1.0 Introduction
1.1 Background of the Study
Security has been identified as one of the most important activities carried out in any organization. This is because material is the lifeblood of an industry. Materials constitute money and have been brought and to avoid unnecessary cash loss arising from losing of materials due to ineffective security which therefore, affects the profit margin of the organization. With this development, every organization has realized the need to invest insecurity. This is so for any profit oriented organization.
Security is one of the most important aspect of store management. Security of stores in a broad sense covers not only theft and fraud but it extends to areas of stock deterioration, damage, location and special storage requirements.
Organization decide to seek the service of professional security outfit that supply a trained team of security guards and other personnel to guard against theft. Alternatively, organization may put the responsibility of store security on individual stock keeper or manager for the stock held in their charge. As a result of this, most organization rely on them to control store security.
Stores security and safety is one of the important areas of concern in stores management as a result of the need to protect the company's huge investment in stock.
All goods must have value to a company else, they should not have been in stock.
1.2 Statement of Problem
In recent times, several companies in Nigeria have reported loss of materials through explosion, fire hazard and avoidable accidents. All these hazards have greatly affected operation in these organizations.
It has further affected staff and management of these organizations. In view of the enormous resources in terms of money and materials lost in such incidents, there has been cause for better security in the day-to-day running of industries.
Specifically, this study will focus on the following,
- The problem of security as stores hour
- The problem of security as per stockyard
- Problem of security as per stores personnel
- How stores security affect the profit of the organization.
1.3 Objectives of the Study
The aim of this study is to identify the stores security lapses already existing in the organization and how it affects the profitability of the organization as it concerns the storehouse method of store security operation and material handling.
One of the objectives of this study is to find out stores security required for finished goods in the warehouses. These will involve goods in the security needs of the company with specific reference to the materials stocked by the company such as inflammable materials, example, fuel, diesel and alcohol.
1.4 Research Questions
It is necessary to establish some research questions that will serve as a guide to the study. These questions would later be transferred to research hypotheses.
The research questions are
- To what extent does stores security affect the administration of an organization?
- To what extent does store security affect the profitability of an organization?
- To what extent doe stores personnel activities affect he growth of the organization?
- To what extent does stores management affect the profit making of the organization?
1.5 Significance of the Study
The result of this study may be useful to the following group of people.
The result will be of help to Unama Paper Mill to enable the organization to know the importance of stores security, and how it enhances the profit of the organization.
It will help to better way of conducting stores security and has contributed to the profit making of the organization.
Finally, it is hoped that the result obtained from this study shall be of immense benefit to the government and to the literate public who may stumble on this work and this would discover how stores security enhances profit making in an organization.
1.6 Scope of the Study
In this study, the focus was to establish the role of stores security in the profitability of an organization. The population comprises of staff of various sections of Unama Paper Mill Nigeria.
A total of one hundred participants were used. The study looked at the consequences of stores security towards profitability of an organization and how stores security should be run in order to attract profitability of an organization.
1.7 Limitation of the Study
One of the major constraints of this study was lack of finance to go around collecting data from the respondents. In addition, some workers in the organization were afraid to give accurate information for fear of victimization.
Again, it was not possible to go through all the documents concerned because some documents were classified as “secret documents” and therefore, were not meant for any other person's consumption. The researcher was disappointed to note the way that very few from which to draw references.
1.8 Definition of Terms
Security:
It is a management responsibly and is one of the most important aspects of stores management.
Security Services:
It is as old as any other service-oriented function in organization. Therefore, can be defined as a government organization that protects a country and its secrets from enemies.
Stores:
This is a general term describing goods, which are held in storehouse.
Security:
This is a process taken to guard against theft, burglary, fire incident, etc.
Inventory System:
This is a system of which items are being written down in a particular stores or making a complete not of all the lists or items held in store.
Specification:
It is a detailed description of how something is, or should be designed or made.
Lighting:
This is the arrangement or types of light in a place.
Head Gear:
This is anything worn on the head for protection.
Foot Wear:
These are shoes or boots people wear on their feet for protection.
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