1.1 Introduction
Automobile leasing is the principal business activity for most commercial automobile which facilitates leasing of automobile (cars) to customers that met the automobile leasing criteria. This booklet, written for the benefit of both examiners and automobile company, discusses the elements of an effective LPM process. Traditional practices rely too much on trailing indicators of credit quality such as delinquency, non-accrual, and risk rating trends. Automobiles have found that these indicators do not provide sufficient lead time for corrective action when there is a systemic increase in risk. credit risk profile and with more tools to analyze and control the risk.
As a prelude to other parts of this study, this chapter will discuss the background upon which this study was initiated, the statement of problems that led to this study, the Aim and Objectives of the study. Others are Significance of the study, Scope of work, Limitations of the Study and Definition of technical terms.
1.2 Background of Study
The history of resources (car) leasing in Nigeria is a short one but the trend is growing as more organizations get into the provision of this services and strive to be ahead of completions. This car leasing is gaming ground in Nigeria due to the fact that a lot of people cannot afford to buy their own cars. The fall of Naria has resulted in up shoot of prices of vehicles as can be seen in 1993, when the cost a luxury bus was 3 million Naira but in 1995 it came to 17 million Naira. Owing to the price increase, people prefer to lease cars rather save for ages before buying one. More over tere exist a wide range of cars people can lease for different purpose. There are cars for inter city and business travels. Their cars for research students and holiday makers. There are trucks for converying heavy-duty machinery and long vehicles for goods. Marlum construction company is one organization that such services to individuals and cooperate organization. It has its main office at Emene in Enugu.
Due to the large number of vehicle brands operated by enterprises, there are many problems in the traditional manual management mode, such as the untimely update of automobile information. When the user purchases a car, due to the limitation of manual registration, the inventory in the library cannot be updated in time, which is inconvenient for customers to purchase and order. Because it is a manual registration, so there are manual changes in the business to cover up the suspected, unable to accurately and quickly assess the performance of sales staff, sales staff resigned when the loss of a serious phenomenon; Management information is independent of each other, and backward market forecasting means and methods will affect enterprise decision-making. The imperfect command of market information and competition information will lose the good opportunity of competition. The advantage of the new system is to use the computer to complete a lot of work that was done by the staff manually, to achieve a reasonable and full use of existing resources, reduce work pressure; The adoption of the new system can realize the management function of the commodity sales information and data, which is convenient for the staff operation, optimize the enterprise management ability, enhance the enterprise efficiency and increase the competitiveness.
The challenges encountered that led to the execution of the research work is that the actual problem Marlum Autombile Company is facing the non-existence of an automated system that will show on prompt the available cars for lease. it’s leasing cost for minimum duration of one month. This has made it difficult for clients to know the brand of cars available and the ones leased out and time they are due for return. It has impeded the rate of business, for most customers want an on the spot information so as to enable then make decision.
It is against the background that the developments of this software to enable customer’s take prompt decisions as regards their needs, so the software users should not give false appointment information that is out of the software deeds. This research work is based on providing adequate information about Automobile leasing records. At the end of this project, the research work, the software will be able to provide precise and concise patient records from the database.
1.3 Statement of the Problem
The actual problem Marlum Automobile Company is facing the non-existence of an automated system that will show on prompt the available cars for lease. it’s leasing cost for minimum duration of one month.
This has made it difficult for clients to know the brand of cars available and the ones leased out and time they are due for return. It has impeded the rate of business, for most customers want an on the spot information so as to enable then make decision.
1.4 Aims and Objectives of Study
The aim of the study is to Design and Implement an Automobile Leasing System. In achieving this aim, the following specific objectives were laid out as follows:
- To develop a system that will give customers all models and brand of automobile available for lease and their cost of leasing it for a period of one month.
- To develop a system that will keep track of all leased cars and the time due for return.
- To develop an efficient system that is reliable and can sid in management decision making.
1.5 Significance of Study
This study will be of immense benefit to automobile companies and other researchers who intend to know more on this study and can also be used by non-researchers to build more on their research work. This study contributes to knowledge and could serve as a guide for other study.
1.6 Scope of Study
The scope of this research work still remains the leasing section of Marlum Automobile Company. This research work coves specifically only leasing of automobiles to companies. All other leasing activities concerning machines and other heavy-duty equipment are not concerned.
1.7 Limitations of the Study
During the course of this study, many things militated against its completion, some of which are:
- Time Constraint: The time frame given to accomplish this project was very short due to school academic calendar and it was carried out under pressure which made the researcher not to implement some necessary features.
- Establishment Policies: Establishment policies posed a serious limitation as most staffs are not ready to release information needed for this project work. There were lots of information needed from the staffs of this institution to enhance the study which took them time to release or they did not release at all for security purposes, hence the scope was reduced.
- Research material: availability of research material is a major setback to the scope of the study.
- Frequent power failure: This made the researcher append more money on fuel to ensure sustainable power.
- Financial Constraint: Insufficient fund tends to impede the efficiency of the researcher in sourcing for the relevant materials, literature or information and in the process of data collection (internet).
1.8 Definition of Terms
Debt: An amount of money, a service, or an item of property that is owed to somebody
Loan: An amount of money given to somebody on the condition that it will be paid back later.
Leasing: To allow a person or business to use a sum of money for a particular period of time, usually on condition that a charge interest is paid in return
Guarantor: Somebody who gives a guarantee, especially a formal promise to be responsible for somebody else’s debts or obligations.
