment

Proposal

Table of content

CHAPTER ONE: INTRODUCTION

1.1 Introduction

1.2 Statement of the problems

1.3 Objectives of the study

1.4 Significance of the study

1.5 Scope of the study

1.6 Historical background of the case study

1.7 Definition of terms

1.8 Limitation and constraints of the study

CHAPTER TWO: LITERATURE REVIEW

2.1 Review of Related Literature

CHAPTER THREE: METHODOLOGY

3.1 Research Methodology

3.2 Scope of Methodology

3.3 Research Design

3.4 Research Procedure

CHAPTER FOUR: PRESENTATION AND ANALYSIS OF DATA

4.1 Presentation and Analysis

CHAPTER FIVE: SUMMARY, CONCLUSION AND RECOMMENDATION

5.1 Summary

5.2 Conclusion

5.3 Recommendations

Bibliography

CHAPTER ONE

1.1 INTRODUCTION
Purchasing is an organization helps in the corporate planning because of its awareness of the effects of changing in technology on the material and component it buys. Furthermore, emphasis is laid on control of stock in the organization which is a system by which materials of the right quality and duality are made available as and when needed by the organization.
The importance of control of stock in the total financial  investment of a business can never be emphasized, the influence which the size often neglects or completely over looked in planning the operation of a business enterprises. However, a successful business enterprises large or small industrial or retail, can continuously derives itself of substantial profit as a result of poor or improper purchasing the aim of these project is therefore throw high on the activities of purchasing as it affect the company business.

1.2 STATEMENT OF THE PROBLEM

The ethical code of conduct was introduces to ensure a strict professional practice among purchasing and supply practitioner but, for sometimes now, there has been a spate of writing firm due to materials shortage and lot of stock of consumable goods purchaser have been party for these trend. What is disturbing is that government, political leading director and top manager have in one way or the other caused the unethical and unreliable procurement in the country.

The purchasing manager most of the times operate in an environment characterize by a relatively high degree of government parastatal e.g. Nigeria Airway and privately owned organization for example, cooperative association Leventis stores Cadbury Nigeria Plc e.t.c. In business environment like the one enumerated, it could be that the government or its representatives are playing positive or active role in the management decision buying inclusive without first looking into financial standing and procedure for material acquisition planning and aim and affect the level of the professional performance of the purchasing manager.

1.3 OBJECTIVES OF THE STUDY

1. Placement of order.
2. Utilization of raw-material available.
3. Buying for resale.
4. Hand to mouth purchase.
5. Purchase to maintain stock.
6. Purchase against manufacturing schedule.
7. To determine consumer’s loyalty to a particular brand of product.

1.4 SIGNIFICANCE OF THE STUDY

The importance of the procurement as a key function in the management of a business can be emphasized by considering the total of material.

This include the specification being purchase in turn, this may involve marketing and their need to maximize distributive in production. It can involve cost. As many value analysis studies have shown, the procurement function has a vital part to play in search for the option specification. Purchasing represent a stage in the evolution of contest, plunder and confiscation for the procurement of the desired object. It is an ancient activity.

Harvard Warden American researcher, reports that a day table excavate at El-rash shamia and dated about 2,800BC came inscription which roughly translated read, HST is to deliver 50 days of from grant smith at each fifteen days after (a stating date) and during the reign of as in turn be will be paid 600 small weight in grain. This order will continue indefinitely until the purchase of his son move his consents. Despite its long history however it is only comparative reality that the importance of efficient purchasing has become wide spread. Previously purchasing was general regarded either as to routine clerical function or as service function concerned with spreading.Two importance factor that have led many private and public sector organization to recognize purchasing on a key activity can be summarized under two leading and profitability and purchase and professionalism.

1.5 SCOPE OF THE STUDY

This project centres around the role of purchasing and supply department in an organization, taking Dangote Flour Mill Manufacturing Ilorin as a case study. This project covered mainly the function of purchasing department in the firm. The first and the foremost is the habitual delay normally and always encounter when retrieving information from the manufacturing industries.

Before the researcher could be able to collect the organization historical background and other relevant information. She has visit the ministry several times and will most of the time want from morning till the closing hour without tangible result, thereby wasting a lot of time and money at the same time. The second problem faced by the researchers is mainly financial, the researcher often found that at time she was often limited in her expense supposed to be distributed on the project due to a limited income of the researcher in comparison to the escalating prices of material.

The researcher also find out that it was not that easy to combine the normal class lecture with the writing of project work. Therefore, time management becomes a watch for the researcher.

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